Avoid loan apps, a word of advice.

[Z_MBFM]

Over the week, a friend and I had a conversation about loans and loan apps and she shared a bitter experience of how she was unable to write a very important exam because the money meant for payment of fees to qualify for that exam was deducted by a certain loan app that she collected money from a while ago.  Who will you really blame? My friend for not paying up as at when due or the loan app for not notifying her before the deduction.
In all, I advice that we should try to avoid any business with loan apps as they seem to be very numerous these days and are easily accessible. Most importantly, You should know that you are at the danger of developing a habit of borrowing from them if you patronise loan apps even for the smallest amount.

There are many third party apps in the market that show the lure of loan but they are a kind of trap so whoever accepts the loan offer from here and provides his personal documents there and at the same time agrees with the terms and conditions of that app then he will be in danger later because they take it with all access to the device due to which bad things can happen to someone if they delay in repaying the loan according to their terms. I saw that one of my neighbors was facing such a problem. However, mobile banking providers in my country provide some loans based on account transactions.  But this loan is directly from the bank so we can enjoy it. My account has a current limit of $80 which serves as my hazard partner.  So I enjoy it which doesn't make any bad experience for me.

[Judith87403]

Over the week, a friend and I had a conversation about loans and loan apps and she shared a bitter experience of how she was unable to write a very important exam because the money meant for payment of fees to qualify for that exam was deducted by a certain loan app that she collected money from a while ago.  Who will you really blame? My friend for not paying up as at when due or the loan app for not notifying her before the deduction.
In all, I advice that we should try to avoid any business with loan apps as they seem to be very numerous these days and are easily accessible. Most importantly, You should know that you are at the danger of developing a habit of borrowing from them if you patronise loan apps even for the smallest amount.

Actually I don't see anything wrong in taken a loan, the only mistake she made was using that same app she took the loan from to receive the money, had it been she used a different bank or app this wouldn't have happened. The girl in question, what was she even  thinking that made her not to pay back the loan she took long ago? There are some challenges we face most times that is not meant to be, had it been she pay back the loan before the due date did you think she would've gone through that mess?

I always advice people never to take loan from those loan app if they know they can't pay back before the due date, because if they wait till the due date and you didn't bother to pay back the loan you took from them. probably they can decide to give you some time to see if you can get back to them, maybe after waiting for some time and you didn't respond to them. You know at this point they can decide to take any action, in a situation like this one don't need to feel bad because that's the agreement before taken the loan.

[Fortify]

Over the week, a friend and I had a conversation about loans and loan apps and she shared a bitter experience of how she was unable to write a very important exam because the money meant for payment of fees to qualify for that exam was deducted by a certain loan app that she collected money from a while ago.  Who will you really blame? My friend for not paying up as at when due or the loan app for not notifying her before the deduction.
In all, I advice that we should try to avoid any business with loan apps as they seem to be very numerous these days and are easily accessible. Most importantly, You should know that you are at the danger of developing a habit of borrowing from them if you patronise loan apps even for the smallest amount.

Loans are definitely one of the biggest traps possible when you're younger. It's amazing how many parents will steer their (18-21+) children towards them as soon as they are eligible for them, but not give much else in the way of financial advice. Many people will end up figuring out how bad they are, after the fun feeling has worn off on that expensive new car and a few payments into a 5 year loan. It can be a pretty depressing feeling when you realize that $300 a month looks like nothing, but ends up taking a sizable chunk of your paycheck and it dawns on you that you're forced into the ratrace. They are often charged much higher interest rates as well and to top it all off - they're more likely to damage those vehicles in their first year or two of driving, as they get used to it.

[boyptc]

Financial literacy is key—understanding loan terms before borrowing can prevent a lot of stress down the line

The problem with borrowers is they do that in times of need and they don't give that much time in reviewing what's in it in the contract.

That's why they become surprise with surcharges, hidden charges and the interest rates that they agree to pay after taking the loan. This is a big problem for them when they don't due diligence.

Whilst for the side of the loaners or loan sharks, they take advantage of those moments because they know borrowers who are in need of money are desperate to get it.

[EFS]

Here the economy is so bad that whenever cheap credit is available, everyone wants to take advantage of it. But as a principle, I never take out loans. I've never borrowed from a bank. You should always spend according to your income. Yes, sometimes unexpected expenses arise and our spending increases. But that's why it's important to save in advance and set money aside for tough times. Aside from regular investments, an emergency fund should always be kept on hand.

