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How to Find the Lowest Interest Rate Personal Loan in Singapore?

lowest interest rate personal loan
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Personal loans in Singapore have a lot of variations when it comes to features and purposes. These loans can supplement home loans (tools for achieving your dream house), debt consolidation loans, and other purposes deemed necessary by the borrower. 

Personal loans can be a bank loan, with the option to apply for an unsecured loan. People interested in investments, popular investment guides, and anything related to it can also get a personal loan to fill their savings accounts for their investment endeavors. If you live in Singapore, there is a chance that loans have become a part of your routine, either in personal life or running a business.

When it comes to the aspects of a loan, the interest rate is one of the things that receives focus and scrutiny from borrowers for obvious reasons. It plays a role in determining how heavy the loan will be in its effect on your wallet and your budget. 

Therefore, most borrowers are interested in finding out which bank or money lender has the best offer in terms of rates and the overall service and feature. This article serves as the lowest interest rate personal loan Singapore guide for people interested in finding out the country’s best personal loan.

Best Personal Loan With Low Interest Rates  

Each lender or money lending company has its features when it comes to a personal loan. For loan customers living in Singapore and interested in checking out loan products from lending companies, check out these collected data from money lenders showcasing personal loans in Singapore. 

Each personal loan offers a different perk, such as lower interest rates and effective interest rate (EIR), lowest income requirement (minimum annual income) for both permanent resident of Singapore and foreign loan customers, longer loan tenure, a higher rate of minimum loan amount and total amount, as well as the lowest processing fees. 

Some personal loans have their requirements, such as credit lines or credit cards, or even a bank account (savings account, debit account, etc.) for you to avail of an exclusive lower annual interest rate and waived processing fee. Others have unique features and limited offers, such as cashback offers and immediate loan disbursement.

Here is a list of the top licensed money lenders offering the best personal loans in Singapore. 

Meanwhile, here is the comparison of top banks offering the same loan. Other details, such as unique features and services, will be discussed in depth later in this article.

Personal Loan Interest Rate Processing Fee/Annual Fee
HSBC Personal Loan From 3.7% p.a. interest rate, EIR from 7% No Processing Fee
Citibank Quick Cash From 3.99% p.a. interest rate, EIR from 7.5% No Processing Fee
POSB/DBS Personal Loan From 3.88% p.a. interest rate, EIR from 7.56% 1% Processing Fee
Standard Chartered CashOne From 3.88% p.a. interest rate, EIR from 7.67% Annual fee is waived from second year onwards if payments are made on time
UOB Personal Loan From 3.68% p.a. interest rate, EIR from 7.21% 1% Processing Fee
OCBC ExtraCash Loan From 5.42% p.a. interest rate, EIR from 10.96% 2% or $200 (Processing Fees)
OCBC Cash-on-Installments 4.7% p.a. interest rate, EIR from 9.06% 1% Processing Fee

After looking at the basic information of these loan schemes, it is important to know that these types of personal loans have their distinct advantage from other services, which can either be blatantly advertised or hidden within the paperwork of the application. 

This article on loan guides will elaborate on the primary features of the best personal loans in Singapore. Please take a look at the in-depth description of the lenders below.

1. HSBC Personal Loan

If you are looking for a longer loan tenure, this particular service offers the longest loan tenure of 7 years, with no processing fee, combined with fast approval and cash-in periods. When it comes to interest rates, HSBC offers rates of 3.7% p. a. EIR 7%, with a minimum loan amount of $5,000, up to a maximum of $200,000. 

HSBC also requires a minimum annual income of $30,000 for Singapore citizens and PRs (permanent resident), and they offer the lowest income requirements for foreigners, with a minimum of $40,000. HSBC has a good overall service because of these features.

2. Citibank Personal Loan (Citi Quick Cash)

Citi Quick Cash is used best for small, short term loans, offering a 0% interest rate for 1-year loan tenure. For this scheme, the loan amount ranges from $1,000 up to 4x of the borrower’s monthly salary (or $150,000, whichever is higher).

With a maximum of 5 years loan tenure, Citi Quick Cash offers an interest rate from 3.99% p. a./EIR 7% (7.5% fixed for a minimum loan amount of $20,000) with no processing fees.

