How Much Can Singaporeans, PRs & Foreigners Borrow from Licensed Moneylenders?
Licensed moneylenders make collateral-free personal loans. Borrowers don’t need collateral to get money.
The table below shows Singapore’s licensed moneylenders’ maximum loan quantum for unsecured personal loans:
Prior to granting a personal loan, a licensed moneylender has the following obligations:
A licensed moneylender must make you aware of all of the conditions and details of the loan, not just the principal amount. When talking with you about the following, they must be open and honest.
- Interest Rate
- All fees required
- Late Interest Charges
- Schedule of Repayment
- Cautionary statement to the borrower
An licensed moneylender will always follow the law. It will guarantee that you fully comprehend the data presented above.
Never will they keep anything from you. Furthermore, they individually communicated the cautionary statement to you. It lists the characteristics of an unreliable lender and cautions readers not to work with them. You are needed to sign this document as confirmation that you have read and understand it.
What to do after your personal loan approval?
Make sure the money lender provides the whole principal to avoid frauds. Also, they may only deduct 10% of your main loan amount.
After claiming the principle, you must follow the terms and conditions. Note the following while receiving and repaying:
- You must have a copy of loan agreement
- Keep a duplicate of every receipt you get after paying fees or making a repayment
- You must receive a copy of your statement of account at least once every January and July and make sure that the information is correct – your name, amount paid and the loan balance
- Keep the important documents -receipts and statement of accounts safely
Remember that a respectable and legitimate moneylender will never want your password. Never forget that they will help you throughout the process, even after your loan has been approved.
Therefore, you should only turn to licensed moneylenders if you need some additional finances for your company or for personal requirements. To spare you the trouble of looking for a great moneylender from the comfort of your home, we have gathered all this information for you.