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Lending business

By Sasha on Nov 21, 2008 in Brain wave

Debt Collection has never been more important now than ever before. With the crisis every country has been experiencing, making sure debts are paid has become so hard. Most people does not have enough money to meet their monthly amortizations and payments. I know that firsthand because the ones my grandmother lent money to are now asking for term extensions. Better they ask for an extension rather than they just stop paying altogether. But you can really feel the pinch everyone is going under right now.

A neighbor of ours is into the lending business. She has numerous borrowers, mostly people selling at the local market. Debt collection is now done in different ways, she told my dad. Sometimes, a threat an produce results. At other times, cajoling is more effective. She tried all the ways just to make sure that her borrowers would be paying on time. She also needs the money so she can continue the cycle of her business. If more than three stopped paying, it will make a big dent on her capital. But she is very open minded and would give consideration to her borrowers as long as they tell her before the date of collection.

The crisis has really affected everyone, even the small players.

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