credit mule

Meanings

1. A victim of fraud persuaded to use their own name and information to obtain an expensive item with credit contract attached, such as a smartphone. The victim, or "mule", is paid on giving the item to the fraudster, and is assured the contract will be cancelled, but it is not. Thus, the victim acquires a debt while the fraudster can sell the item at a large profit.

Etymology

From credit + mule.