Whether you are planning to buy your first property or paying for school fees, it’s important to know how to apply for a loan with Singapore’s best lenders. Getting a personal loan in Singapore is easy, and you can get it disbursed within hours (when dealing with a licensed moneylender).
How Much Can I Borrow?
To qualify for a personal loan in Singapore, you must meet certain eligibility requirements. These include age, income, and credit score. Some loans may also require other documents.
A personal loan is an unsecured form of financing that can be taken out for any purpose, but it’s a good idea to shop around before you make a decision. Besides the usual documents such as your bank statement, you should also look for terms and conditions and interest rates that fit your needs and budget.
How to Avoid Rejection
One of the main reasons why your personal loan application might be rejected in Singapore is that your credit score is low. This is often due to a number of factors that are out of your control, and it’s best to be aware of them so you can take measures to improve your score before applying for a loan.
Your credit score is determined by the number of inquiries that are made on your credit report by banks and other financial organizations. This includes all of your applications for a range of credit cards and other unsecured facilities, as well as your payment habits over time. If you are unable to pay your debts on time, your credit score will drop. This can hurt your chances of getting a personal loan approved in Singapore, so it’s always best to be diligent about making all payments on time.
The most important step you can take to boost your credit score is to stop taking on new unsecured debt. This means avoiding adding new credit card balances to your existing ones, as well as any other loans that you have already taken out in the past.
Another thing you can do to lower your unsecured debt is to start repaying them in full, as opposed to paying them off gradually. This will help to reduce the number of inquiries that are made on your loan application, which can negatively impact your credit score in the long run.
You might be able to find a suitable loan with the help of a credit union in Singapore. These are not-for-profit businesses that offer loans to members at a lower interest rate than banks and other financial institutions.
They also have a more lenient set of criteria than banks and other regulated companies, which makes it possible for them to work with customers that other lenders might turn away.
A credit union is a great place to begin your search for a loan in Singapore, and it’s worth considering if you have a poor credit history but need a loan to fulfill a life goal. money lender singapore