Search engine giant Google has announced plans to stop personal loan apps like Fairmoney, Palmpay, and others from accessing the information of users.
The company said it will restrict the personal loan apps on Play Store access to external storage, photos, videos, contacts, precise location, and call logs of its users, this is part of its effort to protect users’ data and privacy.
The update, which is part of the company’s Personal Loans policy released last Wednesday will come into effect on May 31st, 2023.
“Apps that provide personal loans, or have the primary purpose of facilitating access to personal loans (i.e., lead generators or facilitators), are prohibited from accessing sensitive data, such as photos and contacts,” the company’s update read.
The move is said to be in response to growing concerns about the way and manner personal loan apps have been using the data of their debtors. Recovery agents of the apps, allegedly access the borrowers’ contacts and embarrass their friends and family.
Among the most affected countries by the proliferation of unlicensed loan apps, is said to be Nigeria and Kenya, where the loan apps are said to operate with minimal regulation.
Google has announced it will restrict personal loan apps, such as Fairmoney and Palmpay, from accessing users' external storage, photos, videos, contacts, precise location, and call logs to enhance data protection and privacy. This update, part of Google's Personal Loans policy, will take effect on May 31, 2023.
The policy change is in response to growing concerns about how these apps handle borrower data, with reports of recovery agents accessing contacts to embarrass debtors' friends and family. Nigeria and Kenya are among the countries most affected by unregulated loan apps.
