What is an unsecured loan?
An unsecured loan is a loan or credit issued by either a bank or an unsecured loan provider in Singapore that is based on the borrower’s credit score and the key thing is that it does not have any collateral, which means that the borrower does not need to hand in any asset that can be forfeited in the event that the unsecured loan is not paid for.
Unsecured loan providers in Singapore bear the risk as this type of loan does not have any collateral, thus certain unsecured loan money lenders might offer high interest rates. However, at tradition credit, we are a licensed unsecured loan provider in Singapore and our added benefit is that we offer unsecured loans with lower interest and with more flexible repayment plans.
What is the maximum amount that I can borrow?
By default, borrowers must have a healthy or high credit score in order to borrow a higher unsecured loan amount. The credit score is a representation of the borrower’s ability to return back the borrowed amount, which takes into account the borrower’s credit history.
Types of unsecured loans:
– Student Loans
– Credit Card Loans
– Personal Loans