PIJAlance Magazine
The Patriot Institute of Journalism and Arts (PIJA), Lance Magazine is a public-centric independent media organisation dedicated to fighting injustice, fostering social justice and community development through the telling and retelling of the marginalised-oriented stories.

After Publishing UltraNaira Predatory Lending and Privacy Invasion, More Victims Surface

UltraNaira has found predatory lending as a helpful method of running the loan app. A method that is nothing but a fraudulent one engaged to formally scam Nigerians.

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An Instagram user with the name George Clinton, has narrated his ordeals with UltraNaira following the PIJAlance report on Saturday.


“I read about your post on UltraNaira,” he wrote. “They are doing same to me. I’ve paid them but they still demand for more …They sent me less amount than what I borrowed


“That loan app is very fraudulent. They need to be stopped. How can I borrow 11900 and got paid 8330 …when I complained an agent told me to just add 1k to it and pay which I did ..now they are sending me messages that I owe 10k+..


“I borrowed N11,900 to pay N12,733 that’s N833 as interest but they sent N8,330 instead and they demanded me to pay the N12,733 which I refused..an agent then told me to just add 1k so they clear my debt which I reluctantly did .waking up to see rubbish messages on WhatsApp got me surprised.”


The PIJAlance on Saturday published a data-driven investigation about UltraNaira, a loan app in Nigeria, indirectly linked to Nkash Limited, which has prioritised predatory lending and privacy invasion as perfect methods to deal with their customers.



The PIJALance reported that predatory lending involves a lender, often referred to as a loan shark, intentionally providing borrowers with a loan amount that is less than what was initially agreed upon. This practice is typically accompanied by high interest rates, hidden fees, and exploitative terms that result in borrowers paying significantly more than they borrowed.



Predatory lending is considered unethical and, in many jurisdictions, illegal. It preys on individuals who may be in desperate financial situations and have limited access to traditional lending options. Loan sharks take advantage of their vulnerability, trapping borrowers in cycles of debt and making it difficult for them to repay the loans. But despite its illegal nature, UltraNaira has found predatory lending as a helpful method of running the loan app. A method that is nothing but a fraudulent one engaged to formally scam Nigerians.



The PIJAlance also noted that invasion of privacy involves the infringement upon an individual’s protected right to privacy through a variety of intrusive or unwanted actions. Such invasions of privacy can range from physical encroachments onto private property to the wrongful disclosure of confidential information or images.



Further stressed that privacy right in Nigeria is protected under section 37 of the Nigeria Constitution 1999, as amended, that “the privacy of citizens, their homes, correspondence, telephone conversations and telegraphic communications is hereby guaranteed and protected.”



We reported UltraNaira didn’t respect this part of the Nigeria law, it consistently invades the privacy of its customers, gets their contact list, spams them and sends unsolicited threatening messages about any of its defaulting-borrowers. This practice is not only illegal, it has been found as a character defaming and harassment. It is also an act that goes against the law of contract in Nigeria.



But UltraNaira not only spam the contact list of defaulting-debtors, it also adds charges and makes every of its borrowers never get freed from their debts. Aside from predatory lending, it adds more charges so that debtors will continually pay more than what they borrowed.



George Clinton is currently being disturbed to pay more despite paying all his loans with extra charges.



Clinton gave the PIJAlance a number associated with the team chatting with him and after we checked, the number; 09018050774, has Bolu Tife as registered name. This was different from the previous number with Nkash Limited, all traceable to UltraNaira.



As dangerous as this app is, The PIJAlance reported that Google Play Store keeps it available for download. There were several negative reviews against the app. Even, our investigation found that the initial number UltraNaira usually used to threaten customers and non-customers have been reported as spam 10 times.



UltraNaira was part of the other loan apps in Nigeria, the Federal Competition and Consumer Protection Commission (FCCPC) didn’t approve to operate.



The agency which was established under the Federal Competition and Consumer Protection Commission Act (2019) to regulate the infringement of privacy and predatory lending of online loan sharks and other related cases perpetrated on Nigerians to harass them, was empowered under Part III, section 17 subsection (g) of the FCCPA to “eliminate anti-competitive agreements, misleading unfair, deceptive or unconscionable marketing, trading and business practices.” But despite all these, some online loan sharks are still operating using predatory lending and invasion of privacy schemes as priorities on Nigerians.


The PIJAlance on Sunday write to FCCPC Southwest and was assured would look into UltraNaira operation, shortly.


Read Also: Predatory Lending and Privacy Invasion: Nigeria Loan Apps Continue to Wax Stronger Flouting FCCPC Rules

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Fact-checking with OSINT, airing the marginalised, doing critical and accountability reporting are what I do. I lead a group of professional investigators at PIJAlance Magazine Research and Investigations Desk (RID). Got a story, check contact us to hit me.

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