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LATEST MONEYLENDER NEWS 10 trusty tips in applying for a personal loan in 2016

LATEST MONEYLENDER NEWS 10 trusty tips in applying for a personal loan in 2016
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Personal loans are an avenue to explore if you are looking to get your hands on money to meet various needs.

Considering that these loans are extended for a defined term, consumers also like the enforced discipline of paying off the loan within a set time frame.

Here are 10 tips for 2016 for those considering personal loans.

1. Make sure a personal loan offers you the best deal

Consumers use personal loans for different purposes.

For instance, you could use them to consolidate your credit card debt, for home improvement purposes, to invest in your business or simply to take a vacation.

Check if there are other types of loans that could serve your needs better. For instance, you could take out a home equity loan or line of credit.

Considering that home equity loans are secured by your home, whereas personal loans are not secured loans, your interest rate is likely to be more favorable when you tap into home equity.

2. Choose the right moneylender

Financing sources that offer personal loans include banks, credit unions and online lenders.

Each of these offers a range of interest rates, and their terms vary. That’s why you should shop around and find a moneylender whose loan best fits your needs.

For instance, Perc Pineda, senior economist with the Credit Union National Association, points out that for a $5,000, 2-year personal loan, the average rate is 9.54% at credit unions compared with 9.93% at banks.

3. Be careful with credit card consolidation

Taking out a personal loan to pay off credit card debt on more than 1 card and consolidating the payments is one of the most popular uses of personal loans.

If this is your motivation for taking out a personal loan, be careful not to defeat the purpose by racking up fresh credit card debt once you pay off the old cards and have access to fresh credit.

4. Read the fine print

Be sure to ask for a full disclosure of all the loan terms and read the fine print. There are differences in the terms offered by different lenders.

See if the monthly payment and repayment terms work for you. There also could be fees for late payments.

The lender is looking to generate a steady stream of interest payments from you over the term of the loan, so there could also be a prepayment fee, or penalty for paying off your loan early.

Looking for a personal loan? Check out www.sgmoney.sg for the best deals.

5. Make sure your credit score is accurate

Your credit score could make for a significant difference in the interest rate you’re offered on your personal loan, irrespective of the overall direction of interest rates.

For instance, you could pay as much as 20% or higher with bad credit, while you could snag a much better 8% rate with good credit.

That’s why you should make sure that your credit score is accurate and continue to be responsible in your use of credit. Also, some personal loan lenders will report only the payments you miss to credit bureaus, so you could ask your lender to report your on-time payments to bolster your credit profile.

6. Watch out for origination fees

While some lenders seem to offer lower interest rates, you might find that they also tack on an origination fee that effectively hikes your interest rate. Thus, you could be better off with a lender that offers a higher rate than others but doesn’t add on any origination fees.

7. Don’t take on more than you can afford

Before you apply for a personal loan, gauge your financial situation and how much you can comfortably take on.

Some lenders will look to ply you with more than you can handle. That means you might end up biting off more than you can chew and fall into a debt trap.

8. Be careful about allowing automatic withdrawals

Some online lenders offer borrowers incentives to provide access to their bank accounts for automatic withdrawals of their monthly payments.

In fact, they could set up the personal loan terms as such, and you would have to opt out of the arrangement. For instance, you might find that you will have to pay a fee if you prefer to pay by check. If you provide access to your bank account, though, you might find yourself out of money when you need it.

9. What if you encounter difficulties with repayments?

Find out what your options are in case you run into difficulties making your payments. Is there any potential to modify the terms of the loan?

Also, is the lender open only to arbitration if any differences arise? Or can you go through the court system?

10. Fixed rate or variable rate?

Should you opt for a variable or fixed rate on your personal loan?

Typically, you will start off with a lower rate on a variable-rate loan, but you also will be taking on interest rate risk.

As interest rates rise, your variable rate also will rise, so your monthly payments will be higher.

With a fixed rate, your payments will remain the same for the term of the loan regardless of interest rate movements.

