If you are new to lending money from either banks or financial institutions, one of the first offers that you get is to apply for a personal loan because of its easy application and fast approval, aside from the fact that this is considered also as one of the fastest-growing types of loan that you can apply for.
If you would notice, there are a lot of advantages that you can get from applying in a personal loan compared to other forms of loan which are the debt consolidation, medical expenses, home renovations, and of course it has lower interest.
To further explain its advantages, check out a detailed list below courtesy of Singapore’s trusted licensed moneylender.
Lower interest rate– Interest rates for personal loans are usually a lot lower than interest rates of credit cards which has a range in between 10 to 20 percent.
Debt Consolidation-This is one of the most popular reasons why you should obtain a personal loan. You can consolidate your debt in two primary ways.
Medical expenses– Medical expenses are considered as one of the primary reasons why a lot of people apply for a personal loan. Not all of us have a cash upfront to pay the full cost of hospitalization.
Home renovations– a personal loan is very advantageous because you can actually, apply for this kind of loan so that you can use it in improving your home knowing that this project cost a lot of money, especially if your project is quite big and you cannot avail of a home equity loan or have access to a credit or refinance mortgages.