Chinese Loan Sharks Demanded Nude Photos Of Young Female Borrowers
June 17, 2016 in Daily Bulletin
Business Insider wrote about an unconventional form of collateral:
- Young women seeking loans were being asked to provide nude photos of themselves, along with photo ID.
- If they fail to repay the loan, the lenders threaten to publish those photos on the internet.
- They may also ask for the contact details of family members or roommates so that they can credibly threaten to send the photos to people the defaulting borrower knows.
- Fortunately, it seems like the practice has been suspended ever since it has come to light.
Read more here.
Source: Business Insider
I think you mean ‘borrowers’ not ‘lenders’. Otherwise, this is one messed up incentive system.
Fixed – thanks.
The news report indicates that reporting about the practice meant that people were more scared to do it. There’s a concern though that the opposite could happen – widespread reporting about it could spread this idea and give it to others who hadn’t considered it?