Chinese Loan Trap: Fraudsters on Prowl to Scam Indians Using Fake Apps. Here

Fraudsters on Prowl to Scam Indians Using Fake Apps. Here

Category : Business

Author: Nob6 Team

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New Delhi: Despite hundreds of lending apps being banned or removed of late, fraudulent loan applications targeting the middle class and financial unsavvy Indians are on the rise again. A similar case came to light in February this year when a woman alleged that she was being abused and threatened by some unknown persons who were sending her morphed and vulgar photographs to her family, friends and relatives through social media.  She approached the IFSO unit of the special cell and lodged a complaint. Narrating her ordeal, the complainant said she had taken a loan from a Loan App, Cash Advance, which she repaid the same in time. However, after repaying the loan she started getting threat calls and messages on WhatsApp from Cash Advance employees.Also Read – Banking Scams and Frauds: How to Protect Yourself from Online Banking Fraud – Watch Video

Indians Falling Prey to Cyber Frauds

Of late, gullible Indians are everyday falling prey to the small amount of loans that they get through these Chinese-operated fake loan apps that are available on the Play Store. People are being defrauded to the tune of hundreds of crores of rupees everyday.

A similar case came to the Crime Branch of Delhi Police where a man alleged that he and his family, friends and relatives are being abused and also threatened by some unknown persons through some international and national WhatsApp mobile numbers, to repay the loan taken by the same “Cash Advance” application.

In another case, when the police were investigating a cyber fraud of just Rs 6500, it was shocked to learn that the bank account in which the cheated amount was deposited had a daily transaction of Rs 19.43 crores.

How Does Cyber Fraudsters Work?

Speaking to IANS, a senior Delhi Police official asserted that in the past six months several cases of fraud, ultimately connected to Chinese cyber gangs, have come to light.  These high-tech Chinese cyber criminals have devised a new strategy to dupe people and are these days defrauding Indians via fake loan applications. “These lend money instantly to any person downloading these applications for a period of a few days. At the time of downloading the application, the app asks permission to capture, contact list, photo gallery and other personal data of the phone of the loan seeker,” IANS quoted the police official as saying.

  • After taking a loan, some of the total amount is deducted as processing fees
  • If the remaining amount is not paid within the stipulated time the interest and penalties together take the repayment to 200 percent of the loan amount.
  • If the money is not paid, the call centres operating out of neighbouring countries like Nepal, threaten the victims to leak their personal data and make abusive comments to their contacts as while downloading the application it accesses all the contacts, photos and other data in the mobile phone of the victim.
  • Since the money cannot be directly transferred to international or Chinese bank accounts, the fraudsters need Indian bank accounts to take payments.
  • This is where the Chinese scamsters are finding vulnerable, poor and greedy people of the country to help them in getting the Indian bank accounts.

Unregistered digital lending apps vs Registered Lending Apps

Earlier last month, Reserve Bank Governor Shaktikanta Das had said that customers borrowing from unregistered digital lending apps should approach the local police in case of any issue, making it clear that the central bank will only act against entities registered with it. Das said most of the digital lending apps are not registered with the central bank and operate by themselves.

The RBI website has a list of apps that are registered with it on the website, the governor said, adding that the police in many states have acted against the wrongdoers as per the provisions of the law.

RBI Registered Loan App List

App NameCredit Limit
KreditbeeLoan up to 2 Lakhs
KreditzyLoan up to 2 Lakhs
PaysenseLoan up to 5 Lakhs
NAVILoan up to 5 Lakhs
Lazypay (Credit Line + Personal Loan)Loan up to 1 Lakhs
Freopay (Credit Line)Rs. 10000
Stashfin – (Credit Line + Personal Loan)Loan up to 5 Lakhs
CashbeanLoan up to 1 Lakhs
MI CreditAbove 5 Lakhs
Dhani (Credit Line)Loan up to 5 Lakhs
Avail FinanceLoan up to Rs. 50000
NIRALoan up to 2 Lakhs
BranchLoan up to Rs.50,000
SmartcoinLoan up to 2 Lakhs
Rupeek App (Gold Loan)Loan up to 50 Lakhs
Simple Pay Later (Credit Line)Loan up to 1 Lakhs
Mobikwik (Credit Line + Consumer Loan)Loan up to 2 Lakhs
Paytm Personal LoanLoan up to 2 Lakhs
Krazybee (Consumer Loan)Loan up to 2 Lakhs
Bharatpe (Business Loan)Loan up to 5 Lakhs
Paytm Postpaid (Credit Line)Loan up to 1 Lakhs
True CallerLoan up to 5 Lakhs
Simply CashLoan up to 2 Lakhs
Slice (Credit Line)Loan up to 1 Lakhs
True BalanceUp to Rs. 50,000
Zest Money (Consumer Loan)Above 2 Lakhs
Amazon Pay LaterUp to Rs. 60,000
Flipkart Pay LaterUp to Rs. 60,000
Tata CapitalAbove 10 Lakhs
Tata neu Credit card (Qik EMI Card)Rs.10000 to Rs.150000
Tata Neu App (Qik Personal Loan)Rs.10000 to Rs.10,00,000
Ola Money pay LaterRs.1500 to Rs.20000
Khatabook AppRs.50,000 to Rs.10,00,000
Jupiter credit limitUp to Rs.50,000
OneCard AppRs. 10000 to Rs150,000
Paisabazaar credit limitRs. 50,000 to Rs.10,00,000
imobile Pay LaterRs. 20,000
SBI YONO APPRs. 1500 to Rs. 60000
IDFC Bank Pay laterRs. 1500 to Rs. 60000
Bajaj Finserv AppRs. 50,000 to Rs. 5,00,000
Rufilo Loan AppRs. 5000 to Rs. 25,000
IBL FINANCE AppRs. 5000 to Rs. 25,000
Early SalaryRs. 8,000 to Rs. 500,000
Money ViewRs.10,000 to Rs. 5,00,000
CASHeRs. 1,000 to Rs. 3,00,000
mPokketRs.500 to Rs. 30,000
Stashfin – Credit Line & LoanRs. 1,000 to Rs. 5,00,000
MoneyTapRs.1,000 to Rs. 60,000
FairMoney Loan AppLoan up to 2 Lakhs
KreditOneRs.5000 to Rs. 25,000
FlexSalary Instant Loan AppRs.5000 to Rs.25,000
DigiMoneyRs. 5000 to Rs. 25,000
IndialendsRs. 5,00,000
Mystro Loans & Neo Banking appRs. 50,000
Kissht: Instant Line of CreditRs. 10,000 to Rs. 1,00,000

How to protect yourself from fake loan apps

  • Never download the app from the lenders’ website and only download from the app store.
  • Most of the illegal Chinese lending apps don’t even list their website. If a company doesn’t have a website, do not download the app.
  • If the Website is listed, visit the website and make sure the Company that owns the app is a legitimate lender registered with the RBI or works with a bank or NBFC registered with RBI.
  • All legal lending companies are required to clearly show the same along with their Company Identification Number (CIN) and details of the Certificate of Registration (CoR) with RBI.

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App scam, apple store, chinese app scam, chinese loan app scam, chinese loan scam, cyber crime, cyber crime in india, cyber fraud, fake apps, fake apps on google play store, google play store, India, loan scam

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