Why a Medical Loan Complements Your Health Insurance

Investing in your health is a wise choice as medical emergencies can arise at any time. With the rising cost of medical services in Singapore, it is good to have health insurance coverage to last up to your golden years. But it may not always be enough – in such situations, a medical loan can help.

Cost of healthcare in Singapore

You can easily rack up hundreds of thousands in medical bills in Singapore for serious illnesses and injuries. And while all Singaporeans and permanent residents are covered by Medishield, the mandatory national medical insurance scheme that reduces the out-of-pocket burden for medical emergencies, it may not be enough to cover all the costs.

If you have purchased private health insurance, and depending on your policy type, you might be able to claim a higher amount, as well as the income you lose while recuperating. Some long-term healthcare policies (eg, long-term care insurance) can also pay for all ongoing treatments and replace part of your lost income permanently. These are some of the benefits that come with certain health insurance policies.

But policies like these often require you to pay upfront, and you are reimbursed later. In such situations, if you do not have the lump sum available for payment, you can get a medical loan in Singapore from a legal money lender. A medical loan pays for the medical costs that are not covered by your health insurance. It can help alleviate the financial stress of daily living expenses during your treatment.

Why should you get a medical loan from a legal money lender?

Most people turn to a private money lending company in Singapore for medical loans because it is quick and convenient. Banks are more stringent in their approval process and therefore getting a personal loan from a bank, which one can then use to pay for medical expenses, takes longer.

Here are some of the benefits of getting a loan from an authorised money lender in Singapore:

1. Fast approval process

Getting a medical loan in Singapore from an online legal money lender is easy. Just follow the steps online and upload all your documents such as your income source, proof of residential address, and NRIC. Once approved, the applicant needs to go to the moneylender’s office for a mandatory face-to-face verification, after which the medical loan can be disbursed quickly.

2. Flexible repayment terms

Legal money lenders provide medical loans based on fixed interest rates. The repayment tenure is flexible and lenders have an option to choose the repayment terms based on their financial situation.

3. No collateral required

The purpose of the medical loan is to pay for unexpected medical costs which are not covered under your health insurance. So since medical loans are considered unsecured personal loans, you can obtain them easily without any collateral.

While medical loans are great in urgent situations, it’s still a good idea to have health insurance coverage. After all, medical loans still need to be paid while health insurance covers your bills and in exchange, you only need to pay your monthly premium.

And when you do need a medical loan, you can get one from R2D Credit. We provide a range of options to suit your personal and financial needs. If you are in a financial crisis because of rising healthcare costs, call us today to discuss your options.

About the Author

Jasbir Kaur

No fuss, No stress. You can count on me to get the facts right.