Unsecured Loan Singapore
Unsecured loans refer to loans that borrowers can obtain without pledging any form of assets. Lenders qualify borrowers for unsecured loans based on their credit history and income. Examples of more popular business unsecured loans available in Singapore include: Business Term Loans, Enterprise Singapore’s Working Capital Loans and LEFS MicroLoan Scheme.
Enterprise Singapore’s Working Capital Loans and LEFS Micro Loan Scheme are government-assisted unsecured loans, where the Singapore government shares the risk of loan defaults with the participating financial institutions in view that borrowers do not pledge any assets with lenders.
Tenor for the above mentioned unsecured loans usually –
- 4 or 5 years
- Borrowers can borrow up to S$500,000
- Interest rate range from 5.75% – 10.88% per annum EIR. More info on interest rate can be found on our Business Term Loan Singapore page.
For businesses who cannot qualify for traditional bank loan, we will still be able to help them with alternative financing solutions.
There are also Alternative Funders that are offering unsecured loans, but these typically come with –
- Smaller loan quantum
- Shorter tenor of up to 12 months
- Higher interest rates such as 3% per month (average), depends on the financier.
Borrowers of these unsecured loans typically use the funding obtained for the business’ cash flow needs while they await repayment from their clients, expansion plans or even purchasing more inventory.
Do be assured that all alternative funders we have are legit and proper companies with strong financial backing. Some of them are even backed by government bodies and listed MNCs as their parent company.
Click HERE to submit your loan enquiry now !