Sowiki:
It's no news to any Nigerian that Online Loan operators resort to blackmailing their clients when they default in paying up their loans as and when due.

The blackmail usually comes in form of sending series derogatory and defaming messages to all the contacts on the defaulting client's phone. The message could be targeted at a prospective employer, client, inlaw or just any important contact on the client's contact list. The damage this can cause to the client can only be imagined.

While it's wrong to default in paying up the loan, is this approach not too drastic and unprofessional?

Question : After doing their worst and subjecting a client to this level of ridicule, does the client still have to pay back the loaned sum? If yes, how does the loan operators compensate him for the damaged caused to his person?

fair money too don dy send msg,I saw d logo

samuel051:
Don't pay back anything..they won't text anyone again..e don balance.

1-1.
Some will call ur mother n father na de problem be dat. Buh if I comot for dis country how Dem one see me again. Next year I suppose don enter Canada or u.k

backbencher:


at the bolded...the same thing is happening in Nigeria too.

Plus they give loans at such abysmal rates because they are giving the loans sans collateral. If they took a collateral, they won't need such high rates...but most of their target customers don't have the kind of collateral they had.

Plus, loan companies don't force poor Nigerians to borrow from them. And they always tell you you must have the means to pay back before borrowing. They all do.

Me, I have refused to borrow from loan apps when I know I have no means of paying them back, including one time where I went ungry for a few days rather than borrow from a loan app because I knew I won't meet up with their payment day if i took the loan at that time.

I’m not even commenting on thier interest rates I was commenting on the business model to start with

Who on earth comes to a country like Nigeria and start giving unsecured loans to people they have never met before

Even the ones that have met the people they wanted to borrow almost paid back the loan money they borrowed someone else with thier LIFE

If the foundation is Shaky then there is nothing else to discuss

Also I’m sure The high interest rates exists so they can be able to recoup thier losses from those that default from money made from debtors that didn’t default

The business model of these loan companies is tantamount to a foreign company like that some years ago who wanted to start a bicylce e hailing online sharing scheme and the advice to them was you come to Nigeria with the company for such a business and you leave after one year with sense

You can’t give Nigerians unsecured loans bro

I no go pay Shi shi again... They should go and collect the money from the contacts they informed

BullyBullies:



This is a comment from a sensible human. Analysing the subject from either sides before making a meaningful contribution. Unlike most people that just keep typing nonsense. Not all of these people have bad intention of not repaying, things happen beyond people's control sometimes and they may default against their own honest intention. A lot of people here are just so cruel with their comments and am not really surprised that most Nigerian people that type and comments on things on social networks are just myopic people. It is well.

This stupid excuse of things happen is the problem... You don't know what is an agreement that's why you say things happen...

If you sign an agreement stick to it, if anything happens reach out and renegotiate or restructure on time, if the loan company does not restructure, look for money somewhere else and pay then sort yourself out later,

Some people borrow to pay loan to pay another, by this avoiding embarrassment, but some borrow and don't want to pay they borrow and want you and your biz to die so the can drink and bleep with your money...

Loan is loan, agreement is agreement...

You went to seek, they did not come to dash you...

temmypotter:
There’s some Seriously wrong with you OP and everyone on here who thinks this way, Hian! Why are Nigerians so untrustworthy and irresponsible, you collect loans you have no intention of paying back and then start crying wolf when a business that’s loosing money starts pursuing you for what you duly owe them

I think anyone borrowing meagre sums from these companies are people who lack credibility else why can’t you ask friends and family for such sums, but you will now take a loan from loan sharks cause it’s accessible and start avoiding them and not picking calls when the money is due

It’s a disgusting attitude!

Brother, loan sharks are disgusting! They are not saints either, stop seeing them as victims because they are not. Not like I patronise them, God forbid! I do not understand why anyone will accept loans at such stupid rates!

temmypotter:
There’s some Seriously wrong with you OP and everyone on here who thinks this way, Hian! Why are Nigerians so untrustworthy and irresponsible, you collect loans you have no intention of paying back and then start crying wolf when a business that’s loosing money starts pursuing you for what you duly owe them

think anyone borrowing meagre sums from these companies are people who lack credibility else why can’t you ask friends and family for such sums
but you will now take a loan from loan sharks cause it’s accessible and start avoiding them and not picking calls when the money is due

It’s a disgusting attitude!

Just know the bolded is not true sha.

backbencher:


Well, the poor people can avoid borrowing from the loan sharks.

After all, loan apps like Carbon, Branch., et al don't come and force you to borrow from them. Some will even refuse to give you money (I have a permanent beef with Sokoloan because they refused to lend me cash...despite having a intention to pay back). They offer you money, but tell you from the onset what the t andc are.

And if you know you cannot pay back on the day, do like some have done, and DON'T TAKE THE LOAN. Go to your church, or mosque, and ask for help (and if they don't give you, change church self).

they should be disbanded ASAP, all of them

DubaiLandLord1:
The CBN will soon make a law, if you borrow and you don't pay back... Anytime wey money enter the bank account linked to your BVN, them go comot your money with interest sef.

I don't understand why some of una go dey borrow money without paying back.

Bullshit

u r a fooool...I didn't borrow n dey added my name bc my frnd was d one dat borrow d money...moreover u borrowed 10k for 7days to payback 13500 even if u pay 13k same day n u defaulted on 500 fr 1day...ur name na sorry...U just dey here dey yarn nonsense..u think u hv sense now abi hahahaahaha muumuu

DubaiLandLord1:
The CBN will soon make a law, if you borrow and you don't pay back... Anytime wey money enter the bank account linked to your BVN, them go comot your money with interest sef.

I don't understand why some of una go dey borrow money without paying back.

Bullshit

This is already in existence. It's called BVN 2.0

hope4nigeria:
they should be disbanded ASAP, all of them

That leads to the problem of people then not being able to access loans

The loan app companies are 'evil' but if we scrap them

1.No more ability to get payday loans

2.Most banks don't give payday loans...unless you have a salary account with them.

3.Most people who want loans don't have the collateral to apply for them...and banks won't look at you if you have zero collateral.

The app companies are bad...but for now they fill a niche that no one else would fill. I don't see banks like First bank or GTB offering similar loans for poor Nigerians.

Sowiki:
It's no news to any Nigerian that Online Loan operators resort to blackmailing their clients when they default in paying up their loans as and when due.

The blackmail usually comes in form of sending series derogatory and defaming messages to all the contacts on the defaulting client's phone. The message could be targeted at a prospective employer, client, inlaw or just any important contact on the client's contact list. The damage this can cause to the client can only be imagined.

While it's wrong to default in paying up the loan, is this approach not too drastic and unprofessional?

Question : After doing their worst and subjecting a client to this level of ridicule, does the client still have to pay back the loaned sum? If yes, how does the loan operators compensate him for the damaged caused to his person?

Most Nigerians have these terrible attitude of not paying back whenever they borrowed from you.An average Nigerian will borrow money from you with no intention of paying back,terrible set of human being why borrowing online when you know you will default...

adonainana:


I’m not even commenting on thier interest rates I was commenting on the business model to start with

Who on earth comes to a country like Nigeria and start giving unsecured loans to people they have never met before

Even the ones that have met the people they wanted to borrow almost paid back the loan money they borrowed someone else with thier LIFE

If the foundation is Shaky then there is nothing else to discuss

Also I’m sure The high interest rates exists so they can be able to recoup thier losses from those that default from money made from debtors that didn’t default

The business model of these loan companies is tantamount to a foreign company like that some years ago who wanted to start a bicylce e hailing online sharing scheme and the advice to them was you come to Nigeria with the company for such a business and you leave after one year with sense

You can’t give Nigerians unsecured loans bro

Well, if we scrap them , then we are left with the big banks....who won't give you a loan unless you have a form of collateral...or a salary account with them....or an account that they are sure they can debit on repayment day when the time comes.

The remedy is worse than the cure.

BluntTheApostle:


You people are missing the point.

The point is after subjecting defaulters to blackmail, and even defamation (which is a criminal offense in Nigeria), is the defaulter still bound to pay?

The issue is not whether people have the means or not of repaying.

Aside the fact that interest and service charges mount from the day of repayment, the riffraff that run these loan apps continue to blackmail their clients, including going as far as defaming them.

Mind you, I have heard cases of people who defaulted by only a few hours, but were already being harassed.

Mine was 6 hours. I didn't even know I thought it was de next day. De call my mum n dad, later de started begging me. Na so I pay Dem dere money after receiving shouting from my parents

If you charge them to court , they will pay from their nostrils.
They don't have such right, many Nigerians don't know their rights.
Has any bank do such without prior approval by CBN?
If they send such text to you as a family or friend, you too can take them to court and claim damages because you were not there nor informed when the loan was issued and they have no right to disturb your peace.
Nigerians should lean to go to court.

Actually I don't support defaulters, but there are better ways to retrieve their money.

