Can Loan App Officials Really Visit Your Home in Nigeria?

This newfound accessibility has come with a dark side. Reports have surfaced detailing aggressive collection tactics employed by some loan apps. Yeah I know you might have your fears and that’s why you keep repeating this question “Can loan app come to my house” My dear as funny as it sounds, I will still clear you concerning this as you read down.

These tactics can range from incessant calls and messages to, more concerningly, threats and even reports of home visits by loan app representatives which is illegal. This shift in collection practices has left many borrowers feeling harassed and intimidated.

What are some loan app forceful collection tactics in Nigeria?

The convenience of loan apps can quickly turn sour when faced with aggressive collection tactics. Here’s a breakdown of the underhanded methods some loan apps resort to:

Loan App Harassment Techniques

• Constant Contact: With a relentless barrage of calls and text messages, borrowers are bombarded often at all hours of the day and night.
• Public Shaming: Borrowers’ defaulter status to their contacts, is sometimes being threatened by some loan apps causing embarrassment and social pressure. However, you can choose to stop them from accessing your contacts.
• Deceptive Communication: misleading language or false claims are at times used by Loan apps to pressure borrowers into repayment.

Loan App Intimidation Tactics

• Threats of Legal Action: Loan apps may threaten lawsuits or arrests, even though these might not be legitimate options.
• Threats to Property: Threats of seizing assets or valuables are used to instill fear and coerce repayment.
• Threats of Violence: While not as common, some reports suggest loan apps or their collection agents resort to threats of violence to intimidate borrowers.

Can loan app harassment be by physical visit at Home?

No, they won’t dare go against the law in Nigeria, responsible loan apps cannot visit your home themselves to collect debt. Here’s why:

According to NDPR “The Nigerian Data Protection Regulation (NDPR) recognizes that your personal information belongs to you. It empowers you with control and grants organizations a clear framework for responsible data handling. This fosters trust in the digital ecosystem and protects individuals from misuse of their personal data.”

if the above is true then they won’t share your information with any agents for any home visits or office visitations. find more reasons below

• Legal Restrictions: Loan apps are not legally authorized to send recovery agents to your house. Neither can they stop you from traveling abroad even if you are owing a loan except through a court order. Debt collection in Nigeria is regulated, and these actions would be considered a violation.
• Focus on Communication: Legitimate loan apps rely on phone calls, text messages, or emails to communicate with defaulters. This allows for documented communication and avoids undue pressure.
• Third-Party Collection Agencies: In some cases, the loan app might involve a licensed collection agency. Even these agencies still cannot resort to home visits for debt recovery.

If Someone Shows Up at Your Door here is what to do instead

• Do Not Engage: If someone claiming to be a debt collector from the loan app shows up at your house, do not engage with them.
• Verify and Report: Ask for identification and confirmation they are a licensed collection agency (if applicable). If not, report the incident to the Nigerian Customer Complaints Commission (NCC) immediately. find out how you can report below.
• Do not open your door: violence and disobedience to the law enacted are somehow seen as natural in Africa most especially in Nigeria. If you do find yourself in this situation I would advise you to use your African mentality first and ask questions to identify who is you at your doorpost before opening your door. This is to avoid them using violence on you, in case such a situation ever happens because in the past most of these loan sharks operated violently seizing people’s properties and goods mostly in market areas.
• Involve your neighbors or friends: do not do this alone they do not come in peace neither do they come in small numbers they are always prepared while coming.

How to report loan app harassment to CPC in Nigeria

Report loan app harassment to the Consumer Protection Council (CPC) in Nigeria if you ever face this kind of humiliating act from any loan app:

Online Complaint Platform

1. Visit the CPC’s website: https://fccpc.gov.ng/
2. Click on the “Complaints” tab.
3. Select “E-Complaint Form” from the dropdown menu.
4. Fill out the online complaint form with details about your situation.
   • Be sure to mention the name of the loan app, the nature of the harassment (e.g., excessive calls, threats, home visits), and any evidence you might have (screenshots, recordings if legal in your area).
5. Submit the complaint form electronically.

Conclusion

Loan app home visits are highly unlikely to be legal in Nigeria. Several regulations and best practices emphasize ethical debt collection, and home visits are considered a violation of your privacy and security.

Remember Your Rights:

• You don’t have to tolerate harassment or intimidation from loan apps.
• Communication should be professional and respectful, limited to phone calls, text messages, or emails.