Lending, generally means, temporary giving of money to other people with the expectation that it will be repaid with a certain interest. Lending includes different types of commercial loans. Moneylenders are generally companies or individuals whose primary business is to lend money. In order to do that, they must hold a license to trade in moneylending. For finding a suitable money lender, you can simply look on the Internet like find me a Money Lender Singapore. Well, there are certain things you need to look for before selecting a money lender.
Before you start looking for a lender, consider the type of loan you need. You must be aware of the securities you have to pledge against the loan and other abilities to get a business loan. There are different types of lenders. Firstly, there exist banks then credit unions, peer-to-peer lenders, private money lenders. When looking for a lender, you can search for money lenders near me or by adding your city name like Money Lender Singapore. To know whether your money lender is licensed or not, you can check for the list which the Ministry of law compiled for the licensed lenders. Also, money lenders are strictly prohibited from soliciting loans via messages or calls, so whenever you are approached by your lender via any of these sources, you can simply back off.
How Do Such Lenders Make Money?
The process of how money lenders or banks make money may make them sound like a bad guy but they indeed serve a purpose in the economy. They pay interest at low rates on depositor or savings accounts and then they use that deposited money for lending it to the borrowers at a higher rate in the forms of credit cards or loans.
Moneylenders lend money expecting it to be repaid along with the interest amount. The higher the risk of money not being paid back, the higher will be the interest rate.
Contents Of A Moneylending Agreement
Moneylending is an agreement in which you are legally bound to make repayments to the moneylender or their representatives (if any). The lending agreement must be in writing and should include the name of all the involved parties. It should hold the record of the total lent amount, the rate of interest, the cost of credit (amount repayable), and collection charges (if any).
Services Provided By A Money Lender
There are numerous services provided by money lenders:
- Personal loans
- Wealth management
- Finance for small start-ups
- Unsecured loans
- Peer-to-peer lending
There can be arising situations where you can find yourself in a place without being financially liquid or enough savings. These are the circumstances where a money lender can help you to shell out.
Get straight into the point by getting through important source
Name: Accredit Licensed Money Lender Yishun | Personal Loan Singapore
Address: 743 Yishun Ave 5, #01-548, Singapore 760743
Phone: 6219 2662