The Securities and Exchange Commission of Pakistan (SECP) has revised the rules for online lending apps.

Under the new rules, online loan companies are restricted from providing loans of more than Rs25,000 to a single user.

Addressing the media at a workshop in Islamabad on Tuesday, officials said that the SECP was taking measures to curb online scamming and companies charging exorbitant interest rates.

The online lending companies will not be barred from charging customers more than double the loan amount during the repayment process.

Likewise, a customer is now limited to borrowing up to Rs75,000 simultaneously from three different lenders. This move is a response to the prior exploitation of consumers, with companies previously charging more than five times the tax on loans.