Warning from Cyber Security Authority: Increasing Cases of Cyberbullying by Loan Apps, Caution Urged Before Signing Up
The Cyber Security Authority (CSA) has issued a strong warning to the public against using digital lending mobile applications (apps), citing a surge in cyberbullying incidents reported by users.
In a press release, the CSA disclosed that they have received approximately 130 reports of cyberbullying from victims who engaged with these apps, which operate without authorization from the Bank of Ghana and the Data Protection Commission.
“When users install these apps, a small amount (typically under GHS 200) is automatically credited to their mobile money wallets, even without a loan request,” the CSA stated.
“Within a week of loan disbursement, fraudsters resort to extortion tactics, including demanding repayment with exorbitant interest rates from victims or their contacts, threatening to disseminate authentic or fabricated nude photos on social media, and falsely accusing victims of theft or criminality.”
“Even after victims repay, some fraudsters persist in demanding further payments… Victims often unwittingly grant these apps access to their contacts, photos, and personally identifiable information (PII), such as Ghana card IDs, during installation,” the CSA revealed.
The CSA identified several culpable loan apps, including Ahomka Loan, Antcredit, Beanloan, Bestloan, BezoMoney, Boomloan, Casharrow, Cashwave, Cmgh Loan, Cosycredit, Credit Bag, Divacash, Express Loan, Five Loan, FullCredit, Homecredit, Unik Credit, and others.
The authority emphasized that these apps violate the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930), as per Bank of Ghana notice BG/GOV/SEC/2022/10. Additionally, the app owners have failed to meet compliance obligations under the Data Protection Act, 2012 (Act 843), thus illegally accessing and using user data and PII.
The CSA urged the public to steer clear of these apps and encouraged reporting any cybersecurity or cybercrime incidents directly to the Authority via text, call, or email.
Read the full statement below:
