Loan apps are dept traps

[Ishicryptic]

I am alarmed at the rate at which borrowing apps are springing up on social media and advertising about quick loans, they advertise how easy it is to obtain fast loans to take care of your urgent needs, all you need to do is download their apps and many people are patronizing them.

I believe that these fast loan apps are enticing people to take loans unnecessarily, not because they need it for very important thing but because of the easy accessibility to take the loans. They can decide to apply to get money just for partying or to buy unimportant things, when they start to repay the loans they will have to forgo many important and urgent things that they need to do with money. Some of them will default payment and they must face whatever penalty that the loan app will prepare for defaulters. By then they will have regrets because they have put themselves into unnecessary dept trap.

Loans are meant to be collected to fund profitable projects and increase goods that are in demand. Business loans are supposed to be repayed from profit not the capital. Personal loans are supposed to be collected for very important things that cannot wait till when you are sure of getting money. Loans should only be taken when it is absolutely necessary otherwise it becomes a traps if you cannot afford to repay it as at when due without stress.

[Charles-Tim]

Some even have very fake advertisement. This is an example which is OKash:





That is fake, their interest is very high and they do not worth it.


If you borrowed once, it is addicting. You will noticed that you will borrow often.

[Solodoski]

Some even have very fake advertisement. This is an example which is OKash:





That is fake, their interest is very high and they do not worth it.


If you borrowed once, it is addicting. You will noticed that you will borrow often.

Sometime I wonder why they are allowed to run fake advert and the government don't even do anything about it. They say something different on the advertisement and when you try to get a loan you find out that the interest rate is very high and they don't even give you much time to pay back. It can be really addictive just like you said, but my advice is that no one should try collecting loans from this app, because you will definitely end up regretting it.

[Hewlet]

. Loans should only be taken when it is absolutely necessary otherwise it becomes a traps if you cannot afford to repay it as at when due without stress.

Unfortunately, 80% of the loan apps exist just for the purpose of generating more capital and not because they want to render service to people that are looking for money to sort out emergency. That's the reason why they lie about Thier loan terms and at the end, when you start the loan process, you discover that the interest on each of the loaned amount is usually outrageous far more than what's promised.

The falsehood of the content that's allowed to fly on our media space is getting out of hands and those that are broke ends up suffering more from it all the time. Download any app that has an ad on it and what you will find most times is ads that is all about loan this and loan that. Even most fintech will continue to send you messages on why you should consider taking up a loan with them. These all shows how uninterested these sources are about Thier customers welfare.

[Felicity_Tide]

Some even have very fake advertisement. This is an example which is OKash:

That is fake, their interest is very high and they do not worth it.


If you borrowed once, it is addicting. You will noticed that you will borrow often.

I'm not sure of how some of these loan services managed to get their license, but their actions and way of services is quite disgusting tbh. I witnessed a situation where someone was called by a loan service, and the loan service accused the person of knowing someone that took a loan and has refused to pay, and even threaten to upload that persons image on social media just to spoil their name.

It's just like Mr A applied for a loan with Mr B's details as part of a person that can be contacted in case anything goes wrong. So the loan service would contact Mr B, that Mr A has refused to pay up a loan and threaten to spoil both Mr A and B's reputation, even when Mr B never knew anything about it.

They claim to offer quick loans, but they are indirectly trying to put people in debt.

[Roseline492]

What those loaning app are doing is like people who doesn't understand how the world is going because someone with there right frame of mind will not give loan to someone they don't no how they can get the money back, actually there progress is what I don't no how is going for them because a lot of people has been taking from them and refuses to pay them, there management system is faulty because if they properly manage it well they cannot loss any loan giving to someone because they will have a trace to the person home, so actually they need to upgrade for the better of there business.

[Evergreenpost]

The government shares a significant part of the blame. The Central Bank of Nigeria (CBN) dictates interest rates to all commercial banks and microfinance institutions. Sometimes, when the CBN observes that there is a shortage of money in circulation, it reduces interest rates. Conversely, when there is excess money in circulation, it increases interest rates across all banks. Therefore, the CBN determines the percentage banks charge on loans.

Unfortunately, the government appears indifferent, as long as fintech companies and banks are paying their taxes.

As for the banks, newly employed staff are often assigned to the marketing or loan department. The volume of loans they can disburse often determines their chances of promotion. This is because loans are a major source of profit for banks. These days, banks and fintech companies even sponsor ads on social media to attract loan seekers, confident that with a customer’s BVN (Bank Verification Number), they can trace or track defaulters.

Anyone who takes a loan from a fintech company or a bank and refuses to repay will eventually be forced to pay. I have seen several cases where individuals planning to travel abroad were compelled to settle their debts. Embassies now conduct BVN checks, and I know at least three or four people who were denied travel to the US, UK, and Saudi Arabia until they cleared their outstanding loans. It was painful for them at that point. That’s why it's advisable for everyone to repay whatever they borrow from banks or fintech lenders.

[7juju]

There is a legal parlance know as invitation to treat. Those loans app or loaning company are merely advertising their businesses. They are by no means forcing anyone to come take a loans. Whoever that decides to take a loan for whatever purposes they deemed fit, is solely their responsibility and therefore the loaning company or apps shouldn't be blamed. If an individual decides to take a loan for pleasure or fun, that shouldn't be the headache of anyone. As long as they are able to repay their loans, whatever purposes they use it for is their business and not anybody else.

