Monetary requirements for a business or for an individual are always in demand. However, when his requirements are more than the amount that he can generate, he will have to depend on outside sources to raise funds. He can either obtain loan from banks or from a Licensed Money Lender Singapore. If a businessman cannot produce collateral, he cannot seek financial assistance from a bank. The next option is to get loan from the money lender. Any person should analyze a few factors before getting a loan.
Pointers to be Analyzed
- The loan amount and the duration of payment should be considered. Depending on a person’s individual financial requirement, the borrower should try to borrow as minimum as possible. First he should try to raise money from his savings, from his investments and from other funds that he can obtain without interest. Only then he should try to get the loan from moneylenders as he has to pay a high interest for the loan taken.
- There are many types of loans available such as personal loan, payday loan, term loans, equipment loan, etc. Each type of loan charges varying interests. The borrower should analyze the type of loan required depending on the loan amount, the interest amount and his repayment ability.
- The duration taken to repay the loan amount should be factored in, before taking the loan. It depends on his ability to repay the loan. Loans should be repaid as early as possible as it would help him to save on his interest that he has to pay every month.
- The customer service provided should be good. As the money lender knows his borrowers on a more personal basis, he provides better service to his customer.
- The interest rate should be compared and analyzed. Licensed Money Lender Singapore provides loans at economic rates.