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Details That You Should Be Aware of When Getting Loans

Sometimes emergencies can happen in the least expected circumstances. Most often than not these emergencies needs cash. Getting the money from somebody is not easy, but the good news is if you are living in Singapore there are many reliable licensed moneylenders. You have to be careful though for there are several reports regarding loan sharks transactions too. Some of these loan sharks present themselves to be professional moneylenders. For a potential money borrower, it is very important to gather information first prior to applying for a loan from a moneylender.

Professionalizing the Money Lending Business

The government has taken bold steps in order to curtail the proliferation of loan sharks by introducing a fixed interest rate for all borrowing per month. The move has taken out the bad lenders out of business and only the reliable lenders have remained.

Factors to consider in choosing a moneylender

Here are some of the important things that you must consider in choosing a licensed moneylender and getting the best deal from your borrowing.

Get to know the moneylender

Since you will be dealing with a person or an institution who will be providing you money, you need to get the information about the moneylender first. Check out the person/company history. There are many online sites that list licensed moneylenders. Check out if they are listed and read the reviews. Some have testimonials from previous clients. This will ensure that you will be dealing
with a reputable lender.

Know about the fees

When you are making an inquiry, ask about the fees that you will have to pay to avoid getting surprised by the charges in the end. Read the agreement carefully and make sure that before you sign you agree to all the terms and conditions.

When you discuss what you need with the moneylender, make sure that you mention the purpose of this loan. Do not hide any information on why you are borrowing money. It will help you, moneylender, to find the best type of loan suitable for you at the
best rate.

Make a comparison

In case you still have time to spare, make sure to check about 3 to 4 options before committing to any company/person. A reliable moneylender will educate their clients on how to make the right decision. A personal loan is available at any institution since this type of loan deals with emergencies. Some of the best Money Lenders have personalized package for every client to suit their needs, it is good to check them out.

By doing a comparison, you will get the best rates. Some licensed Money Lenders also offer loans even if you have a bad credit score. If you fall into these categories, there is no fear of being rejected, as they will be able to help you if you have done your
research correctly.

Check the validity of the licenses

Licensed moneylenders are required to meet the requirements of the government in order for them to operate. This means that the borrower is assured that the lender is following the guidelines set by the government. If the money lenders continue to received complaints and this has come to the knowledge of the state, then they will lose their license. This way the borrower is guaranteed to receive good service from the lender to uphold their reputation.

Transparency of the application

As mentioned earlier, licensed moneylender received guidelines from the government on how they will extend a loan to the borrower. The lender must be able to clearly explain the conditions of the loan. The language used must be understandable and easy to understand. There should be no fine print. The lender should also be able to give the copy of the contact to the borrower.

How to Spot a Loan Shark

In spite of the warnings, loan sharks are victimizing still many people. If you are caught in a financial stress, sometimes we take the easiest and fastest route. They can be present anywhere, in the social media, in the community board, and classifieds. When all is said and done, you will be forced to pay a high-interest rate and constant bombardment of payment reminders.

Do not be a victim; here is a quick guide on how to spot a loan shark.

1. The loans have off the roof interest rates

Although interest rates are normal, a sky-high interest rate arouses suspicion. Loan sharks are known for this. They will sweet talk you into agreeing with the beginning sentences like ‘I can offer you money, but you have to agree on the rate’. For a person in need, it is easy to agree. Unfortunately, you will come to know the financial sinkhole you get yourself into once you started paying.

2. There is too much flexibility in the terms

Normally licensed moneylenders will ask for your documents to support the identity of the borrower and to know your real address. If the lender does not ask for any documents or did not even ask for one, chances are you are dealing with a loan shark.

3. Takes any form of a document as collateral

Some lenders will ask you to surrender your passport, Bank ATM card to secure the loan. Everyone knows that when a person started asking for this, he/she is a loan shark.

4. Questionable to No Contracts at all

This is one of the obvious signs that you are dealing with a loan shark. Some loan sharks have contracts though but there are fine prints and impossible provisions that will put the borrower in an unfair situation. As what we have mentioned in the early part of this article, transparency is very important.

5. The loan terms are not clear

Loan sharks are the illusionists of the financial world; they will trick you into signing a contract or agreeing to a loan without clear terms. If the contacts have no repayment terms, a set maturity date, and even the required monthly payment, do not sign. You are dealing with a loan shark.

To avoid loan sharks, make sure that you only transact with a legitimate and licensed moneylender. Although you may need to have patience and considerable time in processing the loan, you are guaranteed that you are dealing with professionals.

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Up to 20 Easy Peasy Ways to Save Money in Singapore

Singapore is one of the most expensive cities in the world. Aside from that, its beauty is beyond five hundred word essay. It’s also a vacation destination for most people of the elite population. However, budgeting when living can be a pain in the neck but do not fret: these are the 20 ways to save money in Singapore.

1. Have an automated bank savings account

If you’re fond of withdrawing cash from your ATM for no reason, then the best option is let the bank deduct certain amount to your saving accounts. Anytime your salary is deposited to the bank, your savings is updated.

2. Eat cheaply but healthy

You don’t need to spend beyond $5 in just a meal. You have to choose a place where it offers the best service. The cheapest but delicious food in Singapore are at Hawker Centre. For instance, you can be offered a $1.4 breakfast set. You get to save huge sum amount of money at the end of the month yet you have eaten like a king. You don’t need to strain your pocket too much to take a meal instead of saving it.

3. Be punctual in the morning to Catch Up the MRT free Ride

As the saying goes, early bird catches the worm, this is absolutely true. If you practice waking up early, you will be privilege to be ridden for free by the MRT riders headed to the city. As long as their cars catches you in their designated stations at around 7:45 am in the morning. You’ll save more than you can if you wake up early in the morning. They offer discounts (50%) also if you miss their timings.

4. Buy only when you have to

You often find yourself buying something that is not in your budget plan, you ought to stick to your plan and buy only what is necessary to you. Don’t buy something because your neighbor bought it. You’ll save dollars of money by making your budget clear and simple.

5. Plan for your Groceries

Buying groceries every day is hectic and time consuming. You can imagine how you usually go buy groceries daily. At times you may end up spending more than you had plan, thus purchasing them in stock can save you lots of dollars.

6. Avoid saving your credit Info Online

It’s obvious that when you expose your credit card details on shopping sites, you may end up making impulse purchases. You should avoid the auto fill mechanism and sort to go for the manual entry.

7. Have a smart plan on your expenses

Do you wake up in the morning without a plan? You need to plan any of your penny you wish to spend. Saving should be your main priority rather than spending. Make your savings and expense plan be simple, Measurable, Attainable, Realistic and Time bound.

8. Give yourself a saving Target

Of course, if you plan to make a handsome savings, you need to give yourself an attainable target. It will act as a motivation to your target.

9. Save even when paying out debts (don’t pile debts)

Don’t let debts discourages you to saving. Make a plan on how you will clear your debts. Ensure there is a systematic flow between your savings and payment of existing debts. Not at all should let debt prevent you from making your savings.

10. Take advantage of the free park and avoid environments that may encourage you to buy unnecessary items

You can easily take advantage of Singapore’s best recreational Centre and parks without paying even a single penny. Changi Airport for instance, is not only meant for travelers but also for non-travelers who wish to hang and have a nice time. It offers some of the exclusive services like free Wi-Fi and a 24-hour food court.

11. Implement 20-50-30 principle

I am sure you have heard about 20-50-30 principles, but if you intend to save money even more in Singapore then you better put into action.20% as the minimum of your income should go to your savings, 50% be used on your groceries and utilities, and a 30% maximum used for miscellaneous usages. For instance, a fancy wear.

12. Make your car as an advertising decal

Do you own a car and you are troubled or way it can generate income? Okay, then I will let you know. I don’t mean making your car an Uber/Grab driver. You rather turn your car as an advertisement decal. Companies like Movo, can take charge of your car and you can be paid up to $300 per month by just making advert deco on your car.

13. Use clothes rental services instead of buying new

At one point in your-time, you may need to dress to certain occasion. It’s much expensive to go get a designer wear for just one occasion. You can rent the cloths for the occasion for just less than $130 for a month. You will end up making huge savings out of the creative idea.

14. Prioritize your needs

What is it that prevents you from saving? If there is need that you think you have to acquire to motivate you to save then you need to acquire. Prioritize your requirements. The least priority items should come last after sufficient savings has been made. Sometime if you are in need of personal loan, you might end up turning to banks and even licensed money lender.

15. Sell unused clothes on Refash

Did you know you can make money by selling those clothes that you no longer wear? Refash buy all clothes at a worthy price. You will have made the biggest choice by making money out of unused cloths.

16. Go for functionality rather aesthetic

Make savings by going for functionality of item rather than its look and aesthetic value. If you are acquiring a second-hand item and it provide services that it should, then don’t let your muscles strain because you need to make savings first.

17. Take advantage of the free classes there at sport hub

Do you spent lots of money going for sports in Singapore? Be economical and save by going to Singapore Sports Hub for free. They offer the best services and you will be fit without straining your pocket at all.

18. Adopt option instead of buying a pet

Purchasing a pet is expensive in Singapore. Adopt a pet and you will have save life and money. No need of spending money for something that you could have acquired for free.

19. Buy second-hand stuffs

Change your mode of purchasing stuffs. If you can be offered a second-hand item at a lower price, then you need to grab without hesitation. With application like Carousell, you will be able to save much by purchasing an item you desire at an affordable price.

20. Choose the best but cheap ride service

Don’t pay for a private car ride rather than going for the carpooling option. Carpooling application like Uber, Grab and neck comes will high discount for their customers.