Google has tightened its Personal Loans policy for loan apps on Play Store in India to address predatory lending and harassment of borrowers.
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Increase in loan apps
Several unregulated instant loan apps emerged in India during the pandemic, leading to complaints of predatory and abusive actions.
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Updated policy
Google was urged by the government and RBI to take strict action against illegal apps. The company's updated policy came into effect yesterday (May 31).
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Declaration necessary
Google's new policy affects loan apps, lead generators, and third-party lenders. Apps must complete a declaration and submit documentation.
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Ban on sensitive data
India's new policy prohibits personal loan apps from accessing sensitive data such as contacts, photos, location, and videos.