A person or entity that charges borrowers interest above an established legal rate. Depending on where a person lives, lenders typically cannot charge more than 60% interest per annum. A loan shark, then, would be someone who illegally charged interest over the state's legal limit, which could range up to, or even over, 100%. For example, a loan shark would lend $10,000 to a person with the provision that they be repaid $20,000 within 30 days. A big word of caution is that loan sharks will often back their lendings with threats of violence or damage to a person's reputation as a way to ensure the loans are repaid. If you find yourself in a position of owing to a loan shark, make sure you talk to a financial (and maybe a legal) professional to help you get out of the situation.
WORLD CLOCK
Thursday, August 28, 2008
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4 comments:
why people still borrow money from ah long even they know the risk??
peAce!
are there have any types of loan shark?
let me answer your question lieder, People still borrow money from loan shark because of several reason. First, easy to got the money. For example, the loan shark give the rule to borrow money in easy way. Don need to bring a lot of document. when you got all the document, your apply for money will pass.Second, not have much birokrasi. If you go to bank, there have a lot of birokrasi happen. But if loan shark,you will not have any birokrasi that make you loan will got late. Finally, loan shark do not want you have a highest payment. This is happen to people who income is low than rm1000. Once you can pay back, your loan, you will got the money easy.
assalamualaikum, why the people still want borrow with loan shark even know they very dangerous and can take many action to their family and life?
siti zunnuraini binti muhammad
A121235
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