What is Unlicensed Money Lending (UML)?
UML occurs when an unauthorized person, often referred to as an unlicensed moneylender, “aaron,” or usurer, lends money to another person. Borrowing from unlicensed money lenders is risky as many use forceful and illegal debt collection methods. They often employ harassment tactics, including threats and acts of violence, to force repayment. Surprisingly, such threats can continue even after the borrower has paid off the debt.
Stay away and don't borrow money from unauthorized money lenders. Never work with or assist them.
Where can I get help?
If you are facing financial difficulties, seek help before it's too late.
UML Crime Prevention Tips
UML is a serious threat to the community. Police are working to address this problem, but community involvement is essential. Measures that can be adopted to help this are:
1. Good neighbors and community participation
Join the citizens on patrol. Neighborhood community groups that help patrol and keep an eye on each other. By working together, we can build safer communities for everyone.
2. For Employers of Migrant Workers (MW)/Migrant Domestic Workers (MDW)
Protect your MW/MDW from unscrupulous and unauthorized lenders.
Teach them to stay away from unauthorized moneylenders and not to assist them in any way. We warn you of serious consequences if you are found to be assisting unlicensed moneylenders in illegal activities, such as canceling work passes.
Be careful of loan scams
Police also want to warn the public against loan scams that may be linked to UML. The general public should note the following points:
Licensed lenders are not permitted to make cold calls or send unsolicited messages via social media or online messaging platforms such as Facebook, Instagram, Telegram, or WhatsApp. Lenders must verify the identity and details of the borrower at an approved business location. You can only approve or authorize loans to individuals within your business. We will never request payment before disbursing the loan.
Note: Your approved lender may charge an administration fee, but only after your loan has been approved and it is usually deducted from the disbursement amount. For a list of approved moneylenders, please visit the Ministry of Justice's Moneylenders Registration website.
Protect yourself from loan fraud
Ignore unsolicited loan advertisements. Block and report spam numbers on WhatsApp, Telegram or other apps. Never share your personal information (NRIC, SingPass, bank account information) with strangers.
For more information on loan fraud, please visit www.scamalert.sg.
UML and Loan Fraud Reporting
If you have information about UML or loan fraud, please report it using the following methods:
If you have an emergency where you require emergency police assistance, please call 999. Police hotline: 1800-255-0000 (for non-emergency cases) Submit information online: www.police.gov.sg/iwitness Report to the police online or at your local police center (for non-emergency cases requiring investigation) – Fraud Helpline: 1800-722-6688 (to check for suspicious calls or messages related to loan fraud)
Please help us keep Singapore safe
Please share this information with your friends and family. Together, we can fight UML and loan fraud within our community.
