The recent rise of unlicensed moneylenders (also known as loan sharks) has quite an alarming concern to the government as well as our fellow Singaporeans, PRs and foreigners working here in Singapore. We therefore think it is good to cover the Moneylenders Act and Moneylenders Rules so that everyone is aware of what it is.
Moneylenders Act and Moneylenders Rules in Singapore (2019 Update)
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All information below are extracted from Singapore Statutes Online (“SSO“), a free service provided to the public by the Legislation Division of the Attorney-General’s Chambers.
1. Moneylenders Act
2. In this Act, unless the context otherwise requires —
“Authority” means the Monetary Authority of Singapore established under section 3 of the Monetary Authority of Singapore Act (Cap. 186);
“bank” means —
“body corporate” includes a limited liability partnership;
“business name”, in relation to a moneylender, means the name under which the moneylender is authorised by a licence to carry on the business of moneylending;
“business trust” has the same meaning as in section 2 of the Business Trusts Act (Cap. 31A);
“company” has the same meaning as in section 4(1) of the Companies Act (Cap. 50);
“corporation” has the same meaning as in section 4(1) of the Companies Act;
“director” has the same meaning as in section 4(1) of the Companies Act;
“excluded moneylender” means —
any pawnbroker licensed under the Pawnbrokers Act 2015;
any person who —
lends money solely to —
“exempt moneylender” means any moneylender who has been granted an exemption under section 35 or 36 from holding a licence;
“firm” means an unincorporated body of 2 or more individuals, or one or more individuals and one or more corporations, or 2 or more corporations, who have entered into partnership with one another with a view to carrying on business for profit and that is registered under the Business Names Registration Act 2014;
“interest”, in relation to a loan, means any amount by whatsoever name called in excess of the principal paid or payable to a moneylender in consideration of or otherwise in respect of the loan, but does not include any permitted fee, stamp duty or other fee payable under this Act or any other written law;
“licence” means a moneylender’s licence issued or renewed under this Act, and “licensee” shall be construed accordingly;
“limited liability partnership” has the same meaning as in the Limited Liability Partnerships Act (Cap. 163A);
“moneylender” means a person who, whether as principal or agent, carries on or holds himself out in any way as carrying on the business of moneylending, whether or not he carries on any other business, but does not include any excluded moneylender;
“permitted fee”, in relation to a loan, means the costs, charges or expenses prescribed under section 22(1) that may be imposed on the borrower under the contract for the loan;
“principal”, in relation to a loan, means the amount actually lent by a moneylender under the contract for the loan;
“real estate investment trust” means a collective investment scheme that is —
“Registrar” means the Registrar of Moneylenders appointed under section 4 and includes a Deputy Registrar of Moneylenders and an Assistant Registrar of Moneylenders appointed under that section;
“substantial shareholder” and “substantial shareholding” have the same meanings as in Division 4 of Part IV of the Companies Act (Cap. 50);
“unlicensed moneylender” means a person —
who is not a licensee or an exempt moneylender.
5.—(1) No person shall carry on or hold himself out in any way as carrying on the business of moneylending in Singapore, whether as principal or as agent, unless —
(1A) For the purposes of subsection (1), a person who wholly or partly carries on, from a place outside Singapore, the business of moneylending in Singapore shall be taken to have carried on that business in Singapore.
(3) An application for the issue of a licence shall be —
accompanied by the payment of a non-refundable application fee of a prescribed amount, which shall be paid in such manner as may be specified by the Registrar.
(5) Without prejudice to section 7, the Registrar shall not issue a licence —
6.—(1) An application for the renewal of a licence shall be made not later than one month before the expiry of the licence, in such form and manner as may be determined by the Registrar.
(4) Without prejudice to section 7, the Registrar shall not renew a licence —
7.—(1) For the purposes of sections 5 and 6, the Registrar may refuse to issue or renew a licence on any of the following grounds:
if —
the applicant is not —
if the applicant, any director, partner or substantial shareholder of the applicant, or any person who is or will be responsible for the management of the applicant’s business of moneylending —
(2) For the purposes of sections 5 and 6 and without prejudice to subsection (1), where an application is made by any person for the issue or renewal of a licence to carry on the business of moneylending as an agent for a principal, the licence shall not be issued or renewed where —
8.—(1) Every licensee shall pay such licence fee as may be prescribed for the issue or renewal of the licence by the Registrar.
