Two online Kenyan Lenders fined by Kenya’s Data Protection Commissioner for misusing Personal data

The Office of the Data Protection Commissioner (ODPC) in Kenya has fined three online lending entities a total of KES 9.3 million ($63,500) for misusing personal data. This move is seen as a step towards enforcing sanity in the online lending space in the country.

One of the companies fined is Mulla Pride Ltd, which operates the online credit platforms KeCredit and Faircash. Mulla Pride Ltd was fined KES 2.9 million ($20,000) for using personal contact information from third parties to shame borrowers into paying their loans.

The other two companies fined have not been named. However, the ODPC said that all three companies were found to have violated the Data Protection Act, 2019 by using personal data in a way that was not consented to by the data subjects.

The ODPC’s move to fine the online lenders comes at a time when there is growing concern about the misuse of personal data in the country. In recent years, there have been several reports of online lenders harassing borrowers and using their personal data for unethical purposes.

The ODPC’s fines are a welcome step, as they send a strong message to online lenders that they will not be allowed to misuse personal data. The fines are also a reminder to borrowers that they have rights under the Data Protection Act, 2019.

Data Protection act 2019

The Data Protection Act, 2019 requires data processors to inform data subjects about processing activities. This includes informing them about their rights, data collection purposes, sharing with third parties, contact details of entities receiving the data, security measures, mandatory and voluntary data collection, and consequences of not providing certain data.

The ODPC’s fines are the first to be issued under the Data Protection Act, 2019. The fines are also the first to be issued to online lenders in Kenya. The ODPC’s move to fine the online lenders is seen as a step towards enforcing sanity in the online lending space in the country. The ODPC’s fines are a reminder to borrowers that they have rights under the Data Protection Act, 2019.

The ODPC’s move to fine the online lenders is a positive step towards protecting the privacy of Kenyans. The fines are also a reminder to online lenders that they must comply with the Data Protection Act, 2019.

It is important to note that the Data Protection Act, 2019 is still relatively new and the ODPC is still developing its capacity to enforce the law. However, the ODPC’s move to fine the online lenders is a sign that the regulator is taking the issue of data protection seriously.

It is also important to note that the fines issued by the ODPC are relatively small. However, the fines are likely to have a deterrent effect on other online lenders.

Overall, the ODPC’s move to fine the online lenders is a positive step towards protecting the privacy of Kenyans and enforcing sanity in the online lending space in the country.

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