Desperate students use nude pics for loans

A lender threatens to release nude pictures (Nandu Daily)
A lender threatens to release nude pictures (Nandu Daily)

Chinese university students have found a new way to get online loans -- use their nude pictures as collateral.

Borrowers upload their pictures, ID, and family information to online lending platforms. In return, they can access credit.

An insider said naked selfies were accepted by underground companies, who prey on desperate students unable to get bank loans.

The money comes with a catch. According to one borrower, she was charged a 30 percent per week interest rate. If people fail to pay, lenders send the nude photos to their family.

Snapshots of threatening collection messages have been leaked to media. One message shows a lender threatening to send the naked videos of a student to her parents if she didn't repay her money within a week.

"Naked IOUs started long ago. Not only university students but many others also borrowed money with nude pictures," a source told Chinese outlet Nandu Daily.