DIGITAL LENDING AND PREDATORY PRACTICES: REGULATION Under the Bangko Sentral ng Pilipinas (“BSP”) And Securities and Exchange Commission (“SEC”).
Why Digital Lending is a Regulatory Issue The core promise of digital lending is fast approval, minimal documentation, and app-based disbursement of funds. However, these features also create a high-risk environment for predatory lending practices, particularly through (a) excessive interest and fees, (b) vague pricing and “hidden charges”, and (c) collection tactics that pressure borrowers […]
