SHANGHAI: A father has had to sell the family home to pay off huge online loans run up by his teenage daughter at college here in eastern China, according to a local online daily.
The loan sharks were reported to have made the young woman take and hand over nude pictures of herself as a form of ‘insurance’ to make sure that she paid off the loan, threatening to expose the pictures of her if she did not pay up in time. The family have also come under the wrath of the loan sharks’ harassment, news website Youth.cn reported.
Some of the pictures of the woman were published online after she failed to come up with the cash.
The student, Xiao Yu, now owes more than 500,000 yuan (RM316, 000) to 59 lenders, according to the report.
She started to borrow online when she was in the first year of the university at Hefei in Anhui province and had a boyfriend, her father was quoted as saying.
She first borrowed about 2,000 yuan, but her debts began to spiral.
The weekly interest rate on the money she owes now sits at about 30 per cent.
Some debt collectors have regularly contacted her parents and friends about unpaid loans, posting personal information on the online bulletin of her school and sending false messages about her to her classmates, she was quoted as saying.
Her father said: “I would receive at least 30 phone calls a day from debt collectors. Some are extremely tough and hard to talk to.”
Her father earns 4,000 yuan a month as a driver and also has a son.
He was quoted as saying that the only way to pay off his daughter’s debts was to sell the family home. The report gave no details of where the family live.
It is not the first time the Chinese media have reported on women students having to give loan sharks nude pictures.
Some students were even forced into prostitution to pay off debts, with borrowers threatening to release their nude photos, according to previous media reports.
We implore all who are suffering financially to take heed from this story and never succumb to the thought of borrowing from loan sharks.