As per a report in the Free Press Journal, a beautician from Mumbai had borrowed Rs 10,000 from an app called Everloan that she had bumped upon while browsing social media.
Several borrowers claim that these fraudulent apps have a notorious history of charging unethical interest rates, and they even used to threaten borrowers to pay exorbitantly high interest rates
This is a common modus operandi among loan apps, and Andhra Pradesh has witnessed several suicides due to harassment from loan app agents over the past couple of years. Loan apps, which have sprouted across the country and grew popular during the COVID-19 pandemic, offer quick, instant loans at humongous interest rates but without requiring extensive verification.