Are you in need of a quick cash infusion for bills, gadgets, or travel? Good news! Singapore offers plenty of options for securing a small personal loan. In this article, we’ll explore the different avenues available, the qualifications you need to meet, and the steps to take to ensure a successful application process.
What You Need to Know About Small Personal Loans
Maybe you’re asking, “How small of a loan can I get away with?” Although most banks in Singapore only lend between SGD 500 and SGD 1,000, there is an innovative option for people needing even lower sums.
Licensed moneylenders are the answer, offering the chance to borrow whatever amount you require, with the possibility of securing up to SGD 3,000. But whether you need a few bucks or a significant sum, personal loans have got your back.
Where to Get a Small Personal Loan?
There are two main options for getting a small personal loan in Singapore: banks and licensed moneylenders.
Singapore’s banking system provides numerous opportunities for securing a small personal loan. DBS/POSB Personal Loan has the lowest offer at S$500, but other banks like HSBC, OCBC, and UOB offer a minimum loan amount of S$1,000. To ensure your application success, be sure to compare interest rates and eligibility criteria across banks.
If you’re in need of a small personal loan in Singapore, licensed moneylenders present a viable option. Among the various choices available, Accredit has garnered high ratings and positive feedback from borrowers. With proper research and a thorough understanding of the terms and conditions, a licensed moneylender may be just the solution you need.
Factors to Consider When Applying for a Small Personal Loan in Singapore
Before applying for a small personal loan in Singapore, there are several factors you should consider:
The interest rate tacked onto your small loan can make or break your repayment game. Every financial institution and moneylender has their own rates, making it essential to shop around for the one that syncs with your financial goals.
Borrowing cash involves more than just paying off a set amount. Loan tenure is the period you’re given to clear your debt. While stretching out your repayment schedule reduces monthly installments, it also leads to bigger interest payments in the long run.
Different banks and moneylenders have their own set of criteria for small personal loans. A few may mandate a minimum income or credit rating, while some may ask for security against the loan. It’s crucial to confirm your eligibility by checking the requirements before submitting your application.
Comparison of Small Personal Loan Providers in Singapore
Check out the list below for personal loan providers in Singapore along with their minimum loan amount, interest rate, and loan tenure. Compare and contrast to choose the best lender that fits your needs.
|Personal Loan||Interest Rate||Minimum Loan Amount||Loan Tenure|
|Accredit Personal Loan||Up to 4% per month||Up to $3,000 for Singaporeans & PRs|
Up to S$500 for foreigners
|Up to 12 months|
|DBS/POSB Personal Loan||3.88% (EIR 7.9% p.a.)||S$500||Up to 5 years|
|SCB CashOne Personal Loan||3.48% (EIR 7.99% p.a.)||S$1,000||Up to 5 years|
|OCBC Personal Loan||5.43% (EIR 11.47% p.a.)||S$1,000||Up to 5 years|
|UOB Personal Loan||3.99% (EIR 7.49% p.a.)||S$1,000||Up to 5 years|
|HSBC Personal Loan||4% (EIR 7.5% p.a.)||S$1,000||Up to 7 years|
|CIMB CashLite Personal Loan||3.38% (EIR 6.38% p.a.)||S$1,000||Up to 5 years|
|Citi Quick Cash Loan||4.55% (EIR 8.5% p.a.)||S$1,000||Up to 5 years|
Requirements for Obtaining Small Personal Loans in Singapore
To qualify for a small personal loan in Singapore, you’ll need to tick a few boxes. For starters, you’ll have to meet age and income requirements, which differ by lender.
But here’s the kicker: while conventional banks demand a sterling credit record and reliable job history, registered moneylenders extend options for people with lower income and less-than-stellar credit scores.
|Age||21 to 65 years old||21 to 65 years old|
|Minimum income for Singaporeans and Permanent Residents||S$20,000 or S$30,000||Less than S$10,000|
|Minimum income for foreigners residing in Singapore||S$40,000 – $60,000||Less than S$10,000|
How to Apply for a Small Personal Loan in Singapore?
When you require a rapid financial fix in Singapore, a small personal loan can provide the necessary cash infusion. Simplify the application process with these straightforward steps:
Check your eligibility
Before you apply for a loan, you need to assess whether you’re the right fit for the lender. This involves reviewing their eligibility requirements, which typically involve factors like age, income level, and creditworthiness.
Gather required documents
To secure a personal loan, you’ll need to gather crucial documents that verify your personal and financial information. These may include official identification papers, bank statements, and income statements.
Submit your application
When it comes to submitting your application for a personal loan, most lenders offer the convenience of online submission or the option to swing by their physical branch location in person.
Wait for approval
After submitting your application, the lender will thoroughly assess your details and may require supplementary data. Once given the green light, the funds will be at your disposal within a couple of business days.
Unlock Your Buying Power with Small Personal Loans in Singapore
If you require a small loan of about S$1,000, the possibilities for purchases are endless. You could invest in a brand-new smartphone, a top-notch laptop, some elegant furniture, or even a washing machine. Various banks in Singapore offer small loan amounts, such as the DBS/POSB Personal Loan, HSBC Personal Loan, and more. However, if you require an even lower amount, licensed moneylenders like Accredit can offer a solution.