Introduction

Imagine starting your day only to be bombarded with frantic messages and calls from your friends, colleagues, and loved ones—because a loan app has sent out damaging, false messages about you. Sadly, this nightmare is the reality for many Nigerians who have borrowed money from certain digital lending platforms.

Some loan apps resort to unethical tactics like spreading false accusations, threatening borrowers, and even contacting their personal networks with defamatory statements. But the good news? Nigerian law offers protection. You have the legal right to take action and restore your reputation. This article walks you through the exact steps to sue a loan app for defamation in Nigeria.

What Is Defamation According to Nigerian Law?

Defamation involves any false statement—spoken or written—that damages someone’s reputation. In the context of loan apps, this often includes:

• Falsely accusing borrowers of fraud or criminal behavior
  
  
• Broadcasting defamatory content to your contacts
  
  
• Publishing private information with harmful claims
  
  
• Using abusive or threatening messages to destroy your credibility
  
  

Under Nigerian law, defamation can be pursued as both a civil and criminal offense. The key legal provisions include:

• Section 373 of the Criminal Code Act – covers libel
  
  
• Section 24 of the Cybercrimes Act (2015) – addresses online defamation
  
  
• Constitutional protections – for dignity and freedom from degrading treatment
  
  

Case in Point

In 2022, a Nigerian citizen who delayed loan repayment by just two days was labeled a fraud by the lender. The app went as far as sending defamatory messages to over 50 people in the borrower’s contact list. The victim filed a defamation lawsuit—and won monetary compensation in court. This example shows that justice is possible.

Step-by-Step Process to Sue a Loan App for Defamation

1. Compile Strong Evidence

Before taking legal action, ensure you have concrete proof of the defamatory acts. This could include:

• Screenshots of messages sent to you or your contacts
  
  
• Testimonies from individuals who received those messages
  
  
• Posts made on social media or public platforms
  
  
• Any other records showing intimidation or slander
  
  

2. Report the App to Regulatory Bodies

Notify the appropriate authorities overseeing digital lenders:

• FCCPC (Federal Competition and Consumer Protection Commission)
  
  
  • Website: www.fccpc.gov.ng
    
    
• NITDA (National Information Technology Development Agency)
  
  
  • Website: www.nitda.gov.ng
    
    

You can also lodge complaints via email or their official social media handles. These bodies are actively cracking down on abusive loan apps.

3. Consult a Legal Expert

Get in touch with a lawyer experienced in consumer rights or defamation cases. Your lawyer can help you:

• Draft and send a cease and desist letter to the loan app
  
  
• Initiate legal proceedings if the app refuses to retract the defamatory claims
  
  
• Assess the kinds of compensation you’re eligible to receive
  
  

4. Initiate Court Action

If there’s no response from the app, your lawyer can file a defamation case in a State High Court. Legal steps will include:

• Filing a Statement of Claim detailing the harmful acts
  
  
• Demanding compensation for your emotional and reputational damage
  
  
• Seeking an injunction to stop the app from further defamation
  
  

5. Request Damages

Nigerian courts have previously awarded millions of naira to victims of defamation. You may be entitled to:

• General damages – for emotional trauma and stress
  
  
• Special damages – for any financial loss incurred
  
  
• Exemplary damages – to punish and discourage the app’s misconduct
  
  

6. Raise Public Awareness

While the case is ongoing, you may also choose to expose the app on social media. This helps:

• Alert others about the app’s unethical behavior
  
  
• Pressure the app to stop these practices
  
  
• Get the attention of regulators and consumer protection groups
  
  

Conclusion

Being harassed or defamed by a loan app is not something you have to endure in silence. Legal channels are available to help you defend your name and claim the justice you deserve. If a digital lender has crossed the line, gather your evidence and take action today.

Have you or someone you know been targeted by a loan app? Share your experience in the comments and help raise awareness.