Illegal Loan Apps: Finance Minister holds a big meeting regarding loan apps running illegally, Know the details here...


Illegal Loan Apps: Illegal loan apps, which give loans at high-interest rates, have increased the concern of the central government. After which, Finance Minister Nirmala Sitharaman held a big meeting regarding loan apps being run illegally in the country outside the regular banking channels. In the meeting, the Finance Minister discussed the use of these illegal apps to provide loans to economically weaker and low-income people at high-interest rates, processing hidden charges, offering loans and micro credits at hidden charges, blackmailing, and recovery practices involving criminal intimidation. expressed concern.


The Finance Minister has also expressed apprehensions about the possibility of money laundering, tax evasion, breach of data, privacy, and misuse of unregulated payment aggregators, shell companies, and dormant NBFCs by these illegal apps. In this meeting, the legal, and technical aspects related to these loan AIIMS have been discussed and many important decisions have been taken. RBI will prepare a whitelist of all such legally recognized apps. And the Ministry of Information Technology will ensure that only whitelisted apps are hosted on the App Store.

RBI will monitor such rental accounts which can be used for money laundering. Also, the doormat will be cancelled after reviewing the NBFC. RBI will register the payment aggregators within the stipulated period after which no unregistered payment aggregators will be allowed to operate. The Ministry of Corporate Affairs will identify and deregister shell companies to prevent their misuse.


Apart from this, customers, bank employees, law enforcement agencies and other stakeholders will be made aware of cyber. All the ministries will take necessary steps to prevent these illegal apps from starting operations. The Finance Ministry will monitor the steps to be taken regularly. Apart from the officials of the Ministry of Finance, officials of the Ministry of Information Technology and RBI have also participated in this meeting.