Foreigner Loans are specially designed for expats and foreigners living in Singapore who is neither a citizen nor permanent residents of Singapore. Little did you know that not every individual that move to Singapore with a sum of money will sustain them till their next payday. There are many unexpected and inevitable issues that arise that require more money in order to solve the situation. Often, they are stuck in such a sticky situation whereby they couldn’t afford to stay for long or they couldn’t afford to go out back to where they came from.
Housing is one of the major issues for them. For instance, in order to rent a place, you will require to place a couple of months rental fees and deposit in advance before you are allowed to move in. Also, these workers move over to a foreign country, they often need to communicate with their families as homesick is real. They probably will take up telco international calls top upward in order to get in touch with them and these cost a bomb for them in a long run. Each cost at least $10 and for people on work permit pass, it will take a toll on them since most of their salary will be on accommodation and food.
Times like these, a foreigner loan would fit in just right as the loan type that is most suitable for you as it aids you to bridge across and not affect greatly on your daily expenses. So as long as you are above the legal age of 21 years old, awarded with a full-time employment pass, you would be more than eligible to take out a Personal Loan for Work Permit Holders/SPASS.
Banks or Licensed money lenders
Banks are the usual source of tax credits. Once upon a time, you can have visas or offices if you get $30,000 or more a year. People with low incomes can not go to credit reporting agencies, and a significant number of them from illicit loans are used for this purpose. In order to reduce the incomes of workers seeking a cash-based approach, but not loyal, loyal loyalists, Monetary Authority of Singapore (MAS) has lowered the annual minimum salary of credit bureaus to S$20,000.
With the revised Moneylenders Act 2008, it is now less difficult to lend money to low-wage workers in Singapore. Many borrowers are individuals earning less than S$30,000 each year, and some do not have a large credit score. To reach this meeting of potential borrowers, many licensed money lenders have grown up in Singapore in recent years. In addition, it is now less demanding and faster to take out a loan.
A personal loan is usually an unsecured loan, which means you get unsecured money. Most, if not all, authorized lenders in Singapore offer personal loans. Depending on your annual income, you can earn a certain amount, which may be what you need. In case you get less than $20,000 a year, you can only get $3,000. However, most authorized moneylenders only give a large portion of the credit worth S$1,000 to this collection of borrowers. Some important points for this meeting are that their incomes and credit score are not confirmed, and the most extreme interest rates that can be calculated are 18% for each year.
The personal Work Permit Loan Singapore are suitable for people with low incomes and those with bad reputations. Regularly, the repayment period is from several months to six months. For those who earn more, it is advisable not to buy from authorized lenders because interest rates are high and not charged, except when they receive less than $3,000. On the other hand, it is conceivable that this collection of people who earn more than $30,000 yearly and with great visibility is in an ideal position to keep the money with their lower interest rates and longer repayment period for higher amounts.
How would you get a loan for foreigners in Singapore?
When you apply for a foreigner loan in Singapore, you can start with search them online through google, search with relevant keywords related such as loan application for foreigners online. Then, you should study the opinions of their customers if it is a reliable lender. Assuming this is the case, they should have financial experts who will assist you in executing the foreign loan application process. If successful, you will be required to head down to their office to receive the payment.
You need to be at least a minimum 21 years of age or above. And if you hold a full-time job in Singapore, you are required to produce a substantial E-Pass or S-Pass holder, with your most recent three months payslip as proof. Last but not least, you need to deliver bank proclamations prior to the previous six months, employment letter from your organization and a legitimate tenure agreement for your residence including a PUB bill or your mobile phone bill.
Please bear this in mind, always remember, licensed money lenders DO NOT do mobile blasting marketing. So do not entertain anyone who text you as they might be loan shark. Read up more on how you can block them.
Read: 4 Steps To Block SMS From Loan Sharks
Here are some tips for choosing Singapore Authorised Licensed Money Lenders
- Check your accreditations on an ongoing basis
- Make sure they are eligible to give money loans
- The loan application process they use should be simple and straightforward
- Your terms and conditions must be reasonable. You must specify all numbers in clear words.
- Select money lenders that can extend credit on reasonable terms