9.—(1) The Registrar may revoke a licence, or suspend it for such period as he considers appropriate, if he is satisfied —
that the licensee —
had, in connection with an application for the issue or renewal of the licence —
10.—(1) An applicant for the issue of a licence or a licensee who intends to carry on the business of moneylending at any new place or places of business shall, before commencing the business of moneylending at such place or places, apply in writing to the Registrar to approve such place or places of business for moneylending.
(3) The Registrar shall not approve any place of business for moneylending —
(6) The Registrar may revoke his approval under this section, or suspend his approval for such period as he considers appropriate, if he is satisfied —
(12) The approval of any place of business for moneylending —
(13) Any licensee who —
carries on the business of moneylending at a place of business without the approval of the Registrar; or
carries on the business of moneylending at a place of business in respect of which the approval of the Registrar has been revoked or is suspended,
11.—(1) The Registrar may, without prejudice to the exercise of any other power under this Act, forfeit the whole or such part of any security deposit placed with the Accountant-General under section 5(5)(c), 6(4)(c) or 10(3)(c) as the Registrar thinks fit if he is satisfied that there exists a ground for the revocation or suspension of the licence under section 9(1).
12.—(1) Every licensee shall obtain the approval of the Registrar —
as soon as practicable after —
13. The Registrar may, from time to time, cause to be published in such manner as he may determine —
14.—(1) Subject to subsection (1A), any person who contravenes, or who assists in the contravention of, section 5(1) shall be guilty of an offence and —
in any other case —
in the case of a second or subsequent offence, shall on conviction be punished with a fine of not less than $30,000 and not more than $300,000 and with imprisonment for a term not exceeding 7 years.
(1A) Subject to sections 325(1) and 330(1) of the Criminal Procedure Code 2010 —
a person who is convicted of a second or subsequent offence under subsection (1) shall also be liable to be punished with caning with not more than 12 strokes.
(2) Where any contract for a loan has been granted by an unlicensed moneylender, or any guarantee or security has been given for such a loan —
(3) Subsections (1) and (2) shall not apply to a moneylender who —
(3A) Without prejudice to the generality of subsection (1), a person assists in a contravention of section 5(1) if —
he receives, possesses, conceals or disposes of any funds or other property, or engages in a banking transaction relating to any funds, on behalf of any person knowing or having reasonable grounds to believe that —
he keeps the records and accounts of a business knowing or having reasonable grounds to believe that the carrying on of such business contravenes section 5(1);
he promotes or advertises a business knowing or having reasonable grounds to believe that the carrying on of such business contravenes section 5(1); or
he provides or gives access to the name of or other information relating to any other person (referred to as a potential borrower), or otherwise refers a potential borrower, to a person whom he knows or has reasonable grounds to believe is carrying on a business in contravention of section 5(1), intending to facilitate or knowing it to be likely to facilitate the lending of money by such person to the potential borrower.
(3B) In subsection (3A), “funds” and “property” have the meanings given to those words in section 15A.
15.—(1) Any person who, in connection with an application for the issue or renewal of a licence or for the approval of any place of business for moneylending —
(2) Any licensee who —
15A. In this Part, unless the context otherwise requires —
“account” means any deposit or current account opened with a bank;
“deal with” means —
in respect of property comprising funds —
“funds” includes cheques, bank deposits and other financial resources;
“property” means property of every kind, whether tangible or intangible, movable or immovable, and whether situated within or outside Singapore, and includes funds.
15B.—(1) In this Part, property is proceeds of unlicensed moneylending if it is wholly or partly derived or realised, whether directly or indirectly, from a contravention of section 5(1).
(2) Property becomes proceeds of unlicensed moneylending if —
(3) Property remains proceeds of unlicensed moneylending even if —
it is dealt with or disposed of.
any account which has been credited with such property as an account with proceeds of unlicensed moneylending (referred to in this Part as specified account).
