Personal Loan

personal-loan

Singapore is a top financial center in the world where different banking and financial products or services are offered. There are various types of loans including the personal loan. The main purpose of offering these loans is to help borrowers cover various financial expenses. The interest rate offered for these loans is quite attractive. The borrowers also enjoy a flexible repayment schedule to pay off the loan. In truth, both the borrowers and banks or moneylenders in Singapore experience a win-win situation. So, let us move forward and find out the ins-and-out of personal loan.

What is Personal Loan?

A personal loan is tailored to meet current financial needs. It is an unsecured loan, which does not require any security / collateral. People who need quick cash and stress-free loans can take personal loans. Besides, a personal loan is provided with manageable interest rate and some minor completion of documentations. Anyone can use the personal loan as per specific financial needs. The most useful element of a personal loan is that you will never be monitored for the end usage of the credit.

What are the Different Types of Personal Loan?

Different kinds of personal loans are offered to customers. These loans are –

  1. Term Loan

The term loans are conventional loan products. In this loan, you will be able to borrow any amount (depends on your financial needs & loan eligibility). After taking the loan, you have to pay back the borrowed money with an applicable interest. Besides, the payback period will be for a particular term.

  1. Loan against Credit Card

This personal loan option is a convenient option. Different credit card issuers in Singapore allow their consumers to withdraw cash against the available money on the credit card. The key benefit of this loan type is that the loan application is sanctioned quickly. On top of it, your borrowed money will be transferred directly to your bank account.

  1. Personal Line of Credit

Many traditional banks in Singapore offer a personal line of credit. This is another form of personal loan, which offers access to a specific amount of money. Remember that you can only access the available funds on a monthly basis. If you need more money than the specific amount, you will have to make monthly payments. In truth, this loan is one kind of revolving credit loan.

The Benefits of taking Personal Loan

A personal loan can provide you with several benefits. Here is what you will get from taking a personal loan.

  • Flexibility – A personal loan is flexible. You can use it for a wide range of financial needs including medical expenses, travel expenses, buying new products or electronic gadgets, etc.
  • Fast Approval – You can get a personal loan within a short space of time. In fact, you can receive the loan within 24 hours. So, if you need emergency funds, a personal loan is the best choice.
  • Simple Documentation – A typical personal loan does not require extensive documentation. This will not be the case if you apply for a home loan or car loan.
  • Unsecured Loan – A personal loan is provided without keeping any kind of security / collateral against the loan money. This is another fascinating benefit of personal loan.

A personal loan is designed to help the general people. In truth, this loan is much more suited for futuristic individuals. Therefore, a personal loan is a great option to obtain financial freedom.

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