Digital dangers

Unauthorised lending apps must be stopped

The Reserve Bank of India (RBI) last week cautioned the public against unauthorised lending apps offering quick loans, after reports of harassment by such lending platforms. The banking regulator also emphasised that people should not share their documents with such unauthorised entities. Public lending in the country is undertaken by banks and non-banking financial companies (NBFCs) registered with the RBI. Besides, there are lending entities regulated by state governments under laws such as money-lending Acts of respective states. The RBI has instructed digital lending platforms to disclose their bank and NBFC affiliation upfront. On its part, the Digital Lenders Association