We all need to borrow money now and then. A bank is the first place that comes to mind when you need cash.
However, can you walk into a bank and ask for 500 Singapore dollars? Are there any chances that they will hand it to you? Of course not!
Banks have a systematic procedure to lend loans to customers, one which may take months!
But what if you get stuck in an emergency and cannot wait for payday? What do you do if you need to pay for something, but your salary date passed a few days ago? More importantly, how do you get instant money? Of course, credit cards can be an option, but we all know that those things can be rather tricky if you do not manage them properly. Thankfully, there are several options for people who need money immediately in Singapore. One of the best ways is an instant cash loan.
The purpose of an instant cash loan is to help you with a short-term financial crisis. If you have been approved for an instant cash loan, the money will be deposited into your bank account within a few hours. It means that you will not have to wait long before getting the money you need.
This article will reveal all the possibilities of getting your hands on some cash quickly!
Instant Cash Loan in Singapore
Have you ever needed a simple loan, but the process took too much time?
When you are in an emergency and need money as soon as possible, a fast and easy loan can work. You will not have to wait weeks or even days to receive the funds for your loan, which is convenient for many people in desperate need of cash.
Whenever an emergency expense pops up, such as a broken car or medical care, an instant cash loan provides immediate access without going through the whole loan application process. The entire idea behind instant loans is to give you access to money quickly and easily.
Many licensed moneylenders provide instant cash loans, also known as same-day loans or payday loans. Different lenders offer different types of instant cash loans, so you must have prior knowledge before choosing which one is right for you. It is vital to choose one that works best for your situation.
Process of Getting an Instant Loan
Getting instant cash loans is as easy as filling out the application form sitting at your home. You do not need any faxing or paperwork. The money will be deposited in your bank account within a few hours after approval of the application.
Follow these easy steps to get instant cash loans:
- Fill in the online application form with your and your employer’s details. It includes your income, credit history, and property details. You will be directed to a secure third-party vendor for identity verification (IDV) services.
- Upload a scanned copy of your documents:
For Singapore Citizens and Permanent Residents (PR):
- Income statements / CPF statement / Notice of Assessment
- Proof of residence (for example, utility bill)
If you are a Singaporean, use your SingPass to get eligible for a faster application. You can expect the instant cash loan application process and approval as fast as 8 minutes!
- Once your loan application is approved, the lender will send you an email notifying you that your funds are available in your bank account.
The best part about getting an instant cash advance is that it doesn’t require credit checks or documentation.
Who Can Get an Instant Cash Loan?
There are several reasons why you might need an emergency cash advance. Here are a few of the situations where you can get an instant cash loan –
- Car or home repairs
- Medical emergencies
- Refinancing debts
- Unexpected travel expenses
- Paying your bills
- Unexpected funeral expenses, and more.
How Much Money Can You Get from an Instant Cash Loan?
It depends on several factors, including the amount you want to borrow, whether or not you have a checking account, and the length of time you need to repay your loan.
Other factors that affect the amount of money you may borrow from an instant cash loan are –
In a scenario when you have no or poor credit, lenders typically won’t offer you much. If your credit score is satisfactory, the amount can reach $5,000 or more.
Here are the different credit score tiers set out by Credit Bureau Singapore (CBS):
Probability of default
Source: Credit Bureau Singapore
Factors that affect your credit score:
- Utilization pattern
- Recent credit
- Account delinquency data
- Credit account history
- Available credit
- Inquiry activity
It means late payment or any loan default can negatively impact your credit score.
If you have a bad credit history, don’t worry because there are also lenders who even provide loans to people with bad credit history.
The lender will look at how much money you earn annually and use that as a gauge for how much they’re willing to lend.
The loan amount will be high if you have a higher annual income. Because the higher your income is, the more the probability of you repaying the loan.
Your Current Financial Situation
The lender will also want to know what your debt load looks like and whether or not you’re able to pay off any existing debt without taking on more. If you have too much debt, the lender may not be willing to offer an instant cash loan to you.
What Happens if I Don’t Repay My Instant Cash Loan?
If you don’t repay your instant cash loan on time, your lender will charge an additional fee and possibly add more interest to your debt. If they find you a defaulter, the lender may also report your delinquency to one or more credit reporting agencies. It could result in lower credit scores for up to seven years from the date of first delinquency until all negative information regarding payments gets deleted from your credit history.