Introduction
If you’re looking to finance a big-ticket item, like a car or home, a personal loan is a great option. The amount you can borrow depends on your income and the amount of collateral you have that your lender can use to recoup their investment if you default on your loan. In this article, we’ll discuss the basic requirements for getting a personal loan, including income, credit history, and collateral.
You must be at least 18 years old
If you want to qualify for an unsecured personal loan, you must be an adult. To be considered an adult, you need to be 18 or older and legally able to sign a contract. Along with being of age, you must also meet certain eligibility requirements. Specifically, you must be a Singaporean citizen (or permanent resident). If you don’t fulfill this requirement, there are other options available for you.
You must be a Singapore Citizen.
Verifying your citizenship, PR, or employment pass is a requirement for most unsecured personal loans in Singapore.
You can apply for a personal loan that is not secured if you are a Singapore Citizen, Permanent Resident, or hold an Employment Pass/Work Permit.
If you’re not a Singaporean citizen, Permanent Resident, or Employment Pass holder, this article won’t be relevant to you as we don’t offer loans to people with those types of statuses at the moment.
You must have a valid Singapore bank account.
To be eligible for the loan, you must have a Singapore-based bank account that’s registered in your own name and not a foreign one. Additionally, it must have been open for at least six months and have an average of $5,000 in it over the past three months.
Your income should be a minimum income of $20,000 per annum
To qualify for an unsecured personal loan, you must meet the minimum requirements as follows:
– You must be a Singapore Citizen, Permanent Resident or hold an Employment Pass/Work Permit.
– You must possess a valid Singapore bank account.
– You must be at least 18 years old.
– Your income should be a minimum income of $20,000 per annum
Meet these requirements, and you are eligible
Before applying for unsecured personal loans in Singapore, specific requirements must be met.
If you meet all of these requirements, you will be eligible to apply for an unsecured personal loan at MoneySmart.sg:
- You must be 18 years or older
- You must hold a valid Singapore passport or identification card
- You cannot have been declared bankrupt within the last seven years or be subject to any adverse credit reference or reports from any credit bureau (for example, TDS, CIRP)
- You must earn a minimum income of $20k per annum
Conclusion
You may wonder which of these requirements will be the most important. There is no correct answer, and it depends on what you are looking for.
If getting approved quickly is your goal, you should ensure that your credit score is in good shape before applying.
On the other hand, if you want a lower interest rate on your loan, having at least three years of work experience will help you achieve this goal.
The best thing about meeting all these requirements, though? You can rest assured knowing that applying now means there will be no surprises down the road when it comes time to repay.