Singapore is an expensive city and for anyone living in Singapore financial crunch can happen anytime. One of the most widely used financial aids in Singapore is a personal loan. Personal loans are also called unsecured loan as these are borrowed from the moneylenders without any collateral. A number of money lenders in Singapore give personal loans on easy terms, but still there can be chances of rejection. Knowing about these reasons can help you well in advance. Some of the reasons for rejection are:
1. Credit scores
Having a good credit score is very important while looking for a personal loan. But one might think that with a good credit why anyone would need a personal loan. A poor credit score will definitely cause problems in loan clearance. A credit score can be easily maintained by paying bills regularly and clearing existing debts. Avoiding unnecessary personal loans and credit cards can also improve your credit scores. For moneylenders it€¬€s important that you maintain excellent credit scores as they look after the risk involved.
2. No source of income
If you don€¬€t hold a regular job then chances are high that your loan application will be rejected. A regular job is important for moneylenders as this shows your ability to pay monthly repayments. If you don€¬€t make sufficient money, your loan application stands rejected forever. Therefore a reliable source of income is a must.
3. Collateral
There are some personal loans which require collateral. While securing personal loan, collateral can be helpful when your credit score isn€¬€t excellent. This is helpful in reducing the rate of interest as well.
Now that you know the reasons for rejection, follow some tips to increase your chances of securing personal loan from the best moneylender in Singapore.
The reason for getting a loan should be clear and should not be driven by some temptation to get the maximum from the moneylender. Moneylenders will provide you with the highest loan amount but you should apply for the amount you need.
Calculate your monthly disposable income as this is the amount from which your monthly loan repayments will be made. If your monthly disposable income is insufficient then you€¬€ll have troubles in paying repayments.
Maintain a backup for repaying the loan. In times of unexpected events it€¬€s important that you keep a backup.
Avoid taking two loans at a time. Finish paying repayments of your first loan then apply for the second once. A clean loan history also helps in improving credit scores.
Apply for loans wisely. Remember that while applying for a loan you€¬€ve to help yourself and not put yourself in trouble. For best personal loans in Singapore apply online at http://www.maxcredit.com.sg
1. Credit scores
Having a good credit score is very important while looking for a personal loan. But one might think that with a good credit why anyone would need a personal loan. A poor credit score will definitely cause problems in loan clearance. A credit score can be easily maintained by paying bills regularly and clearing existing debts. Avoiding unnecessary personal loans and credit cards can also improve your credit scores. For moneylenders it€¬€s important that you maintain excellent credit scores as they look after the risk involved.
2. No source of income
If you don€¬€t hold a regular job then chances are high that your loan application will be rejected. A regular job is important for moneylenders as this shows your ability to pay monthly repayments. If you don€¬€t make sufficient money, your loan application stands rejected forever. Therefore a reliable source of income is a must.
3. Collateral
There are some personal loans which require collateral. While securing personal loan, collateral can be helpful when your credit score isn€¬€t excellent. This is helpful in reducing the rate of interest as well.
Now that you know the reasons for rejection, follow some tips to increase your chances of securing personal loan from the best moneylender in Singapore.
The reason for getting a loan should be clear and should not be driven by some temptation to get the maximum from the moneylender. Moneylenders will provide you with the highest loan amount but you should apply for the amount you need.
Calculate your monthly disposable income as this is the amount from which your monthly loan repayments will be made. If your monthly disposable income is insufficient then you€¬€ll have troubles in paying repayments.
Maintain a backup for repaying the loan. In times of unexpected events it€¬€s important that you keep a backup.
Avoid taking two loans at a time. Finish paying repayments of your first loan then apply for the second once. A clean loan history also helps in improving credit scores.
Apply for loans wisely. Remember that while applying for a loan you€¬€ve to help yourself and not put yourself in trouble. For best personal loans in Singapore apply online at http://www.maxcredit.com.sg