(2) The Minister may vary or revoke the order at any time.
(3) The Minister shall revoke the order if the person referred to in subsection (1)(a) is no longer detained and is not subject to the supervision of the police under an order made under section 32 of the Criminal Law (Temporary Provisions) Act.
15D.—(1) Where the Minister makes an order under section 15C, he shall —
if he varies or revokes the order, take steps to publish the variation or revocation in the Gazette or bring the variation or revocation to the attention of the persons served with a copy of the order, as the case may be.
(2) Where the Minister serves a copy of the order on certain persons under subsection (1), only those persons are subject to the prohibition in section 15E(1).
(3) The High Court may, on the application of a person affected by the order, set aside the order in whole or in part.
(4) An application under subsection (3) shall be made within 30 days from the date of publication or service of the order, as the case may be.
(5) The order may be set aside in whole or in part by the High Court if, and only if, the applicant proves to the satisfaction of the Court that any specified property is not, or any specified account has not been credited with, proceeds of unlicensed moneylending.
(6) The correctness, validity or legality of the order made under section 30 or 32 (as the case may be) of the Criminal Law (Temporary Provisions) Act (Cap. 67), or of any ground upon which such order is made, shall not be raised as an issue or called into question in the course of an application under subsection (3) or during any proceedings relating to such application.
(7) A person who makes an application under subsection (3) shall serve a copy of the application on the Attorney-General not later than 7 days before the date fixed for the hearing of the application.
(8) Rules of Court may provide for the manner in which proceedings relating to an application under subsection (3) may be commenced or carried on.
15E.—(1) A person shall not deal with any specified property, or any funds in any specified account, unless he does so under the authority of a licence granted under section 15H.
(2) A person who, without reasonable excuse, contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction —
in any other case, to a fine not exceeding $100,000 or to imprisonment for a term not exceeding 2 years or to both.
(3) This section is subject to section 15D(2).
15G. Where a person —
in any other case, to a fine not exceeding $150,000 or to imprisonment for a term not exceeding 3 years or to both.
15H.—(1) The Minister may grant a licence to exempt any act from the prohibition in section 15E.
(2) A licence may be —
of indefinite duration or subject to an expiry date.
(3) The Minister may vary or revoke a licence at any time.
(4) Where the Minister grants, varies or revokes a licence, he shall —
in the case of a general licence or a licence granted to a category of persons, take such steps as the Minister considers appropriate to publicise the grant of the licence, or the variation or revocation thereof.
(5) Any person who does any act under the authority of a licence but fails to comply with any condition attaching to that licence shall be guilty of an offence and shall be liable on conviction —
in any other case, to a fine not exceeding $50,000 or to imprisonment for a term not exceeding 2 years or to both.
(6) The Minister may delegate any power or duty under this section to the Commissioner of Police, except the power of delegation conferred by this subsection.
16.—(1) No licensee shall knowingly or recklessly issue or publish, or cause to be issued or published, any advertising or marketing material in any form, or any business letter, circular or other document, which contains any information which is false or misleading in a material particular.
(2) For the purpose of subsection (1), any advertising or marketing material or any business letter, circular or other document shall be presumed, unless the contrary is proved, to contain information which is false or misleading in a material particular if such material or document —
18.—(1) Every licensee shall affix, in a conspicuous position at or in each of his places of business, a sign bearing his business name and the words “Licensed Moneylender” in the English language such as to be visible to any person immediately outside the place of business.
19.—(1) Every licensee shall, before granting any loan to a borrower, inform the borrower in writing as to such matters relating to the terms and conditions of the loan as may be prescribed.
(3) Where any loan has been granted in contravention of subsection (1) or (2), the licensee shall not be entitled to enforce —
20.—(1) No contract for a loan granted by a licensee, and no guarantee or security given by or on behalf of a borrower for the loan, shall be enforceable and no money paid by or on behalf of the licensee pursuant to the contract for the loan shall be recoverable in any court of law unless —
(2) Any licensee who makes or causes to be made any note of a contract for a loan in which the principal or rate of interest is, to the knowledge of the licensee, not stated or not truly stated shall be guilty of an offence and shall be liable on conviction —
21.—(1) Every licensee shall, at least once every half year ending on 30th June or 31st December and not later than 21 days after that date, supply to every borrower, so long as a contract for a loan granted by the licensee to the borrower is subsisting, a statement of account in the English language containing such particulars as may be prescribed.
