How to Report Illegal Money Lender Harassment in Singapore (2025)

In Singapore, the issue of illegal money lender harassment has become increasingly concerning for borrowers. As the demand for quick loans rises, some lenders resort to aggressive tactics that can infringe on individuals’ rights. This article outlines the steps to report such money lender harassment effectively, ensuring that consumers are informed.

Key Takeaways

• Types of Harassment: Understand the different types of money lender harassment (e.g., excessive contact, threats, intimidation, abusive language, contacting third parties without consent).
• Borrower Rights: Singaporean laws protect borrowers who borrow from legal lenders by granting them rights to fair treatment, privacy, clear information, and protection from threats. Lenders must maintain responsible, transparent, and fair practices at all times. These protections are not available to those who borrow from illegal money lenders.
• Reporting Harassment: For criminal behaviour, report to the police immediately.

Understanding Money Lender Harassment

What is money lender harassment?

In Singapore, harassment by money lenders refers to unlawful and unethical tactics used by certain lenders when retrieving debts. Here are the common types of illegal harassment tactics:

• Excessive and persistent contact: This includes frequent calls at unreasonable hours, multiple calls within a short period, or repeated visits to a borrower’s home or workplace.
• Threats and intimidation: This can range from veiled threats about legal action to actual threats of violence against the borrower or their family. It also includes threats to damage reputation or disclose debt to third parties.
• Misleading or false information: Providing incorrect information about the debt, the legal consequences of non-payment, or their powers as a lender (e.g., pretending to have legal authority they do not possess).
• Abusive language: Using foul, insulting, or derogatory language towards the borrower.
• Contacting third parties without permission: Disclosing details of the debt to family, friends, employers, or neighbours without the borrower’s explicit consent.
• Charging excessive or unfair fees: While not directly harassment, adding exorbitant or unwarranted fees can be a tactic to increase pressure and exploit vulnerable borrowers.
• Ignoring communication preferences: Continuing to contact a borrower through methods they have explicitly requested to avoid (e.g., calling instead of emailing) when alternative methods are available.
• Demanding unreasonable payments: Insisting on repayment schedules that are clearly unaffordable or demanding payment in full when a reasonable repayment plan could be agreed upon.

Are You Dealing With an Unlicensed Money Lender?

When facing money troubles, some people turn to illegal lenders, or “loan sharks”/”ah longs”, which is very risky. Here are some ways you can spot these lenders and understand the dangers, so you can make wise choices and stay safe from their bad practices:

• Preying on People: These individuals or groups often target vulnerable people who can’t get loans from legitimate sources. They are known to charge incredibly high interest rates — significantly higher than those of official lenders — making it almost impossible to repay the original debt.
• No Clarity: Loan sharks operate with virtually no transparency. Often, there are no proper written agreements, or if there are, they’re likely designed to trick the borrower.
• Harassment and Fear: A common sign of unofficial lending is the use of aggressive, threatening, and often illegal methods to collect debts, including physical threats, harassing family members, and other forceful tactics.
• No Legal Help: Victims of loan sharks often cannot access legal help through traditional channels because these lenders aren’t regulated.

All About Borrower’s Rights

In Singapore, several consumer protection laws are in place to safeguard individuals who borrow from legal lenders from unfair trading practices, including those that may arise in the context of money lending.

Overview of relevant consumer protection laws

• Moneylenders Act 2008 (Revised Edition 2010): This act regulates the moneylending industry in Singapore by requiring lenders to be licensed and by imposing limits on the interest rates and other charges they can levy. It aims to prevent predatory lending practices.
• Consumer Protection (Fair Trading) Act 2003: This legislation safeguards consumers from unfair business practices, including money lenders. It allows consumers to seek redress if they have been subjected to misleading claims or other unfair trading practices.
• Protection from Harassment Act 2014: This act makes it a criminal offence for anyone, including money lenders, to engage in harassment, stalking, or other forms of abusive behaviour. This provides borrowers with legal recourse against aggressive or threatening collection tactics.

Note: Individuals who take out loans from illegal lenders do not enjoy the protections mentioned above.

Can I Report an Illegal Money Lender to the Authorities?

While you cannot seek assistance from the Registry of Moneylenders in this regard, you may contact the police to report harassment activities conducted by an illegal money lender.

You may lodge the complaint even if you aren’t the one who borrowed from the illegal lender. Call the police at 999 or the National Crime Prevention Council’s X-Ah Long hotline at 1800-924-5664 — be sure to furnish them with a detailed description of the harassment encounter(s)!

Protect Yourself From Unethical Money Lenders

In Singapore, moneylending is strictly regulated to protect consumers. As a fully licensed money lender, R2D Credit complies with all Singapore government regulations. You can confidently apply for a loan, knowing that you are protected from harassment or unfair terms. We are most definitely open to debt negotiation, too.

If you’re seeking a loan but are concerned about harassment by a money lender, please don’t hesitate to reach out to us for a confidential discussion. Our experienced team is dedicated to upholding borrowers’ rights and providing practical solutions and strategies to manage your finances efficiently — safely and legally.