Dubious loan apps to be banned soon.

 

Reserve Bank of India (RBI) Governor Shaktikanta Das revealed that the central bank has provided a whitelist of lending apps to the Union IT Ministry. The Ministry is anticipated to take action against illegal loan apps that are not on this list

T Ministry’s Confirmation and Response: A senior IT Ministry official confirmed the receipt of a list of “valid” lending apps from the RBI. This list, derived from registered entities, is set to prompt action by the Ministry against unregistered and illegal loan apps.

Growing Issue of Illegal Lending: Fraudulent firms have proliferated amid the rapid growth of digital lending, with an estimated illegal lending market valued at $700-800 million. The Indian Express has reported cases of individuals falling victim to illegal loan apps, leading to unfortunate outcomes.