Hello Hive.

source

No matter how much we can be in need, borrowing or taking loans has never been the best option to solve our financial problems, In fact taking these loans is becoming one of the easiest ways people are sinking into severe debt.

It is very common and easy now a days to see messages pop up on your phone from different loan app for you to borrow money from.

And the funniest part is these loans are very accessible and in less than 5mins you get to receive whatever amount of money you need in your bank wallet.

But prior to the release of these loans, the apps have a settings that allows them to take a snap shot of your bank accounts details, phone contacts and every vitals about where you live and all your family tree.

This is where the trouble lies.

• First with their interest rate

• Defaming manner of getting back the money loaned .

Loans interest rate.

The interest rate is quite alarming and I heard that this doubles in amount after certain very short period.

Let's say you took 30k, in a months time you are to pay back 60k and 60k becomes around 120k in two months time.

Now assuming you were able to pay back 100k of out of the 120k, the remaining 20k also keeps doubling once you are unable to repay.

In other scenarios a certain amount of money is added on a daily basis if you are unable to repay back.

Meaning when you borrow 10k, let's say 10% will be added daily to that 10k unless you have enough to settle the bill at once to cut off the loan completely.
You borrow 10k today and in 7days time you are to oay back 17k.

Honestly this is the highest level of financial exploit I have seen so far and its crazy to think that all the full terms and condition will not be made known to you until you fall into this trap.

Defaming part.

This is the worst aspect of collecting this loan, once you are unable to pay back a text is written with your picture, name and phone number which will be sent to all the contacts on your mobile which they have earlier taking note off.

All the contacts on your social media handle gets to receive this humiliating and defaming text.

The only way to save people from getting into these mess is banning such apps as they have done more harm than good to people around me.

In earlier times I have used some few of my hive investment funds, convert to fiat to rescue some friends including my very own brother zionfrancis a fellow hiver who abandoned hhive because he wasn't getting the needed attention...

Having to save peoples mess in this way also pose a certain setback on my financial goals and I have decided to do no such thing ever again.

If anyone comes to me hungry, I can spare him a thousand for food, but I can't stand the sight of anyone who privately and foolishly goes to get these kind of loans for whatever god forsaking reason and come crying in public for help.

Just beware and advise your relations to stay clear of this apps and sites.

Posted Using LeoFinance ^Beta