Online loan sharks in China are requiring college students to provide nude selfies to them to use as collateral.
China is highly unregulated when it comes to this type of lending. Most all of these loans are done online. They negotiate terms through their smartphones and chat applications. The amounts can be into the tens of thousands with interest rates as high as 30%.
Like any good lender would do, they require something of value in return for the loan to insure that they get paid back. These lenders were experiencing an extremely high default rate, so they had to come up with something digital to be used as collateral since they wouldn’t be meeting the borrowers in person.
Obviously, nude selfies were the answer. After the selfies are submitted, the lender gets all the addresses and phone numbers of the borrower’s friends and family and if he doesn’t pay, the lender releases the picture to the borrower’s friends and family.
Now I can’t help but picture the initial thought process it took to come up with this idea. The ideas they had to turn down to get to that “Eureka!” moment.
Some lender is sitting around wracking his brain, trying to figure out some way to hold something over the borrower if they don’t pay back their loan. Then, BAM, “Eureka!”
If it were me that came up with the idea, I would have immediately told Steve. “I’ve got it! We are going to require them to send us nude selfies!”
And I know exactly how that scene would play out. I would exclaim my newfound wisdom to Steve. He would look at me with pity in his eyes thinking, “Greg has finally broken. The stress has gotten to be too great and we need to get him to a doctor.”
Hey, now that I’m thinking about it, maybe if we got nude selfies from Realtors who get advances from us…