5 Things You can Do to Check whether Your Moneylender is Legal
If you want to lend money in Singapore, it’s very important to pay keen attention to whether the moneylender is legal or not. Singapore moneylenders passing a money lender check get a license. But how the heck you will find a legal lender? Here are some tips.
1. No Text Messages or Telemarketing
As per the IPTO and privacy acts, Singapore moneylenders are not allowed to advertise their business in form of text messages and telemarketing. If a lender is found to advertise in these ways, s/he suffers harsh penalties, in form of even losing their license.
Several illegal lenders make use of telemarketing and SMSs to advertise their services. Here you can know that they are not legal.
2. No Bank Transfers on the Internet
You may be pleased to hear that you will get your loan application passed instantly and money will be transferred online to your bank account. But remember that legit lenders don’t choose online money transfers for loan payment. They would choose to invite you to their office to hand over the money to you.
3. Registry of Moneylenders
This is the best source of knowing whether the lender is licensed and legit or not. For registering on this registry and maintaining their status there, Singapore moneylenders have to go through stringent laws and rules. In that case, only serious and legit lenders will strive to do that for maintaining their license.
4. No Personal Information over Phone
A legit lender strives to maintain the privacy of her/his clients and so, will never ask you to disclose your personal info over the phone. They will ask you to come to their office with your personal details.
You will have to carry out research on lenders on your own whom you are planning to approach for the loan. Apart from checking with Registry of Moneylenders, you can also go through various websites that provide real and honest reviews.
If you take care of these basic points, you will be saved from illegal moneylenders and potential problems arising because of them.