Personal Loans Introduction

Personal Loan in Singapore

When considering the need for a personal loan, you will need to do some research on the options and loan types. The first step is to know what you want and what you can afford; this will help determine the best type of loan for you and the best provider. Here at EnjoyCompare, we help you do this research and hopefully help save you a lot of time and money.

The first rule is to review all providers’ offers and ensure that the information you are reviewing is accurate and up-to-date. Always make sure you review more than just your current banking provider, talk to real people who work with loans and take notes.

Secondly, behind the headline rate are most likely hidden charged that when calculated add to the overall cost of the loan. Therefore remember to take note of the processing fees as they can range from anything between 1%-5%. Furthermore, they usually deducted the fee from either your account at the point of approval or they add the fee to the loan, increasing the loan amount and the interest payable.

In most cases, you will find many banks and licensed moneylenders that offer personal loans, especially in a developed economy like Singapore. However, remember to always check that the provider is legitimate and has the correct approval to provide loan services.

Finally it important to remember that a personal loan is a short-term loan arrangement to bridge your personal finances, you should always ensure that you can afford the monthly payments and have enough disposable income to maintain your lifestyle. A loan should not be seen as a way to fund a lifestyle outside of your income, as it will quickly spiral into a negative cycle.

For more information on personal loans in Singapore, have a look at our loan guide, where you will find helpful tips and information to help make an informed decision. Or if you’re looking for a personal loan and want to compare, then check out our loans comparison table.