The Cyber Security Authority (CSA) has issued a stern warning to the public regarding the use of unauthorized digital lending mobile applications (Apps), citing a resurgence in cyberbullying cases reported by users.
According to a recent press release, the CSA disclosed that they have received approximately 130 complaints of cyberbullying from victims who had signed up for these unapproved apps, which lack accreditation from both the Bank of Ghana and the Data Protection Commission.
The CSA highlighted the deceptive nature of these apps, where upon installation, users often find a small amount, typically less than GHS 200, credited into their mobile money wallets without any prior loan request.
Subsequently, within a week of loan disbursement, fraudsters employ extortion tactics such as demanding repayment with exorbitant interest rates from the victim or their contacts. Moreover, threats of publicizing authentic or fabricated compromising photos on social media and labeling victims as criminals or thieves have also been reported.
Even after victims comply with repayment demands, some perpetrators persist in seeking additional payments. The CSA underscored that victims inadvertently grant these apps access to sensitive personal information like contacts, photos, and personally identifiable information (PII), including Ghana card IDs during app installation.
Among the flagged loan apps are Ahomka Loan, Antcredit, Beanloan, Bestloan, BezoMoney, Boomloan, Casharrow, Cashwave, Cmgh Loan, Cosycredit, Credit Bag, Divacash, Express Loan, Five Loan, FullCredit, Homecredit, Unik Credit, and others.
The CSA emphasized that these apps operate in defiance of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930), as outlined by the Bank of Ghana’s notice BG/GOV/SEC/2022/10. Furthermore, the apps fail to meet compliance obligations mandated by the Data Protection Commission (DPC), thereby violating the Data Protection Act, 2012 (Act 843).
In response to these concerning developments, the CSA urged the public to refrain from engaging with these unauthorized apps and encouraged individuals to promptly report any cybersecurity or cybercrime incidents to the Authority.
They emphasized the importance of vigilance and adherence to cybersecurity best practices to mitigate risks associated with unauthorized digital lending platforms.