Wondering how much does it cost for a personal loan from a legal moneylender? This article will answer your questions.

For all licensed moneylenders in Singapore, the loan amounts and charges are drafted and calculated by adhering strictly to the rates and charges which are allowed, and stated by the Ministry of Law. 

Loan Amount

For unsecured personal loans, please refer to the table below for the total maximum amount that you may borrow at any time across all moneylenders in Singapore.

Interest Rates Chargeable

In effect since 1st October 2015, for personal loans, the maximum interest rate that licensed money lenders can charge is 4% per month. This cap applies regardless of the borrower’s income. If a customer fails to repay the loan on time or in full based on the repayment schedule stated on the contract, the maximum rate of late interest is 4% per month for each month . A key feature of unlicensed moneylenders is that they tend to charge interests at rates which are far higher than the legal limit. 

Fees Chargeable

With effect from 1st October 2015, Licensed moneylenders are only allowed to impose these charges and expenses:

• Fee not exceeding $60 for each month of late repayment.

• Admin or handling fee not exceeding 10% of the principal of the loan when a loan is granted.

• Legal costs ordered by the court for a successful claim by the moneylender for the recovery of the loan.

EZ Loan Pte Ltd is a moneylender licensed by Singapore’s Registrar of Moneylenders to operate, we have loan consultants who are trained professionals to attend to you and help you with your financial needs.