Don’t lend money to chronic borrowers – FCCPC warns digital lenders

The Federal Competition and Consumer Protection Commission (FCCPC) has warned digital lenders not to lend money to chronic borrowers.

The Executive Vice Chairman of FCCPC, Babatunde Irukera, disclosed this during an Arise Television Interview monitored by Media Talk Africa on Tuesday.

Irukera was reacting to the allegation of some digital lenders, popularly known as ‘Loan Sharks’, slandering, pestering and harassing customers in the name of loan recovery.

He advised that digital lenders do their due diligence by checking their customers’ credibility and creditworthiness before lending.

According to him, digital lenders should devise more humane means to loan recovery rather than harassing their customers.

“Most people who fail to pay back these loans are chronic borrowers. So, if you have a problem paying back your obligation, you should not have the opportunity to borrow again”, he said.

He, however, noted that customers with genuine problems who have failed to make a payment or do not fail to make a payment should not be subjected to the inconvenience, aggravation and frustration that accompanies these defamatory messages.

He added that those digital lenders on Google Playstore found guilty of pestering customers would be permanently deleted.

“Our concern is if these lenders we’ve approved are still doing it (harassing customers), even if they do it just for once, we will permanently delete them from the Google Play Store. As we discover them, we go after them,” Irukera said.