Bugis Credit Pte Ltd is a licensed moneylender (License No. 25/2024) listed in the Registry of Moneylenders, under the Ministry of Law in Singapore.

POSB Credit Card Cash Advance Review 2024

POSB Credit Card

POSB’s credit card and cash advance products are exceptional if you’re an already-existing POSB bank account owner. However, interest rates higher than average might turn off some customers.


  • Zero minimum on the withdrawal amount
  • Same-day loan release within 2 PM cut-off period
  • iBanking, ATM, or branch withdrawal


  • High Interest Rates
  • High Withdrawal Fees
  • Withdrawal Fees Plus ATM Fees

POSB Cash Advance Features

Here are short explanations about POSB Cash Advance credit card’s features for your reference.

Loan Amount

Your cash advance limit depends on your qualified credit limit. If you have a high credit score, you can have a higher than average credit limit.

While POSB does not provide actual figures for the total cash advance amount you can borrow, you can be sure it’s above S$800- S$1,000 for average credit scores and above S$1,500 for high credit score borrowers.

Cash Advance Rate

POSB’s credit card has a 28% per annum interest rate applied daily, meaning the bank divides the 28% interest rate into 30 days of interest. The cash advance interest rate is the highest among other banks in Singapore, which have an average of 5-6% per annum interest rate applied every day.

Late Payment Chances

From 21 April 2021, POSB charges an S$100 late fee for any missed minimum cash advance or credit card limits. Alternatively, other banks have an almost similar penalty amount with POSB.

Unfortunately, you don’t have grace periods for payments with POSB. However, you can negotiate with them if you need to delay your payments due to an emergency.

Cash Advance Fee

Cash advance or withdrawal transaction fees for the POSB Cash Advance credit card are at S$15 or 8% of the total cash advance, whichever is greater.

For example, if you withdrew S$100, POSB charges you S $15. On the other hand, if you withdrew the S$3,000 total daily advance, you’ll pay S$240, which is 8% of S$3,000.

POSB Cash Advance vs. Other Loan Products

How does POSB Cash Advance shape up versus other banks? Check this short list below.

Bank Cash Advance Fee Interest Rate
POSB 8% or S$15 (whichever is higher) 28% APR, charged daily
HSBC 5% or S$15 (whichever is higher) 24% APR, charged daily
Maybank 5% or S$15 (whichever is higher) 24% APR, charged daily
American Express 5% 24% APR, charged daily
ANZ 5% or S$15 (whichever is higher) 28% APR, charged daily
Standard Chartered 6% or S$15 (whichever is higher) 24% APR, charged daily
UOB 6% or S$15 (whichever is higher) 28% APR, charged daily
DBS 6% or S$15 (whichever is higher) 28% APR, charged daily
OCBC 6% or S$15 (whichever is higher) 28.92% APR, charged daily
CIMB 6% or S$15 (whichever is higher) 28% APR, charged daily
Citibank 6% or S$15 (whichever is higher) 29.9% APR, charged daily

If you compare POSB Cash Advance to the other financial products in this list, it has a higher interest rate and withdrawal charge.

However, while it might seem like a huge con at first glance, its convenient application for POSB customers makes it a convenient credit card and cash advance service.

Citibank’s Credit Cards have the highest daily interest charge at 29.9% APR charged every day. However, it still has a smaller withdrawal charge of 6% or S$15, 2% smaller than POSB’s interest rates.

How to Apply for a POSB Credit Card

Eligibility and Requirements

  • Only singaporeans and foreigners over 21-70 years old can apply
  • Must have minimum S$30,000 income for Singaporeans and S$45,000 for foreign workers.


  • NRIC Card
  • Proof of Employment (Contract or 3 Months of Payslips)


  • Working Pass
  • Employment Letter or Three Months of Payslips
  • Proof of Residence (Billing Statements addressed to property, etc.)

