True to its promise, Cash Mart has always looked for innovations to make its loan process and service more convenient. As a result, the new PayNow Corporate e-payment service is now available to Cash Mart’s customers. It gives a more efficient service to every borrower who prefers cashless payment.
What is PayNow?
PayNow is an electronic fund transfer service available to Singaporeans and Permanent Residents who have existing bank accounts in nine participating banks in the city-state. These banks include DBS Bank/POSB, HSBC, OCBC Bank, UOB, Standard Chartered Bank, Industrial and Commercial Bank of China Limited, Citibank Singapore Limited, and Bank of China.
With PayNow, you can seamlessly send funds from your bank account directly to Cash Mart to pay your loans. In addition, you no longer need a bank account to transfer your money. Instead, you can simply scan Cash Mart’s official QR code.
How to Repay Your Cash Mart Loan With PayNow?
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Why Use PayNow For Your Loan Repayments?
Cash Mart always values the security of every client’s personal and financial information. With PayNow, you can transfer funds without giving out your banking details or bank account number. Also, it has the most convenient alternative payment option available to every Singaporean.
Scan the QR code provided by Cash Mart or simply enter Cash Mart’s Unique Entity Number to transfer the funds in just a few seconds.
How PayNow Work?
To make payments for your Cash Mart urgent cash loans, you need to link your chosen bank account number to your selected PayNow Proxy (mobile number and/or NRIC/FIN number). To do this, you have to log in to your digibank app or online banking app and choose “Register PayNow.” Next, link your NRIC/FIN number. Then set a PayNow Nickname for your PayNow account.
From here, you now have a PayNow Proxy. It will serve as your personal identifier. Take note that you can only use your bank-registered NRIC/FIN number and mobile number. If there are some changes with your PayNow Proxies, you need to update the bank you are linking to.
Additionally, you can link two PayNow Proxies (one is with a bank-registered NRIC/FIN number and the other using your mobile number) to the same bank account.
However, you can’t link more than one bank account to a PayNow Proxy. So if you wish to use a proxy to a particular bank account, you have to first de-register the Proxy from its existing bank account. After that, you can link one Proxy to one bank account and another proxy to another bank.
Ensure that you have successfully registered for PayNow first before transferring your funds.
Now that Cash Mart uses PayNow, you can quickly repay your loan in Singapore’s fastest and most convenient way. Give us a call at +65 6397 4111 or send us a message at +65 9183 6177 on WhatsApp to know more details.
SGX Singapore Exhange: A Guide On Dollar Cost Averaging
The Dollar Cost Averaging is an excellent way to start your investments as a beginner. Find out how it is related to SGX Singapore Exchange.
When we say investing in Singapore Exchange, many usually think of savvy investors dressed in suits and reading the newspaper’s business section. However, young Singaporeans can start investing in SGX Singapore Exchange, too. There’s no need not to be a millionaire.
In 2015, it reduced the board lot size of SGX Singapore from 1,000 to 100. As a result, it has attracted a lot of young adult investors to dip their feet in the stocks exchange.
However, despite how inviting this chance can be, Singaporeans remained risk-averse. We are too careful not to lose our money though everyone knows that will always involve risks with investing. That is why Dollar Cost Averaging is a good way to start your investments as a beginner.
How To Invest In Dollar Cost Averaging?
DCA is an investment technique of buying shares on a regular schedule with a fixed dollar amount that will not change even if the prices of the shares do. Basically, those who use this method can buy more shares even when the price goes down and less if the price goes up. Nevertheless, the investors regularly buy shares.
For example, you invest $500 each Month in ABC Bond Fund. The prices of the ABC Bond Fund shares on your First Month of investing are as follows:
1st Month: $23
2nd Month: $25
3rd Month: $34
4th Month: $25
5th Month: $29
Since each month you are investing $500, you get the following number of shares:
1st Month shares: $500 / $23 = 78
2nd Month shares: $500 / $25= 20
3rd Month shares: $500 / $34 = 14.71
4th Month shares: $500 / $25 = 20
5th Month shares: $500 / $29 = 17.24
After five months, you owned 93.73 shares regardless of the prices of the shares you have bought each Month. For example, if today is month 5, then the cost of shares is $29, and you currently own a total of $2,718.17 with stocks from an investment of $2,500.
Advantages of Dollar Cost Averaging
Less Spontaneity
DCA is investing regularly, and since nobody can tell the future of stock prices, it still holds firm whether the prices fluctuate or collapses. There is also no telling on when is the right time to buy. Therefore you potentially have a good chance to buy shares at the best time.
The shares usually have low prices during a financial crisis, and even the known blue ships will dramatically go cheaper than their usual stellar price. Since you regularly buy shares, you can acquire some of them before it goes up again.
Simply, DCA lessens your worry as it is a safe strategy. Despite the unpredictable wild changes in prices, you can keep calm and focus on the shares you can buy instead of thinking about the costs of your own shares dropping. Eventually, the prices are going to change.
Lessens the Risk of Buying Urges
You have given yourself a limit since you have a fixed amount each time you buy shares. There is a great risk of buying a lot of shares then a sudden downturn happens.
The Prices Eventually Go Up
Since you constantly purchase shares every day regardless of price changes, you are bound to have shares that will eventually rise over time, such as the S&P 500, which delivers returns of 9.1% per year for over ten years.
It is Accessible to Small Investors
You can invest as low as $100 each Month. You can start buying blue-chip Singapore stocks through POSB and OCBC bank, investing in blue chips, and the STI is more cost-effective.
Disadvantages of Dollar Cost Averaging
You Need to Identify Good Shares
DCA does not save you from the risk of getting a bad pick. Your research does. It is still true that you must only invest in things you are comfortable with and you have knowledge about. Take some time to read to avoid buying losing investments.
The environment of stocks is ever-changing, and if you keep on investing passively, you will not grow your investments. You will have to change your approach if you see that you are not earning anything. Choose wisely the shares you are buying and not just blindly taking a risk in unknown stocks.
Cheaper Stock
Always be vigilant with the trend. Even if you wait for the financial crisis to get better, a losing stock will be a losing stock. Just because it is cheap, you will buy it. Some shares are cheap because it is a bad pick.
(Updated May 12, 2019) Are you in need of an instant loan in Singapore? Various financial institutions are available for you. Check it out.
With the need for fast cash loans getting more common for us, we are becoming more open to the ever-evolving lending industry.
The tightening competition in Singapore compels each unsecured loan provider to hustle and create different loan solutions to cater to the expanding market.
Some reputable moneylenders like us study these needs to build innovative products that can introduce to Singaporeans.
On the other hand, if you want to get a flexible instant cash loan now and skip the long part of this guide, you can also connect with Cash Mart.
Banks
Usually, banks only serve their own account holders. If you plan to get a loan from the bank, prepare yourself for a grueling process.
