If you are old enough, you may remember the TV series "Lost in Space" and a cyborg that intoned "DANGER, Will Robinson" to a kid involved in the story. This would be an occasion for one of those warnings, if your customer were also in the story line for the show.
Let's start with the obvious ---
1. Is your customer licensed to make loans in your state?
2. If he's not licensed, on what grounds is he asking for SSNs from the folks the checks are payable to?
3. Do you want to be in the middle if one of the checks is paid and doesn't have the requested info on it?
This guy's heart might be in the right place, and he may be flush while neighbors are wondering where their next meal will come from, but you have no idea what his plan is regarding repayment of these "loans." That wouldn't involve the bank, but the bank will be mentioned in news articles if this plan goes sideways and the guys starts sueing to get his money back.
Just too many negatives here.
John S. Burnett
Fighting for Compliance since 1976
Bankers' Threads User #8