Fake App Alerts: How to Spot Fraud in Loan, UPI, and Credit Score Apps
Fraudsters are now creating fake apps to lure unsuspecting users with lucrative loan offers and rewards. It’s advisable to always use RBI-approved apps to apply for loans. With the emergence of innovative technology, one of the sectors that has witnessed a massive transformation is the financial services industry. From applying for a loan to making payments via UPI, everything is now just a tap away on your smartphone. You no longer have to stand in long queues or deal with piles of paperwork.
Whether you are looking for loans, transferring funds, or buying insurance, all this can be done through your mobile screen. This digital transition has made life easier and faster, but it also comes with its own set of risks.
How To Spot Fraud In Online Loans?
Fraudsters create apps that look attractive by offering unrealistic offers such as instant approval, no paperwork, and low interest rates. This is unrealistic. So, whenever you are looking for an app for a loan, make sure it is registered with the RBI or tied to a licensed NBFC. In addition to this, the fake apps generally don’t have websites or company details such as addresses or customer support numbers. In case the app asks for unnecessary permissions such as access to the gallery, contacts, or location, then you need to be aware, as these are red flags.
Scammers have become smart and now create fake UPI apps that mimic genuine ones like Google Pay, PhonePe, or Paytm. They often copy the logo and UI designs but make it slightly different in name, like G Pay instead of Google Pay. Always scroll down on the App Store or Play Store to check the developer details. Genuine apps are developed by verified companies. One of the common ways to find out about suspicious apps is by going through their content and reviews. Fake apps often come with poor descriptions of services or high ratings in a short span of time.
Everyone wants to check their credit score, but not all apps that offer this service are legitimate. Some fake apps ask for PAN, Aadhaar, and phone numbers to steal identity or push fake loan offers. To avoid being trapped in such scams, make sure that those apps have ties with CIBIL, Experian, or Equifax. Also, if you receive your credit score instantly without any form of verification, it’s likely to be fake or inaccurate.
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