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Loan Shark: Smooth Operator

loan shark

Idealist tend to look at loans as a means to make their dreams come true. Either it may be a small cottage by the beach side. A café in a posh part of town or a Porsche911 to get you from point A to Point B. If it were that easy to secure loans everybody would be driving Porsche’s rather than commuting in busses now would it? It would seem better to see loans from a realist’s point of view, here are some lending tips at least to get your loan approved before shopping for that Harley Davidson you have been dreaming about.

Image result for loan sharkA loan is basically a means to an end, it is a means to survive to have ample shelter, drive a decent car and buy normal clothes so as not to look like Peter Pan with leaves sewn together to cover private parts of your body, as also green lights went out of fashion went out of fashion decades ago. Loans are a means to be able to get credit as a means for commercial transactions. Here are some basic lending tips you ought to know before applying for that business loan that would make you millionaire overnight.

  1. Be concise – What are your plans for say a business loan, always have the proper documentation to back up your plans. Be ready with all the banks or lender’s requirements for faster processing. A borrower has to appear pretty sure of what he or she is going to do with the loan. Any lapse on the part of the borrower even if it is just the look of uncertainty the licensed money lenders Singapore will probably reject that application
  2. Be ready to shell out a portion of your own money – Even in mortgages or housing loans the lender will not lend any borrower the full amount that person needs. In essence a borrower must actually share capital with the lender, as the lender will not shoulder all the risk in losing money as the borrower has shown confidence in his or her choice of investment.
  3. Slow processing – As there are about a hundred different applications with better profiles than yours do not be in such a hurry because chances are the time table advertised for loan approval is actually doubled and waiting for an approval will take more time than plucking out a monkey’s leg hair using a pair of chopsticks.
  4. If you can have legal advice on hand – Always with money comes complications and a simple way to avoid these complications is to have legal advice if you can afford it. If not, look for anyone who can explain the fine print of the contract you are about to take out to avoid minor and especially major complications that usually arises with loans.
  5. Negotiate what you can afford – Rates for some loans are not fixed so there are times wherein you can get a better rate. This is basically true when dealing with broker’s whose earnings depend on commissions and have a little leeway in bringing their commission down and cut costs.

 

These are not all you need to know, these are simply but lending tips a borrower must go over for a better loan experience. And there is still much to learn before the guppy becomes a loan shark in Singapore.