Top Things You Need To Know About Licensed Moneylender
Banks are those corporate organisations that keep the customer’s money safe and sound. Even you can keep your cash safe in a savings account and/or current account. But do you know that you can get loans from a bank also? Yes, most of the private limited banks and international banks can lend you a certain amount of cash.
Of course, this cash is taken and loaned to the loanee from their customers saving account, so think twice before saving in banks. Now, a money seeker has two options, the first one is bank loans, and the second one is a moneylender.
Are you planning to demand cash from a bank? Many financial experts who are skilled in the banking sector, as well as the financial sector, suggest never to get into the debt trap of a bank loan. Well, there is a reason behind this recommendation.
Firstly, if compared to a moneylender’s loan, bank loans come with an additional charge of interest rate. Imagine paying your loans and thereby wasting more amount in paying extra debts. It’s definitely a bad idea worst idea to get money from the bank.
A banker will act like your friend and somehow try to connive you to take their funding facility. But when it is time for debt collection, the same guy will play the role of a merciless debt collector who will make you squeal whenever you fail to make late payments.
So, if you are still thinking of a bank loan, then check your facts again. Once you make your way towards a moneylender, it is important to understand that there are more than two moneylenders in countries like Singapore.
Two types of moneylender depending upon the legality
- Illegal moneylender
Almost anyone can read the name and say that these types of mortgages are bias and unlawful. To your knowledge, there are laws and restrictions in the field of moneylending to protect the sovereignty and integrity of every loan seeker in the cities of Singapore. Yes, these rules are established by the Singaporean Ministry of law.
Here is expert advice, if you want to differentiate between illegal ones, then look at seriousness towards your eligibility. A loan shark will not care about your documentation and eligibility criteria because their main aim is to somehow give their money to innocent people who are under financial crisis.
If they are not asking for your personal identification documents, property papers and income proofs, then he or she is probably a loan shark.
It’s better to get a bank loan rather than hooking up into the debt trap of an illegal one.
- Legal moneylender
Are you typing ‘what are licensed moneylenders in Singapore‘ and wasting time to get a so-called instant result?
Those individuals or group of many people who are licensed to give their loan facilities to others who needed is called legal moneylender. But the government is full of clever minded who always license the only handful of lenders every time.
They examine their process of providing loans and also look at whether if they are breaking any kind of rules drafted under the government policy, which is related to moneylending. After doing surveys and scrutinising many aspects thoroughly, then they are termed a legal moneylender.
For the ease of public, the administrative office gives a unique identification number, better known as a license number, to determine that the lender is legal and comes under the ministry of law. So, you do not have to rectify the type of mortgager; just look at their license card.
But hang on a minute. There are many important aspects with regards to a licensed moneylender which you will be missing out. Let’s have a check on them.
Things you don’t know about a licensed moneylender
- High approval rates
If we talk about a licensed lender, there is always a chance of high approval rates. Usually, a person who is capable of lending monetary funds is willing to get new customers quickly. After all, even they earn quite good profit from the interest rate.
The chance of getting approval of loans from a legal mortgager in Singapore is an all-time high of 79 per cent, which is quite good if compared to bank loan approval.
But hey, if you need urgent cash, then a licensed lender is always there for you. Just submit your details and get the cash transferred directly to the bank account. Isn’t that interesting?
- Fewer requirements
It would be funny to imagine a loan without documentation. Although, it’s a sad reality that you have to generate all the legal papers and waste your precious time. But do you know that a licensed moneylender does not consider your files?
Yes, there are many loaners in Singapore who can provide monetary funds without asking about your personal documents. They are the only ones who understand your time-bound.
All you have to give away is an original copy of your birth certificate, citizenship card and that. You are all set to get your loan approval at a jaw-dropping speed.
- Payback date
If you are one of those who never pay the loan amount with interest on time, then you must get a licenced lender.
Many times, the mortgager who comes under the ministry of law is not going to force you to pay their money back on time.
Alright, so you can’t pay an 8 per cent interest rate on time because of some reason. If you are lucky enough, you may hook up with those lenders who can decrease your interest rate in such a situation.
They understand and respect your financial crisis.
- Maximum loan amount
A moneylender is known for lending huge amount does not matter if it’s a business or personal loan. Bank can’t fulfil the demand of those who are asking for high monetary funds. Although, a registered moneylender in Singapore can give you the maximum personal loan amount without further delays.
Then why not try a loan from a lender? For the best and friendly policy, you must reach our renowned licensed moneylenders.
