DBS Cashline Personal Line of Credit Review: Most Affordable Option for Low-Income Borrowers

DBS Cashline Personal Line of Credit Review: Most Affordable Option for Low-Income Borrowers

DBS offers the cheapest personal line of credit to individuals with annual incomes of less than S$30,000 and the highest credit limit to high income borrowers.

Good for

  • Individuals with incomes of S$20,000 to S$30,000 that seek a personal line of credit
  • High income borrowers seeking the highest credit limit possible

Bad for

  • Individuals with annual incomes of at least S$30,000 that seek the cheapest credit line

Editor's Rating

4.0/5.0

DBS's Cashline personal line of credit is the cheapest option for individuals with annual incomes between S$20,000 and S$30,000. The bank charges these borrowers an annual interest rate of 29.8%, waives its annual fee for 1 year and offers up to S$80 in Grab vouchers. It also offers the highest credit limit for personal lines of credit among lenders in Singapore, which makes it worth considering for those individuals that qualify for these loans.

Summary of DBS Cashline
Low Minimum Income Requirement: S$20,000
Average Interest Rates: 19.8% to 29.8%
Highest Credit Limit: 10x for individuals with annual income of at least S$120,000
Promotion: Up to S$80 in Grab vouchers

Table of Contents

What Makes DBS Cashline Stand Out to Borrowers

DBS is unique because it is 1 of 2 banks that offer personal lines of credit to individuals with annual incomes of less than S$30,000. To compare the two, DBS offers the same interest rate for those with annual incomes of S$20,000 to S$30,000 as OCBC (29.8%); however, it unique because it waives its annual fee for one year and offers a promotion that provides Grab vouchers to borrowers.

Borrowing CriteriaPromotion
S$350 usage in the first 2 consecutive monthsS$30 in Grab Vouchers
S$850 usage in the first 2 consecutive monthsS$80 in Grab Vouchers

DBS's Cashline may also attractive to some high income earners as it offers the highest possible credit limits of up to 10 times the monthly salary of individuals with annual incomes of at least S$120,000. With that said, DBS's interest rates are not the cheapest available, which makes their credit lines more expensive than those of other lenders.

Summary of DBS Cashline Costs

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

Who Can Apply: Eligibility Criteria

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

To be eligible for DBS's Cashline personal line of credit, applicants must be Singapore Citizens or Permanent residents and be at least 21 years old. Additionally, eligible applicants must earn at least S$20,000, which is a lower requirement than those of other banks.

Other Charges & Fees

DBS charges a few standard fees including an annual fee of S$100, which is waived during the first year of the loan. The bank also charges a late payment fee of S$105 and an overlimit fee of S$40. Additionally, DBS requires minimum monthly payments of 2.5% of the outstanding balance or S$50, whichever is higher. We strongly advise borrowers to carefully review the terms of any loan in order to avoid fees, which can significantly increase the total cost of borrowing.

FeeAmount
Annual FeeS$100 (waived for 1 year)
Late Payment FeeS$105
Overlimit FeeS$40
Early Repayment FeeN/A

How to Apply for DBS Cashline

To apply for the DBS Cashline borrowers must fill out an online application, provide their NRIC and submit documents proving their income. For salaried applicants this means their latest 12 months' CPF contribution history statement and either the latest Income Tax Notice of Assessment, computerised payslip or salary crediting into their POSB/DBS account. Variable and commission-based employees must provide their latest 12 months' CPF contribution history statement or their Income Tax Notice of Assessments for the last 2 years.

Comments and Questions

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