Loan
customers or borrowers should not deceive, threaten or defame. But Nigerians
are saddened that character defamation is being done to those who do not pay.
The fake loan applications in Nigeria mentioned in this article should be
avoided like the plague, to be safe in all your business.
Most of these fake loan apps in Nigeria are in violation of Google and approved loan apps on the play store and the laws of the country in Nigeria. The fake loan applications in Nigeria are 9Credit, 9ja Cash, BorrowNow, Cash Mall, Cash Wallet, CashLion, Ease Cash, FastMoney, ForNaira, GGMoney, GoCash, GotCashger, GotoCash, KashKash, LCredit, LendCash, NairaPlus, NCash, Palmcash etc Lenders and consumers should avoid them at all costs.
Many
people have been misled, cheated, and illegally charged their bank due to these
fraudulent digital loan applications. Please be careful!
An
investigation carried out last December showed how these loan companies offer
short-term loans to help subscribers meet urgent needs, but follow a pattern of
harassment, cyber bullying and breach of privacy. data of their customers who
may fail to repay the loan.
The
companies - GoCash, Okash, EasyCredit, Kashkash, Speedy Choice, Easy Moni -
owned by Blue Ridge operate on the third floor of four buildings in the area.
Based
on Play Store removals, FCCPC restrictions, power collection systems and other
illegal practices, the most popular fake money lending apps in Nigeria are:
Top List of Fake Loan Apps in Nigeria 2023
• 9Credit
• 9ja Cash
• BorrowNow
• Cash Mall
• Cash Wallet
• CashLion
• Ease Cash
• FastMoney
• ForNaira
• GGMoney
• GoCash
• GotCashger
• GotoCash
• KashKash
• LCredit
• LendCash
• NairaPlus
• NCash
• Palmcash
• Sokoloan
•
ChaCha
•
Easy Moni
• EasyCredit
• Here4U
• Maxi Credit
• SoftPay
• Speedy Choice
How to Spot fake Loan Applications in Nigeria
•
Not available on Google Play Store
Despite
the large number of fake loan apps on the Google Play Store, most of the fake
loan apps can only be obtained from unofficial platforms.
Due
to the rising number of fake loans on its platform, which allows 81% of mobile
phone users in Nigeria to access their accounts, Google should close its
filters to prevent further fraud and also removed many of his store's
applications at the request of the FCCPC. Sokoloan is one such app that was
removed from the Play Store after Google received instructions from the
company.
According
to Nairametrics, the FCCPC has also requested the removal of Maxi Credit,
Here4U, ChaCha and SoftPay from the Play Store for misconduct. Those who fall
for fake loan applications that cannot be accessed on the Google Play store are
Nigerians seeking loans without BVN, which has become a selling point of
unscrupulous credit platforms.
•
Aggressive collective behavior
Fake
loan instruments have become a big problem in Nigeria because of the way they
have consolidated their power. Their modus operandi is to provide loans for
access to personal information and data on phones, such as contact lists and
credit and financial status of individuals.
As
soon as the loan is given - when for a small part of what was originally
requested - within days, the representatives of the fake loan application
require the payment of money and exorbitant interest rates through text
messages and phone calls, which quickly degenerated into a function of.
Harassment and threats against the borrower and his family.
In
other cases, the representatives of these applications send the relatives of
those who applied for loans, accusing them of committing crimes, being sex
workers or prostitutes, they even send threats and pictures of dismembered
bodies.
All
these behaviors such as fraud, defamation and extortion, which are crimes under
Nigerian law, are the hallmarks of a fake loan. This is about fake loan
applications GoCash, EasyCredit, Kashkash, Speedy Choice and Easy Moni, which
were attacked by the FCCPC and the Independent Corrupt Practices and Other
Related Offenses Commission, Nigerian People Development Agency. information
technology and Nigeria. Police for violating customer privacy in their debt
collection efforts. Okash, who was also among those attacked, has received a
full license from the FCCPC.
•
Sanctioned by financial authorities
All
financial institutions that lend money must be registered with the Central Bank
of Nigeria (CBN) or the National Information Technology Development Agency
(NITDA) who is the registrar of supervisory institutions.
Credit
is regulated by strict regulations; even loans between friends are controlled.
This prevents exploitation and makes it easier to detect fraudulent attempts.
For
loan applications to be allowed to extend credit, approval is required. Before
proceeding with the loan application, it is important, especially if you are
not familiar with the brand, to check that the company is registered in the
Nigerian register approved by the financial authorities.
•
The website is not secure
To
spot a fake loan application, visit their official website and make sure the
URL is invalid. If the web address starts with \"HTTPS\", it is a
secure (not necessarily trusted) website.
However,
if the URL contains only \"HTTP" without trailing \"s", it
may be a fake loan application, because law firms must follow security rules to
hide user data. Also, the URL must have a padlock, which indicates that the
website has an SSL certificate which indicates that it is a secure website.
•
The web page service is not perfect
Fake
loan applications can be detected based on the performance of their websites.
