Regardless of your financial situation, there are some reasons why a licensed money lender would be the best choice to go to instead of an unauthorised lender.
Many people had faced embarrassment and disappointment when they tried to borrow money from unauthorised lenders. However, you can evade all these troubles by choosing a legal money lender. Here are some benefits you can enjoy if you get a loan from a licensed money lender.
It helps you avoid harassment from illegal lenders
If a money lender is licensed, the borrower will be protected from harassments that may happen if you borrow from illegal money lenders. There are strict rules and laws put in place by governments that licensed lenders must adhere to. Otherwise, the governing authorities will fine them, and continual failure to comply with the regulations may even lead to revocation of a lender’s license. Another major reason why it is advisable to borrow from a legal money lender is that they can offer you advice on how to plan your repayment scheme, thus helping you to manage your money wisely.
Licensed moneylenders do not charge high-interest rates
In most cases, unlicensed money lenders will ask borrowers to pay higher fees as interest rates, and this will only benefit them and hurt the borrower financially. Working with a licensed money lender ensures your safety from exorbitant fees and high-interest rates as they operate under laws that regulate the fees charged on all loans offered.
Your personal information is safe and protected
Some agencies and individuals pretend to be licensed, but their aim may be to extract your personal information and other details for malicious use. Licensed money lenders are professionals working under the law and code of ethics, and will only use your information for the right purpose.
Get quick and easy loans with licensed lenders
Unlike illegally operating money lenders, a registered money lender can issue loans faster and more easily. For instance, they will check your income per year or month and quickly calculate your loan limit. If your income is about $ 30,000 annually, your loan can be approved faster and without any complications. Besides, legal moneylenders do not focus too much on credit score and credit history when determining whether you qualify for a loan.
There are many money lenders out there that offer different deals to their potential borrowers. It is not wise to trust just any lender, and you should always take your time to do your research on various lenders to get the best deal. Do not be tricked into accepting a deal that will make you a debtor for the rest of your lifetime.