Your rights as a borrower from a licensed moneylender in Singapore

Published 24 July 2026 · Last updated 24 July 2026 · Reviewed by a licensed loan officer, Advance Cash Credit · General information, not a loan offer

The Moneylenders Act and its rules exist to protect borrowers. Here is a plain-English checklist of what you are entitled to when you borrow from a licensed moneylender in Singapore.

1. A contract you actually understand

Before you commit, the moneylender must give you a Note of Contract setting out the loan terms, and must explain those terms in a language you understand. You should know the loan amount, the interest rate, the fees, the repayment schedule and the total you will repay — in writing — before you sign.

2. The loan completed in person

By law, a licensed loan is granted face-to-face at the lender’s approved place of business after proper checks. No genuine licensed loan is finalised entirely over SMS, WhatsApp, a phone call or email. This in-person step is a protection, not a hassle — it is your chance to have every term explained.

3. Charges capped by law

A licensed moneylender can only charge within these limits:

• Interest: up to 4% per month on the amount you still owe;
• Late interest: up to 4% per month, on the overdue amount only;
• Approval fee: a one-time fee of up to 10% of the loan principal;
• Late fee: up to $60 for each month a repayment is late; and
• Overall ceiling: the total of all interest and fees can never exceed the principal.

Anyone quoting more than this is not operating lawfully. See our detailed guide to interest rates and fees.

4. Receipts and statements

You are entitled to a receipt for every repayment you make — check it for the correct name, amount and date. You should also receive a statement of account at least once every January and July, so you can always see what you have paid and what remains. Keep these; they are your record.

5. Your documents and passwords stay yours

A licensed moneylender cannot keep your NRIC, passport, work pass or ATM card, and must never ask for your Singpass or banking passwords. It may verify your identity — ideally through Singpass Myinfo, where you log in yourself — and then return your documents. We cover this in detail in can a moneylender keep your NRIC or ATM card?

6. No harassment — ever

Debt recovery must stay within the law, including the Protection from Harassment Act, the Penal Code and the PDPA. A licensed moneylender or its agents must not use violence, threats, abusive language or vandalism. If you can’t repay, you still have protections — see what happens if you can’t repay.

7. The right to complain

If a licensed moneylender treats you unfairly or breaks the rules, you can lodge a complaint with the Registry of Moneylenders at 1800-2255-529. For an unlicensed lender or any harassment, report to the Police via i-Witness or the X-Ah Long hotline at 1800-924 5664.

Borrowing with Advance Cash Credit

Advance Cash Credit Pte. Ltd. (Licence No. 79/2026) works to every one of these standards: clear written terms explained in person, charges within the legal caps, receipts and statements, and your documents returned to you. If you would like to understand your options, apply online, send an enquiry, or call 6737 5737.

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Sources: Ministry of Law, Registry of Moneylenders — FAQs on Borrowing From Licensed Moneylenders and Notes to Borrowers. This article is general information based on the rules in force at the time of writing and does not constitute a loan offer or financial advice. All loans are subject to assessment under the Moneylenders Act, and Advance Cash completes every loan in person at our office. Please borrow responsibly.