How to check any lending app before you borrow

Step 1 — Find the regulated entity

Open the app's website or Play Store listing and look for the lender behind it. Behind every legitimate lending app in India stands a company regulated by the Reserve Bank of India — a bank or an NBFC. The app is often just the storefront (an LSP, lending service provider).

1. The footer or "About" page must name a bank or NBFC — a brand name alone is not enough
2. The Play Store listing must name the same entity in its description
3. If the names differ or no entity is named, treat the app as unverified

Step 2 — Verify with the RBI

The RBI publishes registers of every regulated lender. Two minutes of checking beats months of trouble.

1. Search the entity name in the RBI's list of registered NBFCs (rbi.org.in)
2. Check RBI Sachet (sachet.rbi.org.in) for complaints and the list of unauthorised apps
3. Match the legal name exactly — clones use near-identical names

Step 3 — Read the Key Facts Statement

Before disbursal every regulated lender must give you a KFS: one standardised page with everything that matters.

1. APR — the all-in annual cost including fees, not just the interest rate
2. Every charge: processing, service, late payment, prepayment, GST
3. Repayment schedule, cooling-off period and the grievance officer's contact

Step 4 — Check what the app asks for

RBI rules limit what a lending app may access on your phone. A legitimate app needs very little.

1. Allowed: camera (KYC selfie), one-time location, SMS for OTP
2. Prohibited: your contact list, photo gallery, call logs — deny and report
3. Never share OTPs, passwords or your screen with anyone claiming to "help" your application

Red flags — walk away if you see any of these