(2) The statement of account under subsection (1) shall be —
(3) A licensee shall, on an application made in writing by a borrower or surety, or a former borrower or surety, and on the payment of a processing fee of $10 or such other amount as may be prescribed, supply to the applicant or any other person on the direction of the applicant not later than 21 days after the date the application is made —
(4) A licensee who receives any cash payment from or on behalf of a borrower under a contract for a loan shall immediately issue to the payer a receipt, which shall set out in the English language —
(5) A licensee who issues a receipt in accordance with subsection (4) shall —
where the payer is other than the borrower —
(8) Where a licensee has contravened subsection (1), (2), (3), (4) or (5), or any requirement relating to the provision of information prescribed under subsection (6), the licensee shall not be entitled to enforce —
22.—(1) The Minister may prescribe the types or amounts of costs, charges and expenses that a licensee may impose in respect of every loan granted by the licensee, including the fees or charges for or on account of legal costs.
(2) Where, under any contract for a loan between a licensee and a borrower, the borrower is required to pay to the licensee any sum (not being a sum for or on account of stamp duties or fees payable by or under this Act or any other written law) on account of costs, charges or expenses other than or in excess of the permitted fees, such sum —
23.—(1) When proceedings are brought in any court by a licensee for the recovery of a loan or the enforcement of a contract for a loan or any guarantee or security given for a loan, and the court is satisfied that the interest or late interest charged in respect of the loan is excessive and that the transaction is unconscionable or substantially unfair, the court shall re-open the transaction and take an account between the licensee and the person sued.
(3) In relieving the person sued under subsection (2), the court may, without prejudice to its power to grant any further or other equitable relief —
(4) Any court shall have and may exercise the powers referred to in subsections (1), (2) and (3) in relation to proceedings for relief brought by a borrower, a surety or other person liable to repay a loan to a licensee, notwithstanding —
(8) For the purposes of subsections (6) and (7) —
(9) Nothing in this section shall be construed as derogating from —
24.—(1) Every licensee shall keep or cause to be kept, for a period of not less than 5 years from the prescribed time —
(3) Every licensee shall submit to the Registrar the following statements, in such form and manner as the Registrar may require, not later than 14 days after the end of each quarter of each year commencing from the first day of January, April, July or October of the year:
(6) Any person who —
(7) Any licensee who knowingly or recklessly furnishes to the Registrar any information —
25.—(1) For the purpose of determining whether this Act has been complied with, the Registrar or an officer duly authorised by him (referred to in this section as an authorised officer) may at any time —
require the moneylender or any other person to furnish any information, book, record or other document either forthwith or at such other time and place and in such manner as the Registrar or the authorised officer may require;
(1A) The Registrar or an authorised officer may be assisted by any other person or persons when exercising the powers under subsection (1)(a), (b), (c) or (d).
(2) Any person who, without reasonable excuse, fails or refuses —
to furnish the Registrar or an authorised officer with any information, book, record or other document at such time and place or in such manner as required under subsection (1)(b);
(4) Any person who, knowingly or recklessly —
25A.—(1) In the course of any investigation or proceedings into or relating to an offence by any person under section 14 or 28, whenever committed, or a conspiracy to commit, or an attempt to commit, or an abetment of any such offence, the Public Prosecutor may, notwithstanding anything in any other written law to the contrary, by written notice require the Comptroller —
to produce or furnish, as specified in the notice, any document or a certified copy of any document relating to that person, spouse, son or daughter which is in the possession or under the control of the Comptroller.
(2) The Comptroller to whom a notice is sent by the Public Prosecutor under subsection (1) shall, notwithstanding the provisions of any written law or any oath of secrecy to the contrary, be legally bound to comply with the terms of that notice within such time as may be specified therein.
