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5 Benefits That A Personal Loan Brings To Your Life

on Sep 25, 2020

Forming the majority of loans from both banks and licensed moneylenders, the personal loan is incredibly versatile for borrowers’ diverse purposes. With affordable interest rates, personal loans are ideal to achieve your goals while also safeguarding your finances. Here are 5 benefits that the best personal loans in Singapore help to improve your life.

1. They help you reach life milestones earlier. ​

We all aspire to various milestones in life, from having a grand and lavish wedding, to having that dream weeks-long vacation or honeymoon in Europe. Personal loans allow you to enjoy that dream much earlier than expected, instead of having to save up for a long duration before enjoying them.


This is especially valuable for borrowers who have a limited window of time to achieve these milestones, such as couples who want to hold their wedding on specific auspicious dates, or taking advantage of a heavily discounted travel package. Alternatively, unforeseen circumstances may lead to one needing additional funds to pay for BTO apartment down payments, and the best personal loans in Singapore are a great solution to alleviate all these issues.

2. They prevent you from paying greater interest rates.​

None of us want to be trapped in the cycle of servicing loans with absurdly high interest rates. With interest rates capped at a maximum of 4% for personal loans through licensed moneylenders, they are a far more prudent option compared to the exorbitant interest rates of credit cards, which can hit a whopping 26.8% per annum!


The best personal loans in Singapore help you save greatly on interest payouts in the long-run, letting you reach financial stability earlier and faster. In addition, paying your credit card bills on time ensures that your credit score remains impeccable, allowing you an easier approval for other loans in the future.

3. They help supplement your salary.​

Personal loans are also great as payday loans, when your monthly salary just falls short of the amount you require to pay that month’s bills. Often, this happens with unexpected incurred bills, such as home repairs for leaks or flooring damage, or repairing your car after a minor accident. Not paying these bills can lead to snowballing issues that may disrupt one’s financial plans.


With the best personal loans in Singapore, ensure that you stay on track with your finances, and still have enough to tide through the short term, and on to your next paycheck.

4. They help you seize opportunities.​

We have all, at one point in time, regretted missed opportunities, be it not seizing a once-in-a-lifetime lucrative investment opportunity, or missing out on Singapore’s various mega sales for expensive household appliances. A personal loan helps you do away with this issue, allowing you to capitalise on your newly added funds to make full use of opportunities as they come.

5. They protect your finances during emergencies.​

Medical emergencies can wreak havoc on one’s cash flow and savings, with surgeries and hospital bills incurring tens or even hundreds of thousands within a few weeks or months. Even for those with sufficient savings, there is often a long wait before one’s medical insurance can payout the full sum, leaving families strapped for cash overnight.


A personal loan helps to bridge this gap and pay for immediate medical bills, while still helping to safeguard one’s living conditions and expenses, helping to ease them in troubled times as they support their loved one in recovering.



Drop us a message at R2D Credit today and learn how our personal loans are the best in Singapore!