Personal Loan

Personal loans allow you to borrow a fixed amount of money over a fixed term, usually at a fixed interest rate. The repayment terms are then spread out over a period of time, depending on the terms and conditions of your loan contract, interest rate, monthly salary, processing fees, and repayment capabilities.

Most personal loans are also unsecured loans. As such, the loans are mostly taken for anything that you might need, from an emergency like a hospitalization bill and other unforeseen disasters to even a wedding, home renovation, or a dream vacation you’ve longed for years.

There is a difference between a payday loan and a personal loan in Singapore. The first is that a payday loan is effectively a short term loan that you repay back to the lender when you receive your next paycheck. A personal loan has a longer loan repayment term due to the larger amount that you have taken out.

When a borrower is seeking a personal loan, it is always ideal to analyze what type of financing loan you need. Does your financial trouble be covered by a personal loan or does can it be financed with another type of loan? For instance, if you are planning for a hefty home renovation then you must choose a home renovation loan, and if you are looking for funding for your child’s education then you must go for an educational loan.

Next, once you figured out the perfect loan for you, whether a personal loan, business loan or home loan. Then you need to check and compare the interest rate, which one has the lowest interest rate that you can benefit from? Remember that moneylender applies a fixed interest rate one each type of loan, so it’s better to consult with the licensed moneylender to know the amount you will be paying. 

Personal loan lenders in Singapore usually require processing fees and nominal interest rate, note that you’ll incur these fees after taking out a personal loan. Also, you need to consider the loan repayment tenure, which one is the most suited for your paying capabilities. Considering these factors will help you to ensure that you can keep up with your repayment plans and as to avoid late fees and other additional charges.

Applying for a personal loan can help you remedy your failing credit rating. This will take effect each time you apply for the best personal loans in Singapore, each application will send a notification to the credit rating bureau. And once you repay the personal loan then it provides positive feedback to the credit authorities thus increasing your credit standing.

Bugis Credit is listed as a licensed moneylender in Singapore that is always here to guide you each step of the way. It is our mission to help borrowers to ease their financial difficulties by providing quick cash with low interest rates, so whether you fell short on your monthly income, our quick cash remedies will substantially help you solve your financial problems.

Some of the advantages of taking a personal loan are:

• You can get your money immediately with a fixed monthly interest rate
• Personal loans allow you to use the money as you see fit
• You can take out a loan even with bad credit history in Singapore
• You don’t need collateral to take out a personal loan
• You can borrow more than a credit card or overdraft
• The repayment amount is fixed each month, making it easy for you to budget
• You can make a full or early repayment and even receive a discount on the interest rate

Just like any other cash loans, if you don’t pay off your personal loan within the repayment period of your loan contract, then the tendency will snowball into a massive amount that you may not be able to pay back due to interest rate. This can greatly affect your credit scores and rating. Bugis Credit is the best licensed moneylender in Singapore that can help you get the most suitable cash loan for you. 

During the consultation process, we have professional loan officers to help you figure out the best cash loan for your needs with the lowest interest rates possible. You also have to remember that when taking out loans, they have other fees like one-time processing fees, these one-time processing fees are apart from the loans interest rate.

However, all personal loans also come with disadvantages. Some disadvantages of personal loans are as follows:

• You could be tempted to take out more than you need unlike a payday loan
• The cash loan you receive is not a good way to consolidate your debts therefore you can get trapped on a debt cycle

Unlike banks, a licensed moneylender like Bugis Credit does not judge or look for your credit history only when approving your personal loans though we follow a strict protocol for borrowers, this is to ensure we give the best loan suited for you. 

You should also note that eligible borrowers like being at least 18 years old with a minimum salary of SGD 2,000 for local and permanent residents. While for foreigners and expats taking out a personal loan should have a salary of SGD 3,000 to be considered.

Bugis Credit is looking for the following before approving a personal loan:

• Your ability to repay the personal loan
• Singapore citizens, PR, and foreign workers need to show that they are employed or have income
• Your proof of income
• Other identification papers only after you have been approved for a personal loan

Because the total amount of personal loan you can receive is fixed due to the Registry of Moneylenders’ regulations, the best personal loan rates matter greatly. The interest rates would also differ if you have a secure or unsecured personal loan, or if you have a guarantor.

Having collateral such as properties, real estate, bonds, collections and other items and objects of value can help you lower your personal loan interest rates. Secured loans will have lower interest rates and even unlock higher amounts for customers. However, there are processing fees that must be applied when taking out a loan.

In addition, if you have good credit scores and decide to work with Bugis Credit, you can have lower interest rates too. However, we will never require that you have a good credit score — we’ll give you an amount with a low interest rate that you can safely borrow that is proportionate to your income.

It is not a good idea for a borrower to apply for a personal loan in Singapore to use as a debt consolidation loan. Personal loans in Singapore are meant to be used in times of emergencies only. If you need to borrow a larger amount of cash, it would be wiser to speak to us and come up with a better solution to your financial situation. 

When loans are used wisely, they can help you not to get into trouble. It is also useful to understand how personal loans work so you don’t get trapped in paying multiple loans at a time. You can talk to our loan officers to help you decide the best loan for you.

You can contact us at 6345-9123 or come visit us at our office to make the payments and inform us of your early settlement. 

Do tell us about your plans for the early settlement, so that we can come to an agreement with you for any discounts to your loans.