The Philippines Securities and Exchange Commission (SEC) has issued a cease and desist order (CDO) against Convenience Cash Lending Corporation. The company, operating under the names Zada Cash and Bloom Cash, has been ordered to immediately halt its unregistered lending activities.

This includes all declared online lending platforms (OLP) associated with Zada Cash and Bloom Cash.

The SEC Financing and Lending Companies Department issued the order, dated May 27. This action follows Convenience Cash Lending Corporation’s failure to comply with a previous SEC directive from July 6, 2023.

That earlier order required all OLP operators to register with the Credit Information Corporation. This is a mandate under Republic Act No. 11765, also known as the Financial Products and Services Consumer Protection Act, and its implementing rules and regulations.

Previously, the Securities and Exchange Commission had also cancelled the corporate registrations and secondary licences of 401 lending companies after all of them failed to meet reportorial requirements.

The SEC underscored the importance of the CDO. They stated that its issuance is crucial for safeguarding the public and financial consumers in the Philippines. The commission aims to protect them from potential fraud, injury, or harm that unregistered lending operations can cause.

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