Are you suddenly in need of emergency funds? Taking a personal loan in Singapore may be the solution to your problems. Whether you’re a Singaporean or a foreigner, there are endless options available in the market such as banks, money lenders, and financial institutions. With these overwhelming personal loan promotions and choices out there, you may get confused and wonder which is the best personal loan in Singapore. You will often see financial institutions offering loan discounts (such as the lowest personal loan rates) and in-house promotions for their banking products from time to time. It’s vital that you compare and evaluate all personal loan interest rates to get the best deal or else you might short-change yourself.

While looking for a loan, it’s important to look for the lowest personal loan rates, affordable repayment terms, and a suitable loan quantum that suits your financial needs. 

 Avenues for Personal Loan Promotions

It’s wise to keep your options open when choosing the right personal loan in Singapore and outweigh the benefits of both banks and legal money lenders. Banks, which are the big players in Singapore’s finance hub, often advertise personal loan promotions on an ad-hoc basis via the internet, newspapers, TV, or social media platforms. Moneylenders, on the other hand, advertise their services on their corporate website, business directories, or via posters at their registered offices.

Qualifying Criteria


Banks allow you to borrow up to ten times your monthly salary. All applicants must be 21 years old. However, they have stringent application processes which require documents based on their checklist and the processing time can stretch to 2 weeks in some cases. They also have an annual salary requirement of S$20,000, failing which, the loan will not be approved. Credit scoring plays a very important part when securing a personal loan in Singapore. Banks will obtain the credit report from the Credit Bureau of Singapore and your loan application will be approved based on that report.


Document Requirements

1)    Photocopy of NRIC 

2)    Endorsed copy of loan application form 

3)    Proof of income documents for employed applicants

4)    Latest Notice of Assessment for self-employed applicants

5)    Copy of valid work permit pass for foreigners

Legal Moneylender

The approved loan amount offered by money lenders is generally up to six times the monthly salary. Some money lenders accept borrowers who are 18 years of age. The application process is a breeze with online loan portals and the approval is almost instantaneous. The good news is that the funds can be disbursed on the same day. Credit score has little weightage with money lenders and they also require lesser documentation when approving a personal loan in Singapore.


Documents Required

1)    Photocopy of NRIC

2)    Singpass (for online applications)

3)    Proof of income- latest 3 months payslip

4)    Proof of address – utility bill, telephone bills, or proof of tenancy agreement (for foreigners)

5)    Copy of passport or valid work permit for foreigners

Tips on considering the best personal loan in Singapore

You should carefully evaluate your current financial needs and your earning power. Write up your monthly budget and expenditure and establish the comfortable level of monthly repayment instalments. 

Loan Amount

This is the most important factor to consider when applying for a personal loan in Singapore. Knowing the correct amount of loan quantum required will allow you to choose the right type of loan. It is also important that you obtain the lowest personal loan rates that suits your needs. Ensure that you’re comfortable with the monthly repayment instalments, and do not overstretch yourself. 

Loan Tenure

This refers to the loan repayment period over which you will make your monthly instalment. Make sure that you choose a loan tenure where you can fulfill its obligations failing which, you will incur late payment fees and lead to accumulated debts. This will affect your credit score as well.


There are processing fees charged by both banks and money lenders to process your loan application. Make sure that you check upfront if there are any other hidden fees involved. These fees will affect your total loan quantum as well. Also, clarify on late payment fee charges and its late payment interest rates. These fees can be exorbitant in some cases.


Personal loans in Singapore can be a lifesaver if you really are in need of urgent cash. Before applying for a personal loan, do weigh all your options carefully.