This type of financial institution is careful with the involved risks in giving loans. Thus, they require a long list of legal documents that you have to provide.
The banks scrutinize your documents before getting approved to be sure that the borrower can pay back the loan with interest. As a result, it takes almost a week to disburse the cash. Moreover, they seldom approve expat applications even if you have a good credit history in your country.
Banks also have different products depending on your purpose. However, all of these have fixed terms and conditions–making them the least flexible. Despite the few tweaks, these may come with tight boundaries.
In addition, they require collateral in exchange for their instant loan in Singapore. Examples of these loan products are auto loans and mortgages. Therefore, if you do not have large assets, it may be difficult to have your loans approved.
Banks usually offer the shortest tenure at 3 years and can be extended to 7 years. However, this comes in with high-interest rates ranging from 4.35% to 8%.
It is common thinking that banks can only offer loans to those who don’t really need them, and they deny it to those in need. Thus, this makes low-wage earners go to pawnshops and moneylenders.
Pawning is known for its fast transactions, quick cash disbursements, and availability to everyone not younger than 16 years old. These establishments are usually near the MRT stations and connecting bus stations.
Pawnbrokers only give secured loans against collateral such as jewelry, luxury watches, and bags. If you do not have any valuables, you can’t get an instant loan in Singapore from them.
You also need to have an identification card. Even foreigners can get loans in pawnshops if they have employment documents such as an E-pass.
Since the collateral does not have as much ceiling value as cars and houses, the loans can only have a maximum term of 6 months. The interest rate can start at 1.5%, yet it is topped with another 1.5% every month. The sooner you pay off the loan, the less interest you will worry about. Failure to pay off the loans will automatically transfer the ownership of the valuables to the broker.
Moneylenders
Emerging and going strong in the lending industry, many Singaporeans are now going to moneylenders for various reasons.
Licensed moneylenders boast flexible, low-interest rates that the Registry of Moneylenders cap at 4%. In addition, since they require minimum documents to process an application, they can approve and disburse your money in less than an hour.
Many moneylenders also offer foreigner loans. These loans are specially offered to foreigners who need quick cash and don’t require any collateral.
If you are worried about the payment schemes, do not hesitate to talk to your moneylenders. The licensed moneylenders will be willing to create payment schedules to help you pay off your loans. They will even guide you on how much and which instant loan in Singapore you can get.
With these three lenders to choose from, borrowers must also evaluate why they need quick cash. That way, they can make a clear and better decision on which loan provider best suits their need.
Emergency Bills
Singapore takes pride in its highly effective healthcare system, the best in the Asia Pacific. However, there is a possibility that health insurance cannot cover some parts of the hospital bill.
If you do not have emergency funds in your bank, you need a fast cash loan.
Business Operations
Most lenders, be it banks or licensed moneylenders, offer business loans.
You might want to put up a business and need capital to kick start it. Plus, you need to hire some staff to help you out, machinery, and possibly a place to rent.
Is business booming? You still need a business loan to expand or branch out. You might also consider automating your business to lessen your load and duties. This upgrade requires money.
Consolidating Debts
Let’s face it: Some Singaporeans end up with a couple of debts that have skyrocketing interest rates.
Debt consolidation is like combining your loans into one while lessening the interest rate at the most suitable tenure.
Surprising Increase in Bills
When you think everything is going smoothly, your bills will have funny ways to sneak up on you. For example, a sudden increase in your bills could mean that you will be short on budget. However, if your next paycheck is just around the corner, but you need the cash now, all you have to do is apply for a quick loan.
Purchasing Second-hand Bags and Watches
Are you eyeing a luxury watch and a second-hand suddenly came within your reach?
It is hard to pass up chances like this. Yet, buying second-hand items means you need to pay in cash. If that’s the case, an instant loan in Singapore can save the day.
Investments
Heard how the UOB gold prices are being dynamic these days? A business put some stocks on the market that you think has great potential to grow?
Sometimes the excellent chance to invest would knock at your door. However, you cannot push through with it if you do not have the money. Good thing. Applying for a loan can help you start with investing.
Getting Your Dream Vacation
There is a long weekend coming up. Are you ready to grab a vacation in Bali?
If you are a hardworking employee and need a breather, do not deprive yourself of the grand vacation you have always wanted. Instead, get a quick cash loan to book your tickets!
Gambling Habits
The risk of losing money will be imminent if you have gambling habits. While some profess that it is just a timeout from demanding work, others have made it a hobby.
You know you cannot enjoy gambling if you have very limited cash to bet. Thus, you will need more money to try and hit the jackpot. If you lost more than you actually have, then a quick loan is your escape ticket.
However, please do not overdo it.
Regardless of the reason, wisely choose where you are getting your loan. Banks don’t disburse cash quickly, pawnshops require collaterals, and so many moneylenders to choose from.
How Will You Spot a Licensed Moneylender from a Loan Shark?
First, you must check the business name against the list of licensed moneylenders available in the Registry of Moneylenders. If the business name is missing, it is probably a bogus lending company trying to milk your money instead of helping you out.
How did you get to know the moneylender? The moneylenders cannot advertise through SMS, emails, phone calls, and even flyers. But, on the other hand, they can promote through directories, their own business websites, and their business establishments.
Then evaluate how they deal with their customers. Is the staff too pushy? Are they professional, or are they using abusive language? Do they blackmail you? Some unlicensed moneylenders get personal information to threaten clients signing contracts through social media.
Despite any coaxing, threats, or charm, never give away your SingPass. It is very personal, and even licensed moneylenders are forbidden to gain any access from it. Should they need it to get further personal details, it should be you who have to key it in their database.
Another red flag to look for is if they refuse to give back the original copies of your personal documents. Most moneylenders need copies of your documents, but they should never keep the original ones.
Quick payday loans are outstanding. But is there a due and legal process?
If you were granted an instant loan without much fuss, don’t be happy just yet. Remember that loan sharks would be more than happy to quickly lend money as bait to a life buried in debts.
Even heighten your suspicion if you are asked to sign a contract, but you are denied a copy. Remember that any financial transactions should be put in the paper for documentation.
As soon as you get your cash, count it before leaving the premises. You should get your approved principal loan as a whole and not in parts.
There are a lot of moneylenders willing to help you out, but some do not have the right intentions. Should you spot an unlicensed moneylender or a loan shark, email the Registry of Moneylenders at OneMinLaw@mlaw.gov.sg or call them at 1800-2255-529.
Are you looking for a licensed moneylender who can give you a quick loan? Then, give Cash Mart a call. Cash Mart offers flexible loans to the highest ethical standards with you in mind.
Are you thinking of applying for a Personal Loan in Singapore? Are you lost on which among banks and licensed moneylenders to visit? Well, you’re in luck. Understand how it works. See if you are eligible as you read this article.
