A new app popular in China is being billed as “Uber For Loans.” The Chinese company JD Capital has a platform called Jiedaibao which allows individuals to loan money to borrowers. Need a “payday cash advance?” Log onto Jiedaibao and a random stranger can let you borrow a set amount of money with interest.
The individual lenders are allowed to set the terms of the loan including the amount of money borrowed, the interest rate owed and any sort of collateral that may be put up in case the borrower is unable to repay their debt on time. This is where things get interesting.
Often these transactions occur between known friends and family. However, increasingly the lenders are experienced loan sharks who take hard tactics to get back their money when it is owed. This has led to the practice of “Naked Loans” on the app. It’s like predatory lending meets The Bang Bus.
Young, female college students are targeted who are requested to send nude photos while holding their ID’s . In exchange they are able to borrow a larger amount of money, however it is often still at a high, insane interest rate, sometimes as much as 30 percent a week. Montel Williams would be proud.
https://www.break.com/article/app-uses-nude-photos-as-collateral-for-loan-3058491
The individual lenders are allowed to set the terms of the loan including the amount of money borrowed, the interest rate owed and any sort of collateral that may be put up in case the borrower is unable to repay their debt on time. This is where things get interesting.
Often these transactions occur between known friends and family. However, increasingly the lenders are experienced loan sharks who take hard tactics to get back their money when it is owed. This has led to the practice of “Naked Loans” on the app. It’s like predatory lending meets The Bang Bus.
Young, female college students are targeted who are requested to send nude photos while holding their ID’s . In exchange they are able to borrow a larger amount of money, however it is often still at a high, insane interest rate, sometimes as much as 30 percent a week. Montel Williams would be proud.
https://www.break.com/article/app-uses-nude-photos-as-collateral-for-loan-3058491
