All of us, any age or situation in life, can become vulnerable to financial emergencies. Sometimes it’s a medical bill that just must be taken care of then and there; other times it is an unexpected car repair. There are, after all, just times when we need cash fast. For the residents of Singapore, one of the most trusted answers for quick cash would be to avail of a licensed moneylender.
A licensed moneylender Singapore would mean borrowing money in safe and legal ways. What then makes you consider using this service more than any other? What’s unique about a licensed money lender? How can he aid in getting fast loan approvals when things seem to be in an emergency situation? Let’s step this down step by step and make it easy to understand this convenient financial way out.
Why Consider Using Licensed Moneylenders in Singapore for Personal Loans
In urgent cash needs, you should consider different options. In such cases, people tend to think about credit cards, borrowing from friends, or a personal loan in a traditional bank. On the other hand, clear benefits come from working with a licensed moneylender.
- Fast Loan Approval: Banks take days, sometimes weeks, to approve a loan. In contrast, a licensed moneylender may approve loans much faster than banks. This is helpful in emergency cases, which are usually time-sensitive.
- Flexible Loan Amounts: Licensed moneylenders in Singapore provide various loan amounts that you can customize to your needs. You can borrow a small amount to get by or a larger sum for a significant expense.
- Not Necessary to Have Flawless Credit: There would be no need for your credit to be perfect and flawless as in the cases of traditional banks, while obtaining loans. In Singapore licensed moneylenders may accommodate you a little more for they do not only determine your credit history but also your capability to pay on time. Thus, getting the help you need for your situation is possible and not impossible even if the credit score is not to be considered perfect.
- Easy Repayment Plans: Licensed moneylenders have easy repayment plans that are customised to suit your power to pay. This makes it easier for clients to control their finances and not be drowned in unworkable repayments.
How Do Things Work?
Do you find yourself asking how one would go about applying for a personal loan from a licensed moneylender in Singapore? Relax as this is quite easy and straightforward to understand. Here’s what it takes to begin the journey:
- Look for a Licensed Moneylender: First, you will look for an appropriately licensed moneylender. The easiest way of checking if a moneylender is licensed or not is to check the list at the Ministry of Law, thus ensuring legitimacy.
- Apply: Once you have identified a licensed moneylender, you will apply for a loan. Most licensed moneylenders offer online applications, and you can conveniently apply right from your home. The application will include basic details like your name, income, employment status, and the amount you wish to borrow.
- Loan Evaluation: Loan evaluation is done after processing your application. Here, the moneylender evaluates your financial position and capability, including your income, upon which the loan amount together with the repayment schedule falls within your capacity. Moneylenders in Singapore ensure that this is done within responsible limits.
- Loan Approval: If your application meets the moneylender’s criteria, the approval process is fast—often within 24 hours. This quick turnaround is ideal for emergencies where you need immediate funds.
- Loan Disbursement: Once approved, the money will be disbursed to your bank account. The speed of this transfer is another reason why many people choose licensed moneylenders during emergencies.
Common Types of Personal Loans from Licensed Moneylenders
Licensed moneylenders in Singapore offer all types of personal loans as per your requirements. Here is a brief overview of the most common types of personal loans that they offer:
- Emergency Loans: These loans serve emergency situations, as the name itself indicates. You can use them for a medical emergency or any unexpected expense. This type of loan provides instant cash to address your immediate needs.
- Debt Consolidation Loans: The last loan of debt consolidation can handle different loans with various institutions, as it brings them together under just one affordable loan, reducing the burden. With this, it eliminates a few problems in making and stress to repay the remaining.
- Payday Loans: People take payday loans to finance expenses until they receive their job or employment pay. Lenders provide these loans for short periods and small amounts to help cover instant cash shortfalls.
- Short-term loans: People often use these loans for emergency expenses between paydays. They come with shorter terms and help bridge temporary financial difficulties.
What to Look Out for When Borrowing from a Licensed Moneylender
Licensed moneylenders in Singapore are regulated. However, it does not mean you should let your guard down and borrow carelessly. Here is what you should look out for:
- Interest Charges: The licensed money lenders’ ceiling is 4% for interest monthly. Find this out from your lender to confirm the rate with any contract.
- Charges: There may be levies charged by the moneylender, including late fees on repayments and administrative fees and these have a limitation whereby they should not demand of you without showing them where they are made from.
- Repayment Terms: Before availing the loan, understand the terms of the repayment. Failure to pay the loan within the time can lead to penalties and charges.
Advantages of Licensed Moneylender for Urgent Needs
- Fast Access to Liquidity: During emergencies, time is a virtue. Licensed moneylenders are one of the quickest means of obtaining the amount required.
- Legally Protected: When you borrow from a licensed moneylender, you gain legal protection because they uphold your rights as a borrower.
- Flexible Options: From the smallest amounts of payday loans to rather large personal loan Singapore, it is possible to borrow different levels of loan amounts and schedule repayments according to their financial situation.
- No Waiting Period: Banks usually drag out the loan approval and take a long time whereas licensed moneylenders speedily approve loans, oftentimes on the same day.
Conclusion
Licensed moneylenders in Singapore offer a viable and safe choice for quick cash solutions in dire situations. With their flexible loan terms, they provide ample opportunities for those in need to access money and offer faster approval. Additionally, the laws of Singapore protect borrowers. By borrowing responsibly and taking out loans that you can comfortably repay, licensed moneylenders help reduce unnecessary stress for borrowers. In this respect, you will find that licensed moneylenders come in handy during unexpected moments.
Also Read: Effective Finance Management Techniques for Handling Financial Crises