(3) In this section, “Comptroller” means the Comptroller of Income Tax, or any Deputy Comptroller or Assistant Comptroller of Income Tax appointed under section 3(1) of the Income Tax Act (Cap. 134).
26.—(1) The Registrar may issue directions, either of a general or specific nature, to any licensee or exempt moneylender for or in respect of every purpose which the Registrar considers necessary for carrying out the provisions of this Act.
(2) Without prejudice to the generality of subsection (1), the Registrar may by such directions —
27. If any moneylender, any director, partner, agent or employee of the moneylender, or any person who is responsible for the management of the business of moneylending of the moneylender —
28.—(1) Subject to subsection (3), where an unlicensed moneylender —
in any other case —
in the case of a second or subsequent offence, shall on conviction be punished with imprisonment for a term of not less than 2 years and not more than 9 years and shall also be liable to a fine of not less than $6,000 and not more than $60,000.
(2) Subject to subsection (3), any person who, acting on behalf of an unlicensed moneylender, commits or attempts to commit any of the acts specified in subsection (1) shall be guilty of an offence and —
in the case of a second or subsequent offence, shall on conviction be punished with imprisonment for a term of not less than 2 years and not more than 9 years and shall also be liable to a fine of not less than $6,000 and not more than $60,000.
(3) Subject to sections 325(1) and 330(1) of the Criminal Procedure Code 2010 —
a person who is convicted for the first time of an offence under subsection (1) or (2) shall also be punished with caning —
a person who is convicted of a second or subsequent offence under subsection (1) or (2) shall also be punished with caning —
with not less than 9 and not more than 18 strokes if it is proved to the satisfaction of the court that, in the course of committing the offence, hurt was caused to another person and damage was caused to any property.
(3A) For the purposes of paragraph (a) of subsection (1), a person who —
(3B) For the purposes of paragraph (b) of subsection (1), a person who makes any telephone call, or by any means sends any article, message, word, sign, image or representation, whether from a place in Singapore or outside Singapore, to any person or place in Singapore, which is likely to cause alarm or annoyance to a person referred to in that paragraph, shall be taken to have committed an act referred to in that paragraph.
(5) For the purposes of subsection (3), a person is deemed to have caused damage to any property if he does any of the following acts:
28A.—(1) For the purposes of Chapter V of the Penal Code (Cap. 224), a person shall be taken to have abetted the commission of an offence under section 28 if —
he provides or arranges transport to a person for the purpose of his acting as a lookout for a person carrying out any such act, and he knows and has reasonable cause to believe that the act is in connection with such a demand.
(2) For the purposes of Chapter V of the Penal Code, where —
(3) For the avoidance of doubt, this section is without prejudice to the generality of the term “abetment” under the Penal Code.
28B.—(1) Subject to subsection (2), any person of or above the age of 21 years who causes or procures any person below the age of 16 years to commit an offence under section 14 or 28 shall be guilty of an offence and —
in any other case, shall be liable on conviction to a fine not exceeding $30,000 or to imprisonment for a term not exceeding 12 months or to both.
(2) Subject to sections 325(1) and 330(1) of the Criminal Procedure Code 2010 —
a person who is convicted of an offence under subsection (1) for causing or procuring any person below the age of 16 years to commit an offence under section 28 shall, if the offence under section 28 is thereby committed, also be liable to be punished with caning with not more than 12 strokes.
28C.—(1) A person shall be guilty of an offence if —
the unlicensed moneylender or a person acting on his behalf uses the contact information for the purpose of committing an offence under section 28(1) or (2) against any other person.
(2) Any person who is guilty of an offence under subsection (1) shall be liable on conviction to imprisonment for a term not exceeding 12 months.
(3) In subsection (1), “contact information” means a residential address, business address, telephone number, facsimile number or any other information given to enable an unlicensed moneylender to contact a borrower.
29.—(1) When any fine is imposed on an agent who is or has been licensed to carry on a business of moneylending in Singapore on behalf of a principal not resident in Singapore in respect of an offence under this Act committed by the agent in the course of carrying on the business, the fine shall, unless the court imposing the fine otherwise directs, be recoverable out of the property belonging to the principal or the agent, or to both, and situated within Singapore.
