OCBC Debt Consolidation Plan

    OCBC is one of the leading banks in Singapore offering a range of financial products and solutions right from wealth management and to offering personal loans and credit cards. The Debt Consolidation Plan from OCBC is an unsecured loan which aims to help borrowers consolidate and repay their other lines of unsecured credit. These could range from outstanding credit card balances, personal loans, and personal lines of credit from the same bank or different banks.

    Features and benefits of OCBC Debt Consolidation Plan

    The features of the OCBC debt consolidation loan are as follows:

    • Borrowers will only have to make one fixed monthly payment at a lower rate of interest, making it easier to repay the loan and gives them better control of their loans.
    • The plan has a tenure ranging from 1 year to 8 years, allowing borrowers to choose a tenure that is affordable and easily repayable.
    • The debt consolidation loan amount comes with an additional 5% allowance. This allowance is offered to cover for miscellaneous charges a borrower might incur.
    • The plan also comes with a revolving line of credit in the form of an OCBC Platinum card. The card offers them a credit limit equal to that of their monthly salary.
    • The borrower will have to pay only one instalment thereby eliminating the need of making multiple payments or remembering various due dates.
    • Paying off debt can be done faster and the borrower can save on much more interest due to the lower interest rates offered by the OCBC DCP.

    Interest rate for OCBC debt consolidation loan

    The OCBC debt consolidation plan offers the following interest rates starting from as low as 6% p.a. This is the flat rate of interest. The EIR which is inclusive of processing fees starts as low as 10.46% p.a. The plan offers tenures going up to 8 years. While the instalment amount of the debt consolidation loan remains fixed, the principal and interest component of the instalment varies.

    How the OCBC debt consolidation plan works

    Let’s say the borrower has 3 outstanding credit card balances from 3 different banks. Let us assume the total outstanding balance of al 3 cards come up to S$30,000. Assuming the interest charges of this is 26% p.a., the borrower would be paying a total interest of S$7,800 a year. If the tenure of these outstanding balances takes 8 years to clear, the borrower would have paid S$62,400 in interest alone.

    If the borrower went in for the OCBC Debt Consolidation Plan they’d be taking a loan of S$31,500 (inclusive of allowance). If the tenure chosen is 8 years, they’d be paying an interest of only 10.46% p.a., which amounts to S$3276 per year or S$26,208 over 8 years. This would give them a significant amount of savings on interest.

    The above example has been simplified for illustration purposes and actual rates of interest, and monthly instalments will vary based on the loan amount taken, tenure chosen, and the rates offered.

    Eligibility criteria for OCBC debt consolidation loan

    • Borrowers must be a Singaporean citizen or a Permanent Resident.
    • The minimum annual income required to apply for the debt consolidation loan is above S$30,000 but cannot exceed S$120,000.
    • The outstanding balance to income ratio must be greater than 12 times the monthly income of the borrower.

    Documents required for OCBC debt consolidation loan

    The applicant must provide the following documents at the time of application:

    • A copy of the applicant’s NRIC both front and back
    • A copy of their most recent Credit Bureau Report
    • Salaried applicants must provide a copy of the computerised payslip (most recent), most recent 12 months’ CPF contributions and 12 months Income Tax NOA.
    • If the borrower is self-employed they must provide the most recent 12 months’ CPF contributions and 2 years Income Tax NOA.
    • The applicant must submit his/her most recent credit card and unsecured credit loan statements and any other documents such as unbilled or billed transactions to show account information and balances.

    How to Apply for OCBC Debt Consolidation Loan

    Borrowers can apply for the OCBC DCP through the following ways:

    Online: Borrowers can visit the OCBC website and begin the application process. They will have to fill out the form and submit it along with the required supporting documents. Applicants can also leave their contact information and OCBC will call them back within 3 working days.

    Offline: Borrowers can walk into their nearest OCBC branch and request for the debt consolidation loan application. They are required to carry the supporting documents when submitting the application.


    1. What is the annual fee of the OCBC Platinum Card?
    2. The OCBC Platinum Card offered with the debt consolidation plan charges no annual fee.

    3. What is the fees and charges associated with this card?
    4. The card charges an interest rate of 25.9% p.a. on card transactions, 28.92% p.a. on cash withdrawals, a cash withdrawal fee which is the higher of S$15 or 6% of the amount withdrawn and a late payment fee of S$80.

    5. Can one choose not to take the credit card?
    6. No. The card comes as a bundle package with the DCP account but one can choose not to use it.

    7. Can the credit limit of the card be increased?
    8. No. The credit limit cannot be increased. Only if the monthly salary of the borrower increases can they request for a credit limit increase on their card.

    9. Can one make a partial payment of their loan with the OCBC debt consolidation plan?
    10. No. The DCP loan amount is disbursed directly to the bank the borrower has a debt with. The DCP will aim to clear out all outstanding balances of the borrower directly with the corresponding bank and any amount that exceeds the DCP loan must be cleared out by the borrowers themselves.

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