New Users

  • Apply for a POSB Cash Advance Credit Card online through POSB’s dedicated application portal or at any POSB branch
  • Provide all requirements to prove your eligibility.
  • Open a POSB bank account compatible with POSB Cash Advance
  • Use the bank’s iBanking App, ATM, or branch to apply for a cash advance in person.
Existing Users: Only follow Steps 3 and 4

Woman Holding A Credit Card

When Are Cash Advances Useful?

You can think of cash advances as personal or payday loans. You can use its total loan limit as emergency cash for sudden and unforeseen expenses.

However, keep in mind that the POSB Cash Advance credit card isn’t as formidable as a true personal loan from a bank or licensed moneylender, which provides you up to six months of your monthly salary with a 1-year average repayment period.

Precautions Before Applying For Any Cash Advance

POSB Cash Advance is one of the many cash advance products you can use in Singapore. However, be warned: improperly-managed cash advances can lead to financial issues in the future. Therefore, ensure your readiness when you’re applying for any financial product.

Here are a few things to review before you finalize your cash advance application:

Review Your Income and Job Stability

Banks and lenders will primarily look into your existing income and job stability. However, the employment letter of offer plus your monthly payslips undergo bank review because they allow bank actuaries to estimate possible risks involved during your stay with your company.

Improve Your Credit Scores

Credit Bureau Singapore (CBS) is responsible for reviewing your overall bank performance. Your credit reports include all notable incidents you’ve had working with any bank, such as consistently hitting your credit limit, infrequent payment of credit cards, taking on multiple loans, and more.

In addition, POSB’s credit cards require borrowers with a nominal credit score because all credit cards are naturally unsecured loans.

Review Your Total Debt Servicing Ratio

Singapore’s government does not allow anyone to apply for and use any loan if their total debt servicing ratio (TDSR) has exceeded 30%. Therefore, if you have pending financial liabilities amounting to 28% of your income, it’s certain banks will reject your offer because the remaining amount is close to your TDSR

Avoid Incurring High Interest Where Possible

It’s impossible to avoid incurring interest with a daily-charged APR. However, irresponsibly paying your minimum yearly payment is one way to incur high interest rates. Always remember that your daily-charge APR adds a small percentage that increases your repayments.

Therefore, if you pay on a particular day, you’ve still paid for both principal and interest.

Take Note Of Items Considered as Cash Advances

When using POSB or other banks’ cash advances, ensure you fully understand their concept of cash advance. The product’s terms and conditions will fully inform you about these details. However, most Singapore banks offering cash advances consider the following as the latter:

  • Paypal-linked purchases
  • Foreign currency exchange
  • Money orders
  • Casino Chips
  • Lottery Tickets

If you swipe your card to purchase any of these items, POSB and other banks will consider them as cash advances. Therefore, you might find some exceptional transactions upon reviewing your terms and conditions.

Is a Personal Loan Better Than Cash Advances?

Cash advances function like personal loans, confusing Singaporeans regarding the two products. Most cash advances offer you a single month of your income as the credit limit. However, enjoying credit card privileges, such as discounts, reward points, and other sponsored promotions, can be suitable for an individual’s lifestyle.

Personal loans are six months of your salary, which you’ll need to pay within 12 months with a flat daily-charged APR. Like cash advances, you’ll have to pay withdrawal processing fees, but personal loans require only a single processing fee because you’ll receive your financing in one single tranche.

To summarize:

  • Personal loans are much more suitable for emergency financing, long-term investments, and paying utilities.
  • Cash advances are far more useful as consumer-level purchases or as an accessible digital “wallet” for purchasing online-sold goods and services.

However, make sure to use the credit card directly and avoid using the cash advance option. Doing this helps you avoid higher interest rates and the 8% or S $15 withdrawal fee for every S $3,000 you withdraw on your POSB credit card.

Trust Only The Best Lenders For Your Personal Loan Needs

Personal loans are a better option if you need actual cash-on-hand than advancing money using credit cards. Additionally, you can use licensed moneylenders as bank alternatives, especially if you need cash on hand on the same day.

Bugis Credit’s best personal loan provides you with a flat 1-4% providing up to six times your monthly salary payable within one year. So visit our website today, submit your requirements, and cash out your loan on the same day now!

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