The Securities and Exchange Commission (SEC) has renewed its warning to Filipino consumers regarding the continued availability of unauthorized online lending applications on the Google Play Store. Despite existing regulations and a long-standing moratorium, these apps remain accessible and continue to pose risks to borrowers.
According to the SEC, at least 21 online lending apps are currently operating without the required authority to offer, process, or extend loans in the Philippines. Their operations violate SEC Memorandum Circular No. 10, Series of 2021, which took effect on November 2, 2021.
What Is the SEC Online Lending Moratorium?
The memorandum circular imposed a moratorium on new Online Lending Platforms (OLPs). Under this policy, the following activities are strictly prohibited:
- Launching new online lending platforms
- Registering new OLPs
- Accepting new users
- Operating as a new online lender
The moratorium was introduced to protect consumers from predatory lending practices, excessive interest rates, abusive debt collection methods, and the misuse of personal data.
List of Unauthorized Online Lending Apps
Despite the clear directive, the SEC identified the following apps as operating without proper authority:
|
Unauthorized Lending Apps |
Unauthorized Lending Apps |
|
PesoMate – Flexible Loan |
PesoOne – Fast Loans PH |
|
ULend – Fast Cash Loan |
Kwago Peso – Cash Loan App |
|
Magaling Peso – Fast Online Loan |
SL Cash – Fast Cash Loan |
|
VIP CASH – Finance Assistant PH |
Peso Easy – Philippine Loan App |
|
Cashpedia – Online Cash Loan |
Sure Money – Smart Loan App |
|
PERA NOW: Secure Loans |
VIP Funds – Finance Assistant PH |
|
Finledger |
Cashflux – Peso Loan |
|
MadaPera – Online Cash Loan |
MeeBrar Loan |
|
ZRT Loan – Fast Cash Loan |
Agad Loan – Quick and Fast Loan |
|
MorePautang – Loan Hub |
CashTwig – Financial Growth |
|
Suki Peso |
— |
⚠️ Important: The presence of an app on Google Play does not mean it is legal or SEC-approved.
Possible Penalties for Unauthorized Lenders
The SEC emphasized that online lending apps that continue to operate without approval may face serious administrative and criminal sanctions, including:
- Cease and desist orders
- Permanent shutdown of operations
- Blacklisting from future registration
- Criminal charges under applicable laws
Violations may fall under the Lending Company Regulation Act, Financing Company Act, Financial Products and Services Consumer Protection Act, and the Data Privacy Act, especially if abusive collection tactics or data misuse are involved.
How Consumers Can Protect Themselves
The SEC strongly urges borrowers to verify the legitimacy of lending apps before borrowing. Consumers should:
- Check the official SEC website for the list of authorized lending companies
- Avoid apps that demand excessive permissions
- Be cautious of apps offering “instant approval” with very high interest rates
- Report suspicious or abusive lenders to the SEC
The SEC reiterated that it is the only government agency authorized to publish the official list of registered and compliant online lending platforms.
Online loans may offer convenience, but borrowing from unauthorized lenders can expose consumers to financial abuse, privacy violations, and legal trouble. Staying informed and vigilant is the best defense against illegal online lending practices.
