Life, as we know it, is quite unpredictable and comes with a lot of uncertainty. Just when you feel things are falling into place, unexpected circumstances and hurdles are thrown your way. If these issues are monetary or “money-related” as we call it, then it’s bound to get stressful for you.
When situations like this arise, loan apps or lending platforms are an ideal option to ease off your financial burden. Digital platforms such as instant loan apps, loan lending portals have been widely accepted due to their ease of application and quick turnaround. However, most people hesitate in using these apps for security and data confidentiality issues. But here’s a lesser-known fact about personal loan apps — like SmartCoin, they all work in partnership with RBI-registered NBFCs and take utmost precaution in keeping your data safe.
As there are many options out there and you don’t want to fall prey to fake lenders, it is imperative to verify the authenticity of the app before signing up. Here are a few things to keep in mind that will help you make an informed choice and identify fraudulent instant loan apps.
Verify if the company is legitimate and genuine
Once you choose your preferred loan app, make sure to research them. Find out everything you need to know — are they a registered entity, do they have a physical address listed on the website etc. If you are unable to find a legitimate address of the lender, think twice before using the loan app. Scammers choose to remain anonymous to avoid legal altercations.
Remember — a genuine lender will operate from a registered location. Hence, your lender’s name, contact details and physical address must be listed on their website.
Is your lender authorized and registered with RBI?
As a borrower, you have every right to verify the credentials of your lender and double-check if they are indeed connected with the Reserve Bank of India (RBI). Genuine loan apps only partner with RBI-registered NBFCs and financial institutions to provide you with loans.
For example, SmartCoin Financials is an instant loan app partnered with RBI-registered NBFCs that provide loans up to Rs 1 lakh, in less than 15 minutes. All you have to do is submit some basic details, share KYC documents and your application is verified without having to step out of your house!
Third-party involvement
Check if the loan app is involved with a third party that offers you the listed loan services. If so, find out what details are being shared with these companies, for what is it used and to what extent. Don’t forget to verify if they are genuine too.
Lenders Like SmartCoin keep one’s personal information confidential and do not disclose it to third parties. Furthermore, loan apps also perform information security audits and regularly monitor AI functionality to keep their systems secure and ensure there is no data breach.
No hidden charges and transparent interest structure
If the app does not reveal its interest rates clearly, does not check your eligibility and has a lot of hidden charges, then it’s probably not safe to borrow from them. It might not be safe and you may end up losing what you have, rather than gaining. Remember — transparency is important!
On SmartCoin, we take into consideration your credit score and other data points to check your eligibility before unlocking loan offers suitable for you. Our interest rates and repayment schedule is shared with you upfront before you take a loan from us. What you see is what you get!
Look up ratings and reviews of the app
Play store reviews and ratings are always a good indicator to know the quality of an app. You will find genuine customer reviews that highlight most issues and the play store rating will give you a fair idea of what to expect from the app. You can use this as a good measure to evaluate whether you want to use a particular loan app or not.
Additional Read: 5 Things To Know When Borrowing On A Microfinancing Platform
The above listed are only a few points you must keep in mind and watch out for, before downloading a loan app. There are more indicators that can help you decide the credibility of your loan provider and if they are safe to use. At SmartCoin, we not only disburse your loans in an instant but we are a genuine lending platform that protects our users’ data and personal details. Millions of rupees disbursed across hundreds of thousands of satisfied users is a testimony of our commitment to client satisfaction and their data privacy.
