oppn parties Instant Loans Or Instant Disaster?

News Snippets

  • Kapil Sibal leaves Congress, fills nomination for Rajya Sabha with SPs backing
  • RBI bans 5 NBFCs as it cracks down on e-lending platforms
  • Hindustan Motors to tie-up with Peugeot to bring out a redesigned version of the iconic Ambassador
  • GST Council to defer rate rejig due to inflation
  • Centre to sell 29.5% in Hindustan Zinc at an expected price of Rs 38000cr
  • Stocks remain negative on Wednesday: Sensex loses 303 points to 53749 and Nifty 99 to 16025
  • IPL: RCB beat LSG by 14 runs and end their dream run. Rajat Patidar scores a brilliant 112. RCB will take on RR to decide who goes through to the finals
  • Delhi Additional district judge Nikhil Chopra says there is no legal right for people seeking to worship deity inside Qutab Minar, says it survived 800 years without worship so "let it survive like that"
  • Punjab chief minister Bhagwant Mann sacks state health minister Vijay Singla over corruption charges. Singla was later arrested by the ACB
  • Protestors burn the house of Andhra minister P Viswaroop and MLA Satish Kumar over renaming of Konaseema district as B R Amberdkar Konaseema
  • Gyanvapi: Varanasi district judge decides to first hear the 'maintainability' plea filed by mosque management
  • Delhivery and Venus Pipes shares list at premium of 10% and 8.7% respectively even when market sentiment was down
  • In a bid to cool edible oil prices, Centre allows duty-free imports of 20 lakh tonnes each of crude sunflower oil and crude palm oil per annum this year and next
  • Centre caps sugar exports to ensure availability of stocks in the domestic markets to cool prices
  • Stock markets get the jitters as RBI signals rate hike and government moves in to control inflation: Sensex tumbles by 236 points to 54052 and Nifty goes down by 89 points to 16125
Yasin Malik of JKLF gets two life terms in terror funding case /////// Kashmir TV artist killed and her nephew injured in a terror attack in Hushroo in Budgam district
oppn parties
Instant Loans Or Instant Disaster?

By Yogendra
First publised on 2020-12-23 07:42:50

About the Author

Sunil Garodia Yogendra is freelance writer

Are you being bombarded with numerous SMSes asking you to download an app and get anywhere between Rs 5000 to Rs 50000 in your bank account instantly? People facing small and temporary financial difficulties (and after the pandemic, the lockdown, the job cuts and the salary cuts, there is no dearth of such people) are getting lured by these apps, but reports are now pouring in that some of these fly-by-night operators, who often operate outside the regulatory framework, are making life hell for people who have availed their services. Instant loans were called the game changers in the personal loan space. But some operators are giving the entire sector a bad name.

Some of these apps pose a huge data risk as they will ask you for your identity proof and address proof, generally the PAN and Aadhar details. Since their credentials are not established, there is every chance that user data will be misused. Further, these apps apply severe strong arm tactics to recover their loans even if the EMIs are missed for one day. Apart from loan recovery agents, these apps start hounding you on social media and start calling people on your contact list (this information they acquire when you give several permissions while downloading their app). In short, for a small amount of loan, they start the process of name and shame with a vengeance.

There have been reports of people committing suicide when faced with such a situation. The police have been registering cases of harassment and are looking into how to curb this menace. They have started writing to banks and getting the accounts of such operators frozen. But this is at best a knee-jerk reaction. The police will have to work with regulators to prevent such companies from starting operations if they are not licensed. Google, on the other hand, is trying its best to pull down such rogue apps from the Play Store. For the public, it will be better if they make detailed inquiry about such apps and get their loans, however small, from genuine sources.