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Personal loan is an unsecured credit and now-a-days it has become very easy to get personal loan without income proof in Singapore A person has to meet certain eligibility pointers to be considered for such credit. It also comes with flexible repayment options and can be disbursed with minimum documentation.
The recent developments in the financial market have made both borrowers and lenders more comfortable in disbursing loans. With decent loan assistance, many people are opting for personal loans that do not require payslip or proof of income. This is greatly beneficial for many freelance workers and non-salaried professionals with various sources of income. It is being availed by businessmen and artists to get monetary assistance for different purposes.
How to Avail Personal Loan Without Any Income Proof
There are a few key factors that banks go through before approving any personal loan without income proof.
High Credit Score
A high credit score is the top most requirement when it comes to getting a quick loan from any bank. A substantial credit score not only proves your credibility as a borrower it also allows you to negotiate the rate on your loan. While the idea is to borrow money for personal loan without showing income proof, it helps the borrower if they disclose a secondary source of income like income from house rent.
These are usually not the primary source of income for the borrower and can help in facilitate the loan. Income of parents or spouse along with money generated by fixed deposit interests can also be considered as secondary income.
Maintaining a Good Relationship
A good relationship with the bank can work wonders when getting a personal loan specially without any income proof. This includes using the same bank for most financial dealings. This kind of loyalty over long periods helps in building trust and boosts a borrower’s loan eligibility. When applying for a loan from the same bank that handles almost all your financial transactions and has your main account, it becomes increasingly easy for the bank to assess your credit worthiness.
Having a Guarantor
When a borrower has a guarantor while applying for a personal loan, it greatly increases its chances of being accepted. A guarantor also ensures that the borrower can apply for a higher loan without the fear of being turned down. Apart from a guarantor, including a co-applicant also increases the chances of a loan getting accepted. Banks will then also consider the credit score of the co applicant while determining the interest rates on the loan.
Providing Supporting Documents or Collateral
The eligibility of the borrower who wants to get a loan approved without income proof is done by the bank through various channels. The borrower has to provide various details and documents that explain their financial situation. Statements like credit report and property evaluation sheets help in getting the loan application through the bank. This acts as a collateral submission. This in turn gives a reassurance to the bank about the repayment ability of the borrower. Often people arrange for collateral like home, car or some other asset that helps in getting the loan approved without the income proof. High valued collateral also assists in negotiating a lower interest rate.
Check Online the Full Requirements
Almost every financial institution has their own website and virtual help desks where a borrower can find out the particular details for their personal loan. It is important to gather all the detailed information along with the terms and conditions. This way the collateral stays secure. The borrower can also directly visit the nearest branch of the bank to get a detailed explanation of the procedure and the requirements from the bank’s representatives. Many borrowers also do these transactions online by logging onto the bank’s website and discussing the issues with the virtual customer care operatives.
No Current Credit Responsibilities
While applying for a loan, the borrower must take care that there are no dues at that bank and all past payments have been done on time. If a person has a credit card with a bank, paying the card bills on time and not defaulting on them greatly increases their chances of getting a personal loan from that bank. The same goes for making payments at the bank. A missed payment or overdue bills strongly suggest inability to pay back on time and financial instability.
If a person is looking for personal loan without income proof in Singapore, then they should go through the websites of the leading banks and try to get the best deal possible. This is a very flexible subject, what works for one borrower may not be feasible for another borrower. Often banks provide customisable plans that go best with an individual’s particular needs. With internet and net banking, you do not have to visit different banks physically but get all the assistance from their online portals. You can also use the different loan calculators to get an idea on the instalments and tenure of your payments.
You may also visit other non-bank institution like moneylenders that can provide access to instant loans even to self-employed or freelancers. Discover the guide from MoneyIQ – how to apply for a personal loan.
