Do you have an emergency and badly need some cash to sort it? We all get emergencies at some point and wonder where to raise enough cash urgently. Worry no more as Singapore has a lot of legitimate businesses ready to help you solve your money problems.
You can get instant cash whenever you seek it. It doesn’t matter what your credit limit is, your account will be credited within a short time.
In case you’re wondering what is a cash advance loan? Cash advance loans refer to the act of getting access to a loan via your credit card without formally applying for it. However, the loan borrowers start paying for the loan with interest as soon as they receive the money. One of the best companies in which you can get a cash advance is Online Credit company. You will love their loan packages.
So before accepting such advances, beware of all the risks.
Kinds of cash advance loans in Singapore
Even though Singapore is one of the world’s most costly and congested cities, it does not have restricted access to supplemental monetary assistance to people in need.
ü Credit card advance
A credit card cash advance is a relatively brief financial credit obtained with one’s credit card. What draws most loan borrowers in Singapore is its fast approval and immediate funding.
Cash Advances with a Credit Card Borrowing is the most common sort of cash advance in Singapore. Take note cash that some advances on credit cards often have a high-interest rate, much higher than ordinary purchases.
ü Payday loans
A payday loan on the other hand is also a short-term loan but has low application criteria and a rapid response time.
Due to the nature of their income, most laborers in Singapore rely heavily on personal loans. Certified moneylenders can supply them with a month’s pay if they present evidence of work and billing receivables.
Payments must be made on time, and borrowers can utilize payday loans to deal with pressing invoicing and debt issues.
ü Merchant cash advance
Merchant cash advances enable company owners to borrow money from banks. In exchange, the company will work with banks on credit card promotions and incentives. This is a simple cash advance technique that allows borrowing firms to quickly overcome temporary financial challenges. Businesses also pay the bank a portion of credit card sales.
While borrowing an advance/payday loan, you may want to consider using other ways to raise money first. Perhaps ask your family and friends to chip in or ask your employer for an advance salary. If this doesn’t work then you can consider credit card loans. The reason behind this is before you borrow the loan you have to pay an additional fee.
For example, if you want to borrow $300 then you will pay $75 more which is very expensive.
Pros of cash advance loans in Singapore
- Get quick and unsecured loans in your account
This is since cash advances are one of the most expedient kinds of small company funding. Typically, the lenders will ask for a few months’ worth of debit cards and bank statements. Once you apply virtually and it gets approved, money might reach your account in as little as 48 hours.
- A good credit score is not a requirement
Cash advances, unlike traditional loans, do not demand you to go through a long application procedure. You won’t even need decent credit to get one, and neither would you even need a high credit score to have one.
Cons of cash advance loans in Singapore
- Very high-interest rates
Cash advances have a hefty interest rate, often much higher than ordinary purchases. People will inevitably pay approximately 24 percent for transactions, which is nearly 9% more than the average APR. There would be no perks or cashback, unlike other loan agreements.
- Lack of a grace period
Whilst the card cash advance may seem like a good idea for anyone who needs money right away, interest starts accruing right away.
Here is what you should consider when applying for an advance loan
- Only ask for a cash advance loan from your creditors when you have an emergency and need quick cash. Otherwise, sign up for a personal loan that you can slowly pay for it and has low-interest days.
- If you seek to borrow a few $ hundred to a thousand since your credit card has a limit.
- Learn more about the APR
- If you have more than one option, contrast and compare the extra charges before making the final decision.
- Ask about the time frame you’ll be given to repay the loan. Do not get into huge debts if you cannot repay them in a few days or weeks.
- Also, inquire if there is an additional time in case one delay to pay the loan
- The consequences you’ll face when you fail to pay the loan
Who is eligible for a cash advance loan In Singapore?
For one to qualify for advance loans in Singapore they must:
- Be a citizen of Singapore, Permanent Resident, or a Foreigner with a valid Singapore work permit
- Be over the age of 21.
- Be personnel employed full-time
Necessary documents
Citizens of Singapore will need the following documents if they want to apply for cash advance loans;
- Their passport numbers/ NRIC
- The full-time employees will have to provide the 3 most recent computer-generated monthly payslips or their income tax statement.
- Either phone or power service bills.
- Those that are self-employed should provide their income tax documents for the past 2 years.
Foreigners in Singapore on the other hand are required to submit:
- Valid Work Visa
- Authentic Passport
- Your Company’s Confirmation Letter
- Pay stubs from the previous three months
- Bank Statement – This is confirmation that your employer has credited your salary to your account.
- Utility bills
Final Thoughts
Cash advance loans in Singapore can come in handy especially when you’re in a fix and need a short-term quick monetary solution. And since every good thing has its bad side, it is quite expensive.
There are other ways you can raise the money you need. However, if it’s not enough, advance loans should be your last option.
Online Credit Company is one of the accredited money lenders that don’t mind improving your critical financial situation.