The Advantages of a Money Lender in Singapore

 

The world revolves around money. We work hard to earn steady amounts to invest in our hobbies or family needs, and we are constantly looking for ways to round out our income and create better financial circumstances for our circumstances. However, sometimes, we all need a little help. Would you like to set up an emergency fund for unforeseen medical situations or repairs to your property or car? In this case, using the professional services of a money lender in Singapore will be worthwhile.

A professional financial creditor will give you the advice needed to find the right loan for your requirements and will also be the most effective way to obtain credit quickly without the risk of your application being rejected. Credit providers can offer you the money you require for a complex business expansion, can be a solution to cover your child's tuition fees, and are also a way to raise the funds needed to finance your daily expenses until the end of the month.

Not That Hard to Obtain

A professional money lender will understand the reality behind your economic needs and will offer their services through an easy-to-use online platform where you can fill in the necessary information in just a few minutes. Credit providers in SG are more regulated than in other countries; they are limited in the actions they can take against bad debtors, they can offer payday loans with a maximum interest rate of only 4% per month, and overall, they are an invaluable aid to any individual who is strapped for cash.

Singapore is a city at the heart of Asian trade. But at the same time, unfortunately, it is also one of the most expensive locations on the planet, which is why a good part of the population has to use short or long-term loans for their individual needs. Are these loans hard to get? No, at least not if you are an SG resident. Do you want, for example, to obtain a simple personal loan, which you will pay back at a fixed monthly rate? Then, to be approved, you must be a permanent resident of our country, be at least 20 years old, and be employed full-time or part-time.

Possible Even for Non-Residents

If you have been employed at your current job for less than six months, you will need to provide a copy of your employment contract. Moreover, to prove your identity, the credit provider will need your NRIC, a utility bill showing your current address, and income proof, such as a bank statement. Are you self-employed? In that case, the lenders will ask for an ACRA document; they will require your bank statements for the last two months and proof of income, such as a CPF.

Short-term loans in SG are generally easy to obtain, and even in the case of payday loans, the interest rate charged by lenders cannot exceed 4% per month. Would you like to get a regular personal loan of $5000 that you can repay in 12 months? In this case, you will most likely obtain one with an interest rate of 2% plus a processing fee of 10% of the amount borrowed. For investments and short-term expenses, personal loans are a great idea that does not come with risks. However, they are not the only types of loans you can get.

What Other Loans Can I Obtain?

The most common loan for Singaporeans is a short-term personal loan, typically repaid within two years. However, if you require a smaller sum to get you by the end of the month, you could go for payday loans. What are they? In short, they are financial instruments designed to be repaid by the next payday, which generally covers a maximum of four times the monthly income of the borrower. The maximum interest rate of a payday loan cannot exceed 4% per month, and the highest amount that can be charged to the lender for late repayments cannot legally exceed $60.

As with other types of loans, payday loans may be accompanied by a processing fee charge not exceeding 10% of the amount borrowed. What does this mean in numbers? For example, if you take out a payday loan of $1000, which you repay at the end of the month, then you will have to pay to your lender 14% of the initial borrowed sum, so. in total, that's $1140. That might seem like a lot at first glance, but for expenses that can't wait, payday loans can be a satisfactory financial tool.

Are you a business owner looking to expand your company? Then, you could apply for a business loan. The eligibility criteria for business loans are stricter than for personal ones, and your company must present a long-term financial plan and be registered in SG. Are you a foreigner? In that case, you too can obtain a short or long-term loan, provided you present valid proof of a regular source of income, and you possess a work permit. The financial instruments available through a professional money lender in Singapore are diverse, and for most Singaporeans, they are a part of everyday life.

Why Go for a Licensed Money Lender?

Choosing the service of a credit provider is ultimately a matter of convenience. Credit lenders are more lenient with their granting criteria, specialize in offering credit for specific needs, have a quick approval process, and their services are often available through an online platform. Lenders in SG are well-regulated, require less documentation than traditional banks, can offer you smaller loan amounts to repay on your next payday, and are more flexible about credit history.

To put it plainly, licensed lenders are perfect if you need quick cash without extensive documentation. So, they are preferred by most citizens interested in borrowing small or medium-sized sums. Traditional banks are more selective with their clients, have stringent eligibility criteria, the offered loans are more limited, and their activity is not better regulated than that of private lenders. For most citizens in Singapore, private credit providers make more sense, and their offerings are ideal for small investments and personal development projects.