Digital App Loan: The trend of digital loans is increasing rapidly in India. In recent years, there has been a huge increase in the number of apps and platforms offering digital loans. Actually, digital loans are more convenient and faster than traditional loans.

Loan takers can apply for a loan online without going to a bank or financial institution and get a loan soon. However, it also has many disadvantages. Let us know in this news today what things to keep in mind if you are taking a digital loan.

What things to keep in mind

Digital loan apps can be easy to use, but there are some risks associated with it. The biggest risk of these is high interest rates and many types of charges. Many times, digital loan apps charge higher interest rates than traditional loans. If you are not careful, you may have to pay a huge amount in interest and fees. That is, one mistake of yours and your account is empty.

Keep these things in mind before taking a loan

Before taking a loan, make sure whether the loan giving platform is registered with the Reserve Bank of India (RBI) or not. Also, check what is the background of the platform. Apart from this, read the loan agreement carefully before taking a loan and understand all the terms, such as interest rate, repayment schedule and other charges.

Understand the terms and conditions

Read the terms and conditions carefully before taking a loan. Make sure that you are fully aware of the interest rate, repayment time, fees and other obligations. Also check if there are any hidden charges or penalties for early or late payment.

Do not give access to the phone

Whenever you take a loan from an app, the app asks you to give access to your phone. Think a hundred times before okaying it. We are saying this because later, the companies that provide digital loans illegally use this as a weapon against you at the time of recovery. After giving access, the companies get all the data, photos, numbers of your phone and when you refuse to repay the loan or pay their arbitrary charges, these companies put your personal pictures on the internet and harass the people saved in your contacts by calling them.

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