If your age is between 20 and 40 years, then you can also take a loan of Rs. 5000 to 50000.
In just a few minutes
All you need to do is download an App in your mobile phone,
Uploading PAN, Aadhar card, three photo and three months bank statement,
Just fill in your bank details and the amount will be transferred to your account.
Hey. are you considering it a joke
This is really happening. Yes, yes it is happening in our country only.
If you want, you can also try it.
But, but before trying, also know that of course you will get the money, but you will be stuck in such a quagmire that you have to pay a huge price to get out.
Yes friends, recently some people had to commit suicide for a loan of Rs.5000 – 10,000.
Before getting caught in the trap of any such loan app, know that
What is this complete illusion?
How a given loan is charged.
Who gives this loan?
How do people get into it?
How do we get tangled?
What is the way to avoid them?
Hyderabad Police raid several Fintech companies of Hyderabad and Gurugram and arrested 17 people. The next day, 4 more people were caught, including the Chinese Nationals. There is an allegation on all these that through mobile apps, they work illegally in money lending and harassment in the name of recovery.
In the last three weeks, three consecutive suicide cases whose reason was the same.
Due to some financial problem, fell into the trap of Instant Loan apps, and then were harassed so much that they had to choose the path of suicide under compulsion.
Many people have lost their jobs due to lockdown, some are forced to work even on low salary. In such a situation, people are forced to take loans even for small needs, such as Rs.5000 or 10000.
These fraudsters have found an opportunity under this compulsion.
The biggest fraud that this Online Loan Apps gives is that, very little formality and instant loan amount in your account.
The more attractive this offer seems, the darker is the other part of it.
The Cyberabad Branch of Police became active when a lady employee of Telangana Agriculture Department and a software engineer committed suicide due to this loan scam. Tele-callers and recovery agents were humiliating and blackmailing so badly that they had to take this step after getting upset.
Modus Operandi
Friends, let us understand how these companies work.
A single company creates multiple apps and tracks customers.
If you have ever done such a search on google once, then you will start seeing ads of such loan apps on every social media. Or if your mobile number reaches to any one of them, then it keeps circulating and you are called from different call centers.
If you are ready to take a loan, then you have to download the App. Upload PAN, Aadhaar card, bank statement and photo for KYC.
Bank account details are to be filled in.
After deducting the charges from the loan amount, the remaining amount will be transfered to your account.
Can you think how much these charges will be?
They can be from Rs 1000 to 20% of loan amount.
That is, if you have taken a loan of Rs 5000, then after deducting Rs 1000 file charge and 18% GST i.e. total Rs 1180 will be deducted, and Rs 3820 will come in your account.
Charges and rate of interest are not told to you earlier. There is a 100 page document for Terms & Conditions, on which you have to give immediate consent. You can’t even read it.
Rate of interest can range from 35% to 60%.
The loan duration can be from 7 days to 15 days.
If you do not repay the loan by the due date, then per day penalty of 1% to Rs 500 will be imposed.
Think of it like this, if you are charged at the rate of 1%, then in three months the loan of 5000 will be 10,000.
But you are not given so much time.
You will start receiving calls as soon as the due date expires. As the days go by, the number of calls will increase and the language level will fall.
Defaulters are put into different categories S-0, S-1, S-2, S-3, M-2, M-3, X
And the way to deal with everyone is also different.
First normal calls. Then aggressive, then abusive, then threatening.
If repayment is still not done then legal notices are sent.(although these are fake one but it is ok to create terror)
After that, they will start threatening your friends and relatives, by taking the numbers from your contact list.
If you do not have the money to repay the loan, then theit other apps are ready to fund you. Repeated calls will come from different numbers. Now you do not need to give documents, only consent is enough.
The loan of Rs 5000 is already Rs 7000, then give the consent for Rs 10000, after deducting the charges, you will get Rs 8000 and pay Rs 7000 out of it. This way you keep falling into the quagmire.
Cyberabad Police, has registered a complaint, in which the victim says that due to a financial crisis, he took a loan of Rs. 2015 which was cut and he got Rs. 1600. To repay it, he took the loan from second app and then third again and while doing so, he has taken a total loan of Rs 1,20,000 from 28 Apps and has deposited 2 lakh against it, but the amount is still due on him and he is being harassed.
Guys this is a huge scam. Hyderabad Police has freeze 75 bank accounts, which has amount of about Rs.423 crores.
Apart from Hyderabad, Bengaluru, Chennai, Gurugram these companies also have a network in many cities.
Different companies have also been formed for Call Centers. There are about 1000 employees with 10 to 15 thousand monthly salary.
Some of their Loan Apps are named, Loan Gram, Cash Train, Cash Bus, AAA Cash, Super Cash, Mint Cash, Happy Cash, Loan Card, Repay One, Money Box, Monkey box, etc. Apart from this, there are hundreds of apps on the play store.
Friends, neither these companies are authorized for lending money from anywhere nor are affiliated with any NBFC bank.
RBI has also clarified by issuing a notification that before taking loan from any online platform / mobile app, it must be checked for authenticity.
- To give loan, it is necessary for the App/company to be associated with any authorized bank / NBFC.
- Company has to clearly mention to which bank/NBFC it is affiliated.
- It is mandatory to give complete information about Charges and rate of interest before the loan process.
- Before the loan agreement, it is necessary to give the loan approval on the letter head of the principal bank / NBFC.
Due to lack of financial literacy in our country, such unauthorized money lenders get enough space to do business in the market. But know
- Their rate of interest is very high. Totally unreasonable
- They rob a lot in the name of Charges.
- There is no transparency in the way of calculating interest.
- There is no check on the use of data.
So you too should avoid these fraud offers and save your acquaintances from being looted.
