15 June, 2011
MORE than 200 licensed moneylenders have joined one of Singapore’s main credit bureaus in the past 12 months.
The rush to join has made moneylenders the fastest group of new members at credit information supplier DP SME Commercial Credit Bureau.
There are about 265 licensed moneylenders in Singapore, up from 260 last year, so the membership numbers imply that most have joined the bureau.
Lenders also utilise the services of other data providers like Dun & Bradstreet.
‘Where an applicant for unsecured credit has a history of defaulting on debts, or has recently started missing payments, it sends a clear signal that the moneylender needs to exercise caution,’ Ms Ong noted.
‘The final decision… still rests with the lender, but the credit checks allow them to make a more informed decision.’
Mr Leong Sze Hian, a past president of the Society of Financial Service Professionals, said that ‘for moneylenders, having the database will help them screen out the bad borrowers’.