The Online Lending Boom And Data Privacy Concerns In Nigeria

Introduction

The proliferation of online loan apps has become a necessary evil for many low-income Nigerians, who feel compelled to borrow to shield against the effects of the harsh economic realities in the country, especially since the COVID-19 pandemic. The requirements for tangible or non-tangible collaterals including proper documentation for any loan transaction by traditional banks are becoming less patronised, and therefore such loans which can be easily accessed online becomes a preferred choice for many.

However, in recent times, these digital lending platforms have resorted to unprofessional measures of harassment, cyberbullying, and breach of data privacy of their customers who may have defaulted in their loan(s) repayment.¹ In light of these events, personal data protection and privacy have become issues of great concern for a number of stakeholders. In a bid to address this issue and tailor the legal guidelines responsible for regulating this