Sometimes taking out a loan can mean that you’re in a situation where you’re in need of some urgent cash–and in these cases, it’s even more important to be careful about who you loan your money from!
If you’re in a huge rush, loaning money from a bank can take way too long, so turning to licensed money lenders is usually your best bet. But then, how do you distinguish the legitimate ones from the ones who are trying to trick you? To help you stay vigilant, here is a simple guide on how to spot licensed money lenders in Singapore!
You need cash fast, and some illegal money lenders know that too. So no matter how urgent things may feel, don’t let instant approval times draw you in and trick you into signing on the dotted line!
Though licensed money lenders have shorter approval times, no loans are instantly granted. All legitimate financial institutions have to go through some form of background checks and vetting. Though not instant, you can opt for a cash loan instead, which has an approval turn around time of approximately 24 hours!
Your authorised money lender should never be pushing you into getting your loan. Yes, they can sit down with you, advise you on the terms that are best for you, and give you suggestions. But if your money lender starts putting pressure on you to get a loan, we advise taking a step back.
Some illegal money lenders may even tell you that your loan opportunity could be lost if you don’t sign on with them immediately, but that’s a sure-fire way of knowing that they’re trying to trick you into an agreement without giving it enough thought.
Do they Have an Office
This may seem like an obvious notion, but many illegal money lenders operate without a physical office address. This is because it makes it harder for the authorities to track them down in the event anything goes awry.
And in certain cases, if money lenders approach you online or via mobile phone while claiming to have a physical address, do a little background check and see for yourself if they really have an office there.
Read the Contract terms
A licensed money lender will always let you read your loan contract, and even walk you through it in the event that you don’t fully understand all the terms. The basic things they should highlight to you are your loan amount, your repayment periods, any extenuating costs and your interest rate.
If your money lender doesn’t present the full terms to you or tries to present you something that you don’t understand, be extremely cautious. When contract terms are ambiguous, money lenders can often try to sneak in extra costs that’ll end up putting your financial state at risk!
Best Licensed Money Lenders in Singapore
We know that rushing to get a loan can be stressful, but that doesn’t mean you should take any risks. If you have any doubts or questions when it comes to taking out your next loan, you can contact us for assistance: (+65) 62244746 (Yishun) and (+65) 62244749 (Tampines).