My Honest Experience: A Wake-Up Call
I took a ₹10,000 loan from what seemed like a well-reviewed app. Within days, the smooth experience turned into anxiety. They wanted access to everything—photos, contacts, even my microphone. When I missed one EMI by a few hours, their recovery agent began sending messages to my friends. That’s when I knew: not all loan apps are safe.
This post shares exactly what happened, how I handled it, and what you need to know if you’re using or planning to use instant loan apps in India.
🔎 1. Why Some Loan Apps Are Dangerous
Not all apps are created equal. The unsafe ones:
- Access your contacts/photos to shame you
- Send threats via WhatsApp and calls
- Morph images and spread them among your contacts
In a shocking case, a woman in Ghaziabad who borrowed ₹3,000 was threatened with obscene morphed images. Source: TOI
Another case in Mumbai involved bomb threats and fake profiles to pressure a young woman to repay ₹1,500. Read here
🔒 2. What Apps Should Never Ask For
A genuine loan app should never need these permissions:
- Full access to contacts
- Permission to view gallery/photos
- Access to microphone or location
Apps asking for these are likely violating privacy. In 2024, Google removed 2,000+ apps from Play Store due to these exact violations.
🔟 3. RBI Guidelines to Protect You
The RBI’s Fair Practices Code requires:
- Recovery agents can’t contact you beyond 8 AM to 7 PM
- They must not harass, threaten, or shame you
- Loan companies must mention all charges upfront
If they break these rules, you can escalate your complaint to the RBI Ombudsman or file an FIR.
💪 4. What To Do If You’re Threatened
Here’s what I personally did:
- Revoked app permissions: Go to Settings > Apps > Permissions
- Blocked their number
- Filed a complaint at https://cybercrime.gov.in
- Called 1930 – India’s cybercrime helpline
- In one case, I also emailed the RBI Consumer Education Cell to alert them
This stopped the threats in 2 days.
📌 5. How to Check If a Loan App is Safe
Before you install:
- ✅ Look for RBI-registered NBFC backing
- ✅ Google the app’s name + “harassment review”
- ✅ Check if it appears on Google’s “banned apps” list
- ✅ Look for high Play Store ratings + genuine reviews
🧡 6. The Safe Alternatives
Stick to known, regulated apps. A few safer options for 2025 include:
- Fibe (EarlySalary)
- KreditBee (RBI-backed NBFC)
- MoneyTap
- Navi
- LazyPay
Still, even with them, read the fine print carefully.
🚀 Final Word: Stay Sharp
Instant loan apps can offer incredible convenience, but some come with massive risks. If you’re already stuck in one, follow the steps above. If you’re about to apply, choose wisely.
Trust your gut. Deny shady permissions. Report threats. Your privacy is not a payment method.
Need help identifying a risky app? DM me or check my guide on How to Identify Scam Loan Apps in India.