Best Personal Lines of Credit 2020

A personal line of credit is a loan that allows you to pay interest only on the amount you've "drawn" (actually borrowed). We've analysed every line of credit in Singapore to help you find an option with a low processing fee and interest rate.

Our Picks for the Best Personal Lines of Credit

A personal line of credit (PLOC) is a loan that functions like a credit card. Once your bank approves your borrowing limit, you are able to borrow however much you need at any given time and will only pay interest only on what you've actually borrowed. We've identified personal credit lines with the lowest interest rates by loan tenure, allowing you to choose the most affordable credit line depending on your preferred borrowing time frame.

Best Personal Credit Lines: Cost Comparison

Below, we compare the total cost, including annual fee and interest, of different personal lines of credit from each bank in Singapore. This assumes a scenario where you take out a S$10,000 of line of credit for 1 month.

this graph compares the total cost of different personal line of credit products from each bank in Singapore, assuming a loan of S$10,000 over 1 month

Best Personal Line of Credit: HSBC Personal Line of Credit

Consider this if you need a personal line of credit for a few years

Eligibility S$30,000 of annual income
Max. Credit Limit 4x monthly salary (6x for annual income > S$120,000), up to S$100,000
Annual Fee S$60, waived for 1 year
  • Standard Prevailing Interest Rate: 18.5%
  • Standard Annual Fee: S$60 (waived for 1 year)
  • Revolution & Advance Interest Rate: 16.5%
  • Revolution & Advance Annual Fee: S$60 (waived for 2 years)

If you are looking for a longer-term personal line of credit, HSBC's personal line of credit is the way to go. First, its annual fee is waived for only 1 year (or 2 years for Revolution customers or higher). Not only that, its fee in subsequent years is substantially lower than all other banks at S$60. Furthermore, its effective interest rate is the lowest in the market at 18.5%, compared to 20% charged by other banks. Therefore, if you are looking to open a personal line of credit that you will need to use over a few years, HSBC's offer can be the most effective and the cheapest option for you.

It's also worth mentioning that HSBC's rates become even cheaper for HSBC's loyal customers who have either a HSBC Revolution Card or Advance/Premier status with the bank.

Read Our Full Review

Best Short-Term Personal Line of Credit: Maybank CreditAble

Consider this if you require a cheap, short-term personal line of credit

Eligibility S$30,000 of annual income
Max. Credit Limit 4x monthly salary
Annual Fee S$80, waived for 2 years
  • Promotional First-Year Interest Rate: 9.0%
  • Prevailing Interest Rate: 19.8%
  • Annual Fee: Waived for 2 years (S$80 from year 3)
  • Maximum Credit Limit: 4x monthly salary

Maybank's CreditAble is one of our top two picks for the best personal line of credit in Singapore. First, its annual fee of S$80 is waived for 2 years, which is the best option we've seen in the market. Although its effective interest rate is in line with the market average around 19.8%, it actually offers a super low rate of 9% for the 1st year. Because of these two features, Maybank's CreditAble is by far the cheapest short-term option for someone who is looking for a personal line of credit in Singapore.

Read Our Full Review

Best Personal Line of Credit for Low Income Borrowers: DBS Cashline

Consider this if you require a personal line of credit with a low annual income requirement

Eligibility S$20,000 of annual income
Max. Credit Limit 2x monthly salary (4x for annual income > S$30,000; 10x for annual income > S$120,000)
Annual Fee S$100, waived for 1 year
Annual IncomeInterest RateCredit Limit
$20,000 to S$30,00029.8%2 times monthly salary
S$30,000 to S$120,00019.8%4 times monthly salary
S$120,000+19.8%10 times monthly salary

DBS Cashline is the best line of credit with a minimum income requirement below S$30,000. DBS stands out as a lender offering personal line of credit loans to individuals with annual incomes of at least S$20,000 because it waives its first annual fee and due to its current Grab voucher promotion. Additionally, DBS Cashline charges interest rates of 29.8%, the same rate charged by competitors for low income borrowers.

Read Our Full Review

Best Personal Line of Credit for Promotion: UOB CashPlus

Consider this if you seek a very short-term line of credit with a competitive promotion

Eligibility S$30,000 of annual income
Max. Credit Limit 4x monthly salary (max S$200,000)
Annual Fee S$100
  • Prevailing Interest Rate: 19.8%
  • Annual Fee: S$100
  • Maximum Credit Limit: 4-6x monthly salary
  • Promotions: 0% interest for 3 months, processing fee waiver

UOB's CashPlus is currently worth considering due to its competitive promotion which includes 0% interest for 3 months and a processing fee waiver (worth S$100). Following the promotional period, this product is not as competitive, with a prevailing interest rate of 19.8%. Still, those that seek a very short-term source of funding may find UOB's CashPlus to be a good fit.

Read Our Full Review

How to Choose a Personal Line of Credit

When choosing a personal line of credit it is important to have a rough idea about how long you would like to have access to financing. For example, some borrowers would prefer to have access to funds for several years, while others simply need the ability to borrow over the span of a few months. Once you've identified the period of time that works best for your circumstances, you can easily select the cheapest credit line from our list. We narrowed our list based on the total cost of borrowing, which takes into account prevailing interest rates and processing fees.

Frequently Asked Questions

While personal lines of credit function as revolving credit lines and charge interest based on the flexible amount the borrower draws, personal loans charge a set interest rate based on a lump sum loan principal. For more information, please refer to our full guide.

In most cases, borrowers will find that car loans are cheaper than personal lines of credit for purchasing a vehicle. The best car loans charge interest rates of just 2-3%, making them more affordable than personal lines of credit especially longer tenures.

Startup founders and other small business directors may be interested pursuing personal loans or lines of credit as an alternative to business financing. Our research indicates that the best SME lines of credit are a better fit for these organisations, as they tend to offer larger maximum financing amounts and more competitive interest rates without strict eligibility requirements.

The banks on this page currently offer the best personal lines of credit. To determine which banks make our list, we compare a number of key factors including interest rates, processing fees and eligibility requirements.

Summary Table of the Best Personal Line of Credit Rates in Singapore

If you are interested, below is a summary table of the best personal line of credit products in Singapore.

Annual Income RequirementAnnual FeeInterest RateMaximum Credit Limit
Maybank CreditAbleS$30,000S$80, waived 2 years9% 1st year, 19.8% subsequently4x monthly salary
HSBC Personal Line of CreditS$30,000 (S$40,000 for foreigners)S$60, waived 1 year18.5%2x monthly salary
Revolution & Advance CustomerS$60, waived 2 years16.5%2x monthly salary
Premier CustomerS$012%2x monthly salary
DBS CashlineS$20,000S$100, waived 1 year29.8%2x monthly salary
S$30,000S$100, waived 1 year19.8%4x monthly salary
S$120,000S$100, waived 1 year19.8%10x monthly salary
OCBC EasiCreditS$20,000S$8029.8%2x monthly salary
S$30,000 (S$45,000 for foreigners)S$80, waived 1 year19.98%4x monthly salary
S$120,000 (S$120,000 for foreigners)S$80, waived 1 year19.98%6x monthly salary
UOB CashPlusS$30,000S$10019.8%4x monthly salary
S$120,000S$8019.8%6x monthly salary
Citibank Ready CreditS$30,000 (S$42,000 for foreigners)S$100, waived 1 year20.95%4x monthly salary
William Hofmann

William is a Senior Research Analyst at ValueChampion Singapore, focusing on banking and SMEs. He previously was an Economic Consultant at Industrial Economics Inc.

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