lending

India's stricter digital lending rules have disrupted card services of foreign-backed fin-tech firms and jeopardised loan offerings of Amazon, prompting companies to chart a lobbying pushback, according to industry sources and a document seen by Reuters. Citing concerns over high rates and unfair practices, the Reserve Bank of India (RBI) this month said a loan borrower must deal directly with a bank, dealing a blow to prepaid card providers and shopping websites which act as intermediaries and instantly process deferred…

Crypto lending exchange Crypto.com has laid off more employees in the second round and this time, the firing of employees is worse than the previous job cut, as the global crypto meltdown gets deeper.According to a Decrypt report, citing sources, the latest round of job cuts has not been announced publicly.During the call, "leadership expressed they had no intention of going public. Top management is unlikely to make an announcement as, after the June layoffs, they claimed that everyone's job was safe, and that no more…

Digital small money lending apps backed by financial professionals are using dubious means in their business, with borrowers bearing the brunt, experts have flagged. These mobile apps offer loans of a few hundred rupees to about Rs 10,000. "However, they hold back at least 25 percent of the money in the name of processing fees and, further, the rate of interest is high in some cases, which is against the norm", says Bengaluru's Additional Commissioner of Police, Raman Gupta. He alleged that the role of financial…

Manish Singh / TechCrunch: India freezes assets worth $46.4M owned by crypto exchange Vauld's local entity for allegedly facilitating “crime-derived” proceeds from predatory lending firms — India's anti-money laundering agency has frozen assets worth $46.4 million from the local entity of Vauld for facilitating … Manish Singh / TechCrunch: India freezes assets worth $46.4M owned by crypto exchange Vauld's local entity for allegedly facilitating “crime-derived”…

The digital lending industry, led by app-based credit suppliers, have welcomed the new set of regulations issued by the RBI, saying the move will help the sector scale up and become more responsible. The Reserve Bank had on Wednesday tightened the norms for digital lending to prevent charging of exorbitant rates and to secure customer interest by checking unethical loan recovery practices.Under the new norms, all loan disbursals and repayments are required to be executed only between the bank accounts of the borrower and…

The Reserve Bank of India (RBI) on Wednesday mandated that digital loans must be credited directly in the bank accounts of borrowers and not through any third party, as it put in place strict norms to curb rising malpractice in digital lending space. Besides, the RBI said digital lending entities and not the borrowers should pay fees or charges payable to Lending Service Providers (LSPs) in the credit intermediation process.Issuing a detailed set of guidelines for digital lending, the RBI mentioned about the concerns…

SÃO PAULO—Brazil’s central bank raised its benchmark interest rate as expected Wednesday, the 12th consecutive time, and said it would consider another rate increase at its next meeting in September. The bank’s monetary policy committee, or Copom, raised the Selic lending rate by a half point to 13.75%, the highest level in more than five years. The bank said in a statement that uncertainty about the global and domestic scenarios requires “additional caution” regarding its next steps.…

The U.S. Securities and Exchange Commission (SEC) is working to get some cryptolending companies properly registered if they operate more as investment firms, the head of the Wall Street regulator told CNBC in an interview on Thursday. SEC Chair Gary Gensler also said it was up to large financial institutions to decide whether they want to include crypto options in their portfolios for clients, but that the risks of crypto tokens need to be made public. "We have focused on this area because many of these firms...may well…

A total of 7,813 complaints have been received against banks and NBFCs pertaining to digital lending apps and recovery agents under the Integrated Ombudsman Scheme of RBI during the period April 1, 2021 to March 3, this year.Most of the complaints pertain to lending apps promoted by entities not regulated by the RBI, such as companies other than NBFCs, unincorporated bodies, and individuals. Major concerns raised in such complaints were issues of exorbitant interest, charges levied by digital lending apps, and harassment…

Celsius has filed for bankruptcy protection a month after it paused all customer withdrawals and transfers, according to The Wall Street Journal. The crypto lending giant left almost two million users unable to access their funds back in June due to what it described as "extreme market conditions." Back then, the company said that freezing withdrawals would help stabilize the liquidity of its assets to, in turn, help it meet withdrawal obligations.  Celsius was one of the companies caught in the crypto crash, and it saw…