People defaults abroad and they don't blackmail you, only they will be sending letters with RED INK to your house till you pay, honestly it works. That is a civilised way of handling such matters.

backbencher:


Well, if we scrap them , then we are left with the big banks....who won't give you a loan unless you have a form of collateral...or a salary account with them....or an account that they are sure they can debit on repayment day when the time comes.

The remedy is worse than the cure.

The big banks was gave out loans like the loan apps do now, they learnt thier lesson quickly and haven’t made further mistakes ever since

I even love Polaris bank self, once your bank account does not have times 5 inflow of what you are trying to borrow you are not even eligible so it’s a dead end

Even despite all of these Nigerians bad debts to Nigerian banks is so much AMCON was established to buy these debts to prevent the banks from failing

Experience is key in doing business

Those of you saying that every Nigerian is a criminal, I sincerely hope they are not Nigerians because if they are; they've only succeeded in calling themselves criminals.

After defaming you, they should use police or area boys to beat you well well before you pay. I despise bad borrowers with passion.

FuckDModz:
They'll keep sending the messages and tracking your bank account until you pay up.

Nigerians are difficult people. Why take a loan when you have no means of paying it back?

Some of these fuc.king bastards have means of paying back, but they would rather receive payment for their pathetic services with another person's account just to pepper the loan company.

The best way to go about this is still imprisonment!
Idiots should be imprisoned if they fail to pay back a non-collateral loan after some time. Then send a message to their contacts that their idiot relative has been remanded in prison with no hope of even watery beans.

But why make things difficult for people? I know someone in desperate need for money. He approached an online loaner through their app and was promised N120000. He filled out the form and submitted. After a while the app boldly and forcibly offered him only N25000 for just 7-days! Because he desperately needs the money, he decided to take the loan. Bravo! Disbursement was made and the amount to pay back in that 7-days was N45,234. Why? He was not given an option to choose... After seven days he could not pay back, not that he didn't want to pay back, but just that the money was not complete at that time. He saw that the money was increasing by N1000 on daily basis and he started servicing the debt by paying in N20000. The next day he started receiving calls from friends and people he had in his contact about a character assassinating messages they were getting. At this point, what good has the loan company done? Why should they expect to be paid with such attitude? Who does 7-days with high interest help? Instead of defending such sharp and ungodly business styles, think of the damages done...

DubaiLandLord1:
The CBN will soon make a law, if you borrow and you don't pay back... Anytime wey money enter the bank account linked to your BVN, them go comot your money with interest sef.

I don't understand why some of una go dey borrow money without paying back.

Bullshit

Nigeria dey borrow for other countries do they payback?? Everyone na fraud ....

backbencher:


That leads to the problem of people then not being able to access loans

The loan app companies are 'evil' but if we scrap them

1.No more ability to get payday loans

2.Most banks don't give payday loans...unless you have a salary account with them.

3.Most people who want loans don't have the collateral to apply for them...and banks won't look at you if you have zero collateral.

The app companies are bad...but for now they fill a niche that no one else would fill. I don't see banks like First bank or GTB offering similar loans for poor Nigerians.

A loan is best used to refinance a capital expenditure or to Amplify an existing business venture

The poor Nigerians you refer to use these payday loans for income expenditure and daily recocurrent daily needs

As harsh as it sounds you are not doing any poor person any Favour by giving him a payday loan

My explanation above is tantamount to when Nigeria for instance borrows money to pay civil servant salaries, the problem is after it is done with the payment of the salaries for the current cycle it borrowed for

Therr is still other months in the future where salaries would still be due so where is she going to get funds to pay salaries from again

As harsh as it sounds poor Nigerians do not need payday loans, it’s totally pointless giving such out

One of these online loan companies sent me a message about someone on my contact who borrowed from them but had not paid his loan. This was my response:

" I'll advise you to stop sending these messages to me if you do not want a law case that your company will find too big for you to handle. You should know that before you give out loans, there is something called KYC. You don't know what it means? Ask around or better still ask Google. If you're too lazy to do KYC and now you're unable to recover your loan, why should it be my responsibility to do your job for you. Sorry, if I know the person whose pix is displayed above, I'll advise him not to pay. If you want your money, go to his house or place of work. You don't have those info, I guess. That shows how daft you are. Use your brain to figure out how to get those info. Note that I'm just assuming that you have brains o"

Ever since I sent this message, they have stopped bothering me. I am not in support of loan default, but how is it my responsibility to help the loan company recover their loans. Did I stand surety?

winningwinner:


But why make things difficult for people? I know someone in desperate need for money. He approached an online loaner through their app and was promised N120000. He filled out the form and submitted. After a while the app boldly and forcibly offered him only N25000 for just 7-days! Because he desperately needs the money, he decided to take the loan. Bravo! Disbursement was made and the amount to pay back in that 7-days was N45,234. Why? He was not given an option to choose... After seven days he could not pay back, not that he didn't want to pay back, but just that the money was not complete at that time. He saw that the money was increasing by N1000 on daily basis and he started servicing the debt by paying in N20000. The next day he started receiving calls from friends and people he had in his contact about a character assassinating messages they were getting. At this point, what good has the loan company done? Why should they expect to be paid with such attitude? Who does 7-days with high interest help? Instead of defending such sharp and ungodly business styles, think of the damages done...

Since he needed 120k and he was offered 25k he shouldn’t have gone ahead with the loan

The rest is just talk and story

there is a conditional law to it already

DubaiLandLord1:
The CBN will soon make a law, if you borrow and you don't pay back... Anytime wey money enter the bank account linked to your BVN, them go comot your money with interest sef.

I don't understand why some of una go dey borrow money without paying back.

Bullshit

easzypeaszy:
u r a fooool...I didn't borrow n dey added my name bc my frnd was d one dat borrow d money...moreover u borrowed 10k for 7days to payback 13500 even if u pay 13k same day n u defaulted on 500 fr 1day...ur name na sorry...U just dey here dey yarn nonsense..u think u hv sense now abi hahahaahaha muumuu

Carry your fraustration comot my frony no b me forced you to collect loan

DubaiLandLord1:
Carry your fraustration comot my frony no b me forced you to collect loan

I can feed u

ivolt:


They don't beg.

God bless you.....They don't beg.

The loan apps are lending irresponsibly. If you offer people money, they will take it whether they know how to pay back or not. It's your job to make sure you lend responsibly.

You can say people are not trustworthy all you like, when you give out a loan, you must have a solid means of recovering your loan, including recoverable security. Basic 5 or 6 C's of credit. Not all these spammy messages they send to people's contacts.

They've just not seen people who will dedicate themselves to bring them down.

Bunch of incompetent quacks.

BluntTheApostle:


You people are missing the point.

The point is after subjecting defaulters to blackmail, and even defamation (which is a criminal offense in Nigeria), is the defaulter still bound to pay?

The issue is not whether people have the means or not of repaying.

Aside the fact that interest and service charges mount from the day of repayment, the riffraff that run these loan apps continue to blackmail their clients, including going as far as defaming them.

Mind you, I have heard cases of people who defaulted by only a few hours, but were already being harassed.

I haven't even defaulted before they messaged my people that they should warn me not to default so that they won't label me a fraudster. I took up the matter with the company and dem begin beg.

BluntTheApostle:


You people are missing the point.

The point is after subjecting defaulters to blackmail, and even defamation (which is a criminal offense in Nigeria), is the defaulter still bound to pay?

The issue is not whether people have the means or not of repaying.

Aside the fact that interest and service charges mount from the day of repayment, the riffraff that run these loan apps continue to blackmail their clients, including going as far as defaming them.

Mind you, I have heard cases of people who defaulted by only a few hours, but were already being harassed.

Must you borrow from them?

JubrinElSudan:
But Nigerians need to do better. Some people borrow money from these Apps with the mindset of not paying back, some borrow when they know that they don't have any source to repay the money at the particular time the money will be due for payment. But then there are genuine ones who couldn't pay back at the due date.

my gf told me of her friend who was stopped on the road by police officers, accused him of being a yahoo boy, downloaded like 5 of those apps on his phone and borrowed 200k plus with his phone.

The boy just finished school and was doing photography business. Now, the loan companies have been calling his contacts and blackmailing him. He has tried to pay some money back but still far from finish paying and he's seriously depressed right now.

Those loan companies don't do any due diligence, what they are after is just their interest.

Tunex252:
A friend of mine got a small android phone, buy a new sim card and save random numbers on the phone, then he went ahead and borrowed 25k from this loan sharks, they sent all sort of messages and insult to him, the guy insulted them back say what else can they do, only to defame and send stupid messages to his contacts, then he told them he his not going to pay back and they should do their worst.. omo na dem later beg my guy oo serious begging

Lies!

Bank go beg your friend because of N25,000? Metchewwwww...

If bank wan beg na people in the bracket of Davido dem or you no see as dem fly go meet am for Dubai

Abeg getat!