Google, FG Announces Strict New Rules For Digital Loan Apps in Nigeria, Bans Contact Access, Pictures
- FG and Google has introduced new restrictions for digital loan apps on its Play Store platform to protect users from predatory lending practices.
- The new policy, effective May 31, prohibits loan apps from accessing sensitive personal user data
- Google instructions come just three days after the federal government licensed Fairmoney, Payday, and 117 other digital loan apps
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In a bid to ensure that users are protected from predatory lending practices, the federal government and also Google have introduced new restrictions for digital loan apps on its Play Store platform.
This move comes just a few days after the Federal Government of Nigeria licensed 117 digital loan apps to serve Nigerians.
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Techcrunch reports that google new policy, which comes into effect on May 31, will prohibit apps from accessing sensitive user data such as photos, videos, contacts, precise location data, and call logs.
Google message to loan apps owners
In a statement released Google explained that the new policy is aimed at addressing issues of misuse of personal data by some loan apps
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It reads:
"“Apps that provide personal loans, or have the primary purpose of facilitating access to personal loans (i.e., lead generators or facilitators), are prohibited from accessing sensitive data, such as photos and contacts
"This policy applies to apps which offer loans directly, lead generators, and those who connect consumers with third-party lenders"
Specific Google instructions for Nigeria digital loan apps
Google also set specific instructions for loan apps operating in Nigeria asking all in its Play Store to ensure they meet regulatory requirements.
The message reads:
"To operate as a Personal Loan App in Nigeria, it is mandatory for Digital Money Lenders (DML) to comply with the limited Interim Regulatory/Registration Framework and Guidelines for Digital Lending, 2022 (as may be amended from time to time) set by the Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria.
"DMLs must also furnish verifiable approval letters obtained from the FCCPC. Loan Aggregators, on the other hand, are required to provide certification and documentation for their digital lending services, as well as contact information for every partnered DML.
"Additionally, upon request by Google Play, you must submit any supplementary information or documents to demonstrate your compliance with the regulatory and licensing requirements that are applicable to your operations."
FG approves 117 digital loan apps
Google's directive follows an announcement by the Federal Competition and Consumer Protection Commission stating that out of 173 loan apps, only 119 have received full approvals, while 54 currently have conditional approvals.
The commission has also barred illegal online banks.
Here is a full list of fully licensed digital loan apps
- Sycamore Integrated Solutions Limited
- Trade Depot
- Tajow Investment
- Blue Ridge Microfinance Bank Limited
- Grolatech Credit Limited
- Branch International Financial Services Limited
- P2vest Technology Limited
- Creditwave Finance Limited
- Keenest Tech Service Limited
- Fairmoney Micro Finance Bank
- Altracred Finance Investment Limited
- Crevance Credit Limited
- Menacred Company Limited
- Afrowide Development Ltd
- Red Planet Nigeria Limited
- Afrofirst Mobile and Technology Company Limited
- Rankcapital Limited
- IBS Golden Investment Company Limited
- Lendvisery Services Limited
- Renmoney Microfinance Bank Limited
- Swipebill Technologies Nigeria Limited
- Hometown Fintech Limited
- Giasun Technology Nigeria Limited
- Be Resources Limited
- Rockit Lenders Nigeria Limited
- Pivo Technology Limied
- Yes Credit Company Limited
- Irorun Technologies Limited
- Csense Limited
- Supreme Help Cooperative Society Limited
- Orcom and Orcom Business Support Limited
- Payhippo Limited
- Easycheck Finance Investment Limited
- Quark Financial Nigeria Limited
- Edmond Solutions Company Limited
- Ted Rocket Limited
- Penaid Limited
- Arve Limited
- Dover Credit Limited
- Ragekay Global Investment Limited
- Maywood Lending Limited
- Linkpark Technology Nigeria Limited
- Mangnet Lending Limited
- Rubystar Global Limited
- Bestfin Nigeria Limited
- Fubri Century Company Limited
- Berly Spring Global Limited
- Rock Financials Limited
- Phoenix Payment Solution Limited
- Value Driver Technology Solution Limited
- Nextpayday Limited
- Blackcopper Service Limited
- Trafalgar Associate Limited
- Windville Financial Nigeria Limited
- Orange Loan & Purple Credit Limited
- Carbon Microfinance Bank Limited
- Neo-Link Technology Company Limited
- Finnew Fintech Limited
- OTP Internet Technology Limited
- Red Harbor Fintech Limited
- Paylater Hub Limited
- Skitloan Nigeria Limited
- Raceova Nig. Limited
- New Credage Nigeria Limited
- Betterlending Company Limited
- Fast-Point Intergrated Limited
- Apex Lending Limited
- Piska Tech Nigeria Limited
- Princep Credit System Limited
- Omalend Service Limited
- Pockful Finance Limited
- Highcredit Nigeria Limited
- Hollandale Nigeria Limited
- Pay Financial Technology Service Limited
- A1 Capital Solution Limited
- Newedge Finance Limited
- Papichou Technology Limited
- Goharvest International Limited
- Mino Sparks Limited
- Xgo Finance Limited
- Primera Microfinance Bank
- Credit Tech Lending Company
- Prosperity Archipelago Limited
- Finesest Limited
- Singularity Technology Nigeria Ltd
- Econ Mart Fintech Limited
- Pennee Technologies Limited
- Oxymon Solution Limited
- Lantana Technology Limited
- Applink Capital Nigeria Limited
- Yegon Tech Limited
- Fezotech Nigeria Limited
- Eric Vsta Limited
- Moblaspay Company Limited
- Paycredit Limited
- Niz Services Limited
- Mino Sparks Limited
- Flo Wood Lending
- Liberty Assured Limited
- Uni Technology Nigeria Ltd
- Trade Lenda Com Limited
- Creditville Microfinance Bank Ltd
- Letshego Microfinance Bank Ltd
- Kiowope Capital Limited
- Veendhq Limited
- Ucplus Advance Limited
- Maven Finance Limited
- Aella Financial Solutions Limited
- Fluna Capital Limited
- Newedge Finance Limited
- Ta Prime Limited
- Regxta Global Service Ltd
- Provest Limited
- Jm Rubinus Limited
- Crossroads E-Payment Systems Limited
- Consynergy Limited
- Fintcred Innovation Limited
- Afrosay Fintech Limited
- Mim Finance Company
Conditional Approval
- Tripodbase Limited
- Owoafara Fintech Service
- Ajax Lending Limited
- The Platform Digital Network Limited
- Zippy Capital Limited
- Lending Edge Limited
- Lendha Technologies Limited
- Doja Lemaire Global Limited
- Payday
The illegal activities of online loan apps in Nigeria
For several months, the federal government, through the Federal Competition and Consumer Protection Commission (FCCPC), has been making attempts to put the operators of online loan apps in Nigeria in check.
In March 2022, the FCCPC raided at least seven digital loan companies operating in Lagos over “possible violation” of consumer rights.
The operation led by the commission’s boss, Babatunde Irukera, was in response to several complaints of malpractices on the part of the lenders.
Source: Legit.ng