Low Interest Personal Loan Singapore – Eligibility Requirements
Do you want to know if you can avail the Personal Loan products and services? Check out the list of requirements to determine your eligibility.
Eligibility And Documents Needed
Getting to know if you qualify for a personal loan in Singapore is easy. Check out the following.
Loan applicants must be aged 21 years and above
Singapore Citizen or Permanent Resident
In employment
For Salaried and Commission-based Employees
If you currently work, whether regular or commissioned, prepare the following.
Identification Card (NRIC)
Singpass Login
Proof of billing ( Any latest bill indicating residential address)
Latest 3-month original payslip (Only applicable if there is no CPF contribution)
Letter of employment (Only applicable for new employment)
For Self Employed
Also, even if you are a self-employed individual, you can still take out a personal loan.
Identification Card (NRIC)
Singpass Login
Notice of assessment (NOA indicating trade income)
ACRA (Accounting/Corporate Regulatory Authority)
Proof of billing ( Any latest bill indicating the residential address
For Taxi Drivers
In addition, taxi drivers around the country can apply for a personal loan.
Identification Card (NRIC)
Vocational license
Taxi pass
Min 7 days job summary
Proof of billing ( Any latest bill indicating residential address)
How Personal Loan in Singapore can help you
A Personal Loan brings great convenience to Singapore Citizens and Permanent Residents. In addition, it aids Foreigners with their financial issues. Find out what else can a personal loan do.
Tailored financial solutions to suit your lifestyle
Be ready to take control of your finances. With the lowest interest rate personal loan, it offers predictable payments.
Do you want to consolidate high-interest rate debts? Or do you need to finance a holiday trip with your loved ones? Or possibly get out of unforeseen circumstances? Whichever situation it may be, it might cause a substantial shortage of funds.
However, securing finances adds even emotional stress to you. Even high-wage earners face the same kind of uncertainty. There’s no need to worry. We will help.
Thus, Cash Mart’s Singapore personal loan was designed for anyone who needs money for different purposes, for any reasons other than the specific purposes defined by others.
As your trusted moneylender in Singapore, Cash Mart is a fully equipped licensed money lender with a team. Get a walkthrough of all your lending options with their friendly and knowledgeable personnel. Also, we have your best interest at heart. Plus, we can make a difference. So call us today.
Benefits of forgoing the banks when seeking a loan
Forgo the copious amounts of paperwork that delay approval of loans. Gone are the methods that take days and weeks before disbursement. In addition, avoid queues and waiting times by receiving a personal loan in Singapore through our user-friendly online portal.
We aim to minimize waiting time by providing a hassle-free and straightforward solution to securing a financial package. Also, we realize that sometimes life can throw you a curveball. It puts you in a position where you are short on finances.
A personal loan can offer temporary financial security until you reassess your assets. Don’t simply resort to tightening the belt buckle to make ends meet. Plus, you don’t have to suffer to maintain the lifestyle you are accustomed to. Our team is here to help.
Are you ready to obtain financial security? Allow us to help.
Want to find out more? Based on Balestier Road, Singapore, Cash Mart is a licensed money lender with a team fully equipped to walk you through all your lending options, on-site or over the phone – why not call now?
Cash Mart will provide you with a loan designed to meet your personal needs. We understand that everybody is unique and has unique needs. So we encourage you to speak with us to explain your situation. Also, allow us to recommend a payday loan. It is practical and aligns with your lifestyle.
Call us on 6397 4111. We will gladly answer any questions or offer additional information as required.
Are you thinking of taking out a Payday Loan in Singapore?
Even those with regular jobs sometimes need emergency cash. If your paycheck is still a few days or weeks to go, you have to pay a bill immediately, or you can’t pass up an opportunity to buy a valuable item that rarely goes on sale, you can get a payday loan in Singapore.
However, every time you sign a loan contract, two things will come to mind: “Are you getting the best payday loan deal?” and “Are my information really safe?”
Learn to identify the best legal payday loan with our comprehensive guide to ensure that you are not getting ripped off.
What is a Payday Loan?
Payday loans are usually multi-purpose.
Like on a few occasions a year, an unexpected bill, a lovely holiday, a chance to pamper yourself during a great sale, or even during a festive season, there are times when cash consumption is high. These moments are when we run low on our personal daily cash flow, and a need for a cheap payday loan will arise to bridge over for a short term.
Cash Mart provides helpful payday loans that help fill the gap before the next paycheque arrives.
How Do Payday Loans work?
Payday loans do not require any collateral. Therefore, this type of unsecured loan is easier to process since there are lesser requirements compared to secured loans.
Licensed moneylenders understand your emergency needs mean a quick cash disbursement. So choose a moneylender who can provide cash in less than an hour, like Cash Mart, which can disburse money in 30 minutes. Your loan will be disbursed to you on the spot in cash or cheque.
Once you receive your cash, do not forget to repay your loan based on your agreed terms. This way, you can keep your credit score high and your relationship with your lender healthy.
Which Payday Loan is Easiest to Get?
Every lending company has its own loan process. Nevertheless, all of them need to require the essential qualifications and documentation mandated by the Moneylenders Act.
But since a payday loan is usually used for urgent needs, the easiest you can get is the online payday loan.
With online payday loans, you can simply visit the lender’s website and fill up the application form. Once an appointment is set at your convenience, you can visit the office to sign the contract and get your cash. Online transfer of cash loans is prohibited.
The whole loan process can take as short as 1 hour to a day.
Which Payday Loan is my Best Option?
A payday loan online is a tool to help you in times of urgent financial needs. However, with too many options, you need to take the time to shop around, research, compare, and decide which payday loan is best for you. Get to know the fees, check the repayment options, and choose the most favorable for you.
How to Get a Payday Loan Online?
A payday loan online is a tool to help you in times of urgent financial needs. However, with too many options, you need to take the time to shop around, research, compare, and decide which payday loan is best for you. Get to know the charges, check the repayment options, and choose the most favorable for you.
Where to Get Payday Loan Online?
Get online payday loans only from licensed moneylenders who strictly abide by the Moneylenders Act and are part of the Credit Association of Singapore (CAS). The Registry of Moneylenders and CAS have agreed that all registered moneylenders must be a member of the Association.
Are 1 Hour Payday Loans Possible?
Of course! Payday loans are usually used for emergencies and urgent needs. There has always been a growing need for 1 Hour Payday loans. Now that we have online payday loans, you can get your disbursed cash in less than 1-hour.
It only takes 3 to 5 minutes to complete the online payday loan application. Once approved, you can immediately get your cash.
Add to that, if you can keep a good relationship with your money lender, you can even strike a better loan package with the same quick application process.
Should I get a Massive Payday Loan?
Getting any loan is a serious financial responsibility. It would help if you considered that any loan amount should fit your need and your capacity to pay on time. Too little amount may cause you to get another loan sooner than you think, but too much might make it hard to repay your loan.
