Loan Sharks in Durban
Even though they engage in illegal financial activities, the loan sharks Durban thrive. The authorities do not have the power and the resources to deal with them once and for all. At the same time, there are many people who feel forced to use their super expensive loans. Learn all you have to know to protect yourself from them.
What you need to know
Loan sharks in Durban offer loans which are accessible to any person with income and/or property. These loans come with a super high interest rates and fees. The cost of borrowing is tremendous while the time for the loan's repayment is extremely short. If the borrower is unable to repay their debt, they are forced to do so often with illegal means. Alternatively, the lender seizes an asset of the borrower. It could be their car or their house.
How to Recognize Them
It is fairly easy to recognize the loan sharks Durban. They are not licensed. They set extremely low eligibility criteria especially compared to other lenders. They are more than happy to lend you money. In fact, they can offer a loan to you directly if they find out that you have financial difficulties. They set interest rates which are much higher than the maximum set by the National Credit Regulator of South Africa. The fees and the total loan cost are very high.
It is wrong to think that you cannot borrow money from legitimate lenders even if you have or have had serious financial problems. There are plenty of licensed lenders of all sizes and specializations. Some specialize in loans for blacklisted while other are experts in debt consolidation. They offer attractive products with competitive interest rates and fees in order to attract more customers.
You can easily escape the loan sharks Durban if you keep your eyes open at all times and take good care of your finances.