Guide · Money and debt · 2 min read
Borrowing from a moneylender
Who can lend money at interest as a business, and the records every loan needs.
In plain English · by bruneilaws · not legal advice· Law as at 30 Sep 2026
On this page · 5 parts
The short answer
No person can carry on the business of a moneylender unless they are registered as a moneylender and have a licence from the Authority.
An acknowledgement in writing has to be made for every loan, and an account for every payment of principal or interest, and those documents have to be stamped as the Stamp Act provides.
Who counts as a moneylender
Under the Moneylenders Act, a moneylender is any person who habitually lends money at interest. The Government, licensed banks, licensed finance companies and international banking licensees are not moneylenders under the Act.
A person proved to have lent money at interest on one occasion is taken to lend money at interest habitually, until the contrary is proved.
The Act defines the Authority as the Autoriti Monetari Brunei Darussalam.
Registration and licences
The register of moneylenders records each moneylender's place of residence.
Licences are granted annually, and a fee of $500 is charged for every licence.
The Authority may vary the licence fees or the rates of interest, and make rules by public notification for the effective working of the Act.
The moneylender's register of loans
Every moneylender has to keep a register showing, for every person they lend to, the borrower's name, sex, age and nationality, the amount actually lent, the rate of interest, and any security.
The moneylender has to produce the register for inspection when any magistrate demands it.
Offences
A person who contravenes section 3 is guilty of an offence and liable on conviction to a fine of $500 and imprisonment for 18 months.
A person who contravenes section 4 or 6 is guilty of an offence and liable on conviction to a fine of $2,500 and imprisonment for 6 months.
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