HL Bank lets you borrow up to S$250,000 – a maximum of 4x your monthly income – which is one of the highest amounts in the Singaporean market. Be it for your honeymoon travel expenses or medical expenses not covered by your insurance, you may want to consider applying for this product. An HL Bank Personal Loan gives you easy access to cash, anytime you want, at affordable interest rates. The cash will be disbursed quickly once your application is approved. You need to create an iSavings Account to pay your monthly repayment amount on the loan.
Hassle-Free Application, Easy Repayments: Benefits of HL Bank Personal Loan
A close look at the following features and benefits of this loan from HL Bank will tell you that if you’re facing a financial emergency or need immediate cash, this may be a good option:
Maximum loan amount: You can borrow up to S$250,000. In any case, the approved loan amount may not exceed 4 times your monthly earnings.
Minimum loan amount: You can borrow as little as S$5,000. A request for a loan amount smaller than this won’t be entertained.
Tenure options: The tenure of your loan can be between 1 year and 5 years.
Hassle-free application process: You may apply either through our website or visit an HL Bank branch closest to you.
Affordable interest rates: Depending on the loan amount and the tenure of your loan, a flat rate of interest, lying in the range of 5.5% p.a. and 7.5% p.a., will apply. You can find a mention of the exact rate, as determined by the Rule of 78, on your loan approval letter.
Turnaround time: The usual turnaround time for a loan application may vary from 7 days to 14 working days. As soon as the application is processed, the loan amount will be disbursed and deposited in a bank account, the details of which you have already provided in your application form. An approval letter with all the relevant details, will also be mailed to you.
Easy repayment through iSavings Account: In order to be eligible for this loan, you’ll first need to open an iSavings Account, if you don’t have one already. Monthly instalment payments, as well as other charges and fees will be debited automatically from this account on the due date. If you don’t have one, the bank will open it for you at the time of loan approval.
One-time processing fee: After your application has been processed and approved, a one-time processing fee will be charged. This amount will be deducted and the remaining amount will be credited to your bank account.
Save on Your Repayments Through Affordable Rates of Interest
Low interest rates on a personal loan mean that your savings will be higher. As rising inflation and instability all around continue to compress your purchasing power, downsizing your expenses become essential. By enjoying lower rates on the HL Bank Personal Loan, you can reduce the interest payments you’ll make over the complete tenure of the loan. Interest charged on this loan will vary from an effective interest rate (EIR) of 10.66% p.a. to 14% p.a. The interest rates will be indicated in your approval letter, and it’ll differ from person-to-person based on the following parameters:
- The loan amount you’re applying for
- The tenure chosen for repayment
- Your risk profile
The EIR takes into account both the flat rate of interest and the applicable processing fee.
If you’re wondering how these charges will impact your monthly instalment, consider the following example for clarity:
||One-time Processing Fee
||Flat Rate of Interest
||Effective Interest Rate
1.5% of the borrowing amount, subject to a minimum of S$100
[Disclaimer: The numbers used in the table are for illustrative purposes only and may vary from the actual results. Moreover, the actual rate of interest would depend on your risk profile and other factors as seen fit by the bank. Therefore, it may differ from the published rates.]
Fees and Charges That Would Apply to Your Loan
When you apply for this loan, you’ll have to consider the following fees and charges:
|Processing Fee (one-time)
||1.5% of the amount borrowed or S$100, whichever is higher
|Late Payment Fee
|Loan Prepayment Fee
||3% of the amount of redemption, subject to a minimum of S$200
|Overdue Interest Rate
||5% p.a. in addition to the HL Bank prime lending rate
Keep in Mind: You Can’t Borrow Less Than S$5,000
Before you hit the ‘submit application’ button, you may want to consider the following:
- You cannot borrow any amount lower than S$5,000 or greater than S$250,000.
- You won’t be eligible for this loan without having an iSavings Account at the bank. You’ll have to ensure that sufficient funds are maintained in this account throughout the loan tenure. You could, however, set up a standing instruction to transfer the monthly instalment amount from another bank’s savings account to your iSavings Account.
- The bank may vary the applied rate of interest rate or the method of calculation at its sole discretion. Any changes made, will be final and binding.
- The repayment date will be mentioned in your loan approval letter. The repayments will begin one month from when the loan is disbursed to you, unless another date is specified in your approval letter. If the instalment payment date falls on a weekend or public holiday, the payment will be settled on the following business day.
- If you default on a payment, the bank may terminate the loan account without soliciting any explanation for its action. It may also demand an immediate settlement of the dues.
Are You Eligible for This Personal Loan?
In order to be eligible, make sure that you tick the following boxes:
- You’re a Singaporean or permanent resident (PR).
- You’re aged between 21 years and 60 years.
- Your annual income is S$30,000 or more.
You’ll also have to furnish the following supporting documents at the time of application to be considered as an eligible candidate:
- The duly completed application form.
- A copy of your NRIC document. If you’re a PR, you’ll also have to provide a copy of your passport.
- A copy of your latest credit bureau report.
- Proof of residential address if it is different from the one mentioned on your document of identification.
- You’ll also have to provide proof of your income. The following documents may be accepted after scrutiny:
- If you’re a salaried employee, you may furnish one of the following (whichever applies):
- Your last payslip.
- Latest Income Tax Notice of Assessment (NOA) and your last payslip.
- Proof of contributions to your CPF Account for at least 1 year (the latest one). If your monthly earnings exceed S$6,000, you’ll have to mandatorily provide your latest payslip. This will help the bank determine the limit of your loan in accordance with your actual income.
- If you’re self-employed or a commissioned employee, you’ll have to provide NOA for the last 2 years.
Want to Apply for This Loan? Enjoy a Hassle-Free Experience
You can easily apply for this loan through one of the following modes:
- Apply on the BankBazaar website.
- Walk into an HL Bank branch in person and reach out to a relationship manager. The address of the bank is: 7 Wallich Street, #B1-25 and #B1-26 Tanjong Pagar Centre, Singapore – 078884.
What Else Should You Be Aware of?
Q. How will my monthly instalment be calculated if I make a late payment?
A. For late or missed payments, a late payment fee and an overdue interest (currently 10.75% p.a.) will apply to the monthly instalment. These additional charges will continue to apply from the day your payment becomes outstanding till the time it is actually settled in full.
Q. Can I transfer the loan to one of my joint accounts?
A. No, you won’t be able to transfer the loan amount to a joint account. The designated account may be a credit card, a savings account, a current account, or a line of credit that is held by you with another financial institution.
Q. Do I need to furnish a collateral or need the backing of a guarantor?
A. This is an unsecured personal loan. Hence, no collateral or guarantee is necessary.
Q. Can I use a portion of the loan that I have already repaid or prepaid?
A. No. The loan approved will be disbursed in full all at once. There is no provision under which you can reuse a part of the loan already settled. You will have to apply for a new loan for your future fund shortages.