Google to ban loan apps from google play store

 Google plans to restrict access to private user data like contacts, pictures, and more by apps that provide loans to people in order to combat predatory lending practises from lenders who harass borrowers. This action is a component of Google's stepped-up attempts to address the problem.

A new set of restrictions has been added to Google's Personal Loans policy for Play Store apps, prohibiting them from accessing external storage, contacts, photos, videos, or call records. From May 31, these modifications to Google's Financial Services rules will be in effect.

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According to the company's update, "Apps that provide personal loans or have the main goal of facilitating access to personal loans (i.e., lead generators or facilitators) are prohibited from viewing sensitive data, such as photos and contacts.

Debt collectors annoy some borrowers who obtain credit through mobile applications. According to reports, these agents used manipulated pictures to intimidate borrowers by accessing their images and contacts. In extreme instances, this has resulted in the suicide of those who were being targeted. The safety of borrowers has come under scrutiny due to this tendency.

Such harassment incidents have been extensively documented in Kenya and India. Google removed thousands of personal loan applications from the Play Store in response to warnings from law enforcement and central banks. The business also put rules in place to prevent unlicensed loan applications from being downloaded from the Play Store.

In order to ensure that personal loan apps on the Pakistani Play Store are capable of offering credit, Google has required specific licencing paperwork. Additionally, the business has mandated that there can only be one digital lending app available on the Play Store for non-banking financial institutions in the nation.

In addition to India, Kenya, Nigeria, the Philippines, and Indonesia, the new strategy is also being implemented in these markets.