Cap on money borrowed from MoneyLenders

The Singa­pore Gov­ern­ment may be imple­ment­ing cap on the total amount of money  that Singa­por­ean can bor­row across all the licensed moneylenders. There­fore, a cent­ral data­base whereby all moneylenders can access to check on the bor­row­ers’ bor­row­ing and credit his­tory will be set up to facil­it­ate this implementation.

In Septem­ber 2013, Mon­et­ary Author­ity of Singa­pore has announced that from June 2015, those whose unse­cured debts total more than 12 months of their income for 90 days or more will be barred from bor­row­ing fur­ther from the banks.

So it is nat­ural that Min­istry of Law, who reg­u­lates the Registry of Moneylenders, will likely to look into the unse­cured loan in the moneylenders’ indus­tries. Hope­fully, these two reg­u­la­tions will help Singa­por­eans to be more prudent and do some fin­an­cial plan­ning so that they do not over-borrow from the banks or the moneylenders.