When you need extra money to cater to your urgent needs, approaching a legal money lender is not a bad idea. There are legal money lenders in Singapore you can approach for a wide range of business loan solutions. The traditional banks may not be helpful when you need an urgent loan because of their stringent approval process. There are no 24-hour moneylenders in Singapore but there are legal money lenders that are making loans more readily accessible to people via their 24/7 online loan services. However, you need to know how to differentiate between legal and illegal money lenders to avoid scams.
How to differentiate between legal and illegal money lenders
You should know that many illegal money lenders disguise themselves as legal money lenders, and will guarantee you 24 hours loans. Legal money lenders in Singapore are governed by Singapore’s laws. There are terms and conditions stipulated under the law that you are expected to satisfy to make you qualify for a loan. These terms include the repayment period, interest rates, payment methods, and any other details required for the loan. An illegal money lender offers no such terms and conditions. A legal money lender has stipulated interest rates and late repayment rates stipulated under the Ministry of Law’s regulations.
Under the law, a legal money lender is only permitted to charge up to a 4% interest rate per month for its loans, and the late repayment rate is also up to 4% per month. Any interest rates or repayment rates higher than that should be considered illegal. Another vital way to distinguish legal money lenders from illegal money lenders is through advertising channels. A legal money lender is only allowed to advertise its services via business or consumer directories, its websites, and advertisements placed within or on the exterior of its business premise. There are also limits to the amount you can borrow for unsecured personal loans in Singapore, Therefore, any money lender that provides an amount higher than the limit is considered an illegal money lender.
How to borrow from a legal money lender
You will need to provide the following documents such as proof of identity, proof of residence, and proof of income or you may also use your income tax statements or employment contract for your proof of income. You can borrow money from us to meet your financial needs. We are a Singapore legal moneylender offering a broad range of loan packages. We have helped many individuals and business owners in Singapore to overcome their financial challenges. Through our online money lending platform, you can apply for any form of loan you need. Our platform is created to make your loan application easy and quick. We will get back to you as soon as possible, immediately after we finish processing your application. Apply for your loan in Singapore today from us via our online application.