It is a good thing if your money lender will be able to provide an online loan calculator. This way, you can make a well-informed decision.
Who Provides Protected Payday Loans in Singapore?
Get a payday loan only from licensed moneylenders.
Do not be tempted to borrow from Ah Longs. They may give you more cash, yet they will ask for higher interest rates that can bury you in debt for a long time. In addition, loan sharks use illegal ways to get their money, and MinLaw has strict regulations for people associating with Ah Longs.
Who can Get a Legal Payday Loan?
Anyone can get a legal payday loan as long that he/she can meet the set eligibility requirements and can present the required documents. The Moneylenders Act mandates every licensed moneylender to conduct due process when providing loan services.
It only means that those who have successfully gone through a loan application process will get approved for a legal payday loan.
If getting a payday loan is too easy without even having to submit a requirement, you are dealing with a loan shark.
Where Do I Find Good Terms of Payday Loan in Singapore?
What constitutes a good payday loan term in Singapore? You can get a payday loan in Singapore from a handful of licensed moneylenders. But having lots of options can sometimes be confusing.
You have to identify how much you will need.
Calculate how much you can afford to borrow and repay. Then, work out how long it will take to settle the total amount. Compare your options online. Shop around and look for a lender with eligibility requirements that you can meet.
Since you are getting a loan from a registered cash lender, you can be assured that the interest rate will not be more than 4% a month. Do your research and pick a payday loan that will suit your needs. Take a short-term loan offered by a reputable money lender.
How are Payday Loans Calculated?
Licensed lenders are highly regulated in Singapore. That is why rules and regulations are often updated to make the money lending industry fair and safe to both borrowers and lenders.
The Ministry of Law has put in place the unsecured loan caps.
For low-income borrowers who earn less than $20,000 annually, the maximum total loan from all moneylenders in Singapore will have a cap at $3,000 only.
For those earning more than $20,000, the aggregate loan cap will be 6 times the monthly salary.
Consider, Borrower A has a monthly income of $3,000. It means the borrower’s annual income is more than $20,000. The maximum loan he can get from all moneylenders in Singapore is $18,000. If Borrower A gets approved for a $5,000 cash loan, he can only apply for $13,000 from other lenders.
Take note that the loan cap only includes the capital loan amount. In addition, interest charges and other fees are excluded.
How much Can I Borrow?
Like any unsecured loan from a licensed moneylender, Payday loans are computed based on the guideline of the Moneylenders Act. Your payday loan in Singapore is calculated based on your annual income.
The annual income is calculated based on your salary for the last three months prior to the loan application.
Let’s say, Borrower B was jobless for a month but started to work in January 2019. So he applied for a loan of $3,000 in March 2019.
December 2018 = no salary
January 2019 = $3,000
February 2019 = $3,000
Annual Income = 0 + $3,000 +$3,000 = $6,000
$6,000 ÷ 3 = $2,000
$2,000 x 12 = $24,000
Since Borrower B’s annual income is more than $20,000, he can borrow as much as 6 times his monthly salary, $18,000.
How does Payday Loan Payment Calculator work?
When using a payday loan calculator, you have to key in how much you want to borrow and the repayment term that lets you settle your loan quickly.
Remember that you also have other financial responsibilities such as your bills, food, and transportation. Therefore, it would be best to consider your daily needs aside from your loan repayments.
With the loan calculator, you can easily see if you can repay it without sacrificing your basic needs. Also, it will help you know how you will adjust your finances effectively.
What does Refinance a Loan Mean?
Refinancing a payday loan means replacing an existing payday loan with a new one. The new payday loan will pay off the current one. It is a smart option if the new payday loan has good and manageable terms to help you improve your finances.
Take note that the new loan has to ultimately pay off the existing one. So make repayments to the new loan until you can settle it.
Is Payday Loan in Singapore Bad?
Payday loans are financial tools you can use to regain financial stability. Depending on your financial skills and discipline, a payday loan can be most helpful in unforeseen needs and can even help you build a healthy credit score.
Ensure that you get a loan amount that you can confidently repay with ease while also handling your other financial responsibilities.
Why is My Payday Loan Application Declined?
There can be various reasons why your loan application could get declined. The most common is a low credit score.
Before granting a loan, the licensed money lender must obtain the necessary information from the loan applicant. Then, the data gets verified by checking the details and identification against complete, genuine, and up-to-date documents.
The licensed money lender will then inform the applicant to submit the information to the Moneylenders Credit Bureau (MLCB). Your credit report is produced and will be kept in the licensee’s record.
Your credit report is the record of your previous loans. If it is low, it means that you have unsatisfactory payment behavior. The lender will derive a low credit score which means you are at a high risk to default a loan. Conversely, you will likely get approved if you have a high credit score.
Your credit report will be disposed of from the lender’s records if declined. However, if approved, your lender will keep your credit records for 5 years upon completing your repayment.
Another reason to decline is when you have exceeded the loan cap based on your salary. Remember that MinLaw has an aggregate loan cap on lenders offering unsecured loans. If you earn less than $20,000 a year, you can only borrow up to $3,000. If you earn more than $20,000 a year, you can borrow up to 6 times your monthly salary. Once the lender sees that you have borrowed the maximum amount from other lenders, you will immediately decline.
You will also get declined if you fail to provide complete requirements and information.
Do Payday Loans Affect Credit Score?
However small is the amount you want to borrow, you need to make sure that you pay the loan on time as it will be reflected on your credit history.
Moneylenders are strictly mandated to update your credit profile. Therefore, in the future, should you decide to get loans from banks and financing facilities, your credit score will be one of their primary considerations.
Is Online Payday Loan in Singapore Safe?
Licensed moneylenders follow strict regulations. For example, they only allow disclosure of the borrower’s information to the borrower, Moneylenders Credit Bureau (MLCB), and the Registrar. Also, it applies to registered money lenders who offer payday loan applications online.
Can I refinance My Payday Loans?
The common reason for refinancing is to save money on interest costs. Payday loans usually have short repayment terms and are pretty manageable. However, in unforeseen need, some people opt to do refinancing.
To do this, you have to research and find a lender with flexible repayment terms and affordable interest rates.
Where to Refinance Payday Loan?
You can refinance your payday loan from the same lender where you got your existing payday loan. If you apply for a new loan, the lender will use the funds to close the old loan contract. It is easy if you can meet your previous repayments on time.
What are Payday Loans Open Today?
Most money lenders are closed on weekends, but your need to apply for a payday loan may happen on any day. Fortunately, some moneylenders let their borrowers apply for a loan, even on weekends.
Payday Loan Near Me
A payday lender nearest to you is the one you can apply to even in the comforts of your home.
