The financial intelligence agency says illegal lenders are collecting borrowers’ sensitive data and using it for excessive interest demands, harassment and other forms of abuse.
Logo of the Bangladesh Financial Intelligence Unit (BFIU). Photo: Collected
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Logo of the Bangladesh Financial Intelligence Unit (BFIU). Photo: Collected
The Bangladesh Financial Intelligence Unit (BFIU) has warned the public against illegal lending activities conducted through unauthorised mobile apps, online platforms and digital mediums, stating that such services may expose borrowers to financial fraud and misuse of personal information.
In a press release, the BFIU said some individuals and organisations are operating illegal lending schemes without regulatory approval, offering quick loans on seemingly easy terms through digital platforms.
Borrowers using such apps may be asked to provide access to their personal information, mobile contact lists, photographs and other sensitive data. The information can later be misused, while borrowers may face demands for excessive interest, harassment and psychological pressure in the name of loan recovery, the agency said.
The BFIU said conducting lending activities without a licence or approval from Bangladesh Bank is illegal and punishable by law. Financial transactions through such unauthorised apps may also constitute an offence under the Money Laundering Prevention Act, 2012.
The agency advised people to verify online lending platforms before taking loans and to stay away from unauthorised apps or activities linked to fraud and money laundering.
It also urged people not to share personal information, National Identity Card details or bank account information with unauthorised lending apps. Borrowers should also refuse to pay any advance, registration or processing fee demanded before a loan is disbursed, it said.
The BFIU asked anyone who comes across such illegal activities to report them through its official website or inform the agency in writing.
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