Raffles Credit

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What Information Do I Need to Get a Personal Loan

Moneylenders will give you loans and a list of terms and conditions. Some clients sign the documents without knowing what they are signing. This is hazardous. These clients later come to realize they signed harmful terms, but since the document is binding, they have no otherwise. 

The following is a brief overview of what you need to know to get a personal loan:

The contract you are signing

It is important to know what you are signing. Make sure you are in good hands, a good lender like Raffles Credit is a legit moneylender online. Always remember not to sign any document before reading and understanding the terms and conditions. In case you don’t understand the meaning of the words or phrases you should know you have a right to ask.

Your rights

Information is everything in the 21st century. You need to know your rights. Most lenders take advantage of borrowers’ ignorance to manipulate them. A lender will come to harass you when you are unable to pay back your loan on time. No borrower has a right whatsoever to harass their clients. Not even a license gives a lender rights to harass you.


Loans attract interest. But this interest is payable by you. The employer should not impose abnormal rates anyhow they want. The interest rate given to you should not exceed the interest cap stipulated by the Central Bank. Any excesses are unlawful, and you have every right to decline. Do not pay any extras.

Necessary Documentation

It is also important to know the documents you need to get your loan approved. There is no need for starting the application process without certain documents. Chances are your loan will be declined. Identification documents, tax Personal Identification Number (P.I.N), and other documents are requirements.

The Parameters Used by Lenders for Approval

It is also important to know what banks use to decide whether your loan will be approved or declined. It is good to know your credit rating and how it is arrived at. It is also vital to know the other factors lenders consider in loan processing.

The Loan Process

Details of the loaning process are critical. You should know how long it takes to get a loan approved. You should also know what options you have in the future in case you are unable to repay your loan in time.

Lenders Right

It is also important to know the lender’s rights. As much as you may know your rights, you should not violate your lender’s rights. It is critical to know where to draw the lines. The lender is protected by the law against defaulters but restricted by the regulator to protect unsuspecting clients and willing but unable to repair borrowers.

The Bottom Line

Money lending or loaning is two-way traffic with several players involved. Many times, it looks like it is only a two-party contract. Always remember that apart from you and the lender, there are other parties involved both directly and indirectly. The taxmen, the Central Bank (regulator), guarantor among other players are all involved. It is a simple process on the outside, but in case it gets complicated, that is the time you realize others were watching. Different lenders focus on different criterion when it comes to personal loans. But, some factors, like credit scores, are constant. Always be on the knowledge of these constants.