Moneylender is people or group of people who gives money to needy people in high rates of interest. But they are different from banks and financial offices. There is no justice for the rate of interest. The people or group people make their rule according to their comfort for the rate of interest. They lend the money to people in an easy way; they are not following the bank process. Some people follow this has gambling.
In many countries there is a rules and regulation for moneylenders. They have to register with the government. In Singapore we can see many registered money lenders. To lend money borrower must know the some basic rules, like before going through the moneylender borrower must check other alternative financial resource or bank, whose rate of interest is less, and also they give the other benefit also. Now government provide loan to the borrower with less of interest and also with the long notice.
But highly regarded money lender in Singapore first will take all the info of the borrower, there financial condition and other resource of money, incase borrower can’t pay the interest as well the main money they will take over the complete resource of borrower. They will put the pressure to the borrower as well his family. According to the law, moneylender first has to explain the rules and regulation to the borrower in there communicating language so, he can understand rules properly, and provide him the copy of contract. This gives the complete information about the rate of interest, how long he has to pay and what will be due date and the schedule to pay as well fees structure. After all these borrower must go through the terms where it matches to him and he can afford the loan interest then only he has to agree for the contract. When the person agrees for the contract money lender will take the original copy of the real estate property and they will take sale deed also. Once the caveat on the sale done, he can’t sale the property until he gave complete money to a trustworthy moneylender Singapore.
Is it good to go with licensed money lender??
Yes, it is good to read more about moneylender interest, they have specific terms and condition, which favors the borrower. Before lending money one should check with the many money lenders for use full terms. Only once we are compromise with the terms and condition we should go ahead with loans.