Loan apps have become increasingly popular in India, with many people using them to access quick and easy loans. Unfortunately, this ease of access also means that many people are at risk of being taken advantage of by unscrupulous lenders. To help ensure you don’t fall victim to such unfair practices, it’s important to familiarize yourself with your rights and know how to go about making a complaint against a loan app if necessary. In this blog post, we will take you through the process for making a complaint against loan apps in India and discuss what steps you can take if you feel that your rights have been infringed upon.
What are loan apps?
Loan apps are mobile applications that allow users to apply for loans and manage their loan accounts. There are many loan apps available in India, and each has its own terms and conditions. Some loan apps may require users to provide personal information, such as their name, address, and phone number, while others may not.
When applying for a loan through a loan app, users will typically be asked to provide their bank account information so that the lender can deposit the money into their account. In some cases, borrowers may be required to provide collateral, such as a car or house, in order to secure the loan.
Repayment terms for loans obtained through a loan app will vary depending on the lender and the specific terms of the loan. However, most loans will have to be repaid within a few months or years. If a borrower is unable to repay their loan, they may be subject to late fees or collection activity by the lender.
How do loan apps work?
When you install a loan app, it will ask for permission to access your location, contacts, and other data. Once you grant permission, the app will collect information about you and your device. This information may include your name, phone number, email address, and GPS location. The app will then send this information to the lender’s server.
The lender will use this information to determine whether or not you are eligible for a loan. If you are approved, the lender will send you a loan offer. The offer will include the interest rate, repayment period, and other terms and conditions. You can choose to accept or decline the offer.
If you accept the offer, the lender will deposit the money into your bank account. You will then be responsible for repaying the loan according to the terms of the agreement.
What are the benefits of loan apps?
Loan apps offer a number of benefits to users in India. They provide a convenient way to apply for loans and track loan progress. Loan apps also offer transparency in terms of loan interest rates and repayment schedules. This helps borrowers make informed decisions about their loan options. Additionally, loan apps often provide discounts and cashback offers on loan products, making them an attractive option for borrowers looking to save money on their loans.
What are the risks of loan apps?
There are several risks associated with loan apps, the most prominent of which is the potential for fraud. There have been numerous reports of people being scammed by loan apps, often to the tune of tens of thousands of rupees. In many cases, the victims are lured in by promises of low interest rates and easy repayment terms, only to find out that they have been duped after they have already paid money to the app.
Another risk is that of data theft and privacy breaches. Many loan apps collect sensitive personal and financial information from users, including bank account details and contact information. If this data falls into the wrong hands, it could be used for identity theft or other malicious purposes.
Finally, there is always the risk that you will not be able to repay a loan taken out through a loan app. If this happens, your credit score could be adversely affected, making it more difficult to obtain loans in the future.
How to complaint against loan apps in India?
If you’re using a loan app in India and you have a complaint, there are a few process you can follow to make sure your complaint is heard.
First, try contacting the customer service department of the loan app company. If they are unresponsive or unable to help, you can escalate your complaint by filing a complaint with the National Consumer Helpline.
You can call to register your grievance 1800-11-4000 or 1915
Timing: All Days Except National Holidays (08:00 AM To 08:00 PM)
OR
SMS on this Number 8800001915. We will get back to you.
OR
OR
Register your grievance through NCH APP
OR
Register your grievance through UMANG APP
The National Consumer Helpline is a government-run organization that helps resolve complaints against companies operating in India. To file a complaint, you’ll need to provide some basic information about yourself and your complaint. Once your complaint is filed, an investigator will look into your case and work with the company to try and resolve the issue.
If you’re not satisfied with the resolution offered by the National Consumer Helpline, you can also file a case with the District Consumer Disputes Redressal Forum. This is a court system that handles complaints against companies operating in India. To file a case, you’ll need to fill out some paperwork and submit it to the court. A hearing will then be scheduled where both sides will present their case. The court will then make a ruling on the matter.
Filing a complaint against a loan app in India can be time-consuming and frustrating, but it’s important to remember that you have rights as a consumer. By taking the time to file a complaint, you may be able to get relief from whatever issue you’re experiencing with the loan app company.
Conclusion
As you can see, there are a number of ways to file a complaint against loan apps in India. With the increasing popularity of these apps, it is important that people know their rights and how they can protect themselves from any mismanagement or fraud. By following the steps outlined above, anyone who feels wronged by a loan app should be able to make their voice heard and seek justice.
