Unexpected expenses and emergencies can really turn your life upside down.
Living in Singapore doesn’t make things any easier. Our bills get more and more expensive as the years go by.
For the average hard working employee in Singapore, it can be pretty painful looking at all the utility bills, rent, and necessities that need to be budgeted. Sometimes, you finish budgeting only to see that you are coming up short for all the necessities. Or maybe you want to go for a nice family holiday at the end of the year, but you don’t have enough to pay for all the bills and a vacation.
That’s where applying for a monthly loan comes in handy.
What Is A Monthly Installment Loan? How does it work?
A monthly installment loan works similar to a personal loan. It is a lump sum that you can borrow for a year or longer at a fixed interest rate. Upon disbursement of the loan amount, you can use it for any purpose.
During the tenure of the loan, you have a fixed monthly repayment that consists of principal and interest, where the dollar value of which remain stable.
Generally, you should use monthly installment loans for sudden and/or unavoidable expenditures that are large and hence need to be repaid over a long period of time.
Eligibility and Requirements for Installment Loan in Singapore
If you were to borrow from a financial institution like a bank, you’d typically need a minimum annual income of $30,000 and their application process would entail more stringent credit checks.
With a licensed moneylender in Singapore like QV Credit Pte Ltd, we make the loan process simple and the loan approval fast. Here’s all you need to be eligible:
- Singaporean, Permanent Resident or Foreigner with a valid Singapore Employment Pass
- Be above 21 years old
- Employed with proof of salary/CPF statement/income tax
- NRIC or passport
- Phone bill
- OR utility bills
- For salaried individuals:
- Latest 3 monthly pay slips
- OR 15 months CPF statement
- OR Income Tax Statement (taken from IRAS website)
- For self-employed individuals:
- Past 2 years Income Tax Statements are required
Why Should I Choose QV Credit’s Installment Loans?
We help make your loan repayments a whole lot easier. You take a loan from us once and repay as per the agreed-upon schedule.
The beauty of our installment plan is that the package entails just a fixed monthly installment. Since it’s fixed, this will help you a great deal in planning your budgeting as you know exactly how much to set aside for the loan repayment.
Here are some other reasons for taking a loan:
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The Process of Taking an Installment Loan
All QV Credit loan processes are quick, simple and efficient. You will get your cash fast with no long approval times, and great customer service from our financial team. Here is what you can expect when you take out an installment loan with us:
Monthly installment loans can be very useful for people who need help in managing their finances. With improved credit ratings and a better structure to budget, installment loans are a win-win for all. Apply for one today with QV Credit! Drop us a call at +65 6835 7666 for any enquiries!
Instalment loans are great for funding large expenditures that need to be paid over time because its repayment amount is spread out over a few years at a relatively low interest rate.
If you want to find a way to pay for your home improvements, vacations or even pay back your car loans; these may be the service for you. These loans from a licensed money lender will offer you stability when you have a tight budget.
As with every other personal loan, you should consider the following:
- What you are using the loan for and is it necessary to take up a loan for this
- Total loan amount payable
- Ability to repay the loan
- Repayment terms like loan tenure, interest rate, your other day to day needs
- If you are engaging a licensed moneylender approved by the Ministry of Law
- Are there other plans like payday loans or personal loans that would be more suited for your financial needs.
If you have any queries about which loan package is best for you, feel free to call our customer service hotline or fill a no-obligation online loan application to get more details. A friendly loan officer will call you within the day to explain the details to you.
The concept is simple: you take a loan and pay the amount back on a per month basis with a fixed rate of interest.
It is a straightforward unsecured loan that does not require collateral or a guarantor.
Basically, you stagger your loan repayments in small monthly increments by choosing your loan tenures and the total loan disbursement amount.
The amount you owe each monthy will then decrease until the principal cash loan amount and its interest are fully paid off.
NOTE: You pay most of the interest on your monthly loan loan in the early years. Your first few payments only make a small dent in your loan balance, but eventually, you gain momentum, and those payments increasingly pay off your debt.
When applying for loans in Singapore, all financial institutions and licesed money lenders are regulated by the Ministry of Law. As such, there are some requirements before you can take out a monthly loan.
For unsecured loans of up to S$3,000, you must earn at least $10,000 to $20,000 per annum
For unsecured loans exceeding S$3,000, you must earn at least S$20,000 per annum.
And if you earn more than S$20,000, a licensed money lender can give you a maximum loan amount of up to 6 times your monthly salary.
With effect from 1 October 2015, the maximum interest rate moneylenders can charge is 4% per month. This cap applies regardless of the borrower’s income and whether the loan is an unsecured or secured one.
All moneylenders are also only permitted to impose the following charges and expenses:
- a fee not exceeding $60 for each month of late repayment;
- a fee not exceeding 10% of the principal of the loan when a loan is granted; and
- legal costs ordered by the court for a successful claim by the moneylender for the recovery of the loan.
At QV Credit, our aim is to ensure our clients get through their financial difficulty stress-free. Which is why we have great terms on all our plans, making us one of the best places to get loans in Singapore.
A payday loan is for much shorter term periods, where people make their repayment as a lumpsum within a span of a few weeks.
A monthly loan involves people making a fixed monthly repayment, pegged to a fixed rate of interest, over a much longer period of time.
Yes of course you can still take out a monthly loan with us even if you have bad credit. We don’t discriminate against people with a poor credit history.
If your credit score is weak, you can always approach a QV Credit loan officer for help. We can work out the terms to ensure our loans can fulfill your financial needs and even improve your credit score.
If you are a foreigner looking for a loan, feel free to call our hotline. Our loan officers will be able to help you find the right plan to meet your financial needs.