[kotajikikox]

Actually I don't see anything wrong in taken a loan, the only mistake she made was using that same app she took the loan from to receive the money, had it been she used a different bank or app this wouldn't have happened. The girl in question, what was she even  thinking that made her not to pay back the loan she took long ago? There are some challenges we face most times that is not meant to be, had it been she pay back the loan before the due date did you think she would've gone through that mess?

This is just irresponsibility to me. I mean the loan app could not have deducted that money from her wallet had she not consented to it. She probably allowed automatic payment which is why it was deducted even if that was not the money she was going to pay with yet.

I always advice people never to take loan from those loan app if they know they can't pay back before the due date, because if they wait till the due date and you didn't bother to pay back the loan you took from them. probably they can decide to give you some time to see if you can get back to them, maybe after waiting for some time and you didn't respond to them. You know at this point they can decide to take any action, in a situation like this one don't need to feel bad because that's the agreement before taken the loan.

Borrowers often try their luck and see if they can get an extension by not even giving an alert until the very due date. Very dangerous though because you never know what can lenders do to you. They might add more to your borrowed money or worse threaten you violently.

[TopT3ns]

Financial literacy is key—understanding loan terms before borrowing can prevent a lot of stress down the line

The problem with borrowers is they do that in times of need and they don't give that much time in reviewing what's in it in the contract.

That's why they become surprise with surcharges, hidden charges and the interest rates that they agree to pay after taking the loan. This is a big problem for them when they don't due diligence.

Whilst for the side of the loaners or loan sharks, they take advantage of those moments because they know borrowers who are in need of money are desperate to get it.

Unfortunately, most of the borrowers find themselves in a very awful position because they make their choices without going through the key provisions of the contract. Sudden pressures reduce their concern with the other factors such as the additional charges that may accrue later or even the rates of interest. However, based on this opportunity, lenders seek to avail quick cash with bearing rigid terms for the borrowers most of the time. Consequently, there is need to be more careful anytime we are getting a loan to ensure that other details are adjusted well without finding our selves in a worse off situation since some of them are hidden in the hidden print. Considering all these things properly in advance can help us prevent certain problems in the future.

[edy_58]

Over the week, a friend and I had a conversation about loans and loan apps and she shared a bitter experience of how she was unable to write a very important exam because the money meant for payment of fees to qualify for that exam was deducted by a certain loan app that she collected money from a while ago.  Who will you really blame? My friend for not paying up as at when due or the loan app for not notifying her before the deduction.
In all, I advice that we should try to avoid any business with loan apps as they seem to be very numerous these days and are easily accessible. Most importantly, You should know that you are at the danger of developing a habit of borrowing from them if you patronise loan apps even for the smallest amount.

There are many third party apps in the market that show the lure of loan but they are a kind of trap so whoever accepts the loan offer from here and provides his personal documents there and at the same time agrees with the terms and conditions of that app then he will be in danger later because they take it with all access to the device due to which bad things can happen to someone if they delay in repaying the loan according to their terms. I saw that one of my neighbors was facing such a problem. However, mobile banking providers in my country provide some loans based on account transactions.  But this loan is directly from the bank so we can enjoy it. My account has a current limit of $80 which serves as my hazard partner.  So I enjoy it which doesn't make any bad experience for me.

The party that provides the loan and does not go through easy requirements can indeed have other plans with the data that we have given to them, so we must be very careful in choosing a lender service and do not let the data that we have given to them be used for things that are detrimental to ourselves.

If we choose to lend to banking services, of course the data we provide will remain safe and it is very unlikely that they will use it for things that are detrimental to their customers, but if we don't really need funds, it would be better not to take out a loan so that we don't get used to the system which will make us always continue borrowing even though it is not needed, but if we choose to take out a loan for business capital, it can be done as long as we can pay it off on time and make the business we run develop better than before.

[SuperBitMan]

You can't say we should avoid loan apps a lot of people has benefited from loan apps, sometimes the mistake we make is not reading or going through rules and regulations your friend was suppose to know that he or she needs to pay back and I believe they must have written down how they will collect there money back so why blame the loan app, a friend of mine borrowed money from loan app and the date of paying backed passed and he refused to pay back, a day came when someone sent him money to his account and immediately the loan app deducted there money there, a lot of people has scammed this loan apps by refusing to pay back and I believe before they took the money from your friend the date given to him or her was due, so what where you expecting the loan app to do, to first of all call your friend and inform him or her that since the date of paying back is due and him or her has not paid back they want to deduct money from his or her account, they won't do that especially if the date of paying back is due, the only time we are going to blame them is when the date is not due and they deducted the money, I have seen people who loan apps has helped when they wanted money to solve their financial issues.

