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4 Reasons Why You Should Not Get An Urgent Cash Loan From Friends And Family In Singapore

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Monetium Credit (S) Pte Ltd
4 Reasons Why You Should Not Get An Urgent Cash Loan From Friends And Family In Singapore

There is no doubt that our friends and family have our backs whenever we need them. But is it still applicable when it concerns finances? Most people go to their friends and family when they need an urgent cash loan in Singapore, but they fail to realise some drawbacks to these actions.


Here are the reasons why, as much as possible, avoid borrowing money from friends and family:


1. It does not build your credit score.


Credit score matters when you borrow money from a money lender in Singapore. When you are a good loan payer, you increase your credit score. The higher your credit score is, the larger loans with the lower interest you can get in the future. When you are a terrible payer, your credit score decreases. Hence, the less chance you get a loan in the future.


If you are a responsible borrower, it is advisable to loan money from a licensed money lender in Singapore to build your credit score. Loans from family and friends do not increase and decrease credit scores.


2. Friends and family overpower your decisions.


People who lend money sometimes overpowers the life decisions of the borrower. They will start questioning how that person spent the money they lent and say something about that person's lifestyle. If you don't like someone meddling with your expenses and lifestyle, get a personal loan from a money lender in Singapore.


3. They would not lend money.


Most people will lend you a couple of hundreds, perhaps thousands of dollars, but they may not be able to lend you when you need a six-digit to seven-digit home renovation loan in Singapore.


Apart from being a high risk on their end, the amount could also exhaust their savings, which could come in handy during emergencies.


4. It damages the relationship.


Relationships get damaged when the borrower fails to pay on time. There may be anger and shame between both parties, which could leave a permanent chip in the relationship.


As much as possible, get an urgent loan from a licensed money lender in Singapore to avoid these issues.



Do you need an urgent cash loan in Singapore? Visit Monetium Credit today.


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