The Securities and Exchange Commission of Pakistan (SECP) has issued a strong warning to the public regarding fraudulent schemes linked to the Barwaqt App, which was previously operated by Seedcred Financial Services Limited (SFSL).
According to the SECP, SFSL is no longer operational, and the Barwaqt App was officially delisted by the commission in August 2024. Despite this, certain individuals are misusing the app’s name to carry out scams, particularly targeting individuals already concerned about loan records and financial standing.
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The commission revealed that some people are using social media platforms to falsely claim they can delete or modify loan default records that were earlier submitted by SFSL to Pakistan’s credit bureaus.
These fraudsters are demanding payments in exchange for these so-called services, luring victims with promises of clearing their credit history.
The SECP strongly condemned these practices, calling them not only deceptive but entirely illegal. It clarified that, under the Credit Bureau Act, 2015, only authorised members of credit bureaus are allowed to submit, alter, or delete loan-related data.
Any attempt to bypass this legal framework is a violation of the law.
The commission urged the public to avoid engaging with such individuals or entities and to refrain from making any payments. It also encouraged citizens to report suspicious activity immediately, as part of wider efforts to prevent financial exploitation and protect consumer rights.