 

LATEST MONEY LENDER NEWS 5 smart tips to follow before taking a personal loan

LATEST MONEY LENDER NEWS 5 smart tips to follow before taking a personal loan

If you have a pressing need for cash, then a personal loan is one of the options available to you. Their easy availability is one of the biggest draws. While it is certainly a good way for handy cash, they are expensive and you are best advised to look before you leap into them.

So, today we are going of share some smart tips about personal loans, which would help make this loan product work in your favour instead of creating a problem.

#Tip 1: Do a smart all inclusive comparison


When you plan to take a personal loan, you would observe that interest rates vary from bank to bank. The best way to get an optimal loan would be not just to compare the rate of interest or EMI, but also take into account the processing charges, documentation charges and pre-closure charges.

# Tip 2: Examine other options
Secured loans such as loan against gold or other securities usually come at a cheaper rate of interest. Hence, if you do have security that you can use, do examine that option before swinging in for a high interest personal loan.

#Tip 3: Do not over-shop for the loan
When you apply for a loan you leave a “footprint” on your credit record which lenders check before approving a loan. Too many loan applications bring down your credit score.
As a result moneylenders will see you as more of a credit risk, so your latest loan application is less likely to be approved or the rate of interest will be higher.

#Tip 4: Read the loan document
Before signing on for a personal loan, read the document properly. Ensure all the terms and conditions are filled in completely and match on those that were agreed upon while taking the loan. Very often, personal loans are marketed by agents who are more interested in meeting sales targets than giving accurate updated information to the customer. So beware!

#Tip 5: Use the money productively
Use the home personal loan for productive purposes. Personal loans are easily available, but do remember that you have to repay them and they do come with a high interest rate. It is wise to take a loan if you really need it or if it is being used to generate income that will help you repay the loan and interest.

LATEST MONEYLENDER SINGAPORE NEWS Tips for getting your personal loan approved

LATEST MONEYLENDER SINGAPORE NEWS Tips for getting your personal loan approved

Before you apply for a personal loan, there are a few things you can do to improve your likelihood of getting approval on the funds you need.

There can be many reasons why you might want to take out a personal loan. Perhaps you’d like a new set of wheels, or maybe your big day has just been announced. Whatever the reason, a personal loan can be a great way to help you achieve your dreams sooner.

Before you apply for a SGmoney personal loan, there are a few things you can do to improve your likelihood of getting the funds you need approved.

1. Make sure you meet the criteria

No matter which of our personal loans you’re applying for, you need to:

  • Be at least 21 years old
  • Hold Singapore citizenship or permanent residency
  • Live in Singapore
  • Meet minimum income requirements
  • Be employed or receive regular income
  • Have a good credit rating
  • Not going through the process of bankruptcy.

2. Apply for the right amount

Personal loans are meant to help you out in the short term, not leave you with long term debt. Our borrowing calculator can give you an idea of how much you may be able to borrow given your income and lifestyle. If your income isn’t enough to support the required repayments on the amount you’re applying for, we won’t be able to approve your loan.

If things aren’t lining up, think about reducing the loan amount or extending the loan term to reduce the impact of the loan repayments on your current cash flow. If you would like to talk to someone about your options you can call into any branch or call us on

3. Build a good account history

If you’ve already got an account with us, we’ll have a pretty good indication of your financial situation. Managing your finances effectively will help show that you’re ready to take on a personal loan.

If your salary is paid into your account and you’re paying your bills and putting some savings aside, it’s a good demonstration that you know how to budget and manage your money.

It’s also important not to overdraw your account. Not only will that help you avoid fees, it will also create a good account history as it shows you’re able to manage your existing finances effectively.

4. Maintain a good credit rating

Ensuring you pay things like your phone and electricity bills on time can contribute to having a good credit rating. If you have missed payments, arrears or other debt collection activities recorded by a credit reporting body will impact your credit rating.

You can check your credit rating and the accuracy of information held on you by credit reporting bodies Credit Bureau.

Also, bear in mind making numerous applications for loans or credit cards with a number of banks may also affect your chances of loan approval.

5. Show a good savings record

Another way to demonstrate you’re financially responsible is to contribute regularly to your savings. If you show you can save a set amount of money every week or month, you’re also demonstrating that you are likely to be able to manage regular loan repayments.

Ready to apply?