You can apply for a payday loan online in just a few minutes anywhere you are, any day of the week. Once you get preapproved, you can visit the lender’s office to sign your loan contract and get your cash.
Ultimate Payday Loan Borrower Checklist
Be rational.
You may be emotional or stressed, but not reasoning may lead you to bad decisions. Never get a loan from a loan shark. It may help you right now, but it will only drag you more into spiraling debt.
Confirm if the money lender is licensed.
Check the list of Licensed Moneylenders provided by the Registry of Moneylenders.
Use a loan calculator.
Borrow only the amount you need and choose the repayment term you can confidently meet without sacrificing your necessities.
Check the interest rate.
Licensed moneylenders can only charge not more than 4% of interest a month. Higher than this interest rate means you are dealing with a fraudster.
Confirm other fees.
Make sure that your lender is transparent. Every fee must be indicated in the loan contract as well.
Be wary of advertisements.
The lending industry is highly regulated. Licensed money lenders are prohibited from advertising through pamphlets, SMS, or emails. Also, they can only advertise in online and print directories and their own websites and offices. But any other advertising is not allowed.
Understand the terms of the contract.
Before you sign the loan contract, you must ensure that you have read and understood everything.
Get a copy of your contract.
Once you have signed your loan contract, ensure that you get your own copy for safekeeping.
Get your cash in person.
Money lenders are not allowed to issue loans online. Instead, you need to personally drop by the lender’s office to sign the contract and get the disbursed loan.
Over the years, the need for quick cash solutions continues to grow. It led Cash Mart to innovate its loan offers and create a simplified process. As a result, cash Mart’s payday loan application is made available online to accommodate every borrower who wants to make an application at their most convenient time. Try it now to experience the best payday loan in Singapore.
Are you planning on taking out a Citibank Home Loan? Here’s what you need to consider before getting one for your new home.
There is no place at home.
It is a place where you can feel safe and at ease. However, it is no secret that purchasing a home is not as simple as finding the right place, paying it off and then moving in. Singaporeans use housing loans to afford a home though they have to pay for a couple of years or even decades.
Most banks offer a home loan, and Citibank has a couple of housing products. However, if you are eyeing a Citibank Home Loan, you need to consider a couple of facts.
If you need to get funds to purchase your new home, you may get a New Residential Property Purchase loan.
Before looking for a home, you need to know how much you can afford. Therefore, you are encouraged to get an In-Principle Approval (IPA). This way, you will learn will you are qualified for a housing loan and how much the bank loan is willing to lend.
After getting an IPA, you can select the property that fits your financial capability and loan amount. Next, get the Option to Purchase (OTP) by making an initial offer. Finally, you must submit both the IPA and the OTP to make a formal loan application.
The bank may provide a lawyer to help you execute the mortgaged usage of CFP funds. At this stage, expect to pay legal fees and the downpayment. The disbursement will either be issued directly to you or through the lawyer.
Citibank Mortgage Refinancing
Let’s say you already have an existing housing loan with a bank. However, you realize that you can’t keep up with the repayments. So Citibank offers to help you by settling the home loan for you. Then you can repay Citibank according to a loan agreement.
You can only get this loan solution if your existing housing loan is way passed its lock-in period and the interest rate is higher than Citibank’s rate.
Citibank Cashout
It is a term loan type where you can refinance your mortgage to get cash liquidity. Simply, you are using the value of your home to get a loan without selling it. According to the agreed loan tenure, it helps if you meet monthly instalments upon loan disbursement.
Make sure that you can repay the monthly instalments to avoid penalty charges. You might be even risking losing your home.
Citibank Additions & Alterations or Reconstruction Loan
You can use Citibank Additions & Alterations or Reconstruction Loan to build a new home, revamp a recently purchased property, or reconstruct a current property.
Citibank Home Loan Calculator
Why do you need a calculator? Citibank Home Loan Calculator can give you an idea of how much you have to pay each month based on the amount you plan to borrow.
It does not give you the exact amount, but it can give you a way to consider how the monthly repayments can affect your daily finances.
How to use the Citibank Home Loan Calculator
Select Property Type and Type of Interest Rate package
Mention the Home Loan Amount Required
Choose the Mortgage Repayment tenure
Set the interest rates per annum for home loan repayment
Calculate the Mortgage repayment schedule along with the estimated monthly instalment breakdown.
Citibank Home Loan Interest Rates
Low-interest rates from SIBOR + 0.70% p.a. for the first 3 years if you successfully apply online by 31 May 2017. SIBOR is Singapore Interbank Offered Rate. It is the interest rate used by banks in Singapore whenever they get a loan from each other. It is set by the Association of Banks in Singapore (ABS).
What to consider before getting a Citibank Home Loan?
What type of buyer are you?
It is vital to consider if you are buying a property from an investor or an owner. As an investor, you might want to purchase an apartment that has the potential to be in-demand. You may even buy an apartment in a high-growth property area. On the other hand, if you purchase a homeowner, you will highly consider your own lifestyle in a specific area.
What type of rate do you want?
Should you take a fixed rate or the variable rate? Both types of interest rates have their advantages and limitations. The decision will depend on how you manage your finances. For example, if you are the kind of person who likes security, take the fixed rate.
On the other hand, if you want to keep your options open and take the chance that your interest rate may go/stay low, then the variable rate will fit you best.
Do you know all the fees toy have to pay?
There are a lot of fees involved in a housing loan. The upfront fee is the application fee charged by the bank when you take out a loan. Ongoing fees are fees or charges you have to pay during the loan duration until its maturity. Exit or discharge fees are not always applicable. However, you may have to pay specific fees, such as the legal fees on the property’s title.
How much should you borrow?
The more deposit you pay, the lesser you have to borrow. However, keep in mind that you also need to pay the lawyer, stamp duty, and mandatory insurance aside from the interest rate.
Buying a home is not as easy as it seems. It takes serious consideration. It is best to ask the bank about the possible fees you get charged with. Also, if you want to get a loan for a minor home improvement, you can just get a personal loan from licensed moneylenders such as Cash Mart.
Singaporeans know it is convenient to calculate monthly loan payment from a licensed moneylender. Learn how to do it in 1 minute.
There are various reasons why Singaporeans apply for a loan. Even those with regular paying jobs experience getting payday loans. It may not be for an emergency reason, but rather for leisure hard to pass up. From a grand house renovation to buying a brand new car, it is convenient to know how much you will have to pay on your monthly loan from a money lender before starting the loan process.
Secured loans are loans that require assets or collateral. It is less risky for the lenders and puts the borrower’s assets on the line. Secured monthly loans usually offer a higher amount of loans as there is more assurance that you will do everything you can to pay the loan.
These loans are not just for purchasing new cars and houses. They can also be home equity loans. However, if you borrow more than you can pay, you lose your valuable asset.