[Jessie2121]

Trap or not people go still go for am and me I no too fancy the way people choose to link up with the loan app people, abi na because these persons them no sabi them wey wan take the loan and your place well well like when you borrow from your neighbor or family members nai make people dey like download and make use of the app after all them not go fit come bother them, I no know. But e dey surprise me at times but I believe say all these things na control and if you start am e go hard to stop am.

[Frankolala]

Trap or not people go still go for am and me I no too fancy the way people choose to link up with the loan app people, abi na because these persons them no sabi them wey wan take the loan and your place well well like when you borrow from your neighbor or family members nai make people dey like download and make use of the app after all them not go fit come bother them, I no know. But e dey surprise me at times but I believe say all these things na control and if you start am e go hard to stop am.

I get one of my guy wey be say na these loan app them e dey use survive. E don owe eveywhere but one good thing be say if he get money, he dey pay back so that make them increase e loan amount. I no know the kind intention wey this loan app people them carry come because them dey ready to dey worry you o collect loan if you don pay back the first loan. When man no get hope for anywhere, this loan app fit safe you at that moment.

[promise444c5]

There is a legal parlance know as invitation to treat. Those loans app or loaning company are merely advertising their businesses. They are by no means forcing anyone to come take a loans. Whoever that decides to take a loan for whatever purposes they deemed fit, is solely their responsibility and therefore the loaning company or apps shouldn't be blamed.

You're  right !
People doesn’t seem to understand this.. It’s  also a business strategy for them and they make their money from those interests to be payed, it’s also a risky business at the same time so that’s  why i wont blame them for action taken on loan defaulters. What i  don't just like is that some doesn’t seem the concent of third party involve before granting the loan because some could deliberately do it . Apart from this anyone willing to take a loan should be aware and take full responsibility if they fail resolve it within the deadline.

[Ndabagi01]

Loans are meant to be collected to fund profitable projects and increase goods that are in demand. Business loans are supposed to be repayed from profit not the capital. Personal loans are supposed to be collected for very important things that cannot wait till when you are sure of getting money. Loans should only be taken when it is absolutely necessary otherwise it becomes a traps if you cannot afford to repay it as at when due without stress.

The rate at which loan apps are now advertising on Google ads is very alarming. You can’t get to use any app now without seeing them popping out an advertisement on loan, even social media platforms are not left out from this adverts on loan everywhere. I have not taken any loan from them before, so I don’t really bother going through how they operate and how their repayment plan works.

Although they have a way of making the intro enticing for you to want to continue to watch, and in the intro, the interests are very low and that can prompt you immediately to want to take the loan. Some even make it looks like they’re given you the loan for free without any guarantor or collateral, but I fell they’re all traps even though I’ve not used them before.

It is very necessary to know that money from loans should be used for something profitable that one can easily get to pay back and not using loans to pay back loans as they’re many now and one can easily access them to take loans. They are traps and it is better they’ve avoided unless when necessary.

[mid9tclaw02]

[.
[/quote]The word loan is 4 letter words as well as debt so before taking a loan one should be prepared to pay back in due time in other to avoid further embarrassment or so ever.

Generally i dont like taking loan because i am not good at paying back so i dont attempt it so i dont turn out to be a debtor.

[Juicyhome]

These loan apps are just so annoying, they will advertise it to, and sometimes even call you to collect their loans, they will keep forcing you to collect the loan. Then when one finally decides to collect the loan and circumstances happen to pay back, they will embarrass you by texting all your contacts that your collected loan from them. This their unnecessary text has cause more pains to the load defaulters than anything. Federal government has banned most of these apps for giving out loan to Nigerians yet they keep giving it out to Nigerians.

A country where 90% of the people are poor, how do you think they will service their loan From when they're all unemployed? It's a wasted venture. The loan app operators should stop giving unemployed Nigerians loan, because they won't pay back any time soon.

[Jessie2121]

Trap or not people go still go for am and me I no too fancy the way people choose to link up with the loan app people, abi na because these persons them no sabi them wey wan take the loan and your place well well like when you borrow from your neighbor or family members nai make people dey like download and make use of the app after all them not go fit come bother them, I no know. But e dey surprise me at times but I believe say all these things na control and if you start am e go hard to stop am.

I get one of my guy wey be say na these loan app them e dey use survive. E don owe eveywhere but one good thing be say if he get money, he dey pay back so that make them increase e loan amount. I no know the kind intention wey this loan app people them carry come because them dey ready to dey worry you o collect loan if you don pay back the first loan. When man no get hope for anywhere, this loan app fit safe you at that moment.

I gree with you but even if say the loan app people them come with good intentions no mean say e still dey good and if the loan app stop today you see that borrowing habit to always dey, this loan of a thing e good and at the same time e no good especially when you no get work to do, that na where I no fit advice person wey no get work to do to follow that line if not e go cause better problem when them begin call for their money wey e no dey. Man must survive any way oh, na if you dey take loan do better thing no problem but e get people wey dey take am gamble so how them wan take pay back of them no get?🤔

[Majestic-milf]

 Them suppose ban such apps because even though them say them dey render financial services to those who need am, them they mislead the public with their information which no dey proper because those who see their fake ads go think say the interest rate dey cheap and affordable.
Just like every other vice wey dey addictive if you no get control, nah so borrowing from these loan apps dey. I dey usually ask myself how them dey take collect their money from those individuals wey default to pay up because the ones I don see nah to just dey bug your phone with calls.