Latest in Gear

Image credit: Omar Marques/SOPA Images/LightRocket via Getty Images

Google bans predatory payday loan apps from the Play Store

It's trying to prevent exploitative behavior, but companies aren't happy.
862 Shares
Share
Tweet
Share
Save

Sponsored Links

Omar Marques/SOPA Images/LightRocket via Getty Images

Google has fought predatory loans for a while, but now it's taking that fight to its app store. The Wall Street Journal has learned that Google recently banned Play Store apps with "deceptive or harmful" personal loans where the annual percentage rate is 36 percent or higher, such as many payday loans. A spokesman said the expanded financial policy, implemented in August, was meant to "protect users" against "exploitative" terms.

Apple doesn't have a similar ban, but told the WSJ that it routinely reviews its App Store rules to "address new or emerging issues."

To no one's surprise, affected lenders aren't happy -- this forces them to either offer lower rates or bow out entirely. Online Lenders Alliance CEO Mary Jackson repeatedly maintained that the companies' practices were allowed, arguing that the ban hurts "legitimate operators" as well as customers looking for "legal loans."

While there won't be too many people mourning the absence of these loans, Google's decision does raise the question of whether store operators should ban apps whose business models are ethically shaky, but still legal. Much like retailers' approaches to e-cigarettes, tech giants may have enough power to decide whether or not entire business categories can succeed.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
862 Shares
Share
Tweet
Share
Save

Popular on Engadget

Apple TV+'s head of scripted and unscripted shows has left the company

Apple TV+'s head of scripted and unscripted shows has left the company

View
Snap Spectacles 3 review: A better, more sophisticated novelty

Snap Spectacles 3 review: A better, more sophisticated novelty

View
Disney+ has arrived, here's everything you need to know

Disney+ has arrived, here's everything you need to know

View
Disney+ gets every 'Star Wars' movie in 4K, Dolby Vision and Atmos

Disney+ gets every 'Star Wars' movie in 4K, Dolby Vision and Atmos

View
What's on TV this week: 'The Mandalorian'

What's on TV this week: 'The Mandalorian'

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr