Chinese loan app steals over Rs. 10 crores as part of latest online scam! Know all about it here
Loan scammers are heavily relying upon digital infrastructure to propagate the crimes and swindle victims in a wider geography. In a recent incident, a loan app has surfaced which would scam people by promising easy payout without paperwork or credit scores and then operators of the online scam would harass the victims through threatening messages, calls and derogatory texts to their contacts to recover an extremely high amount of money. Police have arrested four people recently in association with a similar loan app which reportedly has connections with China. Read on to know how this Chinese loan app worked and how you can protect yourself.
According to a report by the Times of India, Delhi police raided a three-storey building in Dwarka Sector 7 and arrested four people accused of running the loan scam. It is believed that the four were tasked with recovering money from those who took out a loan from the app. According to Police, the kingpin of the operation was also among those arrested.
The modus operandi of this loan scam is very basic, as explained by the Times of India. First, this alleged Chinese loan app was promoted on Facebook and other social media platforms and it made big promises of disbursing instant loans without any paperwork or requiring credit scores. Once a person downloads the loan app, they are asked permissions for accessing contacts, photographs etc. After requesting a loan, an amount of Rs. 6,870 would be paid out to the victim minus the processing fees. The instant payout would make the victim happy, but this happiness would be very short-lived.
Calls for repayment of the loans would soon begin and the scammers would charge extremely high interest rates, making the total amount a high sum.
Read more on tech.hindustantimes.com