As for the income requirements, the minimum annual income is set at $30,000 for Singapore citizens and permanent residents, while foreigners can avail of the loan with a minimum annual income of $42,000.

If you are an existing Citibank customer (with a credit card and deposit account), you may be approved after 1 hour (before 5 pm), and your funds disbursed within the next working day. This service also functions as a “cash on installment” loan.

For new loan customers, they offer 0% interest rates and EIR of 7.85% for 1-year loan tenures and may likely require you to avail of a Citibank Ready Credit/Citi Credit Card.

3. POSB Personal Loan/DBS Personal Loan

DBS and POSB personal loans offer equal interest rates from 3.88% (interest rates vary based on risk profile/credit history), with an EIR from 7.56%. It also offers a loan tenure of 1 month – 5 years. 

The minimum loan amount is $500 up to 10x the borrower’s monthly salary. For the minimum income requirements, it requires a $30,000 annual income from Singapore residents and PRs.

The most prominent feature of this loan service is its offer of an instant cash disbursement for DBS/POSB users through the Moneysmart portal (using their credit cards), effectively offering the fastest approval and disbursement period compared to other lending services.

4. Standard Chartered Personal Loan (Standard Chartered CashOne)

Standard Chartered CashOne is the best in cashback promotions, offering 50% off on first loan payment (for loans at least $15,000 and loan tenure of 4 years). The annual fee of $50 is also waved from 2nd year onwards if payments are made on time.

Their interest rates start from 3.88% p.a., with EIR starting from 7.67%. A customer can borrow up to 4x their monthly income, with a limit of $250,000. For minimum annual income requirements, they require $20,000.

Other features include a 0% interest rate for 1-year loan tenures, with a 4.5% processing fee from the total disbursed loan. Their service might also entice low-income borrowers, offering interest rates of 9.8%-10.8% (EIR 20%-27%) and offering administrative fees only for the first year of the loan tenure. 

Compared to other services that offer 11%-13% interest rates coupled with a 4% processing fee and an EIR of 30%, their offer is more convenient and slimmer in interest rate, effective interest rate, and processing fee.

5. UOB Personal Loan

UOB Personal Loan offers instant approval for new UOB customers from 8 am to 8 pm, and no document requirements from credit card members. However, borrowers should take note that this is a service that needs a line of credit.

If you already have a line of credit, you can expect fast approval and disbursement for your request. UOB Personal loan offers flat loan interest rates of 3.68% p. a. EIR 7.53%, and a 1% processing fee. Loans start from $1,000, and with a minimum loan tenure of 1 year, up to 5 years maximum.

If you wish to apply for a credit line (ex. credit card), you may inquire with UOB or check credit card guides that can help you apply for one.

6. OCBC ExtraCash Loan

This service of OCBC is geared towards new customers, offering loan tenure of 12-60 months, with a loan amount range of 6x the monthly salary (for an annual income of $120,000 and above), 4x the monthly salary (for an annual income of $30,000-$119,999), and 2x the monthly salary (for an annual income of $20,000-$29,000). 

This service also offers transactions through an online or mobile platform, making the monthly repayment much more convenient for some customers. Same with OCBC Cash-on-Installments, it uses your unused credit limit in your personal loan transaction.

7. OCBC Cash-on-Installments

Another loan service of OCBC, OCBC Cash-on-Installments, is an installment loan that also uses an unused credit limit, specifically from OCBC credit cards and EasiCredit accounts. The loan tenure ranges from 1-5 years. 

It offers a fixed monthly installment with a 4.7% p.a. interest rate (EIR from 9.06%) for existing OCBC loan customers on any loan amount, with a minimum annual income requirement of $30,000 for Singapore residents and PRs; $45,000 for foreigners.

For new customers, they offer an interest rate of 3.5% p.a. and an EIR of 6.96%, with $20 cashback promotions. For a short loan tenure, they offer a 0% interest rate for a 1-year loan tenure, with a 6% processing fee.

Interested borrowers may also apply for their loans via OCBC iBanking.

How to Choose the Best Personal Loan

A man applying a loan

To decide on several personal loans, you must check several aspects of the loans which are listed below:

  • Maximum Loan Amount

It dictates how much money you can borrow from your respective lending companies. Any loan in Singapore has this feature, and other factors will come into play, such as your credit history and repayment capability assessment done by the lending company. 

