VIJAYAWADA: As many as 20 people have lodged complaints against the mobile app-based private lending agencies in various police stations and the cyber crime branch of Vijayawada in the past four months alleging harassment to repay the loans.
The harassment of the lending agencies came to the fore as two youths died by suicide in Telangana recently.
Cyber Crime Police Station Circle Inspector K Srinivasa Rao told The New Indian Express that most of the complainants are students and private employees and they filed complaints in Penamaluru, Patamata, Krishna Lanka, Satyanarayanapuram and Bhavanipuram police stations.
Cyber police warn App-based lending agencies of action
“All the complainants borrowed the money from the lending agencies during the Covid-19 induced lockdown, which included Easy Money, Easy Cash, Cash Plan and CashNow. They borrowed money ranging from Rs 5,000 to Rs 2 lakh from the lending agencies, which collect an exorbitant interest rate,” the CI said.
Explaining their modus operandi, he said the complainants had obtained loan from 52 money lending mobile apps available in Google Play Store. All these apps are involved in data breaching after collecting details like Permanent Account Number (PAN), Aadhaar, bank account, e-mail and social media accounts, phone numbers of family members and friends from the borrowers.
The time for repayment will be decided by the lenders — 7, 15 and 30 days as per their company norms. After scrutinising the details, the loan amount will be credited into the borrower’s account, he said.
After that, the lending agencies will forward the details of the defaulters to recovery call centres, which make repeated phone calls demanding repayment.
Apart from collecting the personal details of borrowers, the agencies will also inadvertently get access to contacts, photos and other information in the borrower’s phone. They then forward ‘warning’ messages to all the contacts of the borrower, terming those who defaulted payment a ‘fraud’.
“The digital lenders have no right to harass any loan defaulter. Instead, they can give time for repayment or even collect additional interest within their purview. If they resort to harassment of borrowers, stern action will be taken against them,” he warned.
Taking serious note of the ‘excesses’, the Cyber Crime Police swung into action and contacted the digital lenders directing them not to harass the loan defaulters.
“We are requesting the victims to approach law and order and cyber crime police without any hesitation, if they are harassed by the money lending agencies for repayment,” the CI added.