Online Chinese loan sharks demand naked pictures from female students of university to secure loans, called ‘nude loans’.
Using online social media platforms, such as qq.com, the loan companies claimed the pictures would be used as guarantees to ensure the borrowers pay on time, says Daily Mail.
According to reports in People’s Daily , the desperate borrowers must send naked photos of themselves along with their student IDs and the contact details of their families as a guarantee in order to get a loan.
The loan sharks warn the borrowers they will release the information to the public or send the photos to the borrowers’ families, if they fail to make payments.
The practice is observed in different cities in China and is mainly carried out via social media.
People’s Daily spoke with one student, named as Li Li, who sent the nude photos so as to borrow 500 yuan (about £55) from an online loan company with a weekly interest of 30 per cent.
When she was unable to meet the conditions, she borrowed the same amount again the following week.
And when Li Li didn’t have the money to give the loan sharks, they threatened to send the photos to her family and publish them online.
Her debt has now reached 55,000 yuan (almost £6000).
