By AZE.US
The rapid expansion of digital banking has made loans easier to obtain in Azerbaijan, but it has also created new opportunities for fraudsters.
Criminals who gain access to personal data, phone numbers or verification codes may attempt to take out online loans in someone else’s name and transfer the money to their own accounts.
Discovering such a loan does not automatically mean the victim must repay it. At the same time, the debt will not simply disappear without an investigation and a formal challenge.
Banks, law enforcement agencies and courts must establish how the loan was issued, what identity-verification methods were used and where the money was transferred. They may examine an electronic signature, video identification, facial recognition, a one-time password, the device used to submit the application and the account that received the funds.
If a person did not apply for the loan, sign the agreement or receive the money, they have the right to dispute the debt. The key issue is proving that the agreement was concluded without their knowledge or genuine consent.
The use of an OTP code can complicate the case. If the account holder shared a verification code with fraudsters, the transaction may appear legitimate to the lender. However, the code alone should not replace a full examination of who completed the identification process, submitted the application and received the funds.
What Victims Should Do
Anyone who discovers an unauthorized loan should immediately submit a written complaint to the bank or nonbank credit institution and request:
- A copy of the loan agreement and application;
- Details of the identity-verification procedure;
- Information about any electronic signature or OTP code used;
- Data on the phone number and device used to apply;
- The account details to which the loan was transferred;
- A copy of the video-identification record, if available.
The victim should also file a complaint with law enforcement authorities and retain all bank notifications, correspondence, screenshots and official responses. These records may be needed during an investigation or court proceedings.
Azerbaijan’s Supreme Court has advised citizens to monitor bank notifications, regularly check their accounts, protect biometric data and never share SMS or OTP verification codes. Customers should also notify their bank immediately after changing their mobile number.
Another common scheme involves promises of a quick loan in exchange for an advance “registration” or “insurance” payment. Fraudsters may, for example, demand 30 manats to open a supposed 1,000-manat credit line before asking for card information and verification codes.
The central question is whether the citizen personally entered into the loan agreement and received the funds. If fraudsters obtained the loan without the person’s consent, the debt can be challenged.
Acting quickly is essential, as an immediate complaint makes it easier to document the fraud and protect the victim’s legal and financial interests.
AZE.US