It’s fundamental to borrow from a licensed legal money lender in Singapore. There are numerous benefits of applying for a loan from a licensed moneylender. Borrowing money from unlicensed firms is accompanied by various problems, including harassment and higher interest rates. If you’re facing a financial crisis, it’s essential to select a reliable and licensed moneylender. In Singapore, there are three steps of applying for a loan from a reliable and licensed legal money lender. These steps include:
– Submission of loan quotation- mostly, done on an online platform or website.
– Select your favorable loan quotes- choose a licensed and suitable money lender and the offered quote.
– Interview- Singaporeans will only get a loan from a licensed and reliable moneylender after the interview. The interview is conducted by a loan officer.
Before choosing a licensed and reliable moneylender, it’s important to check the flexibility of the loan plans. A licensed financial institution is registered with the Ministry of Law. This is important because you’ll be assured of privacy and credibility.
Below are the benefits of choosing licensed moneylenders in Singapore.
1. Easy and Convenient
Borrowing money is important, especially if you’re intending to improve the growth and development of fruitful projects. Applying for a loan from a licensed moneylender is important because it involves simple and easy steps. These loans can be applied via online websites or platforms. It’s important to evaluate a moneylender before submitting your documents. The main reason behind this is that unlicensed moneylenders can use your identity in criminal acts. An online application is simple and convenient because you’ll receive the money within a short period of time.
2. Higher Approval Rate
Licensed and reliable moneylenders will help you secure a loan, even if you don’t have a good credit score. Most lenders won’t follow your financial history in the entire process. Although, it’s important to have an excellent credit score in order to stay on the safer side.
3. Avoid Harassments
Illegitimate money lenders will harass a client in the maturity date of the loan. A licensed moneylender in Singapore will follow strict rules laid in this industry by the government. Violation of these rules can lead to a certain jail term, loss of the license, and monetary fines. Therefore, the right moneylender will ensure your rights are protected within the entire process. Expert moneylenders in Singapore will give you advice on how to manage your funds properly so that you can stick to the repayment schedule.
4. Affordable Interest Rates
Unlicensed moneylenders will charge you abnormal interest rates because they act as a monopoly. Illegitimate moneylenders will control the interest rates. This isn’t the right channel for getting a loan because, in the long run, you’ll end up spending a huge amount of money. Licensed moneylenders are registered under the Registrar of Moneylenders act. They’ll, therefore, follow the provided interest rate. Licensed and reliable moneylenders will adhere to this rule because violation of the rule has severe consequences.
Securing a loan from a licensed moneylender has the above-listed benefits. A licensed moneylender will help you build trust in the entire loan application and repayment procedure.