3 Things You Must Do When Getting A Loan From The Sharks
There are very many instances when you will need to get a quick loan. But this is not always an easy thing because banks have a lengthy protocol and may end up delaying what you need. In such a case, you may need an individual to lend it out to you. Loan sharks are people who lend you money at high rates. They will do it without much paper work and thus, might be the ideal people to consult when you are in dire need of a small rate, short term loan, http://www.ehow.com/info_8015326_california-usury-laws.html. But you will need to appreciate the fact that there are very many fraudsters in the loan sharking business. Therefore, you will need to consider the following things.
1. Paper work and signatories
At any given time, you must always ensure that there you sign with the loan shark a document here showing the repercussions of the loan. This will help you evade scenarios of getting your rates hiked without your consent. Moreover, in the case when you are unable to pay the loan on time, the document will the guide in how to get the loan paid. This is because many people get into drugs and prostitution in the quest to pay these sharks. But signing a simple agreement would save all this!
2. What is the rate?
Mostly, many people get into borrowing these loans even when they do not understand the rates clearly. This makes them to pay high amounts of debts. But whenever you want a loan, you must understand that it must be paid at a specific time, with an interest attached to it. This means that they will need to have a portion of your money added to what they give you! Thus, make sure that you check the rate at which the loan needs to be repaid.
3. Is the loaner legalized?
Many people make the mistake of getting into a loan without considering the authenticity of the person lending the money. Did you know that there are very many drug barons and criminals in the business? You will therefore have to watch out lest you get into the hands of people who are wanted, both by law, and by the government! It is very formidable for you to ensure that the person lending money to you is legalized. This will help you avoid any kind of circumstances of getting you into a bad deal!