This article explains, end-to-end, how borrowers and other stakeholders can report illegal or abusive practices by lending and financing companies to the Philippine Securities and Exchange Commission (SEC). It covers jurisdiction, legal bases, evidence to gather, filing routes, what to expect during enforcement, complementary remedies with other regulators, and practical templates/checklists. Philippine context throughout.

1) Who the SEC regulates (and who it doesn’t)

Before filing, confirm that SEC is the right forum.

Within SEC jurisdiction

Lending companies (organized for granting loans from their own capital) — governed by the Lending Company Regulation Act (LCRA) and its rules.
Financing companies (broader financing services) — governed by the Financing Company Act and its rules.
Online lending platforms (OLPs)/apps operated by lending/financing companies — subject to SEC registration and special guidelines, including restrictions on debt-collection conduct and data handling.
Corporate compliance of these entities (registration, certificate of authority, reports).

Not within SEC jurisdiction (but see “Where else to go” below)

Banks, non-bank quasi-banks, pawnshops, money service businesses → Bangko Sentral ng Pilipinas (BSP).
Cooperatives offering credit → Cooperative Development Authority (CDA).
Data privacy violations (e.g., scraping your phonebook, doxxing) → National Privacy Commission (NPC).
Telecom/SMS spam → National Telecommunications Commission (NTC).
Labor disputes with a lending employer → DOLE/NCMB.
Crimes (threats, extortion, harassment, defamation, cybercrime) → PNP/DOJ/NBI.
Purely civil disputes on payment/interest computation → courts (including Small Claims for eligible amounts).

If you are dealing with a loan app that shames borrowers, harvests contacts, or uses threats, SEC and NPC complaints often go in parallel.

2) Common grounds for an SEC complaint

Operating without proper authority (e.g., unregistered lending/financing company or no Certificate of Authority; OLP operating without approval).
Use of unfair, abusive, or harassing debt-collection practices, such as:
- Threats, profane/obscene language, shaming, doxxing, or intimidation.
- Reaching out to people in the borrower’s contact list to humiliate the borrower.
- Misrepresenting as a government agent, lawyer, or law enforcement.
- Excessive or repeated calls/messages at unreasonable hours.
False, misleading, or deceptive marketing about loan terms.
Failure to make required disclosures (e.g., finance charges and total cost under the Truth in Lending Act).
Violations of SEC memoranda on online lending platforms (including app store compliance, complaint handling, and reporting).
Refusal to cease illegal practices after prior SEC directives.
Non-submission of required reports (corporate compliance red flags).

Note on interest rates/fees: The Philippines no longer has a general usury cap; however, unconscionable interest and abusive charges can still be struck down by courts. SEC acts on regulatory violations; courts adjudicate contractual money claims.

3) Evidence: what to collect and how to preserve it

Identify the entity

Exact company name, app name, brand names, and SEC registration details (if available).
Corporate identifiers from your contract, receipts, SMS/email footers, app “About/Company Information” page, or official messages.

Core loan documents

Loan application, approval notice, disclosure statement, contract/terms, receipts or proof of disbursement, amortization schedule, payment proofs (transfer/slip/GCash/bank), screenshots of in-app balances.

Debt-collection abuse

Screenshots of messages, in-app notices, emails, and call logs showing dates/times.
Audio recordings (if you lawfully made them) of threatening calls.
Copies of messages to your contacts (with consent from those contacts).
Shaming posts or mass texts — take timestamped screenshots; where possible, export full message threads.
Keep a timeline log: date/time, number used, person claimed to be, what was said/done.

Technical/data privacy

App permissions requested, screenshots of consent flows.
Evidence of contact list scraping or mass messaging.

Corroborating materials

Photo/video of notices posted at your workplace/home (if any).
Any prior correspondence with the company’s “support/compliance” desk.
If your employer or contacts received shaming messages, sworn statements from them describing what they received and when.

Preservation tips

Save files to a secure drive; download your data from the app if possible.

Keep originals; do not edit screenshots (use screen-record where helpful).

Rename files with yyyy-mm-dd timestamps.

For web links, save PDFs or use full-page captures.

4) How to file with the SEC

You may file online, by email, or in person (head office or extension offices). Processes evolve, but the essentials below remain the same.

