5 Rules to Obey when Borrowing Money

Licensed Money Lender: 5 Rules to Obey when Borrowing Money

Many people resort to borrowing money from a top licensed money lender for different reasons. It can be for education, business, vehicle, housing or personal loans. Whatever purpose you have, getting into debt is risky if you do not know how it works. So here we give you five rules you should follow when borrowing money:

1.    You should borrow within your capacity.

Before applying for a loan to a licensed money lender, you should know if you can afford to pay. Do not get tempted to get fast cash but suffer in the end. Determine your resources first to see if you need the mean and if you do, ask how you can repay it. Calculate your monthly income, expenses, and project if you have enough means to meet your debt’s interest.

2.    You should pay in time.

Licensed moneylenders indicate penalties for late payment on your contract so don’t skip reading it before signing! You should take note of that and set a reminder days before your deadline so you can prepare the money. Take deadlines seriously for when it comes to loans, literally, and time is gold.

3.    You should check your goal for borrowing money.

Go ahead to a licensed money lender if you’ll use the money for a long-term project such as business, education or vehicle. But if you want the latest gadget or luxury clothes, you may want to pause and think through it.

4.    You should brush- off financial pressure.

At least at one point in our lives, we felt we are being left behind especially when you see other people posting how rich they are in social media. But don’t fall to that pressure of borrowing money just to show-off or keep up with the Joneses. You need to set your own financial goals and accomplish them one at a time, without drowning yourself in loans that you cannot repay.

5.    You should research licensed money lender carefully.

Search for accredited, licensed moneylender Singapore and take time to study them. You can compare their maximum loanable amount, interest rates, penalties, and the repayment period. You should also look for customer reviews and company accreditation.

We hope these five rules for borrowing money from a licensed money lender help you achieve your financial goals. Bookmark our page and come back for more loan advice.