Private money lending institutes and their procedure

Appling for bank loans can be time taking. There are some financial institutes working as a money lender other than banks. You can simply apply for a loan to these institutes with low rate of interest that applies on the money borrowed. If you are thinking to establish your business in Singapore then you will not face too many difficulties. It is not too difficult to find the best money lender as it is known as the hub of these types of institutes.

Finding the right customers

Most of the loans request arises through the worker of money lending institutes either their relative or friends. Moreover the business loans requests generate through the contacts of loan officers or the sale representative working on the behalf of institutes towards developing the market era of the institutions.

Evaluating prospective

Once the loan request is filed, customer’s interview is conducted by the lender or the officers on behalf of institute. That gives an opportunity to the customer in explaining their credit need. Particularly interview is important to understand the customer’s character and seriousness of purpose. If he lacks in seriousness or does not fulfill the terms and conditions of the lender, it can be a great hurdle in approval of the loan.

Making site visit and analyzing the credit record

The officer makes the visit to the site to know the customer’s location and its financial conditions by analyzing its property condition and cross questioning. Officers also have the authority to contact their previous customers and ask for their experience against repayment of the loans. It is the main source of reveling the customer’s character and the seriousness of work.

Monitoring the customers activities

Once the loan is approved to the customer he\she is monitored to ensure the terms and conditions are being followed or not, paying of the principle and the interest decided to be paid by the customer. In larger credits officers also visit the sites periodically to analyze the growth and understand the further needs of the customer.

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