"OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr 10

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Can some bros and sis reproduce informative

write-up in THE NEWPAPER ( 5 April 2010 , Monday )



RE :

Page 1 OWNER TURNS TO LICENSED MONEYLENDER TO SELL HDB FLAT
AND TAKES s$17,000 LOAN WHICH BECOMES S$40,000 DEBT


Page 2 MONEYLENDERS ARE HOLDING FLATS FOR RANSOM ...
...Owner goes to licensed moneylender to sell flat
but loan balloons from $17,000 to $40,000 ...

Page 3 "WE WILL GET YOU MONEY IN TWO HOURS ... "


Page 4 SELLER SIGNED DOCUMENTS HE DIDN"T UNDERSTAND ...
BIG PART OF PROFIT FROM FLAT SALE DOESN'T GO TO HIM


The fact that there are more Malays involved in such scams
means that there is a Network that specifically targets
Malays which is really disturbing ... member of Parliament




Thank you bros n sis :o




$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

Moneylenders are holding flats for ransom

Owner goes to licensed moneylender to sell flat but loan balloons from $17,000 to $40,000
By Desmond Ng and Nurul Asyikin Mohd Nasir

April 05, 2010



The flip side to the property boom is that some people will do anything to exploit loopholes.

Take the case of this 50-year-old man who gave his name only as Mr Mohamad. He earns $1,500 a month. He needed money and was sitting on a three-room flat which had appreciated in value.

Instead of going to a real estate agent to sell the flat, he went to a licensed moneylender

Mr Mohamad, who is married with no children, said he initially needed $5,000 for bills and groceries but then became "greedy" and borrowed more.

But that $17,000 "loan" ballooned when hidden costs and interest were added.

When his flat was sold a few months later, he should have got more than $50,000, but got less than $8,000.

Other home owners who have taken such loans said they too were hit after they sold their flats.

Here's how it works - a homeowner approaches the licensed moneylenders who advertise their business openly.

The HDB homeowner is given a loan upfront with the promise that the flat will be sold at a hefty profit.

In high-risk cases, the licensed moneylenders get the homeowner to sign documents that allow them to lodge a caveat on the flat.

The loan sounds attractive. The advertised interest may be just 1 per cent per month.

But the actual repayment will be much higher, said problem consultancy firm Bilal Consultants
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$


HDB Can Do More To Help
The Poor Or Cash-Strapped Flat Sellers
----------------------------------------------------------


1. I appeal to the HDB to take a Pro-Active step
to help the Poor and Or the Cash-Strapped
Flat Sellers ( i mean sellers who have
positive "cash" after selling their HDB flat )

2. All too often these folks are left at the mercy
of "moneylenders" for "help" .

3. HDB and or POSB/DBS can extend "mirco loan"s/
small loans to these folks on a short term (up to 6 months)
basis so as to tie them over until theirs "cash proceeds"
materialised from the sale of their HDB flat .

Surely this small token of help can be done.





$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

Just Get Hold of A Copy of The New Paper On Any Day of the

Week . Under " FASTads " and Under " Business Needs"

One can easily find Tens and Tens of so called Licenced

MoneyLenders and Or Housing Agents Offering Their help


Surely , there is a need out there crying for help ... :(
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

Hmmm very timely story that dovetails with PM talk about needing to top up minimum sum CPF when you sell flat.

So like that for the poor Malay man, under PM's new CPF rules, when flat is sold, $$$ is trapped in CPF min sum and thus the man is saved from a life of destitution. Moneylender is not able to file caveat and even if he did, he will only get whatever is left AFTER min sum is satisfied
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

BCR101 said:
Can some bros and sis reproduce informative

write-up in THE NEWPAPER ( 5 April 2010 , Monday )



RE :

Page 1 OWNER TURNS TO LICENSED MONEYLENDER TO SELL HDB FLAT
AND TAKES s$17,000 LOAN WHICH BECOMES S$40,000 DEBT


Page 2 MONEYLENDERS ARE HOLDING FLATS FOR RANSOM ...
...Owner goes to licensed moneylender to sell flat
but loan balloons from $17,000 to $40,000 ...

Page 3 "WE WILL GET YOU MONEY IN TWO HOURS ... "


Page 4 SELLER SIGNED DOCUMENTS HE DIDN"T UNDERSTAND ...
BIG PART OF PROFIT FROM FLAT SALE DOESN'T GO TO HIM


The fact that there are more Malays involved in such scams
means that there is a Network that specifically targets
Malays which is really disturbing ... member of Parliament




Thank you bros n sis :o




$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
Click to expand...

to be fair, the mat already pocketed 17K 4 months in advance.
after the sale, he got back another 8K.

even if he had gone thru an agent, he would need to pay the agent commission about 5K and legal fees, about 2K?

dun forget, he already spent the 17k over 4 months ago in advance.
of course must pay back with interest.
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

all these ads are on the papers everywhere everyday.
what is CASE doing huh ? :confused:

they dont read papers ? :confused:
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

alvin36 said:
all these ads are on the papers everywhere everyday.
what is CASE doing huh ? :confused:

they dont read papers ? :confused:
Click to expand...

