Digital Lending APP: RBI to introduce Digita scheme to regulate online lending apps. The RBI plans to crack down on the use of illegal lending apps.
In recent times, there has been an increase in the number of applications that provide loans through the Internet. They are giving loans illegally and at high rates of interest. Due to this, some people are greatly affected and cheated.
As such incidents are happening more and more, the Reserve Bank of India has planned some measures to control them.
RBI’s Digita
Based on this, the Reserve Bank has planned to establish a system called DIGITA to control the proliferation of illegal lending apps, PTI news agency reported.
RBI is considering setting up Digital India Trust Agency (DIGITA) to curb illegal lending apps and cyber fraud. The RBI is reportedly planning to set up an India Trust Agency as part of efforts to curb online lending scams.
The Digita system explores verification of lending apps through digital, online channels. It is said to also maintain a registry of verified applications.
Google Play Store
- Digital Lending APP Guidelines: In this case, the RBI has provided a list of 442 digital lending apps to the IT Ministry for Google’s whitelist.
- Between September 2022 and August 2023, Google has also reportedly removed 2,200 digital lending apps from its App Store.
- Following requests from the RBI and the Department of Financial Services under the Ministry of Finance, Google will reportedly implement a policy to allow only RBI-regulated companies on the Google Play Store.
- Consequently, Google Play Star is said to be very useful for the public as it is said that which apps are safe and which are operating under the Indian law.
- Hence, it is said that Digita will act as a key checkpoint in operations against financial crimes in the financial sector.
