Online Loan Apps resort to gimmicks in advertising.
Loan apps offer quick loan with lesser paperwork. Some of them can also give money without any guarantor or mortgage. The lady who calls and assures fast monetary help through online loan, is mostly also part of the racket.
However, the key point is, they offer loan at astronomical interest rates. And they start abusing and threatening once an installment is missed. They may go to any extent to extort money and ensure that the victim’s life becomes hell.
Many of these loan apps are believed to have a Chinese origin. Some of these apps even use the names and logos of some of the prominent Indian banks. A report.
(India Input Team)
The loan apps offer cash in minutes to trap the needy.
A recent ‘Indian Express’ report from Bhopal dated July 14th, 2023 says, ‘Loan company ‘leaks man’s objectionable photo to contact’s list,’ he commits suicides along with wife and kids.’
The report further claims, ‘Bhopal police say they are combing through the couple’s electronic devices as they try to investigate the company at the center of the allegations.’
Their two sons aged 3 and 9 years had died after it had consumed poison in a cold drink and the couple in their thirties, was found hanging.
The man’s private data had been compromised from his computer data by the loan app company which was said to be extorting money, according to the suicide note recovered.
Some of these loan apps also use the names and the logos of some of the prominent Indian banks.
The interesting part was the man was offered an online job for some extra money. And it turned to be an extortion racket. A little benefit was received in the beginning but later he came to realise, that he was ‘trapped’. Most importantly, the local cyber crime office was of no use due to unavailability of officers, it was written in the note.
A Business Today report dated Oct 04, 2022 screams, ’23-yr old techie dies by suicide due to alleged harassment by online loan recovery agents.’ The report states that, ‘The loan apps found on his phone include Handy Loan, CashBeen, More Loan, Honey Loan, HomeCash, Yash Rupaya, Future Credit, Cash Tower and Buddy Cash.’ The link to the report:
Images of Indian movie stars are also used in these advertisements, to raise the authenticity factor.
In Karnataka, an engineering student ended life in July, 2023, due to harassment by loan apps. The Congress party had promised to formulate a policy to strictly regulate the online loan apps within hundred days of coming to power in the state.
Another report by The Mint dated Sept. 09, 2022 is titled, ‘Couple dies by suicide due to harassment by loan app agents in Andhra Pradesh’. The link is here:
The cops say, “the suspicious phone calls for online loans have to be avoided at all costs. One has to be very careful before taking up an online job.”
LOAN APPS TRAP: MADE HER KILL GRANDMA!
In 2022, a 25 year old girl in Pune murdered her 70 year old grandmother allegedly to repay the loans she had procured for her expenses using online credit platforms. 3151 complaints against loan app operatives had been filed till august 2022 with the Cyber Police Station in Pune, Maharashtra. The said Cyber Police station had received 699 complaints in 2020 and 928 complaints in 2021 against loan apps.
LOAN APPS: DEMAND FOR ACTION!
The mail by an alert citizen.
Television debates have also witnessed heated discussions on this topic. The demand for regulation has been on the rise since the last few years.
A complaint against the Chinese apps for financing and dating doing rounds on facebook, mailed by an alert citizen to the union government has been accessed by indiainput.com. It points out that the logos and names of nationalized banks in India are being fraudulently used by some of these apps to lure and trap innocent people. The complainant demands immediate action.
The mail notes: “These apps are harmful and have been the cause for many suicides across India.”
India has recently banned and blocked 138 betting and 94 loan apps. Ministry of Electronics and Information Technology has issued orders to block these following orders by Ministry of Home Affairs (MHA). Some of the banned apps have Chinese links. Yet the problem persists, due to more unauthorized lending platforms and mobile apps that dole out easy cash at huge interest rates.
LOAN APPS: PREVENTION IS THE BEST CURE!
“These are predatory lending tactics using unfair and abusive terms and conditions, now on online platforms and mobile apps. The needy go behind such easy cash in times of emergency and get trapped. The statistics are just the tip of the iceberg as a majority of the crime goes unreported due to fear or shame,” states Cyber crime and security awareness expert Miss Aishwarya Tiwari. She observes that, “the youngsters need money to spend on themselves and their friend circle while several young or middle aged people who lost their jobs during the Covid pandemic are yet to find a job.”
“Naturally for them, life continues to be difficult to make both ends meet,” she says. “The best policy is prevention! However severe the need for immediate cash may be, please do not pay any heed to the suspicious calls or online advertisements for online loans from the online loan apps or the credit platforms. Even the online games posing to be harmless can sometimes bring in trouble.. It all may get you to a point of no return,” she cautions.
“In case you are in such a trap by the online apps, or someone you know is, the first step is, contact the nearest Cyber Police station and give them all the facts. There are first responders too, appointed by authorities at some places. They can also help you in devising a legal plan to help you,” says Miss Tiwari.
Indiainput.com is keen to spread more awareness on Cyber security & safety of the end users. You are welcome to share experience or feedback on contactindiainput@gmail.com
Dear valued Readers and Supporters, at IndiaInput.com, YOU are the heart of everything we do! Your unwavering support has fueled our passion for delivering top-notch news and insights on a wide array of topics. We deeply appreciate the time you spend with us, making our journey so meaningful. Your favorite online news magazine Indiainput.com celebrates YOU and the association with you. We’re incredibly grateful for your selection and in joining us on this remarkable adventure. Together, let’s continue to create a brighter, exciting & knowledge-filled journey to a more rewarding future!
Loan apps offer quick loan with lesser paperwork. Some of them can also give money without any guarantor or mortgage. The lady who calls and assures fast monetary help through online loan, is mostly also part of the racket. 
“These are predatory lending tactics using unfair and abusive terms and conditions, now on online platforms and mobile apps. The needy go behind such easy cash in times of emergency and get trapped. The statistics are just the tip of the iceberg as a majority of the crime goes unreported due to fear or shame,” states Cyber crime and security awareness expert Miss Aishwarya Tiwari. She observes that, “the youngsters need money to spend on themselves and their friend circle while several young or middle aged people who lost their jobs during the Covid pandemic are yet to find a job.”
