Residents discouraged from using National IDs as collateral security
Mbarara Resident City Commissioner (RCC) Catherine Kamwine has strongly cautioned residents against using their national identification cards as collateral for loans from money lenders.
This was during a meeting held at the RCC’s office in Mbarara City where national IDs were handed back to their rightful owners from money lenders. Kamwine urged citizens to explore government initiatives such as Emyooga, the Parish Development Model and the Youth Livelihood Programme instead of turning to high-interest money lenders.
“People should not risk their national IDs for short-term loans,” Kamwine stated. “There are safer and more sustainable options available through government projects.”
The RCC also addressed money lenders directly advising them to seek alternative forms of collateral and refrain from withholding national IDs from borrowers.
Supporting Kamwine’s stance, Elly Tubwine, the Regional Internal Security Officer for Mbarara condemned the practice of money lenders demanding original IDs as collateral. He warned that those found involved in such illegal activities would face arrest.
This press conference comes in response to numerous complaints received by the RCC’s office regarding money lenders who have been holding onto people’s national IDs leaving them in vulnerable situations. The officials’ actions reflect a growing concern over the safety and rights of citizens in financial transactions, and the importance of safeguarding personal identification documents from predatory practices.
