The Federal Government, in collaboration with the Federal Competition and Consumer Protection Commission, is set to publish a list of unregistered digital loan apps operating illegally in Nigeria.
It also announced its intention to remove two registered loan apps from the Google Play Store due to their reported harassment of Nigerians.
On Thursday, the Federal Competition and Consumer Protection Commission (FCCPC), revealed that it has placed digital money lenders who have failed to register under its guidelines on a watchlist for close monitoring and potential enforcement actions.
In a statement signed by Babatunde Irukera, the Executive Vice Chairman/Chief Executive Officer of the FCCPC, the commission confirmed its actions regarding digital money lenders.
It stated that those who have refused or failed to register under the guidelines are being closely monitored and placed on the watchlist for potential enforcement actions.
“The list of those digital money lenders will be made available on the commission’s website.
“The Commission will continue to scrutinise listed DMLs and periodically update the list to ensure only businesses that consistently and completely comply with the spirit and intention of the regulatory framework are allowed to do business legally in Nigeria.”
The commission advised Nigerians to exercise caution and careful consideration when choosing digital money lenders.
It strongly recommended that consumers should only engage with digital lenders from its approved list to avoid becoming victims of illegal and prohibited lending and recovery practices.
It stated that it came to this decision after investigating the apps.
The commission said, “In the course of the commission’s continuing investigation and tracking of these illegally operating digital money lenders, the commission has discovered duplicity by at least two otherwise legally registered digital money lenders on the commission’s approval list.”
It noted that the firms had also engaged in the use of APK to attract borrowers to a process and practice that is illegal and unregulated.
About 180 loan apps have been registered (partially or fully) and approved, by the FCCPC, to operate in Nigeria.