A. Prepare your Complaint-Affidavit

A concise, sworn narrative under oath is persuasive in administrative enforcement. Include:

Complainant details: name, address, email/phone (you may request confidentiality for sensitive info).
Respondent: exact corporate name; trading/brand names; app names; addresses (if known).
Jurisdictional statement: that respondent is a lending/financing company (or holding out as one).
Material facts: chronological narrative of the acts/omissions (attach your Timeline).
Violations invoked: cite LCRA/Financing Company rules and unfair debt-collection prohibitions; for OLPs, refer to SEC guidelines (no need to quote section numbers if unsure).
Evidence list: numbered annexes (A, B, C…).
Relief sought (“Prayer”): e.g., immediate Cease-and-Desist Order (CDO), fines/penalties, revocation of licenses/OLP approval, order to delete unlawfully collected data, app-store takedown referral, and referral to NPC/DOJ as warranted.
Verification and jurat: sign and have it notarized (or executed via electronic oath if available).

If you cannot notarize immediately, you can still submit a non-sworn complaint with copies of evidence to trigger preliminary evaluation; SEC may later require a sworn affidavit.

B. Attachments/checklist

Valid ID.
Loan/contract documents and disclosures.
Proofs of payment and transaction history.
Screenshots/recordings of threats, shaming, contact-harvesting, etc.
List of affected contacts (with their brief statements, if possible).
Any SEC or NPC reference numbers if you already filed elsewhere.

C. Filing channels

Online submission portal or designated complaint email of the SEC’s Enforcement and Investor Protection Department (EIPD).
Walk-in filing at the SEC head office or Regional/Extension Offices (bring two sets: one stamped “received” for your file).
Postal/courier (keep proof of mailing/delivery).

When filing online/email:

Use a clear subject line: “Complaint vs. [Company/App]: Unfair Collection and Unregistered OLP — Request for CDO”.
In the body, summarize: who, what, when, where, the violations, and the relief you want.
Attach a single PDF bundle (Complaint-Affidavit + annexes) if possible; use file-name conventions and a table of contents.

5) What happens after filing

1) Docketing & initial review. SEC checks jurisdiction and sufficiency. You may receive an acknowledgment and a reference number.

2) Show-Cause / Order to Explain. The company may be required to answer. Failure to respond can lead to ex parte action.

3) Investigative measures. SEC can require data, summon officers, coordinate with app stores and other agencies, or conduct onsite inspections.

4) Interim relief. If there is ongoing harm or prima facie violation (e.g., harassment, illegal operations), SEC may issue a Cease-and-Desist Order (CDO) without prior hearing, subject to later summary hearing on the CDO.

5) Adjudication & sanctions. Possible outcomes include:

Administrative fines and penalties per applicable circulars.
Suspension/revocation of the Certificate of Authority or OLP approval.
Permanent cease-and-desist against abusive practices.
Referral for criminal prosecution (e.g., illegal lending activities).
App store takedown referrals and public advisories warning consumers.

6) Post-order compliance. SEC may require proof of corrective actions (e.g., data deletion, improved collection procedures, compliance officers, report submissions).

Timelines vary. Complex online-abuse cases can involve multi-agency coordination. Always keep your contact details current and promptly respond to SEC requests.

6) Parallel and alternative remedies (often useful to pursue simultaneously)

National Privacy Commission (NPC): for contact scraping, overbroad permissions, shaming/doxxing, and unlawful processing. Request data erasure and cease processing orders.
BSP (if it’s actually a bank/pawnshop/MSB or a bank-owned app).
CDA (if it’s a cooperative).
Courts:
- Small Claims (no lawyers required) for qualifying amounts to recover money/over-collections.
- Ordinary civil actions to contest unconscionable interest/penalties or to seek damages for harassment.
Criminal complaints (PNP/NBI/DOJ): grave threats, coercion, libel/cyber-libel, unjust vexation, anti-wiretapping (be cautious), extortion.
NTC: SMS spam and illegal text blasts.
DTI/Ad Standards: deceptive marketing materials, if applicable.

Filing with NPC or law-enforcement does not bar SEC enforcement; agencies frequently act on their respective mandates.

7) Practical strategies that strengthen your case

Lead with ongoing harm. If threats or shaming are continuing, ask the SEC for urgent interim relief in your opening paragraph.
Name the officers and collection agents when possible. Attach their numbers, emails, usernames, and proof that they represent the company/app.
Map brands to legal entities. Many apps use multiple names; show how the app publisher links to the registered company (screenshots, store listings, payment references).
Quantify exposure. Note number of contacts messaged, frequency of calls, and any lost income or mental distress (for damages in court).
Protect your devices. Revoke app permissions, change passwords, back up evidence first, then consider uninstalling. Warn your contacts not to engage with shaming messages.
Be accurate, not angry. Administrative cases progress faster with clear facts, dates, and annexes.

8) Template: Complaint-Affidavit (sample structure)

Republic of the Philippines [City] x----------------x

COMPLAINT-AFFIDAVIT

I, [Name], of legal age, Filipino, with address at [address], after being sworn, state:

Parties. Respondent is [Exact Corporate Name], doing business as [App/Brand], with address at [if known].

Jurisdiction. Respondent is a lending/financing company (or represents itself as such) under SEC oversight.

Facts. On [date], I obtained a loan of [amount] via [app]… (Provide a chronological narrative; attach Annex A – Timeline.)

Unfair collection/illegal acts. Beginning [dates], respondent’s collectors [names/numbers] sent threats/shaming messages and accessed my contacts without lawful basis… (Attach Annexes B-F – screenshots, recordings.)

Violations. These acts violate the Lending/Financing laws, SEC circulars on unfair debt-collection, OLP regulations, and disclosure rules.

Reliefs Sought. I respectfully pray that the SEC: a) Issue an immediate Cease-and-Desist Order against harassment and unlawful processing of my data; b) Impose administrative fines/penalties, suspend or revoke respondent’s authority/OLP approval; c) Direct deletion of unlawfully obtained data and cessation of contact-harvesting/shaming; d) Refer the matter to the NPC and DOJ for appropriate action; and e) Grant such other reliefs as are just.

Annexes. Annex A (Timeline); Annex B (Contract); Annex C (Disclosure Statement); Annex D (Proofs of Payment); Annex E (Screenshots of threats); Annex F (List of affected contacts’ statements); etc.

VERIFICATION & CERTIFICATION I attest that the facts are true based on my personal knowledge and records, and that I have not commenced any other action involving the same issues (or if there is, state status).

[Signature over Printed Name] [Date]

JURAT (to be notarized)

9) Frequently asked questions

Q1: Can I stay anonymous? You must identify yourself to the SEC for a formal complaint, but you can request confidentiality of personal data and annexes. Witnesses may also ask for confidentiality. For public advisories, the SEC typically does not disclose complainants’ identities.

Q2: Will SEC get my money back? SEC’s primary power is administrative enforcement (fines, CDOs, license actions). Refunds/damages usually require court action. However, SEC orders sometimes lead companies to settle or correct over-collections.

Q3: Do I need a lawyer? Not required for SEC complaints. A lawyer can help with affidavits and strategy, especially if you will also file in court.

Q4: Can I complain even if I signed the contract? Yes. Illegal collection practices and unregistered operations are actionable regardless of what the contract says.

Q5: What if the company is dissolved or “shell”? Provide links between the app, payment accounts, and responsible officers/agents. SEC can proceed against the company and responsible persons; criminal referral is possible.

10) Where else to file (quick matrix)

Scenario	Primary venue	Often file also with
Unregistered lending/financing operations	SEC (EIPD)	DOJ/PNP (if criminal), NPC (if data abuse)
Harassment, shaming, threats by collectors	SEC (unfair collection)	NPC (data), PNP/NBI (threats/libel)
App harvested contacts / overbroad permissions	SEC (OLP rules)	NPC (privacy), App stores (trust & safety)
Bank/pawnshop collector abuse	BSP	NPC/PNP as applicable
Cooperative imposing abusive collection	CDA	NPC/PNP as applicable
Recovering money/invalidating unconscionable charges	Courts (incl. Small Claims)	—

11) Final checklist (ready-to-file)

Correct forum (SEC vs BSP/CDA/etc.).
Complaint-Affidavit drafted and notarized (or ready for e-oath where available).
Annexes labeled and paginated; timeline complete.
Clear reliefs requested (CDO, penalties, data deletion, referrals).
Parallel filings prepared (NPC; police report if threats).
Contact details and preferred mode of notice indicated.
Digital copies saved; physical set prepared for walk-in or courier.

12) Important cautions

Do not obstruct lawful collection. You can assert your rights and report abuse while still communicating in good faith about legitimate obligations.
Be truthful. False statements in a sworn affidavit may expose you to liability.
Mind recordings. Be aware of anti-wiretapping rules; prefer recording your side of communications or using saved texts/chats.
Security first. If you face immediate threats, prioritize a police blotter and protective measures, then notify the SEC.

One-page summary (TL;DR)

Confirm SEC jurisdiction (lending/financing company or OLP).
Gather evidence: contracts, disclosures, payments, screenshots, call logs, and a timeline.
Draft a sworn Complaint-Affidavit with annexes; request CDO and penalties.
File via SEC EIPD channels (online/email/in person).
Pursue parallel remedies with NPC (privacy) and law enforcement (threats/libel); use courts for refunds/damages.
Cooperate with SEC; expect show-cause, possible CDO, and sanctions against violators.

This article is general information for the Philippines and not a substitute for legal advice. For case-specific guidance, consult a Philippine lawyer or a legal aid clinic.