If you’re ready, you can apply for a loan online at any time. If you’re already a NetBank customer it takes 10 minutes to apply through NetBank and you may receive funding the same day*.

LATEST MONEYLENDER SINGAPORE NEWS Tips for getting your personal loan approved

LATEST MONEYLENDER SINGAPORE NEWS Tips for getting your personal loan approved

There can be many reasons why you might want to take out a personal loan. Perhaps you’d like a new set of wheels, or maybe your big day has just been announced. Whatever the reason, a personal loan can be a great way to help you achieve your dreams sooner.

Before you apply for a SGmoney personal loan, there are a few things you can do to improve your likelihood of getting the funds you need approved.

1. Make sure you meet the criteria

No matter which of our personal loans you’re applying for, you need to:

  • Be at least 21 years old
  • Hold Singapore citizenship or permanent residency
  • Live in Singapore
  • Meet minimum income requirements
  • Be employed or receive regular income
  • Have a good credit rating
  • Not going through the process of bankruptcy.

2. Apply for the right amount

Personal loans are meant to help you out in the short term, not leave you with long term debt. Our borrowing calculator can give you an idea of how much you may be able to borrow given your income and lifestyle. If your income isn’t enough to support the required repayments on the amount you’re applying for, we won’t be able to approve your loan.

If things aren’t lining up, think about reducing the loan amount or extending the loan term to reduce the impact of the loan repayments on your current cash flow. If you would like to talk to www.sgmoney.sg

3. Build a good account history

If you’ve already got an account with us, we’ll have a pretty good indication of your financial situation. Managing your finances effectively will help show that you’re ready to take on a personal loan.

If your salary is paid into your account and you’re paying your bills and putting some savings aside, it’s a good demonstration that you know how to budget and manage your money.

It’s also important not to overdraw your account. Not only will that help you avoid fees, it will also create a good account history as it shows you’re able to manage your existing finances effectively.

4. Maintain a good credit rating

Ensuring you pay things like your phone and electricity bills on time can contribute to having a good credit rating. If you have missed payments, arrears or other debt collection activities recorded by a credit reporting body will impact your credit rating.

You can check your credit rating and the accuracy of information held on you by credit reporting bodies such as Credit Bureau Of Singapore.

Also, bear in mind making numerous applications for loans or credit cards with a number of banks may also affect your chances of loan approval.

5. Show a good savings record

Another way to demonstrate you’re financially responsible is to contribute regularly to your savings. If you show you can save a set amount of money every week or month, you’re also demonstrating that you are likely to be able to manage regular loan repayments.

Ready to apply?

If you’re ready, you can apply for a loan online at any time.

LATEST MONEY LENDER SINGAPORE NEWS 5 smart tips to follow before taking a personal loan

LATEST MONEY LENDER SINGAPORE NEWS 5 smart tips to follow before taking a personal loan

If you have a pressing need for cash, then a personal loan is one of the options available to you. Their easy availability is one of the biggest draws. While it is certainly a good way for handy cash, they are expensive and you are best advised to look before you leap into them.

So, today we are going of share some smart tips about personal loans, which would help make this loan product work in your favour instead of creating a problem.

#Tip 1: Do a smart all inclusive comparison
When you plan to take a personal loan, you would observe that interest rates vary from bank to bank. The best way to get an optimal loan would be not just to compare the rate of interest or EMI, but also take into account the processing charges, documentation charges and pre-closure charges.

# Tip 2: Examine other options
Secured loans such as loan against gold or other securities usually come at a cheaper rate of interest. Hence, if you do have security that you can use, do examine that option before swinging in for a high interest personal loan.

#Tip 3: Do not over-shop for the loan
When you apply for a loan you leave a “footprint” on your credit record which lenders check before approving a loan. Too many loan applications bring down your credit score.
As a result lenders will see you as more of a credit risk, so your latest loan application is less likely to be approved or the rate of interest will be higher.

#Tip 4: Read the loan document
Before signing on for a personal loan, read the document properly. Ensure all the terms and conditions are filled in completely and match on those that were agreed upon while taking the loan. Very often, personal loans are marketed by agents who are more interested in meeting sales targets than giving accurate updated information to the customer. So beware!

