SEC tells more online lending firms to stop operations

ABS-CBN News

Posted at Oct 14 2019 10:59 AM | Updated as of Oct 14 2019 11:02 AM

MANILA -- The Securities and Exchange Commission ordered 12 online lending firms to halt operations for lack of license to operate, according to a copy of its ruling released on Monday.

It was the third set of companies to be served with a "cease and desist" order from the SEC, as the regulator responded to consumer complaints.

Aside from operating without a license, the SEC said it received reports of "abusive collection practices" from consumers, including sending text messages to borrowers' contacts informing them of the loan due.

The phone contacts are obtained by the debtor when its app is installed in the borrower's smartphone, the SEC said.

According to a copy of the Oct. 10 order, the following must "cease and desist" operations "immediately": A&V Lending Mobile, Cashaku, Cashaso, Cashenergy, Happy Loan, Peso Pagasa, Phily Kredit, Rainbow-Cash, A&V Lending Investor, A.V. Lending Corp, Vito Lending Corp and Rainbowcash.ph Lending Corp.

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