On the other hand, unsecured loans are monthly money lender loans (personal, payday, car loan, foreigner loan, etc.) that do not require collateral. The monthly loan money lender has no assets to recover should the borrower fails to pay the loan. A monthly money lender evaluates the borrower’s creditworthiness through credit reports, financial stability and other factors. These may include but are not limited to character, capacity, capital, and conditions based on the personal interview and passed requirements.
Interest Rate
An interest rate is a fee usually called base rate, calculated as a percentage of the total loan amount you are charged for borrowing money. It is a proportion of the loan charged on top of the principal loan. It is typical for the moneylender to earn money from the interest it charges, as the borrower has to pay interest for the privilege of getting a monthly loan.
Several factors can affect interest rates. First, since the monthly money lenders are putting their money in the hands of a borrower, they are risking losing that value.
Also, the value of the money can decrease in the future. So what the $1000 can buy now may not be the same after a year.
Another factor is the government’s limit on interest rates. For example, in Singapore, licensed monthly money lenders can only charge up to 4% interest loan.
Annual Percentage Rate
APR is an annual rate charged for borrowing a loan, making it an essential factor in determining the overall cost. Use APR to compare different personal loan offers.
The formula for the loan payment calculator:
Monthly payment = [r + r / ((1+r) ^ months -1)] x principal loan amount
Where: r = decimal rate / 12
You can use the online Personal Loan Calculator at calculator.sg for easy calculation.
Type in the Loan Amount (SGD), months to pay and Annual Interest Rate %.
When getting a loan from a monthly licensed money lender, you must take the time to shop around. Compare their websites, company history, reviews, and processes. Indeed, a reputable licensed moneylender has a long list of clientele that keeps the company thriving on top of the lending industry. Browse around the website and check the terms and the frequently asked questions. It is usually found on websites of licensed money lenders to help the borrowers with their inquiries with less hassle.
If you want to experience a high-class service with transparent terms and fees, choose Cash Mart. Cash Mart takes pride in not only their quick online loan application but also in the lowest sensible interest rates a lender can give. Drop a call or stop by Cash Mart’s office, and the friendly staff will be willing to walk you through the personal loan process, requirements, and terms.
Recently, many news features the various loan shark scam schemes. Watch out for these to avoid being victims of illegal money lenders in Singapore.
Recent News on Loan Shark Scam
Last June 6, a 19-year-old was apprehended along Woodlands Avenue 2. It was after reportedly splashing paint and creating loan shark-related graffiti on a residence at Tampines Street 45. Aside from the said case, the youth is a suspect for being involved in similar Bedok and Bishan activities.
On June 2, there were a report in the Criminal Investigation Department (CID) officers. Also, together with 6 other police divisions, stormed various locations across Singapore and arrested 104 suspects (18 to 72 years of age) for getting involved in loansharking activities.
Upon preliminary investigations, they discovered that four are runners who carried out ATM transfers and secured ATM cards for loan sharks.
Three were the harassers who vandalized walls and splashed paints on private properties. The last suspect provided a different home address when getting a loan from an unregistered moneylender.
The rest have to open bank accounts and give the ATM cards and PIN codes to loan sharks to facilitate the illegal moneylending business.
Another recent story of loan shark harassment was later in November last year. A Singaporean man shared his dilemma of owing $13,000 from a loan shark.
In desperate need of cash, he borrowed $700 from an illegal money lender. However, after failing to pay for a week, his loan interest grew. Thus, it made a full-blown debt out of it.
He shared that he regretted waiting too long to ask for help. Now, it drastically affected his whole family. The loan sharks began to knock on his door. Plus, the experience traumatized his youngest daughter for months.
For many years, Singapore has been battling loan shark scam schemes. It takes advantage of the people’s needs, posing as a quick help when in truth, they aim to milk all the money they could get from the borrower.
As a result, illegal moneylending has been a severe problem. During the 1990s, Chua Tiong Tiong, commonly known as Ah Long San, was still prominent.
Ah Long San is the infamous loan shark king. He led the 90’s multi-million illegal moneylending syndicate. That’s why he was one of the most feared and slippery criminals in Singapore’s history. However, he was able to dodge arrests by bribing nine police officers. As a result, those who have information about his whereabouts have kept themselves tight-lipped for fear of their loved one’s safety.
Ah Long San Scheme
According to The New Paper, Ah Long San would use the ‘profit-sharing scheme’ for his illegal money lending business. He will loan $50,000 to his senior assistants, who will lend them to needy Singaporeans. The senior assistants’ responsibility is to collect the money with ceiling interest.
They pocket half of the amount collected. If they can’t pay to deliver the boss’ money, they will be the ones in trouble. Thus, they have to do any illegal means, including unlawful measures, to get the money.
Loan shark scam usually charges 20% of interest to their loans. So, for example, when a borrower asks for a $1,000 loan, the lender will only give $800 and keep the $200 as interest.
If the borrower pays $600 for the next week, the loan status remains unpaid. The lender will count the payment as only $400 and pocket the $200 as interest. This way, the borrowers end up paying 100% interest.
If the borrower cannot keep up with the payments, the debt will increase. If they could not pay anymore, they might decide to turn into a runner or end up as the loan sharks’ pawns.
Tactics to Cover their Tracks
Illegal money lending is a serious matter for the police. Debtors use various ways to cover their tracks, usually using their own borrowers.
Lenders only use the prepaid mobile numbers registered to their borrowers’ names. This way, they will be hard to track. Moreover, if the police try to trace the mobile number owner, they will only end up with another borrower.
Debtors have to open banks accounts. Then, they hand the ATM card and access code to the lender. This way, the loan sharks can make anonymous withdrawals. However, the track will only lead back to the debtor.
If debtors have no other way to pay, lenders convince them to gamble outside the country or in ships. If the debtors lose, they will only get more debts to pay. Plus, the lenders won’t have their names on anything.
The Danger in Social Media
Nowadays, people are negligent in putting their personal information online. Illegal money lenders use the information on your social media accounts to get personal data and other information. They can use it to blackmail you. So it is better to be wary when posing anything on the web than regret it later.
Also, secure your social media accounts with passwords and other security features offered in the social media apps. This way, your accounts won’t be easily hacked.
Illegal Moneylending Scam Schemes
Phone Calls
Loan shark scam uses abusive language when making a call. Also, they could be using another debtor’s number.
They will threaten you and make you pay for a loan that you did not even take. Usually, they threaten your loved ones and continue communicating via calls and SMS. In addition, they might even scare you to deposit money in their bank accounts.
If you have previous or existing loans with other loan sharks, they will take advantage of it. They will leak this information to the police. People who are usually a victim of this loan shark scam find it difficult to get help from authorities. There is for fear of embarrassment.
