Singapore has been experiencing a debacle on issues which include illegal or unlicensed money lenders, even leading to a proposal that such actions be sanctioned as a crime. With the ever increasing steep of living costs and tighter cash flows, it is sometimes inevitable for a person to experience a need for quick cash. What a lot of people don’t realize is that it is always safer to take out a loan from a licensed money lender for their own ease and protection.
In a general sense, money lending has become an accepted form of business and proof to this is the emergence of multiple money lending shops such as listed in reliable licensed moneylenders. They specialize in providing various loan packages such as personal loan, payday loan, and foreigner loan. The loan advisers they have are all properly trained and equipped with knowledge for the best loan terms for every borrower.
Here are a few other important reasons why it is wiser to choose a legal money lender Singapore than an unlicensed one or a bank.
1. Fast procedure
It is relatively quicker in terms of the time you have to spend applying for a loan in a money lender than in a bank. With banks, there is a high chance that you get rejected if you don’t have the collateral or a good credit history. Completion of requirements are also not too time consuming since you only need an ID, proof of residence, and pay stubs/tax returns.
2. Protection of borrowers under law
Strict policies are being implemented in Singapore on lenders to ensure that they are following standard protocols. If a lender uses harassment methods on borrowers, the borrowers can report them and they can have the money lender’s license revoked.
3. Protection from identity theft
Unlicensed money lenders usually ask for a borrower’s Singpass login details which they can later on use to obtain other personal information.
4. No assets needed
Low income people benefit the most in choosing legal money lenders since they can get instant cash regardless if they have good credit score or not.
5. Competitive interest rates
Illegal money lenders are notorious for doing a markup of extremely high interest rates. A legal money lender on the other hand will offer only competitive rates and flexible payment plans depending on the borrower’s capability to pay and situation.
If you are currently thinking of taking a loan, it is best to go to a legal money lender Singapore. Transactions will surely be quick, easy, and hassle-free.