Last year, the Bank of Ghana (BoG) issued a similar warning, cautioning users to not patronise the services of unlicensed loan applications. But no arrests have been made since that time.

The Cyber Security Authority (CSA) has issued a notice about the rise in online bullying by illegal loan mobile applications, stating that 130 cases have been reported in 2024.

In a statement dated June 27, 2024, the CSA also identified 37 such digital lending providers, cautioning users to be on alert.

"The apps are in contravention of the Banks and Specialised Deposit-Taking Institutions Act, 2016, since they are not sanctioned by the Bank of Ghana and the Data Protection Commission. Individuals who patronise these services do so at their own risk," the statement said.

According to the CSA, the loan providers automatically credit the account of users who just installed the app, even though users did not request a loan.

"One week after disbursing the loan, the fraudsters use extortion tactics including demanding loan repayment with high interest, threatening to circulate actual or fabricated nude photos of the victim on social media, and threatening to label the victim as a thief or wanted criminal."

Even after repayment, the threats still continue and the loan providers keep on demanding additional payments, CSA said.

Ahomka Loan, Bestloan, BexoMoney, Cashwave, UnikCredit, and 32 others have been identified as perpetrators of such practice.

Last year, the Bank of Ghana (BoG) issued a similar warning, cautioning users to not patronise the services of unlicensed loan applications. But no arrests have been made since that time.