Singapore is one of the tourist attractions in Asia. However, staying there for good could be expensive because of the cost of living. You might encounter financial problems such as, how are you going to pay your rent, how are you going to pay medical bills once you get sick, and how are you going to really survive especially if you’re away from your family and friends.
Worry no more, because there are many options to choose from when you encounter financial problems. Many lenders in Singapore are offering financial assistance even for foreigners. Getting a loan is one of the most popular ways to get instant cash that you’ll need in emergency situations.
Take note that before you get a loan from a lender in Singapore, you might want to consider if they are running a legal operation or not. So to save yourself from scams, choose lenders that are authorized and legal. Banks and other private lenders are one of the trusted lending institutions you can run into.
What is the difference between a Personal loan offered to a citizen and a Foreigner loan?
Personal loan and Foreigner loan have the same requirements needed such as your valid identification, your proof of residence, your proof of income, and your credit history. Though, some lenders may require more paperwork for foreigners such as proof of permanent residence and higher credit score to be qualified for the loan.
The process of a foreigner loan in Singapore
Just like any personal loans, the interest rates and other fees of a foreigner loan may vary depending on the lender, your credibility, and the type of loan you’ll get.
However, one of the most important requirements needed for a foreigner loan is to submit a proof that you have a stable job in Singapore.
Getting a foreigner loan could be challenging since you have to convince the lenders that you are capable of repaying the loan and won’t just run off the country once your loan get approved.
Therefore, banks and other private lenders are very strict whether you’re a resident in Singapore or a foreigner who works in Singapore, because they want to secure the money they will lend to people. In fact, some lenders will still reject foreigner loan application even if they have a guarantor.
Who offers foreigner loan in Singapore?
The most recommended lenders you could trust in Singapore are banks that run a legal operation and are registered as a licensed lender. Here, you are secured and feel safe that there will be no threats or scam that will happen with your loan application. Just in case your loan application gets rejected by banks, you might want to consider trying to apply for private lenders and other financial institutions that are also licensed.
So just to be sure, you could also check first if the lender is legit through the Money Authority of Singapore. Don’t get too excited for a loan application even if you need urgent funds. Remember, if you don’t look for the right lender, then you might end up suffering from threats or deeper debt.
Things you should consider before you get a Personal Foreigner Loan
It will be better if you get a loan that will fit your budget and an amount of loan that you can really pay on time. If you’re planning to stay in Singapore for a short while or for a longer period of time, then might as well consider the terms of the loan and the interest rate. So it is best to analyze first your finances and make a repayment schedule before you get your Foreigner loan. The purpose of having a repayment schedule is for you to manage your finances and be debt-free before you leave the country.
What are the requirements needed to get a Personal Foreigner Loan?
Just like any loans, the requirements needed for Foreigner loan will depend on the lender. But here are some of the usual requirements needed to get a foreigner loan:
- You must have a stable job or full-time job in Singapore
- You must be at a legal age or 21 years old and above
- Proof of residency such as your rental contract or utility bills
- Bank statement with active transactions for the past six months
- Your 3 months’ payslip from your current work
- An E-pass or S-pass, or your valid Singapore Work Pass
One of the challenges when looking for a Foreigner Loan is to find a lender that could offer you the best deals. Another thing is if you don’t have a credit history or if you have low credit score that doesn’t fit with the lender’s criteria. You could also try getting a loan from lenders that offer non-traditional instant no credit check loans.
The requirements that need to be submitted to direct lenders in Singapore are just basic and it is easier for those who have all the paperwork and documents that a foreigner should have when travelling to another country, also for those who have a stable job, a good credit score, and live in Singapore for a long period of time.
You can also get a foreigner loan with A1Credit which offers loan amount up to SGD 10,000. You must be at least 18 years old and with a minimum salary of SGD 2,000. You can also check the website for other types of loan and the requirements needed to obtain a foreigner loan in Singapore. You can easily apply with A1Credit through your convenience at home because you can apply online! Let us know your thoughts about this article by commenting down below.