#Tip 5: Use the money productively
Use the home personal loan for productive purposes. Personal loans are easily available, but do remember that you have to repay them and they do come with a high interest rate. It is wise to take a loan if you really need it or if it is being used to generate income that will help you repay the loan and interest.

LATEST MONEYLENDER NEWS 4 Traps to Avoid When Getting a Personal Loan www.sgmoney.sg

LATEST MONEYLENDER NEWS 4 Traps to Avoid When Getting a Personal Loan www.sgmoney.sg

Credit cards shouldn’t be a default when you’re looking to borrow some money. Personal loans are not only simpler, but they offer better rates. Even better, you can shop for a personal loan without hurting your credit score. For example, you can use the Personal Loan Shopping Tool to get prequalified in less than five minutes. And here is why we think personal loans can sometimes be much better than credit cards:

3 reasons we’re strong supporters of personal loans at www.sgmoney.sg/personal-loan/moneylender

  1. There is a fixed term. You know when the debt is paid off, and it is almost always less than 5 years. (Pay the min due on your credit card, and you could still be paying 30 years from now).

  2. There is a fixed interest rate. Credit cards will increase the interest rate on your existing balance if you become 60 days past due. And they can increase your interest rate on future purchases at any time.

  3. You plan to borrow in advance. One of the reasons credit cards can charge such high interest rates is because we rarely plan to borrow. We spend more than we wanted to, and then we can’t afford to make the full payment when the statement arrives. All of a sudden we are paying an interest rate that we never even thought about. Compare that to a personal loan: you know you are going to borrow money, so you look for the best deal. Rate and fee matters. When this happens, you pay less.

    Moneylender Singapore

Now, more than ever, we believe personal loans should make a comeback in the US. People are sick and tired of the complexity of credit cards – and all of the hidden charges and fees.

Personal loans aren’t without their faults

Even personal loans can have their own tricks. While we like them better than borrowing with credit cards, you need to watch out for:

  1. Insurance sold with the loan.

  2. Pre-compute interest

  3. The origination fee

  4. Pre-payment penalties

Oddly enough, these trick might not be buried in fine print. In fact, your insurance salesman might mention a few to convince you they’re necessary for your protection. We want you to understand what these four terms mean so you can decide if you need them, and if you do, how to find options that won’t cost you hundreds or thousands in extra fees.

Personal Loans Singapore

How To Avoid The Tricks

There are a number of lenders out there that do not bundle insurance, do not use pre-compute interest contracts, do not charge an origination fee and do not have pre-payment penalties. Here are our two favorites:

Excellent Credit

Most moneylenders, has interest rates as low as 4.19% (to refinance credit card debt, and as low as 1.99% for a new car purchase). Even better, you can get the funds in the next business day. Some has been built to make it as easy as possible for people with excellent credit to get the lowest interest rate in the shortest amount of time.

Credit Scores Below 650 

Some money lenders are found on online loan platform that focuses on people with less than perfect credit scores. You can have a credit score as low as 580 to qualify. They behaves differently from many traditional lending platforms that focus on this segment. There is no prepayment penalty. In addition, you can check your rate without hurting your credit score. Interest rates range from 9.95% to 36.00%.

Now we will explain, in more detail, the tricks that you can find hidden in some personal loan contracts.

Money Lender Singapore

Trick One: Insurance

We all want to protect our families from the unexpected and insurance is a great way to do just that.  Similar to how we recommend planning in advance for your debt (and looking for the best deal), you should do the same with insurance. However, many personal loan providers will try to add an insurance sales pitch at the end of a loan closing.  The two most typical types of insurance are life insurance and unemployment insurance.

For life insurance, a typical sales pitch would sound like this: “for just the cost of a can of soda a day, you can make sure you children never have to worry about this debt if you die.” Beware these high-pressure sales tactics.  The value of these add-on policies is almost always outrageously bad.

To protect your family, you should think about a good term life insurance policy that covers not just your personal loan, but all of your needs.  Do this search separate from the loan transaction.

