It happens that we encounter some difficulties that may require financial assistance. That is why we turn to our friends, relatives, and moneylenders. Keep in mind though that you must only seek those that are licensed moneylenders, and here are some tips on how to choose the perfect moneylender.
Things to Consider
There are many moneylenders in Singapore that you can run to, but not all of them are reliable and can provide you with professional assistance whenever necessary. You should always make sure that the lender should give you credible advice as well as reasonable repayment schedules.
Helpful Guide To A Perfect Moneylender
Once you have thought over the things that you should consider, let us move forward on how you can find the moneylender that is tailor-made for you. Here are some of them that you can check:
- Credibility of the moneylender. It should make sense that before you go to this moneylender, you should check first its reputation. Reputation matters in this kind of business. Always look for licenses to make sure that they are operating legally. Do your research and make sure that you choose a moneylender that has been in the industry for some years.
The length of the year of the institution will show you the reflection of the business performance and their reputation.
- Interest Rates. We already accepted the fact that when we apply for a loan, there’s always an interest rate that we need to pay. Make comparisons on what other money lenders are offering when it comes to their interest rates. Here are other factors that you should check.
- Hidden fees and other essential details that are indicated in the contract’s fine print before you start signing. It is better that you know all the details, and this will prevent you from other disclaimers that you may not notice.
- Think twice if the lender is offering low rates that seem too good to be true.
- Take time in choosing the right lender. Again, do thorough research before you commit. The last thing that you would want is to be tied up to a fraudulent moneylender.
- Application and Approval Process. We all know that it is a daunting task to apply for a loan from any banks especially for those individuals who have a poor credit rating, it is nearly impossible for their loans to get approved. There are still some moneylenders in Singapore that can offer loans to those individuals who have a bad credit since this will help in improving their rating.
- Flexible Loan Repayment Schedules. You need to identify your preferred loan repayment amount before you send your application form. You should always discuss with the lender your choice of repayment scheme as this will affect your ability to repay your loan in full. Choose a lender who can give you the following options when it comes to:
- Repayment terms
- Interest Rates
- Loanable Amount and other issues relevant to getting the best loan package.
- Loan Product and Services. Once you have assessed the lender’s credibility, reputation, interest rates and, the approval process you should take a look at its product and services. It would be best to choose an institution that offers a range of loan products since you no longer need to look further when you require multiple loans from one lender in the future. Here are some common loan packages that companies offer:
- Personal Loan
- Payday Loan
- Foreigner Loan
- Business Loan
- Unsecured Loan
- Vacation Loan
- Debt Consolidation
- Check Government for Licensed Money Lenders. There should be a listing for licensed money lending institutions in Singapore as provided by the Singapore Moneylenders Act. Chapter 188. Like what I have said the legitimacy of the institution is fundamental. This will ensure you that you are going through the correct processes without any worry when you are borrowing money.
- Ask Relatives and Friends. For sure, some of your relatives and friends had an instance that they borrowed money from a moneylender. You can ask them and also seek advice. It will expand your options and will give you an idea of which institution to choose from.
There are many moneylenders but again make sure that you have the correct one that will suit you. Make sure that you do your assignment first and conduct thorough research. It is essential so that you will not have any stress and doubt with the moneylender that you have signed on to.