[Claudksg]

Loan app in two ways have both the advantages and disadvantages.because when you you need it they might be there for you advantage.when you don't pay the interest accumulate.but to my view the disadvantages are more.cause if you take a loan from the app cause you see having challenges and you fail to pay you will be blacklisted, and you credit limit to access other loans from othere companies my be a problem to you.

[DrBeer]

I think you are talking about payday loans?
They are parasites, absolute scums, lowest of the low, and will burn in hell(I hope there's one). They would give loans to anyone without accrediting the borrower and assessing the risk involved(I mean even the loans on this forum are accredited but not in real-world  ). This is what puts people in a debt trap.

I remember watching a video where the owner of some payday loan company, went to jail for years(rightly so) because his company kept on deducting money as interest. Can't find it now, maybe someone else can  
Edit: Found him, his name is Scott Tucker. Watch Dirty money on Netflix, it's a very informative docu-series.

One simple question, just please answer it exactly, and honestly !
Who forces people to take unfavorable loans? Who forbids them to earn better, spend less, but forces them to take loans to cover the difference between low income and high expenses ?

And an additional question - have you ever wondered for what purposes, most often take such loans ?  I have information that the majority of such loans are taken by rather poor residents, you know for what ? To buy elements of “rich life”, like new iPhones, expensive branded clothes, etc. absolutely not critical needs ... Are they really VICTIMS ?

[Yucky]

I'm strongly against taking loans, and the worst part is using loan apps. Sometimes I wonder how loan apps make their money, because some people take loans and decide not to pay, or they run away or change their number.

But I guess she linked her BVN or something related to her bank account, where she gave the loan app access to her money, which isn't smart. When you want to borrow, I think you should link to an account where you don't actively put money, just in case.

And yes, it's people earning below minimum wage who go ahead to borrow, and the chances of paying are very low because they don't have investments; they just have hope that maybe their salary or something will come through. But life doesn't always work that way.

To me if there is a need to borrow just borrow from family or friends. Don't go to some stranger loan app, because people tend to borrow from these apps and run away so when these apps catch someone who owes them, they transfer their aggression to you.

[Tigerheart3026]

Loan app in two ways have both the advantages and disadvantages.because when you you need it they might be there for you advantage.when you don't pay the interest accumulate.but to my view the disadvantages are more.cause if you take a loan from the app cause you see having challenges and you fail to pay you will be blacklisted, and you credit limit to access other loans from othere companies my be a problem to you.

yes, loan app has not only disadvantages, also it has advantages, so that people using it who's need urgent money,
just try to avoid high interest app and other strict rules which can be badly affected to you,
but although i don't like loan app personally, i try to manage money in other way but not interested with loan app.

[TravelMug]

Loan app in two ways have both the advantages and disadvantages.because when you you need it they might be there for you advantage.when you don't pay the interest accumulate.but to my view the disadvantages are more.cause if you take a loan from the app cause you see having challenges and you fail to pay you will be blacklisted, and you credit limit to access other loans from othere companies my be a problem to you.

yes, loan app has not only disadvantages, also it has advantages, so that people using it who's need urgent money,
just try to avoid high interest app and other strict rules which can be badly affected to you,
but although i don't like loan app personally, i try to manage money in other way but not interested with loan app.

Unfortunately, I have fallen for this loaning app which really take our country. I have two loans, the first one, I have to pay it like three more times before I can close it. But the other one, it will take me at least 4-6 months before I can fully paid it.

I don't know, I just fell for it, starting last year I didn't know anything about loaning apps. But someone introduce it to me and then that's where I became out of control of taking loans then paying it and then taking another one for gambling and other things that I buy that I didn't necessarily needs. But now it has waken me up, that's why I was really targeting to pay everything in the next 6 months and I'm planning to delete that apps once I've done with it.

[dunfida]

Loan app in two ways have both the advantages and disadvantages.because when you you need it they might be there for you advantage.when you don't pay the interest accumulate.but to my view the disadvantages are more.cause if you take a loan from the app cause you see having challenges and you fail to pay you will be blacklisted, and you credit limit to access other loans from othere companies my be a problem to you.

There are tons of online loans that we do have in today on which they will really be that requiring those basic information and even that asking about payslips or even that business permits before they will really be that allowing for someone to take up some loan. The shit thing about these loan apps is that it does incur that huge interest on which it do really sucks but if you are on such situation that you are that in need of money then most of the time you will really be that agreeing with these interest and their terms. On the moment that you cant be able to repay on what you have owe because of big interest then it will be ending up for to be that deliquent.