Spelling errors, wrong internet addresses, wrong email addresses and other
inconsistencies in loan applications are common.
To
spot a fake loan application, visit the lender's website and make sure all
buttons and links are working properly. If not, it may indicate that the
website has been copied and is therefore not trustworthy.
LCredit
is an example of a fake loan application with a bad web page service since its
website has a fake Google Play Store download link despite the removal of the
program from the Android Store. Instead of connecting to a reputable store,
LCredit will try to complete the download on its own website.
•
Bad customer feedback
Customer
reviews are a good way to find out if the loan application is fake, if the
service it offers is legitimate, and previous customer experience.
Regardless
of your reason for applying for a loan, it is important not to fall into
despair. Take a few minutes to check the reputation of the loan application
before applying.
Remember
that company history research is free, fast and essential if you want to stay
on the right side of the financial divide. A background check can be the
difference between falling for a fake loan application and getting a legitimate
loan.
•
Request for advance payment
If
the loan application asks for a down payment before the loan amount, this
clearly indicates a fake loan application. Cybercriminals take advantage of the
apathy and inexperience of the user who wants to pay in advance.
A
fake loan application that requires a down payment may say that this is money
to save the money or that this "small amount" will be repaid since it
will be some kind of insurance, but that is the fact that you should be careful
about it. such works. Popular loan applications may charge you in advance,
which will be listed in the contract, but this amount will not be requested in
advance; it will be applied to your credit.
•
Requests for passwords and sensitive information
Some
fake loan applications are known to ask for sensitive information such as bank
account passwords and credit card numbers. If this information is required, you
must not disclose it. There is no doubt that this is one of the main points
that cast doubt on the authenticity of the gift.
•
No concept of dissolution
Have
you received an offer from a loan application to borrow a large amount of money
without any conditions, regardless of your unpaid debts?
Another
popular practice of fake loan application is to pretend not to check the credit
bureaus; However, it is often a myth. People who are poor or whose financial
situation is weak should have more difficulty getting money than others.
Therefore,
this is another trick used by many fake loan applications because, unlike
reputable credit agencies, fake loan applications do not care about the
financial situation of their customers and -provide large sums of money without
considering the risk associated with repayment. Why? This is a trick by
criminals who want to be paid before they give money to those in need and
disappear.
Obviously,
you should not be wary of all bad credit lenders, as some may be legitimate.
However, if a loan application offers you a large amount of money for a long
period of time despite your low salary, it may be a scam.
These
seemingly unexpected things are red flags that extreme caution is required.
So,
don't think it's a good thing if the loan application doesn't check your credit
history. Instead, beware if the loan application does not require a cosigner or
a contract, but gives you up to NGN 100,000 in an instant without requiring any
approval or contract.
Some
fake loan applications may promise to pay all of your debt without knowing the
amount. Banks and loan applicants must know how to assess your creditworthiness
or ability to repay the loan. Therefore, any loan application that provides
loans should always ask questions about the applicant's eligibility and
repayment, because this is a risk assessment process before loan approval.
•
Hidden loan conditions
Be
very careful that loan applications include operating conditions that are not
made public. Customers should be diligent when inquiring about the interest
rate that will be charged on the loan, as well as the terms, payment amount and
time period. Absence of legal documents, which must describe the company
providing the loan, its capital and contact details, also indicate false loan
applications.
Before
accepting a financial offer, each property must appear in good condition.
•
Unprecedented interest rates
One
of the first tips for detecting credit fraud attempts is to be wary of offers
that advertise interest rates close to 0% and flexible payment terms. This red
weed is powerful enough to destroy your sense of direction. But how do you know
if a low interest loan of 1% or less is recommended as a fake loan application
when TV news, news articles, and bank advertisements promoting low interest
loans? 1% or less?
In
recent years, banks have dramatically reduced interest rates on their loans,
especially mortgages. On the other hand, the situation of consumer loans, that
is, money that is not for the purchase of housing, has not changed much.
According
to a survey conducted by our in-house experts on loan applications in Nigeria,
the average interest rate on personal loans is 3.5%. Some consumer credit
bureaus sometimes offer credit. But in reality, these consumer loans with
interest rates below 1% are reserved for wealthy borrowers who can borrow the
equivalent of the minimum monthly payment to cover their monthly payments.
Before applying for a loan, it is important to find out about the interest
rates offered by competitors.
•
Exclusion of comparison sites
In
general, online lenders and lists of fake loan applications do not appear on
comparison sites, unlike legitimate lenders, which are mentioned on these sites
because of their reputation. them or social media networks to market their
services. Many websites are involved in providing information about legitimate
and fake loan applications so that visitors can weigh the options.
Platforms
like ours offer a free and impartial financial advisory service that compares
your credit application with that of the appropriate credit bureau.
•
No website
Each
loan application must contain the main points, history, goals and vision of the
company, as well as all company information to verify the reliability and
relevance of the company.
Some
fake loan apps have been found on play store without a solid website.
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