The Federal Competition and Consumer Protection Commission of the Federal Government has announced that it will publish a list of unlawful (unregistered) digital lending apps operating in Nigeria.
Additionally, it declared that two legitimate (registered) lending apps would be removed from Google Play Store for intimidating Nigerians.
The FCCPC stated on Thursday that it had put digital money lenders who had declined or failed to register in accordance with its rules to its watchlist for close monitoring and appropriate action.
In a statement signed by the Executive Vice Chairman/ Chief Executive Officer, Babatunde Irukera, the FCCPC said, “The commission has also placed digital money lenders that have refused or failed to register under the guidelines on its watchlist for strict surveillance and necessary action.
“The list of those digital money lenders will be made available on the commission’s website.
“The Commission will continue to scrutinise listed DMLs and periodically update the list to ensure only businesses that consistently and completely comply with the spirit and intention of the regulatory framework are allowed to do business legally in Nigeria.”
It especially advised consumers to only do business with digital lenders on its approved list in order to protect themselves from falling prey to unethical and illegal lending and recovery practises. It advised Nigerians to choose digital money lenders with caution and constraint.
The FCCPC named the permanently delisted digital lenders as Orange Loan, Purple Credit Limited, Sycamore Integrated Solutions Limited, and their corresponding applications, Getloan and Camelloan.
It claimed that after looking into the apps, it made this conclusion.
The commission said, “In the course of the commission’s continuing investigation and tracking of these illegally operating digital money lenders, the commission has discovered duplicity by at least two otherwise legally registered digital money lenders on the commission’s approval list.”
It was stated that the companies had also used APK to lure borrowers towards an illegal and unregulated method and practise.
The FCCPC has registered (completely or partially) and authorised 180 loan apps to operate in Nigeria.
