Personal allowance in Singapore

Personal loan helps a lot of people nowadays who are in debt or in need of urgent money. It also helps people who are in need of extra cash in the event of buying a house, vehicle,kids’ education or even for business purposes. However personal loans play a huge part in certain individual’s life, if they are facing any shortfall in their life.

What is Personal Allowance?

A Personal loan is basically an amount of money taken from a bank or a non-banking company by an individual for their personal needs. However there are certain rules and regulations that one must meet before taking a personal allowance from a bank.

However personal loans Singapore provides allowance in certain criteria’s such as the monthly income of the person, their employment history, credit transaction history and how they will repay the bank back and so on. It is not a must that a person should have to apply for a big amount of personal allowance, you can even request for a smaller loan to meet your urgent needs. Such as paying a medical bill, or repairing an electrical item. However certain banks has an eligibility criteria, which changes bank to bank. The most common requirements will be your occupation, age and the income. Apart from the common criteria’s you also must have a way of income so that you can repay the bank back.

Amount of personal loan

There’s no specific amount that a person can borrow from the bank. As long as you can pay it back and you have enough income to pay the loan back in the given time. However certain banks will consider giving a loan if your EMI is not more than you monthly income. If you are someone who is self-employed, certain banks will consider based on the income you get.  The loan value is also calculated depending on the profit that you have earned or loss during your most recent profit or loss. There is also a minimum loan one lends as well. Certain bank loans approvals may change bank to bank, however it all depends on the income as well as your liabilities. A higher bank loan means that you have paid the previous bank or card dues properly. This will make the lenders feel much safer to lend you money.

Documents you need to apply for a loan

There are certain documents that one must provide to the bank before applying for a personal loan.  However the requirements may change depending on the bank. Below are some mandatory documents that you will have to provide before applying for a personal allowance.

  • Proof of income – Salary slips or ITR for self employed
  • Identity documents
  • Resident proof documents
  • License or certified copies of degree if you are self employed

 

Tags:

 

More Posts in Business

 
 

Share this Post



 
 
 
 

Leave a Reply

Your email address will not be published. Required fields are marked *