According to a copy of its ruling issued on Monday, the Securities and Exchange Commission ordered 12 online lending companies to suspend operations due to a lack of license to operate.
It was the third set of firms to be served with an SEC “cease and desist” order as the regulator responded to complaints from consumers.
In addition to working without a permit, the SEC said it received consumer reports of “abusive collection activities,” including sending text messages to contacts of lenders reminding them of the loan due.
The debtor obtains the phone contacts once his device is activated on the smartphone of the lender, the SEC said.
According to a copy of the 10th resolution, the following will “immediately cease and discontinue” operations: A&V Lending Mobile, Cashaku, Cashaso, Cashenergy, Happy Loan, Peso Pagasa, Phily Kredit, Rainbow-Cash, A&V Lending Investor, A.V. Lending Corp, Vito Lending Corp, and Rainbowcash.ph Lending Corp.
Read more related to the Filipinolive Business: https://filipinolive.com/category/business/
Follow us on Facebook and stay up to date with the latest content