Personal Loan for the Unemployed in Singapore: Useful Tips

Loan deals in Singapore are, in most cases, offered for employed people. However, as an unemployed person, you might be worried about securing a loan. 

Personal loans might be your answer! You can secure personal loans in Singapore, even being unemployed. Let’s have an insight into the details of personal loans.

Personal Loans: A Brief Introduction

A personal loan is a credit advanced in a lump sum by a lender to a borrower, who is then entitled to repay it in installments. You do not need collateral to receive the loan; therefore, it is a type of unsecured loan. This means that personal loans in Singapore can be the solution to any of your problems, be it continuing education or filling a financial gap. 

Many different lenders like banks, licensed moneylenders, and online lenders offer personal loans in Singapore. Hence, you might need a licensed lenders comparison site like Lendela to make the right choice. 

How to Get a Personal Loan as an Unemployed Singaporean?

1. Maintain a good Credit Score

As personal loans in Singapore are unsecured, the lenders pay more attention to applicants’ credit scores. Moreover, being unemployed, you have a better chance to get approved if you have high credit scores. 

But the question is, how to have a good credit score? Well, you might want to focus on these pointers,

2. Show that you have a reliable source of income. 

Apart from a good credit score, it is likely that lenders might examine your ability to repay before approving a loan. For example, an employed person can attach their pay-slips to prove their source of income. Likewise, you also need to exhibit some proof of income, such as a rental income or a business you run. 

For lenders to decide on your application, you must provide them with the essential documents about your income and repayment ability. 

3. Find a Guarantor 

If your pointers, as mentioned above, are weak, and the lender isn’t entirely convinced with your application, you can use an employed person, who has a good credit score, as your guarantor. 

This means that you get the amount you require from the lender, but the guarantor commits to pay off the burden if you default or are unable to pay in the future. Hence, you should make sure that you comply with the loan agreement, so the guarantor doesn’t face any troubles later.

Lendela: A Convenient Way to Apply 

There are many different types of money lenders in Singapore, each with diverse terms and conditions. Instead of trying twenty applications, use a lender comparison site like Lendela. 

Lendela helps you find the best choice just by performing these simple steps. Firstly, go to their site and complete your application. Next, they will send your application to different lenders, and you will be notified about all the offers awaiting you. Then, just pick the best option and sign the agreement. 

If you are unemployed in Singapore, you do not need to worry. You only need to have an excellent credit score and commitment to repay to secure a personal loan!