Singaporeans know it is convenient to calculate monthly loan payment from a licensed moneylender. Learn how to do it in 1 minute.
There are various reasons why Singaporeans apply for a loan. Even those with regular paying jobs experience getting payday loans. It may not be for an emergency reason, but rather for leisure hard to pass up. From a grand house renovation to buying a brand new car, it is convenient to know how much you will have to pay on your monthly loan from a money lender before starting the loan process.
Secured loans are loans that require assets or collateral. It is less risky for the lenders and puts the borrower’s assets on the line. Secured monthly loans usually offer a higher amount of loans as there is more assurance that you will do everything you can to pay the loan.
These loans are not just for purchasing new cars and houses. They can also be home equity loans. However, if you borrow more than you can pay, you lose your valuable asset.
On the other hand, unsecured loans are monthly money lender loans (personal, payday, car loan, foreigner loan, etc.) that do not require collateral. The monthly loan money lender has no assets to recover should the borrower fails to pay the loan. A monthly money lender evaluates the borrower’s creditworthiness through credit reports, financial stability and other factors. These may include but are not limited to character, capacity, capital, and conditions based on the personal interview and passed requirements.
An interest rate is a fee usually called base rate, calculated as a percentage of the total loan amount you are charged for borrowing money. It is a proportion of the loan charged on top of the principal loan. It is typical for the moneylender to earn money from the interest it charges, as the borrower has to pay interest for the privilege of getting a monthly loan.
Several factors can affect interest rates. First, since the monthly money lenders are putting their money in the hands of a borrower, they are risking losing that value.
Also, the value of the money can decrease in the future. So what the $1000 can buy now may not be the same after a year.
Another factor is the government’s limit on interest rates. For example, in Singapore, licensed monthly money lenders can only charge up to 4% interest loan.
APR is an annual rate charged for borrowing a loan, making it an essential factor in determining the overall cost. Use APR to compare different personal loan offers.
Monthly payment = [r + r / ((1+r) ^ months -1)] x principal loan amount
Where: r = decimal rate / 12
You can use the online Personal Loan Calculator at calculator.sg for easy calculation.
Type in the Loan Amount (SGD), months to pay and Annual Interest Rate %.
When getting a loan from a monthly licensed money lender, you must take the time to shop around. Compare their websites, company history, reviews, and processes. Indeed, a reputable licensed moneylender has a long list of clientele that keeps the company thriving on top of the lending industry. Browse around the website and check the terms and the frequently asked questions. It is usually found on websites of licensed money lenders to help the borrowers with their inquiries with less hassle.
If you want to experience a high-class service with transparent terms and fees, choose Cash Mart. Cash Mart takes pride in not only their quick online loan application but also in the lowest sensible interest rates a lender can give. Drop a call or stop by Cash Mart’s office, and the friendly staff will be willing to walk you through the personal loan process, requirements, and terms.