SEC issues cease and desist order against 19 online lending companies
The Securities and Exchange Commission (SEC) has recently issued a cease and desist order against 19 online lending companies after receiving complaints.
In a report by CNN Philippines, the order that was issued on September 12 covers the following online lending companies: Instant Pera, QuickPera, Lendmo Philippines, Binixo, CashBus, Cashcat, Cashuttle, Crazy Loan, Flash Cash, Happy2Peso, Hatulong, MeLoan, MoneyTree Quick Loan, Pera Express, Pera4u, Peramart, PesoLending, QuickPeso and Umbrella.
The SEC said that the companies do not have the required certificate to operate as lending or financing companies and are not registered with the government agency as a corporation. The mentioned companies are also being probed after receiving complaints including high-interest rates, unreasonable terms and conditions, invasion of privacy, and harassment.
Complainants said that the collection practices by the lenders have caused them depression, sleepless nights, humiliation and health problems.