Most people opt for a payday loan Singapore, only during emergencies. However, there may be some of them who will want the loans even to run their monthly expenses due to several other reasons.
To start with the eligibility criteria for payday loans in Singapore do not require you to produce collateral or pledge your property to get the loan. In fact, it is an unsecured loan that does not need any security in exchange for loan money. So there are no legal hassles, no rushing to arrange the documents and paperwork, etc.
Banks usually give payday loans without any credit check on the borrowers as well. All you need to apply for this loan is to be over 18 years of age and a permanent resident of the country.
The applicant must have a permanent full-time job that will pay him a regular fixed amount as salary in his active bank account.
But, when the bank for some reason denies the loan they will put you in a completely secure place to handle! The reasons could be your credit score, your income figures, the nature of your job, some previous history with the bank or any other reason the bank may or may not explain.
Either way, it is a good idea to chase with the bank or officials there to find out what the real reason for your request to be turned down. This way you do not need to grope in the dark, and you can start working on what you should arrange or set up right for the bank to trust you and voluntarily accept your loan application the next time you apply for a payday loan.
In the meantime, you can not let go of your need for money that will have to be met in some way. Do not worry, even if banks for known or unknown reasons have rejected your request.
Interest rates could rise higher than the average rates offered by other lenders and so the fees attached to the loan. These types of lenders will be very rigid with the repayment terms of the loan as the risk assumed by them in your case is higher than that of the bank.
Make sure you understand each term and conditions presented by these lenders and analyze the total cost of the loan for the amount you take advantage of. Always work with these lenders only as a last resort since most of these lenders will be from the unorganized sector and can also mean damage in case of any delay in the repayment of the loan.
Another important thing with lenders is to find out if they accept a guarantee against the loan in which case you may have the opportunity to negotiate the rates and terms of the loan.
A collateral against the loan will take a certain amount of risk from the lender, and therefore, you can also enjoy the benefit of the insurance against the loan.
Being a payday loan in Singapore, the amount of money sanctioned by these lenders will also be in the same range as the bank. So, do not expect them to lend you large amounts.