RBI Cautions People Against Unauthorised Digital Lending Platforms, Mobile Apps
SRINAGAR: Reserve Bank of India has cautioned the people against unauthorised Digital Lending Platforms/Mobile Apps following the reports about individuals/small businesses falling prey to them on promises of getting loans in a quick and hassle-free manner.
These reports also refer to excessive rates of interest and additional hidden charges being demanded from borrowers; adoption of unacceptable and high-handed recovery methods; and misuse of agreements to access data on the mobile phones of the borrowers.
The RBI has informed that legitimate public lending activities can be undertaken by Banks, Non-Banking Financial Companies (NBFCs) registered with RBI and other entities who are regulated by the State Governments under statutory provisions, such as the money lending acts of the concerned states.
RBI cautions people against unauthorised Digital Lending Platforms/Mobile Apps
RBI cautions people against unauthorised Digital Lending Platforms/Mobile Apps
JAMMU: Reserve Bank of India has cautioned the people against unauthorised Digital Lending Platforms/Mobile Apps following the reports about individuals/small businesses falling prey to them on promises of getting loans in quick and hassle-free manner.
These reports also refer to excessive rates of interest and additional hidden charges being demanded from borrowers; adoption of unacceptable and high-handed recovery methods; and misuse of agreements to access data on the mobile phones of the borrowers.
The RBI has informed that legitimate public lending activities can be undertaken by Banks, Non-Banking Financial Companies (NBFCs) registered with RBI and other entities who are regulated by the State Governments under statutory provisions, such as the money lending acts of the concerned states.
Highlights
Adoption of unacceptable and high-handed recovery methods.
Misuse of agreements to access data.
New Delhi: The Reserve Bank of India (RBI) has issued cautions against unauthorised Digital Lending Platforms and Mobile Apps, asking individuals and small businesses to be careful while going for loans.
RBI said that there have been reports about individuals/small businesses falling prey to growing number of unauthorised digital lending platforms/Mobile Apps on promises of getting loans in quick and hassle-free manner. These reports also refer to excessive rates of interest and additional hidden charges being demanded from borrowers; adoption of unacceptable and high-handed recovery methods; and misuse of agreements to access data on the mobile phones of the borrowers.
RBI warns public about shady digital lending apps
Reserve Bank of India (RBI)
PTI
The Reserve Bank of India (RBI) on Wednesday warned consumers against the questionable digital money lending entities that promise loans in seconds at exorbitant rates of interest, and then use muscle powers to recover dues.
The Central Bank in a statement said, there have been reports about individuals/small businesses falling prey to growing number of unauthorised digital lending platforms/Mobile Apps on promises of getting loans in quick and hassle-free manner. These reports also refer to excessive rates of interest and additional hidden charges being demanded from borrowers; adoption of unacceptable and high-handed recovery methods; and misuse of agreements to access data on the mobile phones of the borrowers.
The Reserve Bank of India (RBI) on Wednesday warned consumers against the questionable digital money lending entities that promise loans in seconds at exorbitant rates of interest, and then use muscle powers to recover dues. “Members of public are hereby cautioned not to fall prey to such unscrupulous activities and verify the antecedents of the company/ firm offering loans online or through mobile apps, the central bank said in a statement. “Moreover, consumers should never share copies of KYC documents with unidentified persons, unverified/unauthorised Apps and should report such Apps/Bank Account information associated with the Apps to concerned law enforcement agencies or use