Non-repayment of mobile money loans will affect your creditworthiness – warns BoG

Defaulters of mobile money loans have been advised to make repayment plans with their service providers or risk greater consequences that may deny them access to credit facilities in the future.

According to the Bank of Ghana (BoG), people who have deliberately decided not to repay loans taken from their service providers will suffer negative repercussions on their credit reports and background.

It emerged that some people who took out loans through mobile money platforms refused to register their SIM cards in order to avoid repaying the loans.

Others also bought and registered new SIM cards, and threw away old ones “with the intention of avoiding the repayment of acquired loans”.

“Bank of Ghana would like to inform the general public that data on all mobile money loan customers are domiciled in credit bureau databases.

“As a result, non-repayment of these loans will negatively impact borrowers’ credit reports/histories and may subsequently adversely affect any chance of obtaining loan facilities from other financial institutions and credit providers. in the future.

“Borrowers who have discarded their SIM cards are advised to contact their respective telecom service providers or lenders to discuss repayment terms in order to avoid adverse information on their credit reports which may deny them access to future credit facilities,” the central bank said in a statement on Wednesday.

Communications Minister Ursula Owusu-Ekuful previously chastised people who got quick loans and refused to re-register their SIM cards to avoid paying.

In an address on July 31, 2022, she noted that such acts of “diabolical corruption” would be uncovered by authorities.

“I have also been informed that some people who have obtained fast loans from their service providers have decided not to register these SIM cards to avoid repaying the loans. This is evil corruption and you will be found out” , she warned.

The SIM card re-registration exercise is scheduled to end on Friday, September 30, 2022, although a number of lawsuits have been filed against the ministry over the way it is being carried out.

James V. Hayes