For Debt Consolidation Try Unsecured Personal Loans Singapore

Posted by Linda Fernandes
3
Nov 23, 2015
209 Views

The personal loans are unsecured loan in banking terms. Unsecured personal loans Singapore is in fact not that much unsecured as it looks to be. Because, the borrower is bound to discharge the contracted liability and the banks and money lenders can go to the court of law to get a charge over the borrower’s assets. There are, of course, bad loans in bankers and money lenders portfolio but, that risk is part of the game. But an individual borrower will seldom risk his honor and goodwill willfully. In spite of all these guards, there exists fly by night operators, and they are the main culprits behind this operation.

Moneylenders vs. banks

Unsecured personal loans Singapore can be availed from commercial banks and also from the licensed money lenders. In all cases invariably the interest burden of a personal loan is more when taken from the money lenders than that of banks. The question, therefore, is why a borrower should take a personal loan from the money lender instead of a bank. The answer is credit rating, and as it stands now, the banks are turning down borrowers whose credit rating is bad or where there is no rating. The money lenders consider the repayment capacity only and do not care for the credit rating unless the borrower is in a financial mess. The processing time of a personal loan proposal mooted to a money lender takes less time for disposal and is treated more leniently. There is of course another reason, the money lenders are only focused to lending and recovery of the late out fund but for banks personal loans are not their only revenue.

Why personal loan

The personal loans are not always for emergencies. It’s a good way to debt consolidation. If you have taken a loan from multiple agencies and is now in a financial quagmire, then it’s time to consult a money lending firm for debt consolidation. They will not fleece you talk to them they will not fix an absurd installment, with little hardship and determination you will sail over your crisis. Contact consultants of Personal Loans Singapore now.

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