Am owing one of them, they used to deduct their money whenever money landed in my account. I stopped using that account.

Now, i was told that federal government has stopped them from doing such, is it true?

OK

Pay up your debt

May God provide for your needs

Once you insert your ATM card details on the loan app. That means you have given them a green card to have access to your account even without your consent.

nifemi25:
Once you insert your ATM card details on the loan app. That means you have given them a green card to have access to your account even without your consent.

Stop being ignorant, nobody can withdraw money from your account except you, through ATM, counter withdrawal or giving out cheque or a standing order. No loan app can withdraw money from your account when your loan is due. That is fraud or theft,they don't even have the power or access.
If they can why will they be sending defaulters messages and black mailing them? Instead of just removing the money?