Unemployment insurance could be a bit more compelling (because, unlike term life insurance, it is difficult to buy a policy separately that would make loan payments on your behalf if you lose your job).  I have seen people benefit from these policies.  But you need to do the math.  How much does it cost per month?  So long as you don’t have a high risk of losing your job in the next 6-12 months, you are almost always better off saving the money (rather than paying the premium).  There are also a ton of limitations to the amount of the loan payment that can be made (and the length of time that it will be paid).  You should ask them the following questions:

  1. How much does this cost a month?

  2. What are the requirements for me to be able to claim?

  3. How much would it pay and for how long?

When you ask those questions, you will likely see that the policy being offered is poor value, and you are better to just save the money yourself.

Loans Singapore

Trick Two: Pre-Compute Interest

This one is a bit confusing. So, we will make it simple. Pre-compute interest is a bad deal.  Avoid it. And don’t be afraid to ask if it is being done to you.

It is a complex way of calculating interest – and the entire reason it exists is to make sure that you pay more interest in the early months/years of your loan. So, if you pay off your loan early, you will end up paying a higher interest rate than the rate quoted.

If you take out a loan with a three year term, and you take the full three years to pay back the loan, then there is no difference between a normal loan and a pre-compute loan.  But, if you pay off the loan early, then you will pay more interest.  Advertising is particularly misleading if there is a promise of “no prepayment penalty” because interest is charged according to the “precompute” method.

How does precomputed interest work?

In a normal loan, interest will accrue every day at the agreed rate. If you want to pay off your balance, then you just need to pay back the balance of the loan and any interest that has accrued since your last payment. Simple.

In a pre-compute loan, the total amount of interest that you would pay during the entire term of the loan is calculated and added to the balance up front. So, if you borrow $100, and you will pay back $50 of interest during the loan – then your balance becomes $150.  If you pay off your balance early, then an interest refund is calculated. The interest refund is calcuated using the Rule of 78. This is yet another complicated way to make sure you are charged more interest up-front.

Bottom line: don’t be afraid to ask if they calculate interest using the “pre-compute” method. If they do – don’t be afraid to walk away. Especially if you think you are going to pay off the loan early.

Trick Three: Origination Fee

Most personal loans charge an origination fee – so there is really no avoiding it. To see if you are getting a good deal, make sure you compare the APR of a loan, not the interest rate.  An APR includes the origination fee, and it assumes that you do not pay off the loan early.

There are 2 ways that people get stuck with the fee:

  1. You don’t realize the fee is deducted from the loan amount.  If you need to borrow $10,000 and there is a 3% fee, then make sure you borrow $10,309.28.  The 3% fee would be deducted and you would end up with $10,000 of loan proceeds.

  2. You don’t get a refund if you pre-pay.  In the example above, if you paid off your loan one day later, you would not get the fee refunded.  So an origination fee is like a disguised prepayment penalty.

The APR of a personal loan (including the fee and interest rate) can be well below a credit card interest rate (and it can save you a lot of money).  Just make sure you understand the fee and compare the APR.

Trick Four: Prepayment Penalty

There are indirect ways of charging a prepayment penalties (pre-compute interest and origination fees).  And then there are direct ways: a prepayment penalty.  Most moneylenders do not charge this, so you should be able to avoid it completely. Just make sure you ask if there is a prepayment penalty.

Personal loans are great, if you do the research

With a personal loan, you can have a fixed interest rate, fixed payment and fixed term.

If you compare APRs, then you will be making the right decision. Don’t just jump into picking a personal loan and end up taking out a pre-compute loan, with three add-on insurance policies and a big origination fee – only to refinance the loan three months later.  These are sub-prime tricks that can dramatically increase the costs.

If you borrow for 36 months and pay it off in 36 months, then you are in good shape.

 

LATEST SINGAPORE NEWS FOR DEBT-RIDDEN INDIVIDUALS Gambling Addiction: Ten Ways to Stop Forever

LATEST NEWS FOR DEBT-RIDDEN INDIVIDUALS Gambling Addiction: Ten Ways to Stop Forever

Gambling addiction is brutal and highly destructive. It can lead to dire consequences that run the gamut from bankruptcy, job loss, depression, anxiety, loss of friends and family, and even suicide. It is so important for the addict to stop gambling sooner rather than later.