(3) When it is made to appear to any court by any person entitled to make an application under section 23 that any transaction entered into with a moneylender not resident in Singapore prima facie ought to be re-opened, the court may —
30A.—(1) The Public Prosecutor may, if he considers that any evidence of the commission of an offence under section 14 or 28, whenever committed, or a conspiracy to commit, an attempt to commit, or an abetment of such an offence, by a person is likely to be found in any document containing customer information relating to that person, to the spouse, son or daughter of that person, or to a person reasonably believed by the Public Prosecutor to be a trustee or an agent for that person, by order authorise any police officer of or above the rank of assistant superintendent so named to inspect any document of a bank specified in the order.
(2) The police officer so authorised may, at all reasonable times, enter the bank specified in the order and inspect the documents kept therein and may take copies of any relevant entry in any such document.
(3) The Public Prosecutor may delegate his power under this section to a Deputy Public Prosecutor or the Commissioner of Police, except the power of delegation conferred by this subsection.
(4) In this section, “customer information” has the meaning given to that expression in section 40A of the Banking Act (Cap. 19).
32.—(1) Notwithstanding any provision to the contrary in the Criminal Procedure Code (Cap. 68), a District Court shall have jurisdiction to try any offence under this Act and shall have power to impose the full penalty or punishment in respect of the offence.
(2) Where any act constituting an offence, or part of an offence, under section 14 or 28 is committed outside Singapore by a person, he may be dealt with in respect of that offence as if the act had been committed within Singapore.
32A.—(1) Whenever 2 or more persons are charged with an offence under section 14 or 28, whenever committed, or with a conspiracy to commit, or an attempt to commit, or an abetment of such an offence, the court may require one or more of them to give evidence as a witness or witnesses for the prosecution.
(2) Any such person who refuses to be sworn or to answer any lawful question shall be dealt with in the same manner as witnesses so refusing may by law be dealt with by a Magistrate’s Court or District Court, as the case may be.
(3) Every person so required to give evidence, who in the opinion of the court makes true and full discovery of all things as to which he is lawfully examined, shall be entitled to receive a certificate of indemnity under the hand of the Magistrate or District Judge, as the case may be, stating that he has made a true and full discovery of all things as to which he was examined, and that certificate shall be a bar to all legal proceedings against him in respect of all those things.
33.—(1) Where an offence under this Act committed by a body corporate is proved —
(3) Where an offence under this Act committed by a partnership is proved —
(4) Where an offence under this Act committed by an unincorporated association (other than a partnership) is proved —
(5) In this section —
“officer” —
“partner” includes a person purporting to act as a partner.
34.—(1) The Registrar, or the Commissioner of Police or any police officer authorised in writing by the Commissioner of Police, may, in his discretion, compound any offence under this Act which is prescribed as an offence which may be compounded by the Registrar, the Commissioner of Police or such police officer by collecting from a person reasonably suspected of having committed the offence a sum not exceeding —
35.—(1) The Minister may, upon the application of any person and the payment of such fees as may be prescribed, issue a certificate to exempt, with or without conditions, any person from all or any of the provisions of this Act.
(2) Every exemption under subsection (1) —
(4) Any person who has been granted an exemption under this section and desires to apply to the Minister to vary or revoke any of the existing conditions of his exemption shall —
(9) Without prejudice to the generality of subsection (8), the Minister may at any time revoke, whether wholly or in part, any exemption —
36.—(1) The Minister may make rules to exempt any class of persons from any, but not all, of the provisions of this Act, subject to such terms or conditions as may be prescribed.
37.—(1) The Minister may make rules for carrying out the purposes and provisions of this Act.
(2) Without prejudice to the generality of subsection (1), the Minister may make rules —
(3) Rules made under this section may —
(4) Rules made under this section may provide that a contravention of any specified provision thereof shall be an offence, and —
in respect of any other rules, may provide —
38.—(1) Notwithstanding the repeal of the Moneylenders Act, as from 1st March 2009 —
(2) Where any person —
2. Moneylenders Rules
1A. In these Rules, unless the context otherwise requires, “business loan” means a loan granted by a licensee to any of the following:
a person who was registered under the Business Registration Act (Cap. 32) at least 2 years before the grant of the loan.
