Borrowing from Moneylenders In Singapore

 

Singapore is an independent country found in the Southeast part of Asia. The quality of living by the general population is rated high. However, despite its good economic standing, there is still a probability that people will need an immediate source of money during certain times. One of the most popular sources of direct money would be moneylending services. Foreigners may find it daunting to acquire a loan from moneylenders in Singapore due to the lack of information about the process and the law surrounding it. However, when you choose a licensed lender in Singapore, you can guarantee that you will gain many benefits from it.

 

Different Situation Where You Need to Borrow From Money Lenders

 

Before you even decide to borrow money from a lending company, you need to be sure that you need it. During economic uncertainty, moneylending agencies would not be a favorable choice. You need to consider other kinds of financing, your ability to get out of the loan, and your necessity in spending the money. Here are some of the valid reasons you may have when you are contemplating borrowing money from money lenders.

 

 

Business Loan

 

If you have a viable business idea and want to turn this concept into reality, money lenders would be your immediate solution if you do not have a good funding source. Major Financial institution such as bank does not approve a small start-up company. On the other hand, government funding presents many challenges and requirements before you are finally approved.

 

Education

 

If you are searching for ways to finance your son's college education, the money lenders can also provide you with an immediate source of funds for your son's tuition fee. Those families who find it challenging to support their kids' education, especially during the final years, can depend on money lenders.

 

Medical Situation

 

A Health emergency is an unforeseen event. In a typical scenario, we have reserved money for this situation, but there are times when we would choose to spend the money for more immediate needs. A medical emergency is already an emotionally draining situation, and you might want to lessen the misery by dealing with the medical bills with the help of money lenders. You can also guarantee that the family member will receive immediate attention from the medical personnel. To foreigners facing the same situation, do not fret as the moneylenders in Singapore also offer the same benefits. Authorized lenders provide a "Foreigner Loan" wherein the foreigner can borrow money to assist them in an unavoidable emergency.

 

Renovation

 

Suppose you want to renovate your house and keep it in excellent form to withstand severe weather conditions. In that case, money lenders will provide you with some assistance in redesigning and renovating your house or office. It can help you apply repairs on the portion of the house that requires an immediate fix and prevent further damages from your property. They can even be a source of your flip and fix loans.

 

Moneylenders in Singapore will be able to provide you with money regardless of your reason for borrowing. It is an ideal and hassle-free solution. However, you need to ensure that you really need the money and have ways to pay the loan; otherwise, your credit rating can be detrimentally affected.

 

What Are the Benefits of Borrowing from Moneylenders in Singapore?

 

Any person can create a website and claim to be a lender willing to aid you from your financial difficulties. Unfortunately, some of them are scams, so you need to be wary when dealing online. It would be best to deal with trustworthy and reliable lenders in Singapore to avoid any inconvenience.

 

Assurance

 

Since Singapore employs strict compliance and standards when lending money, you are likely to share your information with a trustworthy company. Remember that you are not just sharing sensitive information with the lender but also entrusting them with your future. Before someone can enter into the lending industry in Singapore, the government will require them to complete a comprehensive requirement of form. They also need to have good behavior with no past criminal or civil records. It assures you that the lending company will be dedicated to providing help to those in need.

 

Protection

 

If you borrow from a moneylender in Singapore, rest assured that your rights as a consumer are protected 100%. It means that you can comfortably share sensitive information with them since they are liable with it if there is a breach in security.

 

Peace

 

Having peace of mind knowing that you are borrowing money from an authorized lender in Singapore is one of the things that consumers consider. Since you require cash, you might want to eliminate the additional stress caused by borrowing through a third party. An authorized lending company in Singapore will truly bring you comfort since they are devoted to providing their assistance to you.

 

Finally, before affixing your signature on the contract or agreement, make sure they are appropriately authorized and well documented. Check that the application is legal and detailed, including the amount, the borrower's name, and the payment option.

 

What Are the Requirements To Borrow Money From Moneylenders in Singapore?

 

Singapore is a place of a booming economy; it is considered one of the four Asian tigers. The citizens are highly benefiting from it through their generous salary. However, despite the prosperous economic state, there will always be a time when people will need immediate cash to address the current situation, such as unforeseen events, sickness, or to fund a new business venture. Nonetheless, before you even manage to get approved by a lending company, there are specific requirements that you need to meet. Here are some of them.

 

 

Completing a Legal Agreement

 

When you borrow money from a lender in Singapore, you have to make sure that your rights are protected. Verbal agreements will not protect you, and it is the most common type of agreement to breach. The only thing they need to do is deny the fact that there is a transaction happening between the two of you. When analyzing the legal agreement, make sure that everything is detailed on the contract, such as the amount of the money you borrow, the name, and the payment plan. You also have to make sure that you understand the contract well. Based on the current law, the lenders must explain the terms and agreements using the most basic words that you can easily understand. Pay a considerable amount of attention to the charges, interest rate, and repayment schedule.

 

Proof of Income

 

The amount of money you can borrow on a moneylending company will be highly contingent upon your annual salary. If your yearly income is less than $20,000, the maximum amount of money you can borrow would be $3,000. An aggregate amount of 2-month income can be borrowed if your annual salary falls under the $20,000-$30,000 margin, 4-month salary for $30,000-$120,000 and any amount of cash when your annual salary exceeds the $120,000 level.

 

Finding a Guarantor or a Surety

 

A guarantor is a person responsible if the debt will not be repaid. So in case you are seeking a surety, make sure that they can fully understand it. Once someone agrees to be the surety, make sure that you give him a copy of the contract written in the language that he can understand. The lender should not require the NRIC card of the surety as well as any personal documents such as a passport or driver's license.

 

Finally, you should be of legal age when you borrow from a moneylender in Singapore. After approval, ensure that you retain all the account statements and receipts. Also, pay the loan at the perfect time to avoid incurring late interest and payment fees.