The lure of moneylenders comes from their convenience. A convenience that provides one with both the ease of access and the quickness of it. This is especially enticing for folks who experience sudden change of lifestyle conditions or development of unexpected events.
Comparing to banks, one could probably expect a higher loan amount after a more tedious process and checks that are more stringent. Let us delve a little more, licensed moneylenders usually offer small loans, and this is largely due to their typical small-scale businesses. Logically, they do want to run the risk of losing millions if a borrower defaults. Although similar to banks in that loans are pegged to income levels, loan amounts can be as low as a few hundred dollars or up to a couple of thousands.
Assessments may not be as detailed, along with less restrictions, loans can be approved and released within minutes. On top of the smaller loan amounts, this certainly would be appealing for someone “in need of fast cash”. Not forgetting, there are advertisements aplenty promoting such loans online and on traditional media.
Because of the convenience, and many a times, the urgency of it, many details are missed out when taking up a loan with moneylenders. In some scenarios, it could just be the lack of awareness too. Perhaps, there should be more prevalent information which as of now, there is only one accurate source – the Ministry of Law. (You may refer to their webpage for more information).
As things stand, the number of borrowers has escalated to an extent that prompted the authorities to impose tighter measures. Of these borrowers, many are experiencing difficulties servicing the loans, and there can be many reasons how this become a full-blown problem to some.
At SG DebtBusters, we strive to offer the best advice and the most suitable solution to your concerns. With a detailed assessment, we could understand the details of one’s financial situation and share critical information. If caught in similar difficult predicament, do not hesitate to contact us so we may point you to the right direction.