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Borrowing From A Licensed Money Lender in Singapore

In Singapore, if for some reasons you have to borrow some money for urgent use, besides the traditional money lending facilities such as banks and financial institutions, you can turn to licensed money lenders. These are mainly small businesses or companies that specifically extend monetary credit to mostly the man in the street with not-so-good credit rating in the eyes of official credit bureaus and banks, or the prospective borrower with less earning power that can’t borrow from traditional money lenders.

When you borrow from licensed money lenders, first you need to find out from the Singapore’s Registry of Moneylenders for a listing of legitimate and licensed operators. If time permits, do some calling and web search of most of these lending companies, before you narrow down to a few choices. Ask about their interest rates, the way they calculate their interest, and any hidden fees or charges for late or non-payment, not that you won’t be repaying the installments late. This round of fact-finding is more for the transparency of their services than anything else.

hand full of money

Once you have maybe three or four choices, visit them personally and ascertain for yourself their physical office/shop, and their personal attitudes in handling people and business-at-hand. Though looks and facades may be deceiving, it still warrants an actual visit to get a first-hand feel of the potential licensed money lender that you will eventually borrow from. For those shortlisted, ask more questions about their mode of doing business, going in depth on every possible angle you can think of in the business of lending money. After this round of intense questioning, make your decision, which is usually a mix of rational and gut feel.

Now that you have found the licensed moneylender which you feel is the right fit for you, ask even more questions. Cover all grounds that you know of in money lending. When eventually you are satisfied with your chosen licensed money lender, transact. Borrow only what you need, rather than what you may want. As a rule of thumb, work out your finances, budget your monthly take home salary, and only use your disposable income as repayment of your loan. Never exceeds the amount of your disposable income. If you do, you will be seeing yourself perpetually in debt trying to clear your loan(s).

Work out the repayment terms with the licensed money lender. Make sure you scrutinise the fine print, that is the terms and conditions of the loan contract before you sign on the dotted line. Remember, your repayment must be within the amount of your monthly disposable income. Repay the installment amount as worked out between you and the licensed money lender in full as stipulated in the contract’s cyclical period. At all times do not missed any repayment, as late fees and charges will kick into effect, and increase exponentially the final amount repayable, versus the principal amount loaned in the first place. This regular repayment will mininise unhappiness on both you and the licensed money lender, and eventually your loan will be cleared in due time.

Personal Loans For People Having Poor Credit History – Explained

Almost every individual has to go through a period of financial uncertainty. There are wide number of reasons and to counter the situation, they do need additional funds. It is the same for people having bad credit history as well. They do find it tough to combat the monetary crisis. Besides, they are not quite in a position to avail the loans, since their loan application is never likely to get accepted. But that does not necessarily mean they are incapable of obtaining the funds. In fact, there are some alternatives which they can consider availing. However having a proper understanding of the circumstances will help them source the loans on the basis of their specific need. The idea is to look for a sustainable option that is affordable and can be availed with relative ease.

The circumstances have changed and it is now possible to avail the loans, despite having a poor credit rating. Moreover, these loans do provide the flexibility, which is essential for the borrowers when it comes to tackling the various needs and demands.

Bad credit personal loans – Learn More

Avail Personal Loans at your own convenience

The existing conditions of the borrowers vary. This is why they will prefer an alternative that allows them the freedom to derive the funds, as per their specific condition. In context of the personal loans, the borrower stands to derive the funds in secured and unsecured form.

Secured Personal Loans – These loans are collateral based and are ideal for those who are in need of a bigger amount and are in a position to pledge collateral. While the repayment term spans over a longer period, the interest charged is marginally low. However, failure to make the payments on time may pose substantial risk to the asset pledged.

Unsecured Personal Loans – As for the unsecured personal loans, there is no such need to involve any collateral. This option is suitable for those who are looking for a smaller amount. The repayment term is quite limited and the interest rate charged is comparatively high.

Depending on the crisis, this classification of the loans enable the borrower to source the funds without having any confusion.

Using the Loans to Improve the Credit Score

A large proportion of the borrowers are always trying to find a way to rebuild their lost credibility. With these loans, they have a chance to enhance their credit score. Although securing the loans is a bit risky with a bad credit rating, by making repayments on time will somehow help to establish the credibility. But to do so, you have to abide by the terms and ensure to repay the amount borrowed within the agreed time period.

Personal loans seem to be a manageable option that at least lets you to get back on the feet. If you are going through a difficult period and want to secure your financial stability, then obtaining the loans might be of some assistance. At the same time, you need to be sure about the alternative and use the funds sourced in an effective manner.