2.—(1) Before approving an application for the issue or renewal of a licence, the Registrar may require the applicant to produce such evidence as he may reasonably specify to determine if there exists any ground for refusing the application under section 7 of the Act.
(2) Without prejudice to the generality of paragraph (1), the Registrar may require the applicant to produce —
(2A) Without prejudice to the generality of paragraph (1), the Registrar may require the applicant or any person who is or will be managing the business of the applicant to take and pass a written test on his knowledge and understanding of the provisions of the Act and the rules made under the Act.
(2B) The test under paragraph (2A) shall be conducted in such manner and on such date as the Registrar determines.
3.—(1) A security deposit placed with the Accountant-General under section 5(5)(c), 6(4)(c) or 10(3)(c) of the Act for any place of business shall, unless the Registrar has given notice under section 11(2) of the Act of his intention to forfeit the deposit or any part of it, be returned to the licensee on the cessation of the licensee’s business of moneylending at the place.
(3) Where a licensee —
5.—(1) The non-refundable application fee payable under section 5(3)(b) of the Act in respect of an application for the issue of a licence shall be $600.
(4) If the period remaining of the licence from the date referred to in paragraph (3) is less than 12 months, the fee of $1,320 referred to in that paragraph shall be reduced by an amount to be computed as follows:
(5) If the Registrar requires an applicant for the issue or renewal of a licence or a person who is or will be managing the applicant’s business to take a test under rule 2(2A), then the applicant shall pay to the Registrar a non-refundable registration fee of $130 (inclusive of goods and services tax) for every person required to take the test.
6.—(1) An applicant for the issue of a licence who intends to conduct his business of moneylending at 2 or more places of business shall, when applying to the Registrar under section 10 of the Act for approval of such places of business for moneylending, notify the Registrar in writing which of those places will be his principal place of business.
7.—(1) A licensee shall apply to the Registrar for a replacement licence reflecting the correct particulars in any of the following circumstances:
8. For the purposes of section 19(1) of the Act, every licensee shall, before granting any loan to a borrower, inform the borrower in writing as to all of the following matters:
the nominal interest rate for the loan expressed as a percentage per month;
that interest will be computed on the monthly outstanding balance of the principal;
the nominal interest rate for the interest (if any) to be charged on late payment of the principal and interest, expressed as a percentage per month;
that late interest (if any) will be computed on the monthly outstanding balance of the amount of principal or interest or both that is overdue;
in the case of a term loan —
the portions of each such instalment payment that will be appropriated to repayment of the principal and payment of the interest (excluding late interest); and
9.—(1) A licensee shall not grant a loan to a borrower unless he has received from the borrower a duly completed application form which states all of the following:
particulars of the borrower, namely —
(4) A licensee who contravenes paragraph (1), (2) or (3) shall be guilty of an offence and shall be liable on conviction —
(5) This rule is without prejudice to —
10A. Every contract for a loan must provide for the payment of equal instalments at equal intervals of time.
11.—(1) The maximum rate of interest referred to in section 23(6) of the Act is the nominal interest rate of 4% per month.
(5) To avoid doubt, late interest is charged only on an amount that has fallen due and is not paid.
12.—(1) For the purposes of section 22 of the Act, a licensee may impose in respect of every loan (other than a business loan) granted by the licensee, the following costs, charges and expenses that have been agreed to by the borrower:
(2) For the purposes of section 22 of the Act, a licensee may impose in respect of every business loan granted by the licensee, the following costs, charges and expenses that have been agreed to by the borrower:
legal costs incurred for the recovery of the loan, as may be ordered by a court to be paid to the licensee.
12A. Despite rules 11 and 12, the licensee must not recover from a borrower, on account of interest, late interest or any fee permitted under rule 12(1)(a) or (b), an aggregate amount exceeding the principal of the loan.
12B. Rules 11(1) and (3) and 12A do not apply to a business loan granted by a licensee.
