Standard Chartered's CashOne's is an especially appealing lender for low-income borrowers, as the bank offers the best interest rates to individuals with incomes of S$20,000 to S$30,000. However, its rates for other borrowers are less competitive.
|Summary of the Standard Chartered's CashOne Personal Loan|
|Lowest interest rates for low-income individuals: 9.8 - 10.8% p.a. flat rate|
|Low minimum loan amount: S$1,000|
|Promotions: Annual fee waiver, cashback up to S$2,088 plus S$50 cashback for online applicants|
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What Makes Standard Chartered's CashOne Personal Loan Stand Out to Borrowers
Standard Chartered is the best source of personal loans for individuals with lower annual salaries. This is because the bank charges the lowest interest rates for individuals that earn less than S$30,000 per year. For more details regarding Standard Chartered's personal loans' costs please refer to the table below.
|Loan Duration (years)||Flat Rate||Effective Interest Rates||Monthly Installment||Total Cost of Borrowing|
|*Assuming existing SC customer with a S$3,000 loan and annual income of S$25,000; includes fees|
While the bank's other interest rates are less competitive, the bank is worth considering due to its promotions. These include a S$199 annual fee waiver and S$50 cashback for online applicants, as well as cashback of 0.8% of the approved loan amount for loans under S$50,000 and 1% of the approved loan amount for loans above S$50,000 (capped at S$2,088 for new-to-bank customers and S$1,088 for existing customers).
|Loan Amount||New Customer Cashback||Existing Customer Cashback|
|Less than S$50,000||1.6% of loan amount||0.8% of loan amount|
|Greater than S$50,000||2% of loan amount||1% of loan amount|
However, despite the promotions and income-specific rates, Standard Chartered does not offer the best long-term personal loans, as other banks offer lower interest rates for 3 to 5 year loans and longer durations. Additionally, Standard Chartered is not the best personal loan provider for foreigners living in Singapore. SCB requires foreigners to have incomes of at least S$60,000 at minimum, which is stricter requirement than those of other banks.
Who Can Apply: Eligibility Criteria
Singaporeans ages 21 to 65 with minimum annual incomes of at least S$20,000 and foreigners working in Singapore with annual incomes of at least S$60,000 are eligible for personal loans from Standard Chartered. Foreigners must provide proof of employment, in the form of P1, P2 or Q type Singapore Employment Passes. Applicants with Q type Employment Passes must have at least 1 year remaining on their passes. Accepted applicants will receive funds within one business day.
Other Charges and Fees
Standard Chartered charges annual fees for its Cash One personal loans of S$199 in the first year and S$50 in following years. However, the first year's fee is waived for online applicants, and the subsequent annual fees are waived for borrowers that make on-time payments. The bank also charges an early redemption fee of S$250 or 3% of the outstanding principal, a change of loan duration fee of S$50, and a late payment fee of S$80. Additionally, unpaid balances will cost an EIR of 25.9% annually; therefore, we recommend making timely repayments.
|Annual Fee||S$199 (First year, waived for online applicants); S$50 (subsequent years, waived if payments are on-time for entire year)|
|Early Redemption Fee||S$250 or 3% of outstanding principal, whichever is greater|
|Change of Loan Duration||S$50|
|Late Payment Fee||S$80|
How to Apply: Application Process
Standard Chartered requires personal loan applicants to provide proof of identity, address, and employment/income. Salaried loan applicants must provide their most recent computerised monthly payslip or CPF contribution history for the last 6 months. Self-employed applicants must provide their latest income tax notice assessment and must have a business operating history of at least 2 years. Commision earning applicants must provide their payslips of the last 3 months, CPF contribution history for the last 6 months or latest income tax notice of assessment.