Being eligible for the maximum loan amount is decided by the lender and offered in the final loan offer.

  • Interest Rate

In the interest-personal loans list above, you can see two types of interest rates: the regular loan interest rate (or flat rate, can be monthly or annual interest rate) and the Effective Interest Rate (EIR). Regular interest rates are set at monthly or yearly intervals. At the same time, Effective Interest Rate considers the other fees included in the loan, such as the processing fee, annual fees, and the loan repayment schedule. Because of this feature, Effective Interest Rate is a more accurate description of your loans’ cost and a more accurate gauge of which lender has the best interest rates in Singapore.

  • Repayment Schedule

This aspect discusses how you will pay your loan: it answers when and how much you will be paying. Depending on your lender of choice, you have monthly and yearly installments choices, and choosing between regular and lump-sum payments.

  • Charges and Fees

In the list above, aside from interest rates, you can see that some loans have one-time processing fees and annual fees. It is used for the servicing of your personal loans, to make up for the effort needed in processing applications and monitoring your credit situation. 

Other loans may also include a prepayment penalty fee for fully paying loans ahead of the loan tenure completion. If you are applying for a loan in Singapore, you should carefully check for these other fees and charges, as they can make the payment of your loans much heavier. 

Some of these fees can also be waived, depending on the lenders’ promos and limited offers.

To compare loans and their features, you can use Loan Advisor to know more about the updated information regarding different personal loan offers. Loan Advisor is a reputable loan comparison site showcasing different lenders and their respective services to choose from. 

Updated information also means that you are updated with the latest promos and limited offers you can take advantage of. With many users giving excellent reviews to the site, it can help you pick a lender and service most convenient to your needs.

Example Calculation of the Total Cost of the Loan

Are you still confused as to how the different rates work? Here is an example of how to calculate the total cost of a loan, including processing fees and annual fees.

For example, this is the loan details that you have right now:

  • Loan amount: $20,000 
  • Loan Tenure: 3 years
  • Interest rate: 3.6% p.a.
  • Processing fee: 1% of the loan amount
  • Annual fee: $100, waived for the first year

You have to add the loan amount, the total amount of accumulated interest rates for the whole loan tenure, and any processing or annual fee attached to the service. For example, using our sample loan details:

($20,000 x 3.6% x 3) + $20,000 + (1% x $20,000) + $100*2

Total amount = $22,560 (Including yearly interest of $720, processing fee of $200, and total annual fee of $200)

Monthly payment (excluding fees) = [($20,000 x 3.6% x 3) + $20,000] / 36

= ($2,160+ $20,000) / 36

= $22,160 / 36

= $615

Number of years requiring annual fee = 3 years – 1 year waived = 2 years

Total amount of fees = (1%*$20,000) + $100*2 = $400

How to Apply 

Before having your loan application considered and approved, there are several eligibility criteria and requirements that you must satisfy. These are the eligibility criteria and requirements commonly found across various personal loans.

For Singapore Residents and PRs


  • 21-65 years old
  • An annual income of $30,000 and above


  • At least 21 years old 
  • Minimum monthly salary of 2,000

For Foreigners


  • 21-65 years old
  • An annual income of $40,000 and above


  • At least 21 years old 
  • Minimum monthly salary of $3,000

Loan providers require documents, such as copies of payslips and bank account statements. That is why it helps to prepare these documents ahead of time. Take diligence and inquire with the lending company of your choice to double-check their eligibility criteria and requirements.


This article has presented you with many choices if you are looking for the lowest loan interest rate in a personal loan in Singapore. 

Whether you focus on it or not, a good knowledge of these secondary pieces of information can help you pick a lender service that is tailored to your preferences and make your transaction much lighter for your wallet. 

Be updated with the latest promos and limited offers that you can take advantage of before submitting your loan application form.

Personal loans, as said earlier, have a lot of purposes that it can satisfy. From debt consolidation to supplementing home loans and other personal needs, personal loans have a chance to play an important role in anyone’s life. If you are currently in need of financial assistance, you can inquire with these lenders and make a transaction for your needs.

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