“Such activities undermine the stability of financial institutions and above all, the interest of the depositors,” RBI said, , loan waivers, debt waiver, rbi intervention, unauthorised digital lending platforms
RBI received complaints against 1,509 online lending apps, Anurag Thakur tells Lok Sabha
The central bank in December cautioned the public against unauthorised digital lending platforms/apps and appealed to them to verify the antecedents of the service provider, the Union Minister further stated
BusinessToday.In | February 9, 2021 | Updated 11:44 IST
Reserve Bank of India
The Reserve Bank of India (RBI) received complaints against 1,509 digital lending applications, Union Minister of State for Finance Anurag Thakur told the Lok Sabha in a written reply. According to Thakur, the RBI received complaints against 1,019 unregistered or unregulated digital loan applications and 490 registered non-banking financial companies (NBFCs) engaged in digital lending.
The Menace of Usurious Lenders Operating through Chinese Loan Apps
Moneylife Digital Team
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After the sterling groundwork of Telangana police, officials from across India are arresting app-based lenders, often linked to Chinese companies. Their ruthless recovery tactics have led to a dozen suicides and finally goaded the police into action. These ruthless lenders, charging usurious interest, masquerading as processing fees (to beat the Usurious Loans Act) have wreaked havoc among desperate borrowers who lost their livelihood during the lock-down. The apps, which lend small sums between Rs2,000 to Rs10,000, target low-income and financial unsavvy Indians, who fail to realise how quickly their small borrowings can balloon into a huge loan. The harassment that follows has driven many young people to suicide, pushing the police to act. The Union government has still to respond with a clear policy, though.