It is not news that many times you and I have found ourselves in a financial difficulty.
Some of us have opted to run to money lenders for financial bail out.
The money lenders take advantage of borrowers who at this point in a serious financial crisis and end up being permanently deprived of their properties.
One should therefore take the following precautions before taking out a loan facility:
Ensure that you enter into a written money lending agreement clearly spelling out how much has been lent, how much to be paid as interest per month and the interest rate.
Avoid signing a sales agreement of your security for the loan facility as a practice by some fraudulent money lenders
Ensure that the interest rate charged does not exceed 2% per month as provided for under the law
Ensure that the lender is a lregistered and licensed money lender.
Money lenders are not allowed under the law to charge compound interest.
In the circumstance that the interest charged is harsh and unconscionable, the lender charging interest is not licensed etc, you can take the matter to court.
It is not news that many times you and I have found ourselves in a financial difficulty.
Some of us have opted to run to money lenders for financial bail out.
The money lenders take advantage of borrowers who at this point in a serious financial crisis and end up being permanently deprived of their properties.
One should therefore take the following precautions before taking out a loan facility:
1. Ensure that you enter into a written money lending agreement clearly spelling out how much has been lent, how much to be paid as interest per month and the interest rate.
2. Avoid signing a sales agreement of your security for the loan facility as a practice by some fraudulent money lenders
3. Ensure that the interest rate charged does not exceed 2% per month as provided for under the law
4. Ensure that the lender is a lregistered and licensed money lender.
6. Money lenders are not allowed under the law to charge compound interest.
In the circumstance that the interest charged is harsh and unconscionable, the lender charging interest is not licensed etc, you can take the matter to court.
edited Jul 21 '20 at 7:34 am
