Updated for Philippine law and regulators. This is general information, not a substitute for advice from your own lawyer.

Short answer

No. Online lenders cannot send the National Bureau of Investigation (NBI) to arrest you or “get a warrant” merely because you did not pay a loan. Non-payment of a purely civil debt does not, by itself, create criminal liability and warrants are issued only by judges in criminal cases upon a finding of probable cause. What lenders can lawfully do is demand payment, charge contractually agreed (and lawful) fees/interest, and sue for collection in court (often via small claims). Certain separate criminal acts—like issuing a bad check (B.P. 22) or obtaining a loan through fraud (estafa)—can lead to criminal cases and, if a judge issues one, a warrant. But those require additional, specific facts beyond simple non-payment.

The legal framework, at a glance

Constitution (Art. III, Bill of Rights):
- Warrants of arrest/search issue only upon probable cause personally determined by a judge, after examination under oath of the complainant and witnesses, and must particularly describe the person or things to be seized.
- No imprisonment for debt (Art. III, Sec. 20). This means you cannot be jailed just for owing money under a contractual loan. (This does not protect against penalties for separate crimes such as B.P. 22.)
Revised Penal Code (RPC) & Special Laws:
- Estafa (swindling) requires deceit or abuse of confidence at the time of obtaining the money/property; mere failure to pay later is not estafa.
- B.P. 22 (Bouncing Checks Law) penalizes the issuance of a worthless check. It applies only if a check was actually issued; app-based disbursements without checks are outside B.P. 22.
- Cybercrime Prevention Act (R.A. 10175): relevant to abusive online shaming or doxxing by collectors (possible cyber-libel, threats).
Regulatory laws & rules (selected):
- Lending Company Regulation Act (R.A. 9474) and SEC rules govern lending/financing companies and online lending platforms (OLPs), including prohibitions on abusive collection (e.g., contacting your phonebook, shaming, threats).
- Financial Consumer Protection Act (R.A. 11765) empowers regulators (e.g., SEC for lending/financing companies; BSP for banks) to police unfair, deceptive, abusive acts or practices (UDAAP).
- Data Privacy Act (R.A. 10173): unauthorized harvesting/processing of your contacts, photos, or sensitive data, or disclosure to third parties without proper basis/consent, can be actionable.
- Credit Information System Act (R.A. 9510): defaults may be reported to the credit registry/credit bureaus through lawful channels, not through public shaming.

What the NBI can and cannot do in debt cases

Cannot:
- Issue warrants (only judges can).
- Arrest you just because a lender complained you haven’t paid.
- “Place a hold on” your NBI Clearance. (An NBI “hit” appears if there is a filed criminal complaint or case in its database. Lenders cannot create this on their own.)
Can:
- Investigate if a criminal complaint is filed (e.g., estafa with sufficient allegations; B.P. 22 if checks are involved; threats, harassment, or privacy crimes by collectors).
- Serve or implement a judge-issued warrant in a criminal case.

When can a warrant of arrest issue?

A warrant issues only if:

A criminal complaint or information is filed (e.g., estafa, B.P. 22, grave threats), and
A judge personally determines probable cause after evaluating evidence and sworn statements, and
The judge issues a written warrant particularly describing the person to be arrested.

Key point: Simple non-payment of a loan = civil liability, not criminal. Without a valid criminal case, there is no warrant to be issued or served.

Civil collection vs. criminal prosecution

Civil side (most unpaid app loans fall here)

Demand letters: Lenders may send lawful demands and compute amounts due (principal, interest, penalties, fees) as allowed by contract and law.
Small claims / ordinary civil action: The lender can sue for sum of money.
- Small claims (no lawyers needed, streamlined rules) apply up to a monetary ceiling set by the Supreme Court (periodically adjusted). If the claim is above the ceiling, the case proceeds under regular rules.
- Judgment can lead to execution (e.g., garnishment, levy on property) but not imprisonment.

Criminal side (requires extra facts)

B.P. 22: Only if you issued a check that later bounced, with the required notices and presumptions satisfied.
Estafa: Requires deceit/fraud at inception (e.g., falsified employer, fake IDs, deliberate misrepresentation to induce the loan). Mere inability to pay later is not deceit.
Other crimes: Threats, harassment, illegal access to your device or contacts, public shaming (possible libel/cyber-libel), and privacy violations may expose collectors—not you—to criminal liability.

