Best Personal Loans 2016 in Singapore
It’s very common to take a personal loan whether for the purpose of debt consolidation or making a big ticket purchases. It allows us to build credit score, spend with ease and repay the amount by installments.
Credit card is often compared with personal loan due the product nature. Personal loan will usually have a longer tenure compared to credit card. Though you may not have to pay for any interest if you do settle your credit card charges every month, you will have to pay a sky-high interest rate (i.e. 24% p.a. and above) if you do fail.
Personal loan comes in handy at this situation when one has to pay for a big ticket item such as medical or education bill, or consolidate debts like outstanding credit card bills.
Most banks will approve loan amount that is up to 10X of monthly income without asking for the specific purpose. Yet, you need to prove to the bank that you have a solid and stable source of income before getting approved.
However, a personal loan should not be taken up on a whim. Before you decide to apply for a loan, always have a clear idea of your financial standing and ensure that you can afford to commit to its repayment every month. Failing to service your loan will lead to penalties, not to mention a bad credit record.
One way to avoid this from happening is to look for the best personal loan in Singapore that fits your needs. Here’s our personal loan guide for 2016 to help you make that decision:
Personal Loan with Lowest Interest Rates
A personal loan with lower interest rates costs less – that’s a no brainer.
For instance, a personal loan with an interest rate of 5% per annum only will require you to pay S$1,499 per month over three years for a S$50,000 loan, whereas a loan of 11% per annum has a repayment of S$1,637 per month over the same tenure. That’s extra S$138 in your pocket every month.
If you are eyeing for a personal loan, the first thing you need to look out for is the interest rate. Lucky for you, we have done the homework for you and here is the personal loan that offers the lowest interest rate in Singapore:
Personal Loan with The Fastest Approval
When it comes to financial emergency, most of us will prioritize the speed of disbursement instead of interest. Fret not! Banks understand this and you can even get cash the next day upon full submission of your documents. The personal loan with the fastest approval is:
Personal Loan with Highest Loan Amount
Unforeseen expenses can happen any time regardless you are prepared or not. For example, financial emergency could wipe out a family’s savings overnight.
Personal loan can be helpful in these sticky situations, especially when you need a huge amount of money. The personal loan that offers one of the highest loan amount is:
Personal Loan with The Longest Loan Tenure
Many borrowers would prefer paying a lower monthly payment for their loans to manage their cash flow. It is mainly due to their high level of commitments which leave them with very little disposable cash each month. Therefore, personal loans with longer repayment period would allow them to spread out their repayments over a longer period.
We have handpicked the personal loan with the longest loan period for you:
Personal Loan with the Lowest Income Requirement
The bitter truth nowadays is that most of us who do not have high income are the one who are in need of cash loan. Unfortunately, most banks favour higher income earners as these borrowers come with lower risk of default or late payment.
As a result, individuals with low or moderate income especially fresh graduates are having a hard time to secure a loan to pay for their expenses or start their own small business. After we did our homework, we have chosen the personal loan that favour borrowers with low income:
Though the lower the interest, the better off you are, there are still other factors to consider. Important factors such as approval process, loan amount, loan tenures and income requirement. These factors have a huge impact on the cost of borrowing, too!
Securing a personal loan is not as difficult as you think but you have to ensure every repayment is made on a timely basis to avoid financial woes. Check out our personal loan calculator to assist you in your decision-making process.