Top 4 Banks to Get Fast Approval Personal Loans in Malaysia
If you’re looking for a personal loan, whether it’s to pay for unexpected expenses, finance your studies or consolidate your debt, it’s likely that you don’t want to wait weeks just to get funded.
There are a number of banks in Malaysia who offer personal loans with fast approval regardless of what your needs may be. Some providers can approve and provide loans on the same day you apply with the right documentation in hand. It might take a longer time for foreigners.
Hang back and let the Bear take you through the top four banks which offer these loans, as well as the eligibility and requirements you need to know before you apply.
At a quick glance:
|Name||Approval Time||Interest Rate (p.a.)||Max. Loan Amount||Loan Term||Fees and Charges||Processing Fee||Late Penalty Fee|
|Citibank In-Principle Approval||Minutes||7.9% to 12.5%||RM120,000 for new bank customers, RM150,000 for existing Citibank customers||Flexible loan term||None||None||1% from current outstanding balance|
|Alliance Bank CashVantage Personal Financing-i||48 hours||3.99% to 14.78%||RM150,000||7 years||None||None||1% from current outstanding balance|
|RHB Easy-Pinjaman Ekspres||10 minutes||8.18% to 14.52%||RM150,000||5 years||None||None||1% from current outstanding balance|
|Hong Leong Mach IOU Personal Loan||1 hour||7% to 13.5%||RM250,000||5 years||None||None||1% from current outstanding balance|
Apply for a fast personal loan that lets you skip the hassles of queuing or filling out lengthy application forms with Citibank’s In Principle Approval method.
Five simple steps is all it takes. After you fill in your contact details, personal details, employment details (that’s already three steps), Citibank’s In Principle Approval will kick in and you’ll proceed to choose your loan term and upload your documents for assessment.
On top of it all, there are no processing fees, guarantor or collateral required. Enjoy a loan up to RM120,000 for new bank applicants and RM150,000 for existing Citibank members.
Why we love it:
• Quick and easy application via In Principle Approval
• Flexible repayment terms of up to five years
• Loan amount reaches RM125,000 for new customers and RM150,000 for existing customers
When you really really need a quick source of fund, RHB Easy-Pinjaman Ekspres provides on-the-spot approval. The RHB Easy Pinjaman Ekspres offers a fixed interest rate of 8.8% - 14.52% p.a. with a repayment method of up to 5 years (60 months).
You can immediately borrow funds between RM2,000 to RM150,000 and choose your loan repayment terms from one to five years. Enjoy easy financing with no hidden fees and charges with RHB Easy.
Why we love it:
• Low income requirement of RM1,500 monthly
• Flexible repayment terms of up to five years
• Loan amount available starts from RM2,000 to RM150,000
Alliance Bank CashVantage Financing-i is an unsecured loan product, which means you can borrow a loan without an asset. You can apply for CashVantage Personal Financing to pay for your financial needs as long as it follows the Shariah principles.
Alliance Bank provides a flat profit rate and flexible repayment terms. In addition, the maximum amount you can borrow is RM150,000 and seven years to repay it.
Why we love it:
• Flexible repayment terms up to seven years
• Unsecured Islamic financing
• Loanable amount: RM5,000 to RM150,000
This loan will appeal to those looking for a higher loanable amount; the maximum borrowing amount is up to RM250,000 and a repayment term of up to 5 years. And when you really need it, you can get your cash within 60 minutes of loan processing.
The Hong Leong Mach IOU Personal Loan offers an interest rate of 7% p.a. to 13.5% p.a. depending on the amount you are borrowing and the loan tenure.
Why we love it:
• 1-hour fast approval loan process
• 20% cashback on timely payments (terms and conditions apply)
• Loanable amount: RM5,000 to RM250,000
Now that you know what options are out there, let's get a refresher on just what your fast approval personal loan is all about.
What is a fast approval personal loan?
If you have big plans – be it a big family holiday or even home renovation - lined up in your near future, chances are you would have made the smart move of planning your finances in advance. A personal loan is a handy option if your money is tied up for other projects or family commitments.
However, for times in which you have an urgent need for cash and financing – think of emergency situations such as expensive hospital bills, or a quick cash injection into your business - you will need cash in hand fast! And that’s where a personal loan that can give you fast approval comes into play!
A fast approval personal loan can be approved and disbursed to your bank account as fast as one hour (rare, but possible) up to three working days. To be able to get financing as much as RM100,000 or even RM150,000 is no easy task, so it’s crucial that you prepare everything you need in advance and correctly.
Also, the majority of personal loans on offer in Malaysia are unsecured loans. This means that there is no need to present collateral (an existing asset) to get your loan.
What are the eligibility criteria to apply for a fast approval personal loan?
Most banks in Malaysia will require you to be a Malaysian citizen or at least a Permanent Resident aged 18 years up 60 years.
You will also need to fulfil the income criteria as set by the bank. For instance, to qualify for Alliance Bank’s personal loan, you will need to have a monthly income of at least RM3,000. As for RHB, the bar is set lower at RM2,000 a month.
To enhance your chances of getting your loan approved fast, it is best that you opt for a bank that matches you as well.
Why is my credit score important?
Your credit score is paramount to any borrowing you intend to make; CCRIS and CTOS are your friends after all.
If you currently have a poor credit score, it is