Abusive collection practices: what’s prohibited

Regulators and the Data Privacy Commission have repeatedly warned against abusive tactics, including (illustrative, not exhaustive):

Harvesting your phonebook and messaging your contacts/employer to shame or coerce payment.
Threatening arrest, NBI involvement, immigration “watchlists,” or detention absent a real criminal case.
Posting your photos/loan details on social media or messaging groups.
Harassment (repeated calls at odd hours, profanity, threats) or impersonating public officials.

These can trigger administrative sanctions (fines, license suspension/revocation), civil damages, and even criminal complaints (privacy, threats, libel).

Interest, fees, and “over-the-top” charges

Usury ceilings were effectively lifted, but courts can strike down unconscionable interest and penalty charges.
The SEC has capped certain charges for lending/financing companies and their online lending platforms via circulars. (Exact caps and computation bases are set in those issuances.) Even within caps, lack of transparency and hidden fees may be unlawful under financial consumer protection rules.
Late fees and penalties must be contractual, disclosed, and lawful; compounding penalties and layered “processing” charges are frequently challenged.

What online lenders may lawfully do if you default

Send a formal demand and attempt to negotiate restructuring.
Report your behavior to the Credit Information Corporation (CIC) and accredited bureaus through proper channels.
File a civil action for collection (often via small claims), obtain a judgment, and pursue lawful execution (e.g., bank garnishment if they identify accounts, levy on non-exempt property).
Refer to external counsel/collectors who must still follow legal and regulatory limits.

They may not lawfully:

Threaten or pretend to send the NBI or “get a warrant” without a real criminal case.
Harass you or doxx you and your contacts.
Access or process your personal data beyond what’s lawful and consented to.

Practical guidance for borrowers

Document everything. Keep screenshots of messages, call logs, payment receipts, app terms, and privacy permissions.
Ask for a computation. Request an itemized statement (principal, interest, fees, penalties, dates). Dispute unlawful or unexplained charges in writing.
Propose a plan. If you can’t pay in full, offer a realistic installment or restructuring. Put it in writing and keep proof.
Do not be pressured by fake threats. Demand the case number and court if anyone claims there’s a warrant; you can verify directly with the court. Absent that, treat it as harassment.
Protect your data. Revoke app permissions; change passwords; consider a new SIM if harassment is severe. File a privacy complaint if your contacts were messaged.
Escalate abuse. You can complain to:
- SEC (for lending/financing companies & their online platforms),
- National Privacy Commission (for data/privacy violations),
- NBI/PNP (for threats, extortion, cyber-harassment or other crimes),
- DTI (for unfair trade practices, as applicable).
If sued (small claims): Appear on the hearing date. Bring your documents; raise defenses like unlawful charges, incorrect computation, or payments not credited. Non-appearance can lead to a default judgment.

Frequently asked questions

Can I go to jail for not paying my online loan? Not for the debt itself. Jail is possible only if you are convicted of a separate crime (e.g., B.P. 22 for a bad check; estafa proven with deceit at inception; threats, etc.).

Can a lender “flag” my NBI clearance? No. An NBI “hit” reflects filed criminal complaints/cases. Lenders cannot place you on any NBI list by themselves.

Can they get a hold-departure order (HDO)? HDOs/watchlists are not debt-collection tools. They issue in criminal cases (or specific court proceedings). Unpaid debt alone will not trigger an HDO.

They messaged my boss/family. Is that legal? It’s generally prohibited as abusive collection and may violate data privacy and anti-harassment rules. Preserve evidence and complain.

They added outrageous fees. Do I have to pay them? You are liable only for lawful, agreed, and properly disclosed charges. Unconscionable interest/penalties can be reduced or voided by courts.

What if I issued a check that bounced? Then B.P. 22 risk exists. Act quickly: settle, secure a written acknowledgment of full payment, and consult counsel to manage the criminal aspect.

For lenders and collectors (compliance snapshot)

Ensure your company and app are properly registered and licensed. Unlicensed lending is sanctionable.
Adopt clear, prominent disclosures (APR/effective rates, fees, penalties, collection policies, privacy practices).
Never: threaten arrest; impersonate public officers; contact a borrower’s phonebook; publish private data; use profanity or slurs; call at unreasonable hours.
Maintain consent-based, minimal, purpose-bound data practices under the Data Privacy Act.
Keep auditable records of demands, computations, KYC, and borrower communications.

Bottom line

Unpaid online loans are principally a civil matter.
The NBI does not act as a private collector, and no warrant issues without a judge in a criminal case backed by probable cause.
Abusive collection is itself punishable. Borrowers should assert rights; lenders must comply with consumer protection, data privacy, and fair-collection standards.

If you’d like, I can draft a tailored demand/response letter, a complaint outline (SEC/NPC), or a small-claims defense checklist based on your situation.