The Federal Government is set to barr online loan apps on Play Store from accessing their users’ contacts or photos from May 31, 2023.
According to The PUNCH, the federal government move is to curtail the invasion of customers’ privacy by loan app firms.
Several federal judgements have targeted the problem of loan apps violating clients’ privacy. Of the 200 lending apps in the country, 170 were recently registered by the Federal Competition and Consumer Protection Commission.
According to Google’s updated policies in April 2023, people in Nigeria and other countries who have become accustomed to the rudimentary loan retrieval methods used by the vast majority of lending apps will finally get some relief.
Google said, “Policy preview (effective May 31, 2023): This article previews changes included in our April 2023 policy updates.
“We are updating our personal loans policy to state that apps aiming to provide or facilitate personal loans may not access user contacts or photos.
“We are introducing additional requirements for personal loan apps targeting users in Pakistan. Personal loan apps in Pakistan must submit country-specific licensing documentation to prove their ability to provide or facilitate personal loans.”
This new regulation follows the company’s revisions to its Developer Program Policy, which required digital money lenders in Nigeria, India, Indonesia, the Philippines, and Kenya to comply with legal requirements by January 31 or face being shut down.
The company claims that only digital money lenders who have complied with and finished the Limited Interim Regulatory/Registration Framework and Guidelines for Digital Lending, 2022 (as may be amended from time to time) and obtained a verifiable approval letter from the FCCPC will be permitted on Play Store in Nigeria.
