February 21, 2024
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Looking for a loan broker in Singapore? Questions to ask a broker before hiring

Every business whether small or big, needs sufficient capital for its expansion or growth. There are times when the bank might reject your loan application and this may be because of various reasons. Singapore loan brokering can help you to get the capital you need. But before you hire a broker, it is important to ask few questions to him to know whether you are making the right decision or not.

There are various reasons why businesses opt for Singapore loan brokering. There is various business aspects that you need to focus for business growth. Instead of breaking your head on complicated processes of loan application, why not allow a professional to get the job done for you. It may happen that no banks are willing to give you loans or maybe none of the bank is ready to increase your line of credit. This is when brokers can play an important role.  Here are few things that you need to ask your broker before hiring him.

How can the broker help you to get loans?

It is essential to ask your lender how will he manage to get the loan sanctioned for you. Will they use their personal sources and connections or will they be able to provide any added services? Most of the brokers have wide connection range with the financial institutions and the banks. There are brokers who have been an ex-employee of a bank or have been associated with other posts in the bank. They might have dealt with various complicated loan applications in the past. Such brokers can provide valuable advice on loan sanctioning. With Singapore loan brokering services, you can get the best suggestions and advices.

What is the total cost of the service?

The business owners have to sign a contract before taking any services from them. The lender will provide a contract paper for your signature. So it is essential to know the terms and conditions of the services before engaging in any contracts. Avoid unscrupulous brokers and read the terms and the conditions properly before signing the contract. There are brokers who might charge 8% of the total loan that you manage to get. So beware of such brokers. Singapore loan brokering services are reliable and they will let clear out how much upfront fee has to be paid and what percentage of loan amount has to be given after disbursal.

Ask whether there are any other types of loan that is essential for your business?

There are multiple advantages of working with Singapore loan brokering. This is because you can choose from varieties of lenders in the market. At the same time, you can also choose various typed of loan for your business purpose. Every loan has its own advantage and disadvantages. Stay away from those lenders who are not willing to have detailed discussion with the different loan options. It means that the lender is getting high commissions for selling a particular loan product. Therefore, one needs to be very careful before choosing a broker.