This addiction does not discriminate. If the propensity is there, and the gambler crosses over that invisible line into problem gambling, addiction can occur in anyone’s life. It does not matter whether the person is rich or poor, educated or uneducated. An addiction like this can send people to jail, cause major social and occupational problems, mental instability, and financial devastation that can last for years.

Studies show that problem gamblers are more likely to commit suicide than all other types of addicts combined.

It is important to get help as soon as possible. It isn’t easy to quit gambling, but there are ways you can help yourself before you get to the point of no return. Here are ten strategies to use to stop gambling and reclaim your life!

1. Take a Short Break

When you wake up, make a decision that you will not gamble, just for this one day. If you have to do this an hour at a time, that is okay. Some might have to work one minute at a time, which is fine too, as long as you promise yourself that you will not gamble, and you keep the promise. Schedule your day in a very structured way so you do not have a lot of free time and forbid yourself to enter a casino.

2. Find a Replacement Activity

Find something to replace your gambling. Exercise, go shopping, go out with friends, or do some cooking. You can also rent a movie, or listen to some music, or do some reading. Whatever it takes to keep yourself busy. Your goal is to stop gambling, and it is not easy when you get such a high from it. Finding replacements, however, can help. Try, and see how it goes.

3. Remember How Bad it Feels to Lose

Remember the feeling when you lose a lot of money at the casino, online, or through sports betting. Allow yourself to feel that despondency when you are having thoughts about gambling again. You may find that you are less likely to go out and placing a bet. I have done this before, and must admit that these feelings have stopped me from taking that ride to the casino. Not every time, but many times this tool has helped.

4. Educate Yourself About Gambling Addiction

Read as much as you can about gambling addiction. Educate yourself, especially about your particular type of gambling. Find out what type of gambler you are and whether you have a gambling problem and have crossed over this invisible line. Are you an escape or action gambler? Find out what some of your triggers are, as this can help a lot. When you read about gambling addiction, especially the power that it can have on your psyche, you may think twice about going out and placing a bet.

5. Find Self-Help Materials

Seek help. Look for books or courses. Self-hypnosis for gambling problems can also be helpful. Consider joining an online gambling addiction forum. Even if you do not join, reading other people’s stories may help you realize that you are not alone. It is crucial that you realize that you are not the only person with this problem. Many share your plight and are looking for answers and support from other gamblers.

6. Find a Support Group

Attend a Gamblers Anonymous meeting for group support. If you do not want to do a 12-Step program, there is an online program called Smart Recovery. Having support from other gamblers who also want to quit is an important piece of your recovery.

7. Hand Over Control of Your Money

Ask a close family member to handle your money. If you do not have money on your person, you will be less apt to impulsively gamble money away. It will be hard, but it is an important step in your recovery. Also, do not allow yourself access to ATM or credit cards. Just keep a small amount of cash with you, so you are not tempted to spend the money gambling.

8. List the Cons of Gambling and the Pros of Quitting

Make a list about how your gambling problem has affected your life in a negative way. Write as much as you can. Make the list on the left side of a sheet of paper so you have room on the right side. On the right side right about how your life will change for the better when you stop gambling.

9. Make a Financial Plan

Talk to a debt counselor about your gambling debts. Ask for advice about how to relieve financial pressure and solve financial problems caused by your gambling. The financial stress that you have from gambling addiction debts can drive you back to gambling if not addressed. Financial problems are the biggest consequence of gambling, and help is available. Be sure to use a non-profit debt assistance agency, and not one that is for-profit.

10. Get a Good Counselor

See a counselor that specializes in addictions, especially gambling, and talk to this person about your problem. If your addiction is severe, you will need as much support as you can get to stop gambling now.

Some Final Thoughts

Gambling is one of the most dangerous addictions, because of the related risk of suicide. Find help now and make a plan to begin quitting. Take it one day, or hour, at a time and keep in mind how great you will feel when you have come clean and stopped gambling with your life.

Source: https://healdove.com/mental-health/Gambling-Addiction10-Ways-To-Stop-Gambling-Before-It-Is-Too-Late

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