STOP PAYING. THEN UNDERSTAND THE LEGAL REALITY.

First and foremost: when you stop paying these illegal apps entirely, their "overdue interest" calculations become meaningless. You are not responsible for fabricated penalties from an unlicensed lender. They can add a billion naira in "interest" and it has no legal standing.

Now, let us explain what the law actually says versus what these criminals do.

The legal limit on interest (what should happen):

Under Nigerian banking regulations and the Central Bank of Nigeria guidelines, there is what is known as the "90-day policy cap." For legitimate, licensed lenders:

• Interest accrual should stop after 90 days of non-payment
• The maximum interest that can be charged on a delinquent loan is capped at 1% per month (12% annually)
• After the loan becomes non-performing, further interest accumulation is restricted

This framework exists to prevent lenders from creating infinite debt cycles.

What illegal loan apps actually do:

The application you are dealing with completely ignores these legal restrictions. Here is how they operate:

• They add "late fees" daily, sometimes multiple times per day
• They claim interest compounds hourly or daily
• They invent new charges like "processing fees," "rollover fees," and "service charges"
• They have no cap on how much they claim you owe
• They will continue adding imaginary charges indefinitely, even years later

Why their interest calculations are illegal:

This application is not licensed by the CBN. This means:

• They are not bound by banking regulations because they are operating outside the law entirely
• However, this also means they have no legal standing to enforce any interest rate
• No Nigerian court would enforce an interest rate from an unlicensed lender
• Their entire interest structure is a fiction designed to terrify you into paying

What you should understand about their "growing balance":

That number they show you increasing daily is not real debt. It is a scare tactic. Think of it this way: if a stranger on the street claimed you owed them ₦1 million because they said so, would you pay? Of course not. These illegal apps have exactly the same legal standing as that stranger.

Your strategy:

• Stop watching the balance. It is designed to cause you anxiety.
• Stop paying. Every payment validates their illegal interest claims.
• Understand that their "interest" has no legal enforceability.
• Focus on rebuilding your life rather than chasing a fictional debt.