13. The statement of account required under section 21(1) of the Act to be supplied by a licensee to every borrower at least once every half year ending on 30th June or 31st December shall contain the following particulars:
the date on which the loan was granted, the principal or credit limit of the loan, the nominal interest rate and the amount of interest charged;
14.—(1) For the purposes of section 24(1) of the Act, a licensee shall keep or cause to be kept the accounts and documents referred to in that provision for a period of not less than 5 years from —
(2) The following accounts and documents are to be kept for the purposes of section 24(1)(a) and (c) of the Act:
(6) A licensee who contravenes paragraph (3) or (4) shall be guilty of an offence and shall be liable on conviction —
15.—(1) The cash account book referred to in rule 14(2)(b) shall be in Form 2 in the Schedule.
(2) The amount of every sum received or paid by a licensee in respect of his business of moneylending shall be entered in the cash account book —
(4) A licensee who contravenes paragraph (1), (2) or (3) shall be guilty of an offence and shall be liable on conviction —
16.—(1) The loan account book referred to in rule 14(2)(c) shall be in Form 3 of the Schedule.
(2) A licensee shall keep or cause to be kept his loan account book in the following manner:
every amount of repayment or sum paid to account —
(3) A licensee who contravenes paragraph (1) or (2) shall be guilty of an offence and shall be liable on conviction —
17.—(1) The list of borrowers referred to in rule 14(2)(d) shall set out the following particulars of every borrower to whom the licensee has granted one or more loans:
(3) A licensee who contravenes paragraph (1) or (2) shall be guilty of an offence and shall be liable on conviction —
18.—(1) In this Part, unless the context otherwise requires —
“affiliated corporation”, in relation to a moneylender that is a corporation, means —
“corporation” has the same meaning as in the Companies Act (Cap. 50);
“loan” includes a loan on revolving credit that may be drawn down and repaid at any time and from time to time in any amount subject to a limit approved by the moneylender; and a reference to the amount or outstanding amount of a loan, in the case of a loan on a revolving credit, is a reference to such approved limit;
“medical treatment” has the same meaning as in regulation 2 of the Central Provident Fund (MediShield Scheme) Regulations (Cap. 36, Rg 20);
“moneylender” means a licensed moneylender or an exempt moneylender;
“permanent resident” means any individual who is not subject to any restriction as to his period of residence in Singapore imposed under the provisions of any written law relating to immigration for the time being in force;
“related corporation” has the same meaning as in the Companies Act;
“Singapore borrower” means a borrower who is a citizen of Singapore or a permanent resident;
“unsecured loan” means any loan given without security or, in respect of any loan given with security, any part thereof which exceeds the market value of the assets constituting the security at the time of the application for the loan.
(2) In this Part ––
19.—(1) A moneylender shall not grant any unsecured loan to a Singapore borrower, if the total of —
(2) A moneylender shall not grant any unsecured loan jointly to 2 or more persons any of whom is a Singapore borrower, if the total of —
(3) Any moneylender who contravenes paragraph (1) or (2) shall be guilty of an offence and shall be liable on conviction —
20.—(1) A moneylender shall not grant any unsecured loan to a Singapore borrower, or jointly to 2 or more persons any of whom is a Singapore borrower, if this will result in the outstanding unsecured loan amount of the Singapore borrower exceeding —
(2) For the purposes of this rule, the outstanding unsecured loan amount of the Singapore borrower is the total of —
(4) Any moneylender who contravenes paragraph (1) shall be guilty of an offence and shall be liable on conviction —
22.—(1) A moneylender who has granted a loan to a Singapore borrower, or to 2 or more persons any of whom is a Singapore borrower, shall give written notice to the Minister before the moneylender or (if it is a corporation) any of its affiliated corporations —
(2) If, upon the merger, consolidation or acquisition, the outstanding unsecured loan amount of the Singapore borrower exceeds the amount referred to in regulation 20(1)(a) or (b) (whichever is applicable) —
(3) For the purposes of this rule, the outstanding unsecured loan amount of the Singapore borrower is the total of —
(5) Any moneylender who contravenes paragraph (1) or (2) shall be guilty of an offence and shall be liable on conviction —
24. The following fees shall be payable for exemptions granted under section 35(1) of the Act and any extension thereof granted under section 35(2) of the Act: