Even though there are lots of wealthy people in the world, people who made fortune impossible to spend for the next five lives, there are still more those who are not able to afford themselves everything wanted without thinking about a loan. No matter if they need money for a family holiday, a new car, tuition fee, to start a new business, resolve the housing issue, or something else, people are increasingly resorting to this option.
Nowadays it is easy to take out a loan or credit and most people are qualified for it. One of the main conditions is that you are employed and your salary meets the criteria. In the past, it took months for the bank to grant you a loan. Checking that you are creditworthy, collecting required documents, guarantor, etc. And after you finally collect all these documents and you think you are close to getting a loan, it takes additional several weeks for loan processing. Illegal money lenders (loan sharks) can be found in every place, but that option should not be considered at all.
Where and how you can take a loan? There is always an option to ask your rich friend or cousin to lend you some money, at least you will not pay interest. But what if you do not have a wealthy cousin and you want to do it on your own, without anyone’s help? We all know every bank offers loan service, but like we already mentioned, sometimes it takes too long with paperwork and checking a guarantor. Another disadvantage is that banks usually offer variable interest, meaning if the value of the currency changes, an interest rate might change as well, which can lead to additional and unexpected expenses.
But what is the easiest and most convenient way to take out the loan? The answer is a licensed money lender. Many people would feel insecure to take the loan from such persons, but there is no need for that. Licensed Money Lenders received approval from the Ministry of Law. It is always good to check if the money lender you chose operates from their approved location, not via any other company. People found it very easy and practical to get the loan this way. The best of all is, kbbcredit.sg offers a possibility to fill out the application online, which will save you time. Even foreigners are allowed to take the loan.
Before you decide on this step, consider a few things:
- Think about how much money you need. Try to calculate in advance to avoid problems later if you took less or more you needed.
- Do you need it? Although it is nice to get a large amount at once, be aware you have to pay it back. Calculate is it possible to survive the months and cover all regular expenses after you allocate the money for credit payments. You may have to give up some things you are used to.
- Check if your option is legal. As already mentioned, money lender has to be approved by the Ministry of Law and to operate from their approved location. The best option is to call the Ministry personally to make sure it is safe to take the money.
- Ask around if someone from your environment already has positive experiences with some money lender.
- Collect all required documents in advance, not to waste your time by going several times until your loan is approved. You will probably need your documents and payment statements for the last three months. Make sure you have everything necessary. Most probably licensed money lenders will check if you already have a loan on another place, only to make sure you will pay on time.
- If the guarantor is required, be aware that the bank/ money lender can charge him in case you do not pay on time.
- Many money lenders offer loans for different purposes and different return conditions, so it is possible to get a personal loan, payday loan, bridging, and business loan. Find the best option for you, define precisely what do you need. A personal loan is a non-purpose loan suitable for any purpose, while business is recommended if you are willing to invest in new business or to extend the current. It is recommendable to go there with your business idea and the consultant will go through it together with you, trying to find the most suitable option. Going to the office to inquire does not mean that you have to withdraw money, but to hear advice. A payday loan is connected to the date of the salary, meaning you can postpone your first payment for several days.
- Inquire about interest loans. Not every money lender offers the same conditions so it is better to visit more places to find the one with a low-interest loan.
- Read carefully everything in the contract. Do not hesitate to ask for additional information and take your time to go through the text carefully. People usually skip the text written in small letters even though it is very important to read about terms and conditions. The fact you are not familiar with it does not release you the obligation you have.
- Ask how long will it take until you do not receive the money. This will reduce the stress of waiting and allow you to plan the next step.
- Ask is it possible to return the money before the arranged period and if an interest rate changes in that case. It can happen you earn or inherit a hefty sum, being able to return it earlier.
No matter what option you choose, make sure you are taking the loan for the right reasons, not only for fun. As tempting as it may sound to have a lot of money on the pile, realize that it is money from your pre-earned salaries and that it must be returned at some point.