FCCPC Clamps Down on Digital Lenders Over Failure to Regularise Status

James Emejo in Abuja

The Executive Vice Chairman/Chief Executive, Federal Competition and Consumer Protection Commission (FCCPC), Mr. Tunji Bello, yesterday said phased enforcement measures have commenced against Digital Money Lending (DML) operators that failed to regularise their status in accordance with the Digital, Electronic, Online and Non-Traditional Consumer Lending Regulations, 2025 (DEON Regulations).

He said the actions were necessary to give effect to the regulations and maintain regulatory certainty in the country’s digital lending market, in line with the commission’s statutory mandate.

The deadline for regularisation elapsed on January 5, 2026.

Speaking on the commencement of enforcement measures, Bello stated that operators in breach of the regulations had been removed from the FCCPC’s published register of approved digital lenders, pending compliance with applicable regulatory requirements.

In a statement by the commission’s Director, Corporate Affairs, Ondaje Ijagwu, Bello added that as part of the approved enforcement framework, the commission had also withdrawn the conditionally approved status previously granted to certain DML operators that did not complete the required regularisation process within the transitional period.

He said, “The compliance window provided under the regulations has now closed. At this stage, the commission is proceeding with appropriate enforcement steps in a manner that is fair, orderly, and consistent with due process.

“The objective is to promote discipline, transparency, and consumer confidence within the digital lending space, not to disrupt legitimate business activity.”

Noting that the commission’s published register served as an important consumer information tool, Bello said, “The FCCPC’s register is intended to guide the public on operators that have met the applicable regulatory requirements as at the time of publication. Consumers are advised to exercise caution when dealing with digital lenders that do not appear on the Commission’s current list of approved operators.”

FCCPC however, stated that it had commenced structured engagement with relevant application hosting platforms and payment service providers, consistent with its statutory functions, as part of ongoing enforcement and compliance monitoring activities.

It added that further regulatory steps will be undertaken in accordance with law and established procedures.

For those provisionally designated as eligible under transitional arrangements, the commission had issued a deadline of April 2026 to regularise their registration under the DEON Regulations.

Bello said, “This window is provided to enable affected operators to take steps towards compliance. Operators that choose not to regularise their status within this period may be subject to further regulatory measures, as provided under the law.”

The commission emphasised that the ongoing enforcement process was intended to support market discipline, protect compliant operators from unfair competitive practices, and safeguard consumers from abusive, deceptive, or unlawful conduct.