What is credit loan in Singapore?
There are many types of loans offered in Singapore, either by Banks or Licensed Money Lender.
Accessing those facilities does not just come automatically. There are some requirements that you have to meet before a loan is advanced to you. However, those requirements vary between lenders.
For instance, Banks have more stringent rules as compared to Singapore’s Licensed Moneylenders. This causes delays in their loan processing. On the contrary, licensed money lenders are very lenient on their processes and it only takes you a few hours or few days to get your loan processed.
If you are a first-time borrower, then you need to keep your house in order, for you to qualify for a loan from any lender.
First-time borrowers are considered risky as they do not hold any record of loan performance. It is therefore important to build your credit history to castigate trust from the lenders.
How do you create a credit history?
This is where a Credit Loan Singapore also referred to as a Credit-Builder Loan comes in.
The loan is designed for first-time borrowers and those with little or bad credit history, to help them build a good credit history and raise their credit score.
A good credit score improves the loan approval rate and makes the borrower very attractive to the lender.
Characteristics of Credit Loan Singapore
- Low risk of default
- No credit history is required
- Borrowed money is locked until the full loan is cleared
- Monthly installments are used to build loan history
- Monthly repayments are reported to a credit bureau
- Locked money acts as the security
How do you manage a Credit Loan Singapore?
Pick the right type of loan – Look for a loan with a payment plan that you can afford. Stretching your budget will only increase your chances of not meeting your monthly installment and in turn, will lead to a bad score.
Make timely payments – Timely payments build up a good score but delayed payments only hurt your credit score.
Monitor your credit score–Keep track of your score. Ensure that you can access the bureau portal and keep on checking your rating.
Use your loan proceeds wisely – At the end of the loan term, you get your loan proceeds. Ensure that you use the money wisely. For instance, you can save it for emergencies that are known to land people into bad debts.
Where to Find a Credit Loan Singapore
There are a hundred if not thousands of Lenders in Singapore. They include Banks, Money Lenders and cannot forget to mention loan sharks.
Banks have a tedious process and are very strict on the requirements, especially for first-time borrowers. On the other hand, Loan sharks will just land you to greater problems. So why can’t you try SuCredit a reputable Singapore Licensed Money Lender?
Why Choose Us?
- We are Legitimate
- Quick turnaround time
- We offer customized loans
- A Simple loan application process
- High approval rates
- We are a listening and caring partner
For more information on loans and how to apply, kindly follow this link