There are two types of money lenders in the Credit Excel Capital Pte. Ltd. One is the licensed money lenders. They are verified and authorized by the Ministry of Law. They prefer to give loans to the people who have a good reputation in the credit markets.
The second category is called “Loan Shark”. They are the lenders who are not licensed. They give loans to the people who have a comparatively bad reputation in the credit markets. People like gamblers and impulsive shoppers come under this category.
The licensed money lenders prefer legal and formal notices in case of any default in loan repayment by the applicant. Formal reminders and legal notices are sent to them.
The loan sharks use harsh methods for loan recovery process. They might even get violent if the applicant fails to repay the loan amount on stipulate time period.
What are the benefits of choosing a Licensed Money Lender?
- The licensed money lenders work in the similar pattern as the financial institutions does. There are set guidelines for them in Singapore which is mandatory for them to follow strictly. In case of any failure in adherence to guidelines, they can also face legal actions by the government. This is the main reason that they follow easy going recovery options like formal notice, mail and reminders.
- You can expect a reasonable rate of interest if you are dealing with licensed money lenders. They are different form the money lenders who charge very high rate of interest from the applicants in Singapore. The rate of interest will be ascertained by your income, security etc. This is used to calculate the exact amount of loan that can be given to an applicant. The amount of loan is calculated by a set formula which ensures timely return of the loan amount.
- If you are dealing with a licensed money lender, then you can expect a smooth and shorter process. In fact you can get the approved loan amount within a few days only. The process turns out to be very efficient.
- In Singapore there are set rules and regulations issued by the Registry of money lenders. It has specified rules regarding advertising their services to the customers. There is a set pattern which needs to be followed in order to communicate with the public audience abiding by the law as well. The law states that there has to be a physical office where they can go and ask their queries.
- Since they have a valid license, they can act under the authority of the law. The information provided by them is genuine and are back by the concerned authorities. All your data can be safely save with the money lenders and you will get an access to the online account which will have your personal information.
These were some important benefits of opting for a licensed money lender. Hope this information was helpful for you. All the best!