Life is unpredictable, and you never know when you’ll need a sum of money you currently don’t have. For instance, you may have gotten into a car accident, and need a large amount of cash to fix your car and settle your medical bills. What happens if you don’t have enough money in your savings, or you’ve maxed out your credit card?
Personal loans are a viable option during emergencies and difficult times like these. There are several types of personal loans in Singapore whereby the lender’s requirements are low and you can get approvals quickly and easily.
These types of loans are sometimes called short term loans or urgent loans. They require very little paperwork and have shorter processing times.
Upon approval, cash will be deposited into your account within a day or two at most. In some cases, money will be credited into your account within the hour. Let’s explore some of the easiest personal loans in Singapore you can obtain:
Several private moneylenders in Singapore offer payday loans, which are also known as cash advance loans or salary loans. They are short term loans that are meant to tide you over until your next pay day. The loan quantum offered, however, is small; often a portion of the borrower’s monthly salary.
Borrowers who take payday loans will have to repay the loan when they next receive their salary. This loan is often taken to cover personal expenses like rent and bills, or for low cost emergencies.
The downside of payday loans is that they often incur very high interests and have short repayment terms. However, they offer quick access to cash with minimal eligibility requirements. They’re also accessible to borrowers with poor credit scores and those who won’t qualify for regular personal loans.
The premise of a pawn shop in Singapore is straightforward and simple. You bring an item to the pawn shop and the pawnbroker will then assess its value. They will then offer you a cash loan based on the value of your item. Your item will be kept as collateral by the pawn shop.
If you are able to repay your loan and the incurred interests, you’ll be able to redeem your item. However, if you fail to do so, you will lose the item to the pawn shop indefinitely. Among the common items often pawned include jewellery, antiques, and electronic devices.
Pawn shops are a favoured alternative to banks and other lenders as they only depend on the presence of a valuable collateral to dispense a loan.
In Singapore, obtaining a credit card is simple, provided that you don’t have a poor credit history and are financially stable.
Additionally, you should earn at least $30,000 per annum if you’re a Singaporean and $45,000 per year if you’re a foreigner. Credit limits per month range from 2x-4x your monthly income depending on your income bracket.
If you already have a credit card, you can contact your provider and arrange for something called a credit card cash advance. This loan allows you to withdraw cash on your credit card account, according to the limits of your card or sometimes more. However, credit card charges and interest rates for a cash advance will be higher than your usual credit card use.
A personal loan can be challenging to apply for, and take a long time to process for approval. Additionally, you may also need to provide a long list of documents or fill in endless forms. With this list, we’ve helped you by coming up with some of the loans you can obtain without going through the usual hassle.
The loans mentioned above require less red tape, and can be approved in a shorter period of time. Therefore, they come in handy for several situations, such as natural disasters, emergencies and the like. Lendingpot allows you to streamline your loan sourcing process, reaching out to several loan providers on just one platform. This saves you the time and effort needed to source and compare multiple lenders.
Sign up today and receive multiple loan offers almost instantly from both banks and private lenders. Contact us and let our experts guide you on which easily obtainable loan suits your situation the best.
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