Online lending has significantly transformed the process by which money is acquired by people in a drastic manner that makes loan applications approvals much easier and more convenient than ever. Shockingly, you might end up having some amount donated to your account in a very easy and less paper-based or less full-time visit to the bank without having two clicks from your smartphone or laptop. However, this skyrocketing growth of online lending in India has also brought some fraudulent actions.
There may also be fraudulent emails or texts claiming to come from real lenders requesting personal or financial information. Click on them or provide the information only after you have confirmed their source.
A scammer might pretend to be a big known lending institution or something similar, encouraging you to provide money or personal information. Be cautious whenever you are receiving unsolicited communications, and look up all the contact details on the lender's official website.
Some of the thieves will require a fee to process your loan application before accepting it. After receiving the money, they mysteriously disappear, leaving you with nothing but an unpaid loan and a poorer pocket.
Your personal information may be taken by hackers and used to apply for loans in your name. Keep a close eye out for any odd behaviour on your bank statements and credit reports.
Scammers create counterfeit websites that look exactly like those of a real lender. Therefore, make sure you are on the real lender website. Do this by verifying the URL very carefully, and you should see some certificates that indicate a secure site.
Lenders providing loans with assured approval or no credit check should be avoided, especially if they request sensitive information upfront.
Check whether the lender is licensed and regulated by the real authorities. An unlicensed lender may be potentially located in a bad area of the law and more likely to engage in fraud than other lenders.
Payment should be accepted by genuine lenders through safe means such as bank transfer or credit cards. Watch out for lenders who ask for a form of payment through wire transfer, cryptocurrency, or prepaid gift cards.
These tactics are a common tool used by scammers to force you to act without fully considering your options. Before you make any financial decisions, take your time to read over the terms and conduct research.
Be careful of lenders who use excessively complicated language to hide the information or who fail to clearly state their terms and conditions. Clear and transparent terms will be offered by open lenders.
Lying about one's circumstances in order to obtain loans is one of the main risks that a rise in scams in internet lending offers to both borrowers and lenders. Others consist of:
Fake loan requests
Theft of identity
Data leaks
All of these activities bring serious problems to the majority of people. And it's really important that everyone takes action in the struggle with this crime and ensures that lending on the internet remains a safe business activity.
DEV-AASHISH CAPITALS PRIVATE LIMITED is a Non Banking Finance Company (NBFC) registered with the Reserve Bank of India (RBI). RUPEE112 is the brand name under which the company conducts its lending operations and specialize in meeting customer's instant financial needs.