SingPass
It is illegal to keep another person’s SingPass. Even legal moneylenders prohibit such doing. If a loan shark scammer gets your SingPass, they can quickly get your personal information, including your financial data. Then, they can fake your identity and use it for other illegal transactions or get loans from other moneylenders. So, you will end up paying for loans you did not use.
Letters and Harassments
Some loan sharks use letters to threaten their victims. They will keep on sending letters though you might have not even borrowed anything from them.
If they can’t get in touch with you by chance, they will even paste the letter on your door for passersby to see. Since Singaporeans value their reputation, embarrassment is unthinkable. Sometimes, loan sharks even lock the debtors inside their homes using bicycle locks. Other set fences and gates on fire.
Facebook and other Social Media
Harassments don’t just stop at the victim’s doorstep. They now use Facebook and other social media platforms to harass their victims for all on the web to see. Plus, they even send a friend request to the family and friends about the debtor’s loan.
Debtors Turned into Runners
The loan shark scam thrives on fear, emotional stress, and humiliation. No matter what happens, despite the enormous need for quick cash or ominous threats they use, never succumb to loan sharks. Remember, they only bring spiralling debt. If trapped, Singaporeans cannot get out of the loan sharks’ grip turn into runners.
The Consequence of Falling into a Loan Shark Scam
Unfortunately, many loan shark victims get involved with the illegal moneylending business to repay their loans. However, despite the pitiful state of the victims and their desperate situation, the court is firm to implement the Moneylenders Act, or else the cycle of exploitation will never end.
The runners harass other debtors in exchange for their unpaid loans. However, they should know how stressful and fearful it is to be hounded by loan sharks.
Despite diverse situations, there should not be enough reasons to do it to another person and make them feel the same helplessness they endured first-hand. In the first place doing business with an unlicensed moneylender already violated the Moneylenders Act.
First Offence
Those who demand or collect money open a bank account, provide a prepaid SIM card, keep business records, provide collected personal information of another person, and participate in banking transactions. Let’s own premises used for or by a loan shark. They are subjected to imprisonment not exceeding 4 years and a fine of not less than $30,000 and not more than $300,000 with 6 strokes of the cane.
Second Offence
For the second offence, the convicted has to be imprisoned for 7 years and pay a fine not less than $30,000 and not more than $300,000 with 12 strokes of a cane.
Guilty
Those who are found guilty of harassing a person, either attempted or committed in behalf of a loan shark will be imprisoned for no more than 5 years and has to pay a fine of not less than $5,000 and not more than $50,000, and has to receive not less than 3 and not more than 6 strokes of the cane.
Time to Step Up Against Loan Shark Scam Schemes
The serious problem on Ah Longs (illegal money lenders) has been battled for quite some time now. For this reason, the regulations in money lending have been more uptight. However, the campaigns against ah longs are still at their heights, promoting legal moneylenders with flexible loans instead of loan sharks.
At Cash Mart has always supported various campaigns and movements against loan sharks. We have always been creating flexible loans with terms personalized for each client, and our staff practice professionalism at all times. The team behind Cash Mart never stops finding ways to cater to products available for Singaporeans and foreigners in Singapore from all walks of life.
Suppose you have any information on any ah long related activities or person. In that case, we encourage you to call 1800-X-AH-LONG or 1800-9-24-5664, the Police Emergency Hotline (999) or get in touch with the Registry of Moneylenders at telephone number: 1800-2255-529 or at its e-mail address: OneMinLaw@mlaw.gov.sg and rest assured your identity will be kept anonymous.
If you know someone currently in the grip of a loan shark, please help them by reaching out on the X-Ah-Long Hotline. It is time to work together and put a stop to the terror brought by loan sharks in the lives of our fellow Singaporeans.
How to Effectively Keep your Credit Rating Healthy
Singaporeans know the vital importance of loans in their lives. But, only a handful understands how to keep your credit rating healthy. The standing of your credit score can significantly affect your future. With this sentiment, it is helpful to know what breaks or makes a healthy credit rating.
Whenever you apply for a big amount of loan, either from banks or other financial institutions, they will pull out your credit rating. It lets them see your loan history and if you were able to repay each one diligently. Financial institutions have various ways of interpreting credit scores. However, your credit history will usually impact your future loans.
Credit Bureau Singapore
Most banks and lenders will base your loan approval, loan amount, and sometimes interest rates on how well your credit rating stands. If you want to get a copy of your credit report, you can have it from Credit Bureau Singapore at $6. The credit score can range from 1,000 to 2,000. Also, the grading reflects AA as the best and HH as the worst. In addition, your credits in other countries will not be considered.
Credit Bureau Singapore will only keep records of your credit rating. However, it is completely up to you to keep it in shape. But, it will depend on the particular lender on how they will interpret it concerning your loan application. Here is a hint. Most lenders will reject loans applications if the borrower’s credit score is CC and below.
However, there will be instances when a Singaporean will not have a graded credit score. It happens when an individual has no credit history or has a past or current bankruptcy record. In addition, it applies if all accounts yet are closed, and the record only shows Credit Applications.
What Happens If You Have A Bad Credit Score?
Your loan application may not get approved. Or your licensed moneylender will offer a lower amount of loan. For instance, you need a certain amount of cash for your business, house improvement, studies or health issues, but you will not be able to have it.
Singaporeans need a house loan to buy a house. If you have a negative score, you can pay the down payment in cash if you have enough savings. Or settle for a lower amount of loan. However, it will be almost impossible to get a car if you cannot acquire a car loan. You can use the car loan to pay the car’s down payments, additional fees and taxes.
If you can’t get a student loan, you might not be able to get the degree you want. It may cost you your dream career. On the other hand, even if you earned a degree, there are times when employers in specific fields such as finance, law, or politics will consider your credit rating or history. They may not be able to check if directly from the Credit Bureau. But, they can still require you to pass a copy to them during the interview. Some employers refuse to hire individuals with bad credit scores.
Even though you have small credits from various credit cards, having a handful gives a red flag to the potential lender. Also, it will not be helpful if you close all accounts. Instead, keep an account or two and pay it on time. It helps to keep your credit rating healthy.
No credit history
As said a while ago, a no-credit history reflects as ungraded credit. There is nothing to be evaluated. So, the lender will not know if you are a low-risk or high-risk borrower. It poses a problem because lenders usually refuse to approve big loans to those who have unknown risks. Opening a credit account and remembering to service the payments is better.
Multiple personal loans within a short period of time
While having no credit history is not good, having too many loans is also a red flag. It may seem that you have financial desperation. It usually happens to those who do not know that they have applied for insufficient loans.
For example, an individual applied for a car loan. The car loan was approved. However, he underestimated the actual cost of having a car. In addition, there are other things to be paid aside from the car’s exact price. Therefore, you need to keep up with the unforeseen costs. So the person applied for a personal loan. It is better to assess all the costs before getting a loan to make a well-informed decision.
