Things are going well for you. You have a stable job and a good income. Then an emergency presents itself and it has you running around looking for ways to come up with the necessary funds.
It could be that you had promised your children a long-awaited holiday, while you anticipate an upcoming bonus. The bonus is then delayed and your credit card limit and savings are not sufficient to take care of the expenses. You are now left wondering whether to cancel the trip and risk disappointing your children.
Cash advances and Payday loans are a very welcome source of funds and often come in handy when you urgently need cash to solve a temporary financial crisis. With the payday loan, you can now be able to pay your house rent, pay the bills and expenses that can’t be put off until the next month’s cheque arrives.
This loan type is mostly the fastest way to obtain cash from an authorized money lender, without you undergoing in-depth credit inspection and a painfully long approval process. On the other hand, money lenders will not simply offer cash loans to anyone who presents an application to them. In order you ensure your Payday Loan application is authorized by a credit company in Singapore, you may refer to the common day situations and guidelines on how you can handle them.
When you are looking for a payday loan from a credit company in Singapore, the following suggestions will ensure your loan application gets approved.
Will I Receive A Payday Loan, When My Credit Score Is Less Than Perfect?
Moneylenders and credit companies often check your credit score to ensure that they will be able to recover their money back. They however often tend to ignore low credit scores. Since you possess the capability to pay back and the documents you present support that claims, the chances of your loan application being approved are rather high.
Some Singaporean finance companies will be hesitant when they find you have had a past bankruptcy file. Should you have recently filed a bankruptcy claim, you can be sure the cash advance won’t be approved. This claim, to financial institutions, is a major sign of potential defaulter behavior and it works against you, the borrower.
Tip 1: when you have a low credit score – and you have not recently filed a bankruptcy claim, consider presenting as much proof of your ability to repay as possible. An example is the recent 3 months account statements that will be enough proof.
Whether As A Foreigner I Qualify For A Payday Loan?
You do not need to be a permanent resident or a Singaporean for you to qualify for Payday loans. You, however, do need to hold a valid work permit that allows you to work in Singapore. An employment pass will also be accepted in the place of work permit.
You will be required to present these documents together with the confirmation of employment with the application. Failing to attach these documents will lead to your application being rejected.
Tip 2: As a foreigner in Singapore, be sure to present your original work permit, a rental agreement showing your address and the most recent 3 months payslip together with your application.
I Have Held A Steady Job In The Past Six Months And Am 19 Years Old. Will My Payday Loan Application Be Approved By Money Lenders?
Sadly, the set rules do not favor everyone who holds a stable job and gets a regular salary. A minimum age criterion for eligibility for any cash advance loan is already set. For you to qualify, you are required to have attained 21 years and above. The age limit will affect the approval rate of your loan application even if you have had a steady job for longer than 6 months and can repay the loan on time.
Tip 3: Ensure you are 21 years and above
I Recently Got A New Job. Will I Meet The Requirements For An Emergency Cash Loan Advance?
Many licensed money lender companies have varying rules when it comes to full-time employment requirements. Whereas some credit companies require you to have six months of employment, others will accept at least 3 months of usual employment.
When you have in the recent past joined a new company, the money lenders will look at the present wages stubs. Jobs held in the past and any other debt will also be considered for the lender to decide if to approve your application or not.
Tip 4: Ensure to bring with you a new employment contract.
A valid employment letter will make the approval of your loan application is done faster. It should also have the employer’s address.
There are many money lenders in Singapore, therefore, ensure you get a loan from a certified lender. The Ministry of Law in Singapore has a list of all the licensed moneylenders, therefore, check with them first before committing to a specific lender. This will help you avoid taking loans from unlicensed moneylenders who may have very high-interest rates which will hurt you financially. Some money lenders do not follow the government set rules that govern the Singaporean money lenders. These are the kind of money lenders potential borrowers need to keep away from.
Tip 5: Ensure you check the license name, address against the details given in the ministry of Law website. Also, confirm that the moneylender you have chosen to borrow from has an office in the address they have given in the law ministry’s site.
When it comes to the loan contract, only sign a contract once the terms and conditions are clear to you. The loan officer should explain to you all the terms and the interest rates charged on the loan you have borrowed from them. The loan officer should also be ready to answer all your questions and offer any additional information to your satisfaction. Only sign a loan contract when you are certain you can keep the stated terms and are comfortable with the penalties for defaulting.