CSA warns public to stay away from unlicensed loan apps

The Cyber Security Authority (CSA) has raised a red flag over the increasing misuse of unlicensed mobile lending applications in Ghana, cautioning that their operations are fueling a disturbing trend of cyberbullying, blackmail, and data exploitation.

In a public advisory released on May 31, 2025, the CSA revealed that it has documented 377 cyberbullying incidents connected to these digital lenders between January and May this year—a sharp rise from the 228 cases recorded throughout 2024.

The Authority disclosed that some of these apps deposit small loans—often less than GH₵200—into users' mobile money accounts without any formal application. What follows is a barrage of harassment from operators, who demand repayment with excessive interest, frequently accompanied by menacing threats.

“These platforms often resort to abusive practices, including pressuring victims or their acquaintances for payments and threatening to share real or doctored nude images on social media,” the CSA reported.

Disturbingly, some individuals have been publicly branded as criminals when they were unable to settle the loans. Others faced continued intimidation even after clearing their debts.

The CSA identified several specific applications in its report and emphasized that most of them are neither licensed by the Bank of Ghana nor compliant with the country’s data protection laws.

Users often unknowingly give the apps access to sensitive personal information during installation—including national ID numbers, phonebook contacts, and private photos. This data is then weaponized to shame, defame, or extort money from the victims.

Citing official notices issued by the Bank of Ghana—namely BG/GOV/SEC/2022/10 and BG/GOV/SEC/2023/07—the CSA reminded the public that these apps violate the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930).

The public has been strongly advised to avoid these digital lending platforms entirely. The CSA warned that anyone who engages with such services does so at their own risk, as they operate outside the regulatory scope of both the central bank and the Data Protection Commission.

For individuals facing threats or harassment from these applications, the CSA has made available several channels for reporting: WhatsApp at 0501603111, phone line 292, or email via report@csa.gov.gh.

The Authority assured that it will remain vigilant and continue to take action against the growing threat of cyber-enabled financial abuse in the digital economy.