Also, there are times when a person gets loans to cover repayment. Use a loan calculator to estimate how much repayment you can handle correctly. This way, you can avoid getting personal loans just to payout an existing loan.
Too many loan applications at the same time
Some Singaporeans think it is better to apply for loans simultaneously and choose one that best fits a particular need. But, this will not be reflected nicely in the credit ratings. Also, you will look too needy. It looks like you are asking for loans all over the place. Before applying, shop around and compare the interest rates of various loans. Afterwards, you’ll know which one is best for you.
Late repayments
Your moneylenders have to report your payments. Therefore, it will reflect your late repayments in your credit rating. If you are not diligent with the repayment terms, your future lenders will consider you a high risk. Do not hesitate to talk to your lender if you know you are will late with your loan obligations. They are usually helpful and will be willing to adjust the repayment.
Bankruptcy
You can still clear your bankruptcy status. However, it will continue to reflect for the next five years. Therefore, it can get in the way of your car loan, house loan or business loan.
Default credit
If you consistently fail to repay your debt, this will be reported as a loss. Defaulting may seem to be an easy way out of a big loan. However, it will be in your record. Plus, it will greatly pull down your credit score and your hopes to get new loans in the future.
How To Keep Your Credit Rating Healthy?
Do not make consecutive loan enquiries.
Avoid being labelled as credit hungry by not making multiple loan enquiries. Those who badly need cash go to various lenders to get a loan. It doesn’t look nice for future potential lenders as they can also see your enquiries in your credit history. If you have to make a couple of loan applications, always have an interval.
For example, do not attempt to get a house loan and another personal loan if you realize you need more cash for the down payment. Instead, get your home down payment from your Central Provident Fund (CPF) if you are getting a Housing and Development Board (HDB) flat. Then, use a personal loan to pay other costs as personal loans are more flexible than house loans.
Repay your loans diligently
Do not ignore your moneylender’s letters to remind you of your payment. Lenders are willing to help you adjust their repayment terms if you tell them your status instead of hiding and defaulting. If you know you are short for the coming scheduled repayment, tell your lender ahead of time.
Take a small loan and repay
If you have a bad credit rating, you can repair it. For example, take out a small loan and repay it diligently. It will take some time, probably a year or two. But, it will help in the long run as you will then be able to get a higher loan. In addition, you will be able to get a loan at $500 without worrying about your credit score. However, expect most lenders to give you a higher interest rate.
Never default your loans regardless of the amount.
If you don’t pay your loans, you might never get another loan anymore. It might be impossible to get a home, car or student loan. Have your debt reconstructed if you get caught in a spiralling debt and think it is impossible to pay all your loans. Also, get in touch with a credit counsellor.
If you need a flexible low-interest loan to take your credit rating back up, drop by Cash Mart. Also, chat with the friendly staff to start a smooth process of getting your personal loan. Cash Mart offers various loan solutions when you need them the most.
Being a single mother is not an easy feat. Luckily, finances are more manageable with the loans for single moms. Find out why.
A single mother is a full-time job without the expiration of the contract. While trying to earn enough for the family, we also have to care for our children. Also, we need to provide everything they need. However, there will always be a time when an emergency cash need will pop up. Unfortunately, our income is not enough to get over it. Good thing that there are now loans for single moms.
Situations Why Loans for Single Moms are Necessary
Stuck
As a single mother, I have to stick to a budget. Also, I need to make sure that a trickle of my income will go to an emergency fund. However, despite revising my budget, if an unexpected expense comes up, I know I won’t be able to handle it alone financially.\
Take, for instance, a house repair like leaking plumbing under the sink, an emergency medical bill for my baby, or a sudden increase in fares going to work. These will all shake up my well-planned budget.
However planned, something will come up. And at times, no matter how I adjust it, the cash on hand is still not enough.
Whenever my daughter gets sick, I temporarily cut my working hours short. Then, I take her to the doctor. There are times that I won’t be able to go to work for a few days. I need to nurse my baby back to health.
Hospital and laboratory bills are not cheap. In addition, my lack of working hours will cause a sudden flunk in my income. Cash is vital to cover medical bills and daily expenses. It is hard to get by with these financial needs with a lack of resources.
House Bills
I usually budget specific amounts for electricity, phone and water bills. However, there are times when companies raise their cost. Sometimes, the new bills exceed my expected consumption. In addition, missing the scheduled payment for utility bills is not an option.
My daughter can’t last a day without an air-conditioner. If my electricity cuts, she will get irritable. But, getting back my electricity connection costs more. An inevitable sudden increase in expenses is very frustrating and stressful.
If you are also a single mom with the same experience as mine, you should know that you are not alone. There are some loan programs created to assist un in times of need. Here are some things you have to know about loans for single moms.
Must-Know about Loans for Single Moms
Look at your credit score.
Before shopping for a loan, it is better to know your credit score standing. The financial institutions will review your credit rating. Then, they will decide on your loan approval based on it.
There are many types of loans and some Singapore licensed moneylenders base their interest rates on their credit score. So it helps them assess your ability to service loans for single moms.
It is imperative to take care of your credit score. Some banks and other licensed lenders tend to lower interest rates for those with high credit scores. Therefore, make sure that you take care of your credit rating. So, always pay your loans on time.
Micro Business Loan
If you are a single mom with entrepreneurship skills, you can apply for a small business loan. Also, you can shop around the web to see various business loans offered by lenders. In addition, there will be different terms and conditions. So make sure you get the one that best fits you.
Secured Loan
Collateral is a must-have with secured loans for single moms. For example, you may use your home, car or other properties as collateral.
If you use this kind of loan, be sure that you can repay it. Because if you fail, the collateral will be owned by the lender by default.
If you have a couple of loans, you may consolidate them. As a result, this will potentially decrease the interest rate. However, do not consolidate a federal loan with a private personal loan in Singapore.
If you still want to go back to school, try to see if your school gives student loans to single moms. Higher education may get you a better job and more internship experience.
Home Loan
This loan gives you support if you want to move out or buy a new home. Being a single mother does not stop you from owning your own home.
Internet Scams
It is easy to find loans online, but be wary of giving your personal information. Many would like to help you out. However, many will also try to fish out your financial details and get your hard-earned money. As a result, you might lose everything instead of gaining some. So be extra cautious when taking out loans for single moms.
Choose an immediate cash loan that has flexible repayment schemes. For example, there are loans with fixed rates while others are flexible. Also, the longer the loan period, the more money you are paying back to the lender.
Fine Print and Terms
As said a while ago, know the terms and understand them. Be sure that the fine prints are clear. Also, some lenders will try to hide some expenses around. So be vigilant.
Being a single parent is never easy. However, there are some ways to get by when you need more financial stability. There are hundreds of money lenders on the web. But, choose the one that has a license, eligibility, experience, and flexible terms.
