Repayments
What are the processes that MoolahSense has in place to recover the late repayment from an Issuer (SME)?
MoolahSense has a strict collection workflow to ensure delinquent Issuers pays back their overdues. Below is a chronological order of activities that will take place from T+1 (Where T is the scheduled payment date) From T+1 to T+30: Calling and ...
What is the difference between the statuses 'doubtful' and 'default'?
The failure to repay on the due date is classified an ‘ Event of Default ’ under the definition as listed in section 9 of the Investors’ Standard Terms on Conditions to Promissory Note. The broad definition of what constitutes a default event is ...
May I contact the Issuer directly for monies owed to me?
Under our Payee’s Terms and Conditions, MoolahSense is authorised to manage and undertake such collective action recovery efforts on behalf of Investors. In doing so, the costs of the early stages of debt recovery are borne fully by MoolahSense. For ...
What are the limitations of a bankruptcy application?
A person who is declared bankrupt is subject to a number of restrictions, including: (a) he must surrender his assets to the Official Assignee (a government official), who will sell the assets and distribute the proceeds to the creditors; (b) he ...
How do you calculate the repayments based on the interest rate given?
(Example using Principal + Interest , Equal Repayment Loan) The interest rate computed is based on the reduced balance at the end of each term. For an investment payment schedule with monthly repayments, this is derived from the monthly repayment ...
What do the statuses in the investment dashboard mean?
You may wish to find out the meaning of the statuses of your notes by locating the 'Click Here' link in the Investor dashboard. These statuses reflect the industry’s best practices similar to credit agencies and central banks such as MAS and HKMA. ...
When is a Note considered late?
A Note is considered late when the Issuer fails to make repayments on the due date.
When will the SME who has defaulted on their repayment obligation be brought to court?
We will only consider taking the SME to court if our attempts to engage the SME verbally or in writing (which includes the serving of legal documents) for repayments had failed. Nevertheless, as there are fees payable to the court if we initiate ...
Will MoolahSense allow SMEs who have previously defaulted on their loans to take a loan again through your platform?
No, SMEs which have previously defaulted* will not be allowed to take a loan via MoolahSense. Please find more information on a default event here. *default here refers to not making full payment of loan.
What happens when an SME does not honour its loan repayment obligation?
MoolahSense will manage the debt recovery from SMEs on behalf of Investors, from Issuers who are late or have defaulted on their loan repayments. This includes taking the necessary legal actions to facilitate the debt recovery process. ...
Why there are no repayment monies being credited to my MoolahSense account on the scheduled repayment date?
Monies due to Investors will be credited to your MoolahSense account 3 to 4 business days after the payment has been received from Issuer.
Where can I find the late repayment updates for Issuers (SMEs) who are late in their repayments?
You are able to view the late repayment updates for issuers whom are late in their repayments if you had invested in their promissory note. To get the information, simply follow the steps below: 1. Login to your dashboard 2. On the left hand side of ...
Will I be compensated for an Issuer (SME) who did not fulfill their repayment obligation?
A late payment interest of 30% p.a. (calculated on a daily rest basis) on the arrears will be payable by the Issuer (SME) to the Investors. This will start to accrue one day after the repayment due date and continue until the overdue installment ...
Who will bear the cost of the legal action(s) taken against an Issuer (SME)?
Investors will have to bear the costs of the certain legal actions (e.g. bankruptcy applications against a Personal Guarantor(s), application for winding up of Issuer or award of Issuer legal costs by the court) undertaken by MoolahSense on behalf ...
How and when will MoolahSense update the late repayment progress of an Issuer (SME) to affected investors?
Investors will receive progress updates on the via the Investors’ dashboard. Our team will engage with the late Issuers (SMEs) and encourage them to get back on track with their outstanding repayments. Through this, we are able to provide the ...
Will I be able to view the repayment status that I had invested in?
Yes. On the Investor’s dashboard, you can view the detailed repayment schedule of each issuer that you had invested in. Go under your Investments and click on the Investment Details to view the repayment schedule: You will get a very detailed ...
How will late interest repayments charged to Issuer (SME) be accounted and paid for to investors?
Whenever an Issuer (SME) makes a repayment (late), that money will go towards paying the late interests owed to the Investors first. Afterward, the remaining money will be used to clear the outstanding interests and principal amounts of the ...
How and when do I receive my payments?
For Business Loans, Issuers (SMEs) will make their loan repayments according to the payment structure of the Promissory Note, which will be either one or a combination of the following: Bullet – Investors will receive a lump-sum repayment, consisting ...