Tragedy struck in Abeokuta over the weekend as a middle-aged woman identified as Mama Dada set herself ablaze in her rented apartment at Oke-Keesi, Itoko area of Abeokuta.
According to an eyewitness, Rasheed Aina, the woman was burnt beyond recognition, and the entire building was also razed. The News Agency of Nigeria (NAN) first reported this story.
Aina, who resides close to the deceased’s residence, revealed that the woman killed herself after she was unable to pay back a loan she took from a popular micro-finance bank.
- “I learnt that the loan was to the tune of N70,000,” Aina said.
A former member of the micro-finance bank, who identified herself simply as Mrs. Adeogun, stressed that “unprecedented embarrassment” usually befell anyone who refused to pay back the borrowed money at the agreed date.
- “One must be a member and a committed one at that before you can be given a reasonable amount of money,” Adeogun said.
The secretary of the Community Development Association (CDA), Mr Micheal Babawale, said that the deceased was owing the sum of N70,000, adding that because she was unable to pay back the money, she then sent her last born to buy fuel.
- “She stylishly discharged the small boy, locked herself up inside the room and wet everywhere with petrol, including herself, and set the whole place on fire,” Babawale said.
The remains of the deceased have been deposited at the State General Hospital, Ijaye, Abeokuta.
When contacted, the Police Public Relations Officer, Abimbola Oyeyemi, said that he had not been briefed about the incident.
This tragic incident highlights the dangers associated with borrowing from micro-finance institutions, especially for low-income earners who might struggle to pay back loans on time.
It is important that lenders exercise restraint and provide support to borrowers who may be experiencing financial difficulties, instead of resorting to intimidation tactics. Borrowers should also exercise caution and only borrow what they can comfortably pay back.
The Federal Competition and Consumer Protection Commission (FCCPC) has been vocal about the need for microfinance institutions to operate within ethical and legal boundaries.
The commission has warned microfinance banks against engaging in deceptive practices, including charging exorbitant interest rates, hidden fees, and unauthorized deductions.
The FCCPC has also urged borrowers to be cautious when obtaining microfinance loans and to report any illegal or unethical practices by lenders. The commission has emphasized the need for transparency, accountability, and consumer protection in the microfinance industry.
