oppn parties Instant Loans Or Instant Disaster?

News Snippets

  • T20 WC: USA enter Super Eights as their last match against Ireland gets washed out. They were ahead of Pakistan in the points tally. Pakistan were eliminated
  • T20 WC: USA enter Super Eights as their last match against Ireland gets washed out. They were ahead of Pakistan in the points tally. Pakistan were eliminated
  • BJD leader and former Odisha CM Naveen Patnaik said that the criticism of his aide V K Pandian is "regrettable"
  • As more than 20 BJP ministers lost in the recent elections, the new Union cabinet will have many new faces from the party
  • Congress Working committee asks Rahul Gandhi to take up the position of Leader of Opposition in Lok Sabha. Gandhi says he will consider the request
  • RBI governor Shaktikanta Das said that gold was shifted to India as the quantum of RBI gold abroad had increased due to recent purchases
  • Delhi HC rules that submitting photographic evidence of adultery will not be enough, they will have to be proved as authentic in the age of deepfakes
  • A four-member panel will review NEET-UG results of 1563 candidates to check if they were given extra marks for exam time loss
  • Mamata Banerjee says her party will not join Modi's oath-taking ceremony. Also says INDIA bloc might stake claim to form government later
  • K C Tyagi of the JD(U) dropped a bombshell when he said that Nitish Kumar was offered the post of prime minister for switching sides. Opposition leaders rubbished the claim
  • This May was India's hottest month in 36 years says IMD
  • T20 WC: India take on Pakistan today. Telecast to begin at 8pm IST
  • T20 WC: Afghanistan stun New Zealand and Bangladesh win against Sri Lanka
  • T20 World Cup: Australia beat England by 36 runs. This spoils England's chances of making the playoffs as they have lost both their matches till now
  • Heat wave continues in the country as monsoon moves slow
G7 commits to promote India-Europe corridor
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.