Google Bans Payday Loan Apps Offering High Interest Rates

Google makes the things more difficult for consumer loan and payday lender applications offering high-interest rates. It decided to ban applications that offer personal loans with 36 percent interest rate or higher per year.

“Payday loans are dangerous and unaffordable for everyone, but borrowers who are just starting out or who are struggling financially – they’re the most vulnerable,”

Lisa Stifler, deputy director of state policy for the Center for Responsible Lending
Source: CNBC

A Google spokesperson confirmed that they are working on their policies to protect their users and prevent financial abuse and exploitation.

Prohibited lenders include CURO Financial Technology Corp. and MoneyLion. Google announced that it would allow lenders to keep their applications on Google Play, as long as they offer interest rates below 36%.

The decision of Google to ban payday loan applications offering high interest rates was welcomed by the consumer rights organization, but lenders did not respond positively to it. What do you think?