Facts Have Surfaced On The Internet About A Chinese Online Lender Using Nude Selfies As Collateral For Loans
Hundreds of photos and videos of naked women used as collateral for loans on a Chinese online lending service have leaked onto the web.
The leaked nude selfies have highlighted regulatory problems in the fast-growing peer-to-peer marketplace.
A 10-gigabyte file posted on the internet exposed the personal details of more than 160 young women.
These women were asked to provide explicit material (nude selfies) to secure money through online lending platform Jiedaibao.
Launched by JD Capital in 2015, Jiedaibao allows lenders to operate anonymously but requires borrowers to reveal their real names when making transactions.
Loan amounts and interest rates can be customised to meet the needs of users.
Often, these users are people who have a hard time accessing loans through more traditional financial institutions, like banks.
Chinese Online Lender Uses Nude Selfies As Collateral
Interest on the “nude loans” reached an astonishing 30 per cent a week, according to the Global Times newspaper.
Lenders told female borrowers that if they failed to repay the loans, their nude photos would be sent to their families and friends.
According to the article, the contact information of these friends and family members were also required for some transactions as well.
Material in the file put on the web last Wednesday showed some borrowers also promised to repay loans with sexual favours.
This is according to screen captures posted on several social media websites.
In a statement on its official Twitter-like Weibo account, Jiedaibao said it had tracked down the accounts of several borrowers through photos and ID information circulated online.
The bank stated that it had frozen the suspected lenders’ accounts.
The statement said:
“The ‘nude loans’ deals were mainly initiated and completed offline, and Jiedaibao only played the role of a money transfer platform in the deals.”
This is not the first time online P2P businesses have been connected to potentially embarrassing photos.
In November, Alipay, the payment platform of Chinese e-commerce giant Alibaba, was criticised after a set of photos showing female users in seductive poses was leaked on social media.
The photos were originally posted in Alipay’s newly launched social media feature called Circles, which allows only women to post photos.
Most of the photos posted had obscene comments from male users.