Be wary of loan apps: TN DGP appeals to public

CHENNAI: Tamil Nadu Director General of Police (DGP), C Sylendra Babu on Saturday issued an awareness video appealing to the public not to download loan apps on the mobile phone.

Likening these apps to 'loan sharks', the Head of Police Force (HoPF) said that a degree of self-vigilance goes a long way in not falling prey to such loan app scams.

Social media is abound with tales like this from across Tamil Nadu and other states where many have shared screenshots of threatening messages from recovery agents and also of experiences. A casual search in the Google play store using the term 'instant loan' lists hundreds of such apps.

In several cases, the victims happen to be youngsters- college students and in some cases, even school students. "While downloading the app, they ask for access to contacts and photo gallery in your phone which they will use it to threaten you later, " the DGP stated.

Though the loan apps are used to borrow only amounts such as Rs 10,000, after repaying the amount in installments, the app handlers demand more money as interest and when the borrower fails to pay up, they send messages to the contacts in the borrower's phone with morphed photographs, causing mental agony.

"This is almost like blackmail, " the DGP said and appealed to public to be wary of downloading chinese loan apps in phone.