Attaining a loan from a bank might not be simple and occasionally you are in need of an emergency loan with quick approval time to taken care of an emergency expense. Unsecured personal loans fromlegal money lenders in Singapore may be the most ideal solution in certain instances.
Some customers may possibly have financial demands for a renovation loan, school fees, emergency medical fees, vacations or someunforeseen incidents whichrequire urgent financial needs.
Obtaining A Personal Loan from a legal and licensed Money Lender InSingapore
In advance of taking a personal loanfrom a licensed money lender, we recommend you to read up further about the Money Lenders Act in Singapore. As a borrower, you rightsare protected under the law in Singapore– have a look at this guide to borrowing moneyfrom money lenders in Singapore in advance of taking a personalloan.
New Regulations For Money Lenders In Singapore (Effective Oct 2015).
New regulations for money lenders are incorporated to moderate a borrower’s borrowing cost (interest rate)as well as to manage the number of default payments. As aconsumer, it is wise foryou to figure out the details about administrative fees, contractual terms which are unfair to you, deceitful andunfair money lending practices and the interest rates for your money lending contract.
The new regulations stipulates a cap of 10% max upfrontadministrative fees, 4% maximum nominal interest rate (NIR) eachmonth, 4% maximum late interest rate per month, loan payment late fees being capped at$60 per month, no other additional fees allowed to be charged by any money lender and acap on borrowing cost.
Considering A Money Lender In Singapore.
Before you take a personal loan from a money lender, ascertain that the money lender is licensed in Singapore. Once you haveshortlisted a list of money lenders, do your due diligence and check out themoney lender’s reviews online.
Securing A Personal Loan With a Money Lender.
You need to be employed and you will be demanded to provide your last 15 months of CPF contribution historystatements along with your NRIC and the lastest pay slipsif applicable.
Unsecured Personal Loans.
According to the Singapore Money Lenders Act, for unsecuredpersonal loans, you can borrow:.
Up to $3,000, if your annual income is less than $20,000;.
Up to 2 months’ income, if your annual income is $20,000 and above but less than $30,000;.
Up to 4 months’ income, if your annual income is $30,000 and above but less than $120,000;and.
Any amount, if your yearly take-home payis $120,000 and above.
Please do not over-stretch your finances and undertake a loan which you can not servicelater. Always exercise vigilance.