Credit & Loan

Best Personal Loans in Singapore with the Lowest Interest Rates (for 2019)

OCBC, HSBC and Standard Chartered offer the lowest interest personal loans in Singapore, available exclusively on SingSaver.

Editor’s note: Personal loan and bank rates are subject to change. Last updated 7 October 2019.

Whether it’s due to an emergency or simple cash flow management, most of us will need a personal loan at some point. Personal loans do get a bad reputation sometimes, but if you understand how to manage cash flow and know how to take advantage of promotional interest rates, they can be used to your advantage.

The most important factor when deciding on a personal loan is the interest rate for the personal loan. The lower the interest rate, the better. This is especially true if you need to borrow a large amount. Interest rates being offered via SingSaver are often lower than the ones being offered by the bank but also take note that ultimately, the final loan interest rate will also take into account your credit score, salary and repayment history.

Also pay attention to any admin or processing fees involved (sometimes, they are waivable), annual fees, how quickly you can get your cash as well as the monthly instalments to be repaid. Here’s a quick guide on the dos and don’ts when applying for a personal loan. We’ve compared the lowest interest rate personal loans available on the market right now and shared them below.

S$20,000 LOAN WITH 3-YEAR TENOR

Bank Loan Flat Annual Interest Rate Effective Interest Rate (p.a) Processing Fees Monthly Payment
OCBC Personal Loan 3.5%* 7.27% $200 $614
HSBC Personal Loan 3.7%* 7.00% $88 (waived) $617
SCB CashOne Personal Loan 3.88%* 7.97% $199 (waived) $620
*NEW* SCB CashOne Fee Free Personal Loan 4.49%* 8.4% None $630

*Exclusive rate only available on SingSaver

1. OCBC Personal Loan

Enjoy the low interest rate of 3.5% p.a. (EIR 7.27% p.a.) — the lowest in the market currently — when you apply for an OCBC Personal Loan. This rate is exclusive for new to OCBC loan customers who apply via SingSaver. In addition, receive up to $320 in Capitaland vouchers with a minimum loan amount of $8,000. (Note: existing OCBC loan customers will be offered an interest rate from 4.7% p.a)

The downside for this loan is there’s a one-time processing fee of 1% of the loan amount. So if you’re looking at a $20,000 loan amount, that will be a processing fee of $200.

Do note that you will need to open an OCBC Credit Card or OCBC EasiCredit account to service your loan. Your maximum credit limit will be 6x your monthly salary if you’re earning $120,000 a year and above (if not, it will be 4x your monthly salary). Click the “Apply Now” button below, which helps you apply for both the credit account and cash loan at the once.

SingSaver Exclusive Rate

This low rate of 3.5% p.a. (EIR 7.27% p.a.) for your OCBC Personal Loan is exclusive to customers who apply through SingSaver and is not available on the bank’s own website.

Eligibility

Nationality Age Minimum Annual Income
Singaporean or Permanent Resident (PR) 21 – 65 years old S$30,000 and above
Foreigners (residing in Singapore) 21 – 65 years old S$42,000 and above

2. HSBC Personal Loan

If you’re looking at a loan tenor of 2 to 4 years, the HSBC Personal Loan offers the best annual interest rate of 3.7% p.a. (EIR 7% p.a.) for all income levels above S$30,000 per annum. This interest rate is only available on SingSaver and cannot be found on HSBC’s own website. 

The HSBC Personal Loan also offers the longest loan tenor on the market — you can spread out your payments over up to 7 years. Enjoy a waiver of the S$88 processing fee as part of your welcome offer.

Loan amounts range from a minimum of S$5,000 to a maximum of 4x your monthly salary. If your annual income exceeds S$120,000, you can borrow up to 8x your monthly salary, or a maximum of S$200,000.

Foreigners residing in Singapore will need a minimum annual income of S$40,000, and may borrow up to 2x their monthly income, or a maximum of S$100,000.

Nationality Age Minimum Annual Income Other requirements
Singaporean or Permanent Resident (PR) 21 – 65 years old S$30,000 and above N.A.
Foreigners (residing in Singapore) 21 – 65 years old S$40,000 and above Employment Pass with at least 12 months’ validity

3. Standard Chartered CashOne Personal Loan

With a guaranteed flat interest rate of 3.88% p.a. (EIR from 7.63% p.a.), regardless of loan amount or tenure, the Standard Chartered CashOne Personal Loan is one of the best options in the market.

There are no processing fees for this loan but Standard Chartered charges an annual fee of S$199 (waivable for the first year). Subsequently, a S$50 fee waiver will also be awarded (in the form of a cashback) from the second year onwards if all payment is received by the due date for the past 12 months.

What’s more, you can now get instant approval and loan disbursement – no more waiting 3-5 working days to receive your cash!

Nationality Age Minimum Annual Income Other requirements
Singaporean or Permanent Resident (PR) 21 – 65 years old S$30,000 and above N.A.
Foreigners (residing in Singapore) 21 – 65 years old S$60,000 and above • Foreigners must be holders of P1, P2 or Q type Singapore Employment Passes
• Q Pass holders must have minimum 1-year validity remaining on their passes

4. *NEW* Standard Chartered ‘Fee Free’ CashOne Personal Loan

For a limited time between now until October 31, Standard Chartered are offering a fee-free personal loan with a flat interest rate of 4.49% (EIR from 8.4% p.a.). It comes with:

  • annual fee permanently waived
  • no early redemption fee (after 9 months)
  • instant approval and cash if you apply via MyInfo
  • $160 cashback for successful applicants with minimum $20,000 loan

As there is no “lock-in” period, this limited offer is ideal for people looking for a fuss-free (and fee-free!) product as a means for investment or quick emergency cash.

Nationality Age Minimum Annual Income Other requirements
Singaporean or Permanent Resident (PR) 21 – 65 years old S$30,000 and above N.A.
Foreigners (residing in Singapore) 21 – 65 years old S$60,000 and above • Foreigners must be holders of P1, P2 or Q type Singapore Employment Passes
• Q Pass holders must have minimum 1-year validity remaining on their passes

If you’re still undecided, we’ve compared all the personal loans being offered by banks so you can easily compare the various terms and conditions. Compare and apply through SingSaver now and save more with exclusive welcome gifts and better interest rates.

Alternatively, check out our summary of the Best Personal Loans in Singapore 2019 for our recommendations of the best loans based on different needs.

This article first appeared on Singsaver.com.sg.

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