Personal Loan Singapore

(FAQ) Frequently Asked Questions About Personal Loans (2020)

Best Personal Loan Singapore

1. Which bank offers the best personal loan in Singapore?

Each bank offers different personal loan rates, which are determined by several factors, including your age, borrowing amount, loan tenure, annual income, and residency status. The best bank in Singapore is the one that has the best interest rates, minimal processing fees, and favourable repayment terms when compared to other banks.

2. Is it a good idea to get a personal loan?

Taking out a personal loan can be a viable option in a number of situations. The prime circumstance is when you want to consolidate credit card balances to improve your credit rating.

You can also get a personal loan for refinancing a student loan, emergency expenses, and one-off events like weddings, funerals, or golden anniversaries. It’s advisable to talk to a reliable financial institution and evaluate your options.

3. Which bank is best for a personal loan?

The best bank for personal loans is the one that is reputable and licensed with high rating reviews. It has reasonable interest rate charges and instalment plans, which perfectly suits your income level and unique needs. Most importantly, loan application with fast and easy approval.

Fast Personal Loan Singapore

4. How do I get a personal loan?

Getting a personal loan requires a little research, regardless of whether you’re borrowing from a bank, an online lender, or credit company. First off, you must run the numbers and ensure you’re taking out a loan you can afford to pay.

Checking your credit score is another important step of your research, as most lenders prefer having at least fair credit. While you will find lenders offering personal loans for bad credit, they often approve with high interest rates. If the loan is not for emergency issues, you can start by working on improving your credit score.

It’s recommended to shop around for the best deals. Take your time to compare different types of lenders and loan options before applying. You also need to keep in mind that some lenders will offer personal loans strictly for specific purposes, while others have very flexible terms.

For a hassle-free experience, you’ll want to take advantage of a reliable and trusted financial directory like Zuji. It’s one of the easiest ways to find licensed money lenders and financial institutes with loan packages that are more appealing to you.

5. Which personal loan is the best in Singapore?

The best personal loan depends on your unique individual circumstances. The personal factors at play include your annual salary, age, loan amount, residency status, and the duration to pay back the loan. Therefore, you’ll need to compare the loan offers from different lenders to find the best personal loan.

6. Which bank is best for a personal loan?

There are a number of best banks for personal loans in Singapore, such as CIMB CashLite, OCBC Cash-on-Instalments, BSBC, and Standard Chartered CashOne. For fast and easy approval personal loan, you may go to licensed money lender like Crawfort Singapore.

Easy Personal Loan Singapore

7. How much is a personal loan?

The maximum amount of personal loan you can borrow is currently limited to 12 times your monthly income. The limit is set by the Monetary Authority of Singapore (MAS) to prevent you from excessive borrowing, subjecting yourself to serious financial difficulties that can negatively affect the overall economy as well.

Please note lenders also have their own loan amount limits that are, of course, within the MAS recommended range. Most of the banks typically allow you to borrow a minimum of S$1,000 to a maximum of 4 times your monthly salary. A few lenders can grant loans of up to 8 times the monthly salary when your annual income is over S$120,000.

8. Can a foreigner apply for a personal loan in Singapore?

Yes, foreigners working in Singapore can get personal loans that fit their needs and budget. There are banks and licensed credit companies offering personal loans to non-residents. However, the qualifying criteria often vary, with some lenders having more stringent requirements.

In general, though, you must provide a valid Singapore Work Pass, be at least 21 years of age, proof of employment, residence tenancy agreement, and a bank statement. Lenders are likely to approve your application if they are convinced you’ll be able to pay the loan within the duration of your stay. You may be asked to apply with a guarantor for added security, especially if you lack credit score.

If banks reject your personal loan application, you can consider licensed money lenders, visit here for updated list of licensed money lenders in Singapore.