What is the difference between loan sharks and licensed money lenders?
What Is a Loan Shark?
A loan shark is an unlicensed money lender who often charges extremely high-interest rates and fees. They can be very dangerous and often associated with organized crime syndicates.
They tend to prey on people desperate for money who can’t get a loan from a legitimate source. So if you’re ever in a situation where you need some quick cash, it’s best to stay away from loan sharks.
What Is a Licensed Money Lender?
When it comes to borrowing money, it’s important to know the difference between loan sharks and licensed money lenders.
Loan sharks are illegal lenders who charge extremely high-interest rates and can often be quite dangerous. They can resort to intimidation and even violence to get their money back.
On the other hand, licensed money lenders are regulated by the government and must comply with a strict set of rules.
-This means that they can’t charge excessive interest rates or fees and must provide borrowers with clear information about their loans.
So if you need some quick cash, it’s best to steer clear of loan sharks and go with a licensed money lender instead.
Loan sharks often charge very high-interest rates and may use violence to collect debts.
But what’s the difference between a loan shark and a licensed money lender? Loan sharks are illegal moneylenders, and they often charge very high-interest rates. In some cases, they may even use violence to collect debts.
Licensed money lenders are regulated by the government, which means they cannot charge as high of rates.
You will need your NRIC, proof of income and employment, previous CPF statements, and your latest credit score to apply for a personal loan from a legal moneylender.
There are legal and illegal moneylenders, the latter of which are loan sharks.
Licensed money lenders are legal entities and are registered with the government. They have to adhere to certain rules and regulations, which means they’re a safer option for borrowers.
Loan sharks, on the other hand, are illegal moneylenders. They don’t follow any rules or regulations, so they can charge whatever interest rate they want and be very aggressive in their collection tactics.
So if you need to borrow money, it’s important to make sure you’re dealing with a licensed money lender. That way, you’ll know you’re getting a fair deal and won’t be harassed by the loan sharking underworld.
To apply for a personal loan from a legal moneylender, you will need your NRIC.
When it comes to personal loans, there are two types of lenders you can go to—loan sharks and licensed moneylenders.
So, what’s the difference between the two? Loan sharks are illegal moneylenders, which means the government does not regulate them. They also tend to charge much higher interest rates and have stricter loan terms.
On the other hand, licensed moneylenders are legal and more regulated. This means they must follow certain government rules and guidelines, such as maximum interest rates and loan terms.
You will need your NRIC, proof of income and employment, previous CPF statements, and your latest credit score to apply for a personal loan from a legal moneylender.
So before you decide to take out a loan, make sure you do your research and compare different lenders to find the best deal for you.