Must-know facts about digital lending platforms During the pandemic, digital lending platforms have become popular among the masses. As people were not able to go out of their homes to banks and other financial institutions physically, digital lending platforms provided them with essential services. When people needed money for an emergency, these platforms proved to be the best place to apply for a loan because the use of alternative data made their credit underwriting process swift. Before you contact any digital lending platform for a loan, here are some facts that you must keep in consideration.
It is risky to deal with unverified digital lending platforms The lending market has been inundated with multiple digital lending platforms nowadays. Before opening an account in any of them and applying for a digital loan, you need to first verify whether that lending platform is legal or not. The Reserve Bank of India has provided many rules and guidelines so that consumers can be protected from fraudulent lending platforms. Check if the terms and conditions of the digital loan comply with the rules set by the regulatory authorities. If you find anything wrong, complain to the governmental banking regulator.