Digital money lenders have been given five days by the federal government’s Federal Competition and Consumer Protection Commission (FCCPC) to demonstrate that they are following the rules.
In addition, it requested that Google take 18 online lenders off the Playstore for breaking its rules. The FCCPC said that following its rules was now required and that doing otherwise was illegal.
The 18 digital currency lenders that the commission delisted and requested Google to remove were, in the commission’s opinion, either acting illegally or in breach of the Limited Interim Regulatory/Registration Framework and Guidelines for Digital Lending, 2022.
Only digital money lenders that had undergone regulatory review and compliance, as demonstrated by official approval from it, were stated to be permitted on Playstore.
The FCCPC delisted Getloan and Camelloan, two loan apps, from the Google Play Store on July 20, 2023, because they harassed Nigerians, and later delisted 16 other loan companies on Wednesday and requested that Google do the same.
“Getloan, Joy Cash-Loan Up to 1,000,000, Camelloan, Cashlawn, Nairaloan, Eaglecash, Moneytreefinance Made Easy, Luckyloan Personal Loan, Cashme, Easynaira, Swiftcas, Crediting, Swiftkash, Hen Credit loan, Nut loan, Cash door, Cashpal, and Nairaeasy gist loan.”
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In a statement, the company’s chief executive officer, Babatunde Irukera, said that any digital money lenders using the Playstore or any other platform must adhere to its rules.
The FCCPC also made note of the fact that some online lenders of digital currency were using Android Package Kits file formats to connect with customers outside of Google Playstore in an effort to bypass or avoid regulatory compliance.
It underlined that adherence to its rules was required of all digital money lenders, regardless of whether they intended to operate through APK file formats, the Playstore, or any other channel.
“Failure to comply with the Guidelines is a violation of law and renders any such operation illegal,” declared Irukera.
Digital money lenders must submit proof of compliance with the rules within five days of the publication date, regardless of how they operate or on what platforms.
Additionally, in addition to the Playstore, all currently operating and approved DMLs that offer digital lending services through APK file formats are expected to present proof that such APK operations comply with the legislation.
All previously authorized lenders of digital currency or other types must revalidate their information with the commissions, he added.
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