LAGOS, Nigeria — Borrowers across Nigeria may soon see tighter controls on predatory loan apps as the Federal Competition and Consumer Protection Commission (FCCPC) resumes full enforcement of its digital lending regulations.

The move follows a judgment delivered by Justice A. Alagoa at the Federal High Court in Lagos, which dismissed a lawsuit filed by the Wireless Application Service Provider Association of Nigeria (WASPAN). WASPAN had challenged the legal authority of the FCCPC to regulate non-traditional and online lending platforms.

With the court upholding the validity of the regulatory framework, the FCCPC confirmed that enforcement actions are back in motion immediately.

What This Means for Everyday Borrowers

Under the restored regulations, the FCCPC will intensify oversight across several critical areas:

  • Registration & Vetting: Mandatory registration for all digital lending apps operating in Nigeria.
  • Interest Rates & Disclosures: Clear and transparent interest rate disclosures prior to loan disbursements.
  • Debt Recovery Tactics: Strict sanctions against aggressive debt-collection practices, defamation, and unauthorized access to contact lists.
  • Data Privacy: Mandatory compliance with national data privacy standards.

The commission noted that updated compliance guidelines will be issued to digital lenders in the coming days to ensure full adherence.