India Orders Google to Remove 3 Loan Apps Over Data Theft, Predatory Interest
Indian authorities have instructed Google to remove three Android loan applications from the Play Store, citing data theft and predatory interest charges.
India's Cybercrime Coordination Centre (I4C) has ordered Google to remove three additional loan applications from its Play Store, according to a report by MoneyControl. The apps, identified as Horizon Cash Service, Money Score Monitor, and Zelicredit, were flagged for allegedly collecting sensitive personal data from users' phones.
The allegations against the apps include accessing extensive user information, such as Aadhaar details, financial data, contacts, and photographs, in addition to charging unusually high interest rates on disbursed loans. The I4C issued a notice on August 19, demanding that Google disable access to the apps' URLs within three hours.
This action is part of a broader crackdown by Indian authorities on fraudulent digital lending platforms. Earlier in August, the I4C directed Google to remove six other loan apps over similar concerns. In total, India's Ministry of Electronics and Information Technology has blocked 87 illegal lending applications under the IT Act.
Legitimate lending apps in India are required to partner with RBI-registered entities and disclose key financial information to borrowers before disbursal. The apps flagged by the I4C appear to operate outside these regulatory frameworks, collecting data indiscriminately and charging exorbitant interest rates without proper disclosure.
This is not the first time Google has faced pressure to remove such apps. In January 2021, the company removed several instant loan apps due to aggressive recovery tactics. In 2023, Google also took down 17 "SpyLoan" apps identified by security researchers for data harvesting and coercive practices.