Articles . Loans . Personal Finance

24-hour Money Lender Guide: Legal Personal Loans From Licensed Moneylenders In Singapore

September 30, 2023

Key Takeaways

  • Personal Loan Solutions: Licensed moneylenders can only operate during set business hours, but you can apply for a loan 24 hours online.
  • Regulated and Safe: Licensed moneylenders adhere to guidelines set by the Ministry of Law, offering a safer alternative to loan sharks.
  • Online Convenience: Many licensed moneylenders, like GS Credit, offer online applications, making it easier for borrowers to apply for loans at any time.
  • Watch for Scams: Be cautious of loan scams and unlicensed moneylenders who may charge exorbitant fees and interest rates.
  • Know Your Eligibility: The amount you can borrow from licensed moneylenders depends on your income and credit score, with a maximum monthly interest rate of 4%.

Despite our best efforts, there may still be times when you need a boost to your cash flow.

Financial emergencies might occur at any time of the day. Your car might break down in the middle of the road and you need $3,000 immediately to fix it. You might need to make an urgent doctor’s visit and the medical bill comes back with $1,000. Or perhaps there is a family emergency and you need $7,000 immediately.

Financial emergencies can be very distressing, regardless if you’re a Singaporean or a foreigner in Singapore. With money problems, the thought of where you can borrow money might always be on your mind. Another worrying point is that it may be harder to get a loan immediately from banks.

24-hours moneylenders in Singapore can give you an immediate cash loan might be what you’re looking for.

In addition, Singapore’s bustling lifestyle means that you typically only have the weekends to take care of your personal needs. Most Singaporeans work 9-6 on weekdays, making it tough to meet the operating hours of banks and some financial institutions. To borrow money fast, you might need to locate the best licensed moneylenders that operate longer hours.

What if you encounter limitations when requesting bank loans? What if your loan application was rejected by banks? For financial support, you might approach a reputable and authorized money lender. But is it safe to take out a loan from a legitimate lender? Let’s find out more about legal money lenders in Singapore.

What Does a Licensed Money Lender In Singapore Do?

Licensed money lenders are private loan organizations with the legal right to lend money to borrowers needing fast cash loans. They adhere entirely to the guidelines established by the Ministry of Law and are registered with the Singaporean government. You can be confident that they don’t act like the dreadful loan sharks you’ve heard about. Private firms typically fund the moneylenders to put together loan packages.

They can provide residents and permanent residents of Singapore with quick loans. Additionally, foreigners in Singapore with valid employment passes can get loans from approved money lenders. This is definitely great news for foreigners looking for a loan! With more loan options, solving their financial issues become easier.

Legal money lenders in Singapore are an option to consider when asking for urgent loans because the procedures there are typically faster and less demanding than those at conventional banks.

Now, you might be wondering if there are any 24-hour money lenders in Singapore that you can turn to as you might need an immediate cash loan for unforeseen circumstances.

Where Can I Find 24-Hour Money Lenders In Singapore?

Singapore does not have any 24-hour money lenders. If you find a lender that says they open 24 hours a day, 7 days a week, they are most probably loan sharks, an illegal lender or posing as a legitimate lender.

Just like how everything can be done online, licensed moneylenders have also made their loan application forms 24 hours available online. Authorized loan providers like GS Credit have built a webpage that has its very own web-based loan application form. Borrowers can now make their enquiries at any time of the day.

To speed up the location process, GS Credit has also integrated Singpass into the loan application forms. Firstly, this is the first sign that it is a legal money lender. Secondly, you can avoid all the paperwork and simply apply with a few taps. Once you’ve applied online, GS Credit will contact you for your fast cash loan or your urgent loan. Of course, you’ll have to go to the lender’s location for in-person confirmation.

The processing and approval of the personal or emergency loan will take place the following business day. For instance, if you submitted your online loan request on Saturday morning, the earliest it can be approved is Saturday afternoon. To apply for a loan via our advanced and efficient system, click here.

How To Differentiate A Licensed Money Lender And An Unlicensed Money Lender

Beware of loan scams! No legal private money lender will ask you for money in order to approve your loan!

Numerous illegal money lenders are disguised as legal or licensed money lenders. Do not be deceived since the laws of the Singapore government govern all licensed money lenders. Here are some critical things to check to determine if a money lender is legal or illegal.

1. Advertising Medium

Singaporean licensed money lenders are permitted to only advertise on websites owned by the licensed money lender, business or consumer directories, and advertisements posted inside or outside the business location.

Any adverts you see on other platforms could be for illegal money lenders or licensed money lenders who have broken the law. Be cautious if you receive an SMS offering you affordable, quick cash loans in Singapore. These are unlicensed loan sharks trying their luck.

Do not even consider asking them for a loan just because it would be handy and they are helpful at the proper time. Additionally, dealing with illegitimate money lenders can be a real pain. Loan sharks will likely charge you exorbitant interest rates and pester you constantly for money. They are known to disrupt your work life and your family.

2. Terms and Conditions of Your Loan Contract

Before you sign the contract, a licensed money lender in Singapore must go over your loan’s terms and conditions. The law mandates the use of a loan contract outlining all terms and circumstances. These terms cover your loan’s repayment time, payment options, interest rates, and other specifics.

Contrarily, unregulated money lenders frequently don’t offer contracts. They might even use WhatsApp or SMS to transmit PDF papers to you to collect a deposit before the loan is granted.

That trap is a component of their lending fraud, so do not fall for it. Before a certified money lender approves a loan, no fees are needed to be paid.

