Bijay Mahapatra, 19, took their very very very first loan from the firm that is fintech 2017. It had been a small-ticket loan of в‚№ 500 in which he needed to repay в‚№ 550 the next thirty days. It had been desire for an app that is new well because the idea of credit itself. The thought of cash away from nowhere which could be reimbursed later on could be alluring for just about any teenager.
Mahapatra inevitably got hooked. 2 months later on, as he didnвЂ™t have money that is enough a film outing with buddies, a couple of taps regarding the phone is perhaps all it took for him to have a в‚№ 1,000 loan. I was asked byвЂњThe company to pay for в‚№ 50 for each and every в‚№ 500 as interest. Therefore, this time around, I experienced to repay в‚№ 1,100,” claims Mahapatra, an undergraduate pupil in Bhubaneswar.
At the same time, the fintech company had increased their borrowing limit to в‚№ 2,000 and then he ended up being tempted to borrow once again. This time around, he picked a three-month payment tenure and had to repay в‚№ 2,600.