In an individual’s life, there are quite some times when needs surfaces or present are pressing personal dealings and projects one would want to venture in but rather faces some limitations or constraints due to the financial implications accompanied with.
Also, coupled with the current economy of the nation which is always resulting in the cliché ‘money no dey’ and the big stress embedded in requesting for a loan in any financial institution like banks and so on. The aforestated in preceding sentences and many more make a good number of individual resort to the services of a money lender.
If you are quite interested in all one is required to know as regard sourcing for a reliable money lender you can always run to, here is a good bait.
- History and definition of money lending
- What is in money lending?
- Why do I go to a money lender?
- Attributes one must consider for a reliable money lender
- Integrity and credibility
- Flexible Terms and condition of Engagement
- Low-interest rates
- Product and services of lending ventures
- Where can I find money lenders?
History and definition of money lending
Money lending dates back to three thousand years in the ancient Greece and Rome with various demands of which the money lenders deemed fit ranging from exchange of money for goods equivalent ‘the pawnbrokers’ and also services in exchange for money lent ‘ the zamindar’s system.
Money lending in all its simplicity is an act where an individual also known as a lender loans cash to another individual with an expectation of a certain percentage of interest to be remitted together with the actual cash which would be clearly defined on a basis which could be weekly, monthly, yearly dependent on lender’s discretion and the conceding of the borrower. It is expected that the two parties must come to a consensus before any progression.
What is in money lending?
Lending money actually entails a whole lot. Over the years, the system has been accepted legally and otherwise as a working system but nonetheless one is required to tread with caution as regarding this act by gaining insights to help guide decisions.
Ditto this century, some exchanges were condoned as collateral to equate cash lent from a money lender as earlier stated but for recent years there’s been a fixed general demand though a few may differ which is the most important of all regarding interest one is required to pay after collection of loan till the agreed date of the actual refund of borrowed cash.
Unlike the normal favour of lending money from an acquaintance or a close friend of which one can manoeuvre his or her way to pay at any fixed time without a pre-collected interest, this system is quite different.
An instance, it happens I was being lent one hundred thousand naira by a moneylender, I am expected to remit ten per cent of the loan on the basis we both have agreed upon till I am ready to refund the actual cash.
Why do I go to a money lender?
It is quite an easy process compared to other means of loaning cash from other top financial institutions which may demand collaterals an individual may not have in possession or stress involved in following up the due process which may be draining if one isn’t a known person or well to do in the society.
Attributes one must consider for a reliable money lender
Not just any person, group or institution should be considered as good money lenders in terms of services rendered. It is quite pertinent that one takes cognisance of the following when proceeding to lend cash
Integrity and credibility
This is one of the foremost criterions any individual must put into deep consideration before reaching out to any money lending venture.
With the rise in scamming ventures one must not be vulnerable or desperate in situations but must be wise in dealings that concerns money. It is a good thing that this system has been legalized and there are rules binding its operation.
Also, license has been made available by the law to be given to individuals or institution which would want to provide lending services in the society having met the demands. Individuals interested in lending money should be sure that the providers of the service; money lenders are licensed by the law to operate if not one should walk away to avoid impending troubles.
Flexible Terms and condition of Engagement
Another important criterion should be the terms laid out. One must consider the flexibility and how comfortable and convenient it is for them.
In as much as one finds his or her self in a situation of dire need of money, be keen to understand the conditions preceding the loan on time for interest remittance, fines if failed to meet up demands, measures taken against individuals and so on.
Ask self questions like; can I comply with this demand and it wouldn’t be a pain in the neck?
In a nutshell, the money lender’s term and condition must be flexible and suitable. Read and assimilate it over and over again before committing.
This is another paramount criterion that should never be overlooked. It is the crux of the matter really. One of the sole concerns of money lenders is the profit they accrue from interest charged and gathered from borrowers.
One should have in mind that when it comes to monetary matters some individuals are never content or are led by greed so they wouldn’t mind charging so much interest to suit or satisfy themselves.
Also, it should be noted that the law has a regulated rate of interest for all money lenders and one should be well versed with it to avoid exploitation.
Always be in the lookout for lending services with the lowest interest rate charged.
Product and services of lending ventures
This relays a lot to individuals concerning the source of the money lender’s finances and their drive. This attribute speaks volume of their reputation together with the factor of credibility through licensing.
It also serves as a platform of transparency or accountability to the prospective customers and society at large. One must have knowledge of the track records of the lending venture they intend to patronize.
Knowledge is power and one shouldn’t be limited in its quest as ignorance is the worst form of the disease. One can be trampled upon, exploited when in lack.
That is why every person intending to lend money from a lending venture must read through the Money lending act as provided by the law to place one on an advantage
Where can I find money lenders?
One cannot exhaust this in totality due to diversity in places of residence but the evolving of the internet has made work very easy. Most business ventures now have their businesses on the net making the search quite easy.
So wherever one is located and in search of a reliable money lending institution or personnel, Google with location.
Also, there’s an added advantage as most reputable ventures would feature though there’s a probability of scamming ventures but with knowledge one can be discerning.
Note: It is not always as said; getting money from these people can get funny at times. We recommend you exhaust other options before considering this. And stick to whatever you believe in, even as you seek a loan from lenders. Meanwhile, there are other Android applications that have been trusted to offer better loan options.