The Federal Competition and Consumer Protection Commission (FCCPC) has recently approved more loan apps in the country.
As a result, the list of companies that have received this approval now stands at a total of 211. The 211 companies comprise 172 that have received full approval from the FCCPC and 39 others with conditional approval.
The recent approval suggests that these digital lenders have met the necessary regulatory requirements.
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The expansion signifies increased access to loan and credit options for Nigerian consumers, which will significantly benefit them.
Also, this expansion carries potential implications for consumers and the industry as a whole. On the consumer side, it signifies that there may be a wider array of options available for obtaining loans and accessing credit, which can be beneficial for individuals seeking financial support.
Additionally, the increased competition among these approved companies could lead to more competitive interest rates, terms, and services, ultimately offering consumers better choices and potentially driving improvements in the lending industry.
For the financial technology and lending companies themselves, gaining approval from regulatory bodies like the FCCPC is a significant milestone. It shows their adherence to the necessary legal and ethical standards, which can enhance their credibility and trustworthiness in the eyes of both consumers and investors.
Meanwhile, the number of loan apps under the FCCPC watch has increased from 55 in September to 84 as of October, due to unethical practices.
Some of these apps include; Cashlawn App, Easynaira App, Crediting App, Yoyi App, Nut Loan App, Cashpal App, Nairaeasy Gist Loan App, Camelloan App, Nairaloan App, Moneytreefinance Made Easy App, Cashme App, Secucash App, Creditbox App, and Cashmama App.
Others include Crimson Credit App, Galaxy Credit App, Ease Cash App, Xcredit, money, Naira Naija, Imoneyplus-Instant, Nairanaija-Instant, Nownowmoney, Naija Cash, and Getloan.
Aside from those on the watchlist, the consumer protection watchdog said, it has partnered with Google to delist a total of 45 loan apps from the Google Play Store, which comprises apps found operating illegally in the country.
The FCCPC chairman Mr. Babatunde Irukera had hinted that the commission would continue to engage with Google to clarify how and why apps that have not received relevant regulatory approvals are available on Google’s Play Store.
This is to note that only Digital Money Lenders (DMLs) that have been subjected to regulatory scrutiny and compliance evidenced by written approval from the commission will be allowed on the Play Store.