It will really be that affecting your credit score on which it will really be a huge problem on your future loans on which at the time or moment that you will be trying out to get one. Its really that better that you do live a life on which you wont really be having any loans or something that you do need to pay on. This is why its important that you do really know on how to manage your finances on which this will be that key on having a good life.

[Reatim]

One simple question, just please answer it exactly, and honestly !
Who forces people to take unfavorable loans? Who forbids them to earn better, spend less, but forces them to take loans to cover the difference between low income and high expenses ?

those do not seem like one question lol but anyway the ones who take loans are forced by no one but life to take a loan maybe they really need the money and there is no other option but to borrow from someone we also can't blame those who give out loans because at the end of the day they also just really need to make profit and take back the money they gave out

And an additional question - have you ever wondered for what purposes, most often take such loans ?  I have information that the majority of such loans are taken by rather poor residents, you know for what ? To buy elements of “rich life”, like new iPhones, expensive branded clothes, etc. absolutely not critical needs ... Are they really VICTIMS ?

yes there are people who use the loans for greedy purposes but not all of them i know people who had to take loans because healthcare is not free in their country and the bills are piling up and they need to find a way to pay the bills asap and that is where taking loans take place

[Jewan420]

My clear statement on loans is to avoid all types of loans. It is good to take loans as long as you are taking them only for important reasons and you have the ability to repay them. I will blame your friend here, why did he not repay the loan on time? If you do not have the ability to repay the loan on time, then it is absolutely necessary for you to take a loan. In this case, the ideal step for you would be to take alternative measures, such as selling some unnecessary things or doing extra work or borrowing from your relatives (interest-free). If there is no option to take a loan, then take a loan with a term longer than the time in which you can repay it. In general, I hate taking loans unnecessarily, it is even more hateful to make a habit of it.

[Mr.sprin]

yes, loan app has not only disadvantages, also it has advantages, so that people using it who's need urgent money,
just try to avoid high interest app and other strict rules which can be badly affected to you,
but although i don't like loan app personally, i try to manage money in other way but not interested with loan app.

Yes, bro, it's better for us to avoid online loans, because that's not a solution, what we have is that we are increasingly burdened with debt and interest, the longer we are in arrears, the higher the interest, because we are looking for a solution to our needs, not adding to the burden with online loans, it's better to live as we are with less than we are enough for, but the results of online loans, first of all, are a solution for us because our burden has been realized, after that we have to pay the monthly fees, especially without interest, a month in arrears. The interest continues to be calculated until we are able to pay off our loan, that's why I will never try an online loan.

[iv4n]

My clear statement on loans is to avoid all types of loans. It is good to take loans as long as you are taking them only for important reasons and you have the ability to repay them. I will blame your friend here, why did he not repay the loan on time? If you do not have the ability to repay the loan on time, then it is absolutely necessary for you to take a loan. In this case, the ideal step for you would be to take alternative measures, such as selling some unnecessary things or doing extra work or borrowing from your relatives (interest-free). If there is no option to take a loan, then take a loan with a term longer than the time in which you can repay it. In general, I hate taking loans unnecessarily, it is even more hateful to make a habit of it.

Exactly! It's smart to avoid all types of loans, but from time to time we need extra money for something important and when that happens it's ok to take a loan (people just need to be careful with interest rates). But we need to have a repaying plan, we need to know when we will be able to pay back what we have borrowed and where that money will come from. I took many loans & repaid all of them... I don't hate doing that, but without that, buying a house and furnishing it would take too long.
 
Well, OP friend is to blame here definitely, but some "services" are evil! They are looking for "weak" people and they take advantage of them...
In any case, people should be smart and read the terms before they go for some loan, that can be a life-saver.

 

[WatChe]

Here the economy is so bad that whenever cheap credit is available, everyone wants to take advantage of it. But as a principle, I never take out loans. I've never borrowed from a bank. You should always spend according to your income. Yes, sometimes unexpected expenses arise and our spending increases. But that's why it's important to save in advance and set money aside for tough times. Aside from regular investments, an emergency fund should always be kept on hand.

This is best policy to avoid loans at all cost as well as keep some cash in hand to meet emergency needs. I also don't have any credit card till now. Few months back, these lending Apps pop us in my country (Pakistan), they trapped people with easy loan provision. After you download the app (and give necessary permissions like access your contacts and other data) and take loan, they start calling you along with your contacts for repayment of loan. Moreover, the interest rate is much more then agreed upon initially. In short, they were a total scam for looting money of innocent people. After a person committed a suicide due to stress and black mailing of these easy loan Apps, government intervened and banned all fraudulent easy loan Apps.