Why you should avoid borrowing money from loan sharks

The rise of loan sharks in Nigeria has become unimaginably high. There are now so many that you can hardly go a whole week without getting at least one message from a loan shark inviting you to take a loan. But here’s free advice—don’t! Yes, you heard that right. The best way to deal with loan sharks is to avoid taking any loans from them at all. Remember, loan sharks are unlicensed money lenders who charge very high interest rates and sometimes use threats and violence to frighten people who can’t repay their loans. Today, let’s focus our attention on all the numerous reasons you shouldn’t borrow money from these loan sharks. They typically have a high and unimaginable interest rate This is, in fact, the most obvious characteristic of loan sharks. While licensed money lenders will charge you minimal interest over a long time, loan sharks charge you outrageous interest over a short time. They play on borrowers’ desperation to request outrageous interests that often surpass the initial money collected. ALSO READ: Court orders arrest of top bank officials over ₦1bn loan scandal You’ll get threatened for not paying on time Loan sharks are known for their insults and threats. They teach their workers and loan collectors to be uncouth and aggressive. So, once your loan is due, they’ll call you and begin raining insults and threats. Some don’t even wait until the loan is due. Remember, they’re unlicensed and can’t recover loans through legal means. So, they’ll instead opt for significant threats to scare borrowers. If you can’t stand these threats, you better avoid them altogether. They’ll defame you Yes, we know how friendly loan shark agents can seem to appear when advertising their platforms to you. But don’t fall for it. They’re also some of the most aggressive organisations out there. Things can quickly turn south when you don’t pay on time. And, of course, you know that unforeseen circumstances can cause you to delay repayment. Some will go as far as copying the contacts from your phone and sending them unsolicited messages and calls that defame your character. Borrowing puts you in a circle of debts ALSO READ: 92 loan companies secure full approval to operate in Nigeria as registration deadline nears We once created a support group where victims shared their stories about their experience with loan apps. Unfortunately, most people agreed that once they fell into the loan sharks trap, leaving was almost impossible. They found themselves borrowing from more sharks to settle other loan sharks. This means they’re forced to pay outrageous interest across different platforms. No doubt, this can quickly eat into your personal finances, causing you sadness and depression. So you see, nothing good ever comes out of these loan sharks. Instead, if you need money to solve a problem, approach family and friends for help. Or contact legitimate borrowers to avoid falling into the unending cycle of facing embarrassment from loan sharks.