We all need money to attend to emergency situations like hospitalisations, weddings, or buying a home. However, we fall short of money sometimes. But there is a way one can sort out this problem. For instance, for emergencies, one can look for an online personal loan Singapore.
How can you apply for a personal loan online in Singapore?
Visit the online website of the financial institution from which you want to take your loan. In case you want to take a loan from a moneylender, you can ask them for an online form to fill up your details quickly.
After you find the top money lender Singapore and fill in your online personal loan application form, you will need to appear for a face-to-face verification. Below we have listed the documents that you will require for the face-to-face verification process.
- If you are a Singaporean, you will need your NRIC and Passport Access. You will also need to produce a proof of income with payslips for the past three months. It can include commission invoices and bank statements. In case you are a self-employed individual, you will need your proof of earnings.
- If you are a foreigner, you will need your E-pass, S-pass, work permit, and passport. You can show a rental agreement, phone bills, and utility bills for proof of home address. In addition, you have to bring your payslip for the last three months.
Prior to signing the contract of your personal loan, review the rates of interest, additional fees, and the principal amount of the loan. See whether you will be able to pay off your loan within the given time period or if you will require a longer time period.
After signing your contract, the loan amount will be deposited or transferred to your bank account. The entire process will take less than twenty-four hours. If you want to avoid late fees and interests, clear your repayments within the given tenure.
Advantages of an online personal loan
There are loans that are secured, and they require you to keep an asset as collateral. But a personal loan is unsecured, which means you will not require any collateral. The only thing that your lender will look at is your ability to pay off the loan and the score of your credit.
They process fast in comparison to other loans. So, your loan will get processed within a matter of twenty-four hours. After you determine which lender offers the best personal loan, you will need to meet them, and your loan will get instant approval.
The time period of your personal loan will vary according to the rate of interest and the principal. Personal loans offer flexibility where you can select a time period of repayment ranging from one to five years. At times, for a high amount of a loan, you may also get a repayment period that goes up to ten years. So, select a plan that suits your interest.
Once your online personal loan gets approved, your moneylender or bank will instantly deposit the loan amount into your account. The repayment is made in the form of monthly instalments. As a result, you will be able to tend to your monetary needs in times of emergency. But do not go for a higher time period of repayment as it will increase the amount payable.
You will not be restricted to how you use the loan amount when you take a personal loan. So, you can use it to pay off a car or a renovation loan.
Personal loans are far more cost-effective in comparison to credit card loans, even if they can be secured easily. Credit card loans also have a high rate of interest, while personal loans can have interest rates that are around five per cent.
You can opt for different kinds of personal loans for different purposes. Additionally, the low-interest rates help several people clear the repayment within the time period.
How can I select the online personal loan amount?
If you borrow from a private money lender, you can take up to six times your monthly income.
The MAS or the Monetary Authority of Singapore makes the loan and income ratio twelve times the income that you earn each month. However, MAS only allows the borrowing of a certain amount of money to prevent any form of crisis of debt.