Do not fall into the trap of CIBIL score instant loan even by mistake, this can lead to fraud, know how

PC: maharashtratimes

Cyber ​​criminals are stealing people’s personal information in the name of instant loan. There has been an increase in incidents of charging exorbitant interest after giving loan, harassing people and sending threatening messages to people in their contact list. To avoid such fraud, RBI has appealed for secure digital transactions and warned people to be cautious of suspicious apps.

If you are also getting lured by ads like ‘Get loan in 5 minutes without CIBIL score’ on social media or mobile messages, then wait for a while. This is a trap that can not only spoil your financial condition but can also spoil your reputation. In recent times, ‘Chinese loan apps’ and fake digital lenders have fallen prey to thousands of Indians.

These fake loan apps offer tempting ads and promise instant payment without any document verification or CIBIL score. As soon as you install the app, they ask for access to your contacts, gallery, and location. The loan amount is small, but the interest rates can range from 300 percent to 500 percent. The real game starts when you can’t pay. These apps call the contacts stolen from your phone and threaten to compromise your private photos and make them viral.

Strict rules of RBI

The Reserve Bank of India (RBI) has further tightened the rules for digital lending.

Registration required: No app can give loan on its own. It is necessary to be registered with a bank or NBFC. The partner’s name should be clearly written on the app.

Key Fact Statement (KFS): Before disbursing the loan, the app will provide you with a ‘Key Fact Statement’ clearly detailing the interest, charges and the total amount payable. If there is anything hidden in it, it is illegal.

Restriction on data access: No lending app can now ask for access to your contact list, gallery or files. They can only access the camera or mic (for KYC).

Cooling-off period: AIf after taking the loan you do not like the terms, you have 3-7 days in which you can repay the loan without any penalty.

How to avoid fake loan apps?

Download only trusted apps from Google Play Store or Apple App Store.
Read the ratings and reviews of the app before downloading it.
Avoid giving any app access to contacts and gallery.
If the app is associated with an RBI-registered bank or NBFC, do not immediately trust claims like loan without documents, guarantee and without CIBIL check.

How and where to complain?

If you fall into the trap of such an app, do not panic, but take these steps.
National Cyber ​​Crime Portal: Immediately visit www.cybercrime.gov.in and register your complaint.
Helpline number 1930: In case of any financial fraud, dial ‘1930’ immediately. This is the helpline of the Government of India.
Sachet Portal: Report fake apps on RBI’s ‘Sachet’ portal (sachet.rbi.org.in).
Local Police: File a complaint by writing to your nearest police station or cyber cell.