Seeking financial assistance from moneylenders in Singapore may be a catastrophe if correct decisions are not made. Consider first if the moneylenders are licensed or not licensed before any loan application.
Licensed moneylenders are registered by the government and strictly follow policies set by the government. Their interests are pretty standard and straightforward since all operations are monitored.
Make an astute decision to visit a bank or any other suitable moneylenders in Singapore like SU Credit Company to acquire any coinage. If you go for lenders not accredited to offer loans, you might face worries like high-interest rates or con you to pay some amounts to secure credits.
Go through all moneylenders and check if they are licensed to evade any difficulties that may arise; compare all lenders and shortlist the few companies that suit you, and you feel offer the best contract.
Benefits of Accompanying Licensed Money Lenders
Subscribing to licensed moneylenders may be linked with endless benefits.
1. Rational Interest Rates
Licensed moneylenders tend to provide reasonable interest rates. This is unlike the loan sharks who provide unreasonable interest rates. You even find that they aren’t straightforward with what they are offering.
Thereby, try your best to consult a licensed moneylender who will assure you of flexible repayment terms too.
2: No Hidden Charges
All moneylenders in the market aim to generate more earnings from their funds. Therefore, you must be keener and more selective when making choices of moneylenders.
Unlicensed lenders may make imaginary boasts of offering loans to persons at a very low-interest rate as compared to others, while they are not.
These companies don’t have any fees that might be hidden, as other unlicensed companies tend to have an excuse to hold clients for more extended periods. These companies only demand interests in money they lend a client, no further cash inclusivity.
By selecting licensed moneylenders in Singapore, you will have no stress of any hidden charges. Such companies have a good rank in the country and are not ready to tint their name and deteriorate customer relations.
3: Their Terms And Conditions Are Pliable
Licensed moneylenders have not set rules or limitations for their clients who need short-term credits; you can utilize finances for any purpose you want. Licensed moneylenders have straightforward terms that won’t leave you puzzled about what is needed.
When your financial stability deteriorates, they never harass you after borrowing or whenever their cash puts you into a monetary crisis. Uprightness, openness, and answerability are the big reasons they remain at the pinnacle of clients’ choices when seeking loans.
4: Unpretentious And More Convenient
Loans from these authorized companies are readily available, and one can access them through online websites and platforms. Do a detailed analysis of the moneylender you intend to cave in your documents.
The big reason behind this is that unlicensed moneylenders may decide to use your records for malicious means. Therefore, do thorough research before approaching a moneylender.
How Do You Check If Money Lenders Are Licensed?
1: Check If That Company’s Name Is On Minlawa’s Register
A good way to determine if a company is authorized to lend money is to check the list of licensed moneylenders in Singapore. Every month, they avail an updated list of all moneylenders allowed to loan individuals.
This information provided by the register will inform those with interest in securing loans to differentiate the licensed and unlicensed moneylenders.
2: Be Acute On Adverts Made By Money Lending Companies
If companies keep on calling and tending to offer loans via mobile phones, the possibility of them being unlicensed moneylenders in Singapore is very high or a licensed company going against rules and regulations.
Following MinLaw’s website rules, they have shortlisted a few channels where registered lenders display their legal information about loans. They are business directories, licensed moneylender websites, and adverts placed on the company’s doors, gates, and windows.
Before making any decision about seeking a loan depending on advertisements, seek full details from the company.
3: Investigate If The Company Has A Physical Address
Most licensed moneylenders tend to have a physical address that you can go to when in need of a loan. Thereby, try and check their website to see if they have highlighted their physical address.
Loan approval without visiting companies’ premises may sound like a scam. Also, acquiring loans by meeting up in unknown places is not a legit deal. Make a definite check on the solemn list of licensed moneylenders.
4: Licensed Money Lenders Need Face To Face Affirmation
It has become a trend for all moneylenders to offer loan applications online due to technology modernization. However, licensed moneylenders still need physical assurance to process your loan.
Physical appearance on the premises of a licensed moneylender is necessary before progressing to loan disbursement.
What A Licensed Money Lender Cannot Do When Collecting Debts.
1. Cause Harm
When licensed moneylenders are collecting debts, they are not given the mandate to cause any harm to you.
In case it happens, they are severely punished. In Singapore, if you make an individual unconscious or cause wounds to the body, the punishment is two years imprisonment.
2. Wreck Your Property
Licensed moneylenders don’t have a right to alter your property, not even putting posters on your door. In Singapore, this is a severe offense, they should not even dare to embarrass you. In case they do, they are heavily fined.
3. Tracking Down A Debtor
This includes approaching your family and close friends, coming to events you are attending, visiting areas you visit frequently, and following you. This is illegal and unlawful. A good money lending company won’t do that.
Trying to secure loans from companies is a tragedy and frightening to most individuals. Going through detailed information about loans can be massive. Do good research on licensed moneylenders on government websites. Never deal with unsanctioned companies since they have very unlogical fees and illegal charges.