Digital India Trust Agency (DIGITA)
The Digital India Trust Agency (DIGITA) is a proposed entity by the Reserve Bank of India aimed at combating cyber fraud and curbing the proliferation of illegal lending apps. It intends to verify digital lending applications and maintain a public registry of those verified, thereby enhancing transparency and accountability within the rapidly growing digital lending sector. This move is part of broader efforts to regulate digital lending practices, ensure borrower data protection, and establish a safe and trustworthy digital lending ecosystem. The agency is expected to play a crucial role in the prevention of unauthorized financial activities and abusive debt-collection practices by establishing a rigorous verification process for digital lending apps and creating a code of conduct for the same. Additionally, it will collaborate with other entities like the IT Ministry and tech companies like Google to remove unverified apps, promoting a safer digital lending space. The establishment of DIGITA is seen as a significant step towards ensuring consumer protection while fostering innovation and trust in the fintech and digital lending industries.