They probably flip through only comics section :D:p:);)
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

TV2010030522133000.jpg


Donch disturb the FAPee TRAITORS lah! They are bz sleeping...zzz​
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

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We'll look into loan loophole: Mah


05:55 AM Apr 28, 2010
by Esther Ng

SINGAPORE -


Housing and Development Board flats are not meant to be used as collateral for loans, legal or illegal. But credit companies and real estate agents, targeting flat owners in financial difficulties, are exploiting a loophole.

Besides lending money to these owners at exorbitant interest rates, they get a lawyer to file a caveat against the property with HDB. The property then cannot be transferred until the debt is settled.

All this is legal, but once the flat is sold, credit companies get first charge to the proceeds and the flat seller usually has little or nothing left, said MP for Jurong GRC Halimah Yacob in Parliament yesterday.

Minister for National Development Mah Bow Tan acknowledged this "loophole" and announced that these malpractices are being looked into, even before regulations to professionalise real estate agents are finalised. He is treating it "as a matter of urgency because there have been abuses and people have been exploited".

While most real estate agents are professional, there is a need to raise the standard of the industry as a whole.

"We're looking into whether we should have a formal form of registration for real estate agents, what are the mediation avenues available. If not, what are the dispute resolution mechanisms available, if not, what punishments can be meted to those who flout the rules," said Mr Mah.

A mandatory examination is one component under consideration.

Currently, real estate agencies are licensed by the Inland Revenue Authority of Singapore (Iras). It has received a total of 154 complaints against real estate agents in the past three years. In 2007, it received 47 complaints, followed by 63 in 2008 and 44 last year.

Mr Mah was responding to Mdm Halimah's enquiry on the number of complaints MND had received against property agents in the last three years.

The current licensing regime does not empower Iras to investigate agent misconduct. It usually refers the complaints it receives to the Singapore Accredited Estate Agencies (SAEA) for investigation and resolution, if the agent is from an SAEA-accredited agency. Otherwise, Iras will refer the complaints to the estate agencies directly, said Mr Mah.

Where there are serious allegations, for instance, of cheating or falsification of documents, Iras will advise the complainant to make a police report. Consumers have also lodged complaints with the Consumer Association of Singapore. There were 1,055 complaints in 2007, followed by 1,100 in 2008 and 1,079 last year.

URL http://www.todayonline.com/Singapore/EDC100428-0000090/Well-look-into-loan-loophole--Mah
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved




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Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

.


http://www.straitstimes.com/BreakingNews/Singapore/Story/STIStory_520093.html








.Singapore
Home > Breaking News > Singapore > Story
Apr 28, 2010
Loansharks target flat sellers
Govt drafting measures to curb exploitation of cash-strapped owners
By Rachel Lin

'HDB flats are not meant for short-term profit,' MND Minister Mah Bow Tan said in Parliament yesterday. 'They are not meant to be used as collateral for loans, whether to legal or illegal moneylenders.' -- ST PHOTO: TERENCE TAN CS

THE Ministry of National Development (MND) has sent a clear message to moneylenders who exploit cash-strapped HDB sellers: The game is up.

It is drafting measures to crack down on these unscrupulous credit companies, which lend money to home owners on the condition that they repay the loan from the sale of their flats.

The moneylenders usually collude with real estate agents who, in return for a referral fee, link them up with home owners.

In addition, a legal loophole allows moneylenders to file a caveat on the flat, which ensures that they get first bite of the proceeds when the flat is sold.

'HDB flats are not meant for short-term profit,' MND Minister Mah Bow Tan said in Parliament yesterday. 'They are not meant to be used as collateral for loans, whether to legal or illegal moneylenders.'

'My ministry is currently working with the relevant authorities on appropriate measures to curb such abuses. Existing measures have not been sufficient to deal with the problem, Mr Mah added.

Read the full story in Wednesday's edition of The Straits Times.

[email protected]
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

bump~~~~~~
 
Re: "OWNER TURNS TO LICENSED MONEYLENDER TO SELL ...$17K LOAN =$40k DEBT : TNP 5 Apr

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14 licensed moneylenders inspected by the police
05:55 AM Jun 03, 2010SINGAPORE -

Several documents, personal computers and notebook PCs were seized during a joint inspection on 14 licensed moneylenders late last month.

Officers from the Criminal Investigation Department (CID) and Registry of Moneylenders carried out the inspections on May 20 in Toa Payoh, Jalan Besar, Selegie, Ubi and Guillemard Road.

Investigations into all possible breaches of the Moneylenders Acts and Rules are still ongoing, said a joint statement from the Singapore Police Force and the Insolvency and Public Trustee's Office yesterday.

Necessary and appropriate enforcement action will be taken to ensure that all licensed moneylenders operate within the confines of the law.

The joint inspection aims to send a strong signal to all licensed moneylenders that the authorities take a serious view of non-compliance with and/or breaches of the Act, thet statement added,

Licensed moneylenders found guilty of breaching the Moneylenders Act and Rules can be fined up to $40,000, imprisoned up to two years or both. Their licenses may also be suspended or revoked.

If convicted of operating an unlicensed moneylending business, first time offenders will be fined between $30,000 to $300,000, imprisoned up to four years, and caned up to six strokes.




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