Reportedly the central government has put forward a new proposal, under which giving loan or making any kind of transaction without the approval of the Reserve bank (RBI) or other regulatory agencies will be considered a non-bailable offence and there is also talk of imprisonment up to ten years along with a fine. The government's objective behind this is to stop irregular loan activities while protecting the interests of consumers. The RBI's working group on wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital loans presented its report in november 2021 and suggested several measures including introducing a law to stop irregular loans. These included a ban on those who are active in public lending without registration with the Reserve bank or other regulated bodies. However, it did not include those who take loans from their relatives or acquaintances.
Perhaps the government said in its proposal that if someone gives loan digitally or in any other way in violation of the law, then he can be punished with a minimum of two years imprisonment, which can be extended to seven years. Along with this, there can also be a fine of two lakh rupees to one crore rupees. The bill also said that if the lender, borrower or property is located in several states or union territories or the total amount is so large that public interest is significantly affected, then the investigation will be handed over to the CBI.
In fact, in the last few years, there has been a boom in the matter of giving instant loans through mobile. Often the interest rate on these is high, many undeclared charges are attached, loan recovery is also done aggressively. Many times a person gets so upset with all this that he commits suicide. In view of this, from september 2022 to august 2023, google has removed more than 2,200 such apps from its Play Store.
click and follow Indiaherald WhatsApp channel