3. Interest Rates and Late Repayment Rates

According to the rules set forth by the Ministry of Law, licensed money lenders are only permitted to charge a monthly interest rate of up to 4%. Legal money lenders are only allowed to impose a delayed interest rate of up to 4% per month if a borrower defaults on the loan.

4. Threats or Blackmails

Licensed money lenders cannot use threats to harm or seize control of your property, intimidation, or blackmail. Any of your property cannot be seized by a licensed money lender without a Writ of Seizure and Sale. Additionally, they do not vandalize private or public property.

5. Amount of Money You Are Eligible

In Singapore, there is a certain amount of money you can be allowed to access for an unsecured loan. The amount of money you can borrow depends on your income and your credit score.

Licensed moneylenders in Singapore are usually more lenient with their loan approval. It becomes easier for foreigners to get a loan, or for borrowers to get a larger loan amount.

When applying for your loan, a legal money lender will ask for pertinent documentation, such as your payslips when you borrow money from them.

6. How Much can You Borrow From Licensed Moneylenders?

If you are a citizen or a permanent resident of Singapore and earn less than $10,000 per year, you can only be granted a $3,000 loan. In contrast, foreigners residing in Singapore with the same annual income can only be granted S$500.

A permanent resident and a foreigner in Singapore earning an annual income of between $10,000- S$20,000 are both viable for a $3,000 loan. Anyone earning above $20,000 is eligible for a loan six times their monthly salary.

If something is too good to be true, it probably isn’t. Therefore any money lender offering a loan above the above limits should have you questioning them, for they may be illegal loan sharks.

What Are The Signs For A Loan Scam?

Online scams are simple for unlawful money lenders to post. All they need is a website or a social media account and off they go on a scamming spree.

Even though it can be challenging to discern a legitimate Singapore money lender from a loan shark, there are several warning signals to look out for to prevent fraud.

Here are a few things to check out for.

1. Transparency

Unlicensed money lenders frequently fail to give you a document outlining the loan’s terms. Additionally, be on the lookout for unauthorized lenders of money that might give you PDF papers for continuing loan operations.

These documents, purporting to be from the Money Authority of Singapore (MAS) or the Ministry of Law (MinLaw), are frequently delivered by SMS or WhatsApp and state that you must pay a deposit and GST before the loan is granted.

These documents are used in loan fraud schemes. Remember that there are no fees that must be paid before loan approval.

2. Interest Rates

According to MinLaw, licensed money lenders can only charge a monthly interest rate of up to 4%. Any Singapore, money lender that charges more than the above-stated amount is a loan scam.

A licensed money lender would often base the interest rate it charges on its evaluation of your creditworthiness in addition to this cap.

Licensed money lenders are only permitted to impose a maximum monthly late interest rate of 4% for late payments. Only the balance you haven’t yet paid is subject to this late interest rate.

For example, if you borrow $30,000 and have already paid $20,000, the late interest rate is only applied to the $10,000 balance.

On the other hand, unregulated money lenders may impose absurdly high-interest rates and late payment penalties, frequently exceeding 4% monthly. Additionally, many might incorporate other unstated expenses like processing charges and small expenditures.

3. Fees

Unlicensed money lenders in Singapore have recently come under fire for requesting payments from borrowers even before approving their loan requests. They offer loans to customers via SMS and WhatsApp as part of the scam.

In addition, they advise consumers to pay GST and a deposit for the loan processing cost. People are pressured and told they must pay to cancel the loan when they choose not to pay or make payments on it.

If you’re in an unlucky situation where you have been in contact with loan sharks, report them immediately.

Additional FAQ About Licensed Moneylenders

What Are The Fees That Licensed Money Lenders Can Charge?
In Singapore, licensed loan providers can only charge a maximum monthly interest rate of 4%. Whether your loan is secured or unsecured, regardless of your income, this is true.

You can only be levied a maximum of 4% per month in late interest costs, and they can only be applied to amounts paid late.


Fee/Cost TypeMaximum Amount/RateApplicability
Monthly Interest Rate4%Applies to both secured and unsecured loans, regardless of income.
Late Interest Costs4% per monthOnly applied to amounts paid late.
Fees for Each Month of Late Repayment$60Charged for each month payment is late.
Initial Loan Fees10% of loan amountOne-time fee that should not exceed 10% of the loan’s principal amount.


A legal money lender is not allowed to charge more than the principal of the loan in total fees, which include interest, upfront administration, late interest, and late fees.

What Are Credit Scores?
A credit score is a four-digit figure based on your prior loan account payment history and goes from 1000 to 2000. It shows the likelihood of your loan default.

With a score closer to 2000, you have a minimal chance of default and are in good financial standing. Your likelihood of missing a payment increases if your credit score exceeds 1000.

You can obtain your credit score report from the Credit Bureau Singapore.

What Should I Do If a Licensed Money Lender Is Harassing Me?
Any intimidation or threat-making is regarded as an unfair practice and will be governed by the Registry of Moneylenders. In addition, you can file a police report because such actions are taken very severely.

What Must a Licensed Moneylender Inform Me Before Approving my Loan?

Loan officers are required to explain the nominal interest rate, late interest charges, monthly installment details and all other fees that may occur. Each dollar should be accounted for.

All licensed moneylenders are required to explain each and every section of the loan contract to you before disbursing your cash. This ensures that both the lender and borrower is on the same page. If you’ve met with a licensed moneylender that did not do so, you may lodge a complaint to the Ministry of Law.

Top Money lender in Singapore

You might be asking this question:Which is the best licensed money lender in Singapore?”.

Look no further than GS Credit. We are a top and legal money lender, offering flexible loans at competitive interest rates. To get started, simply apply online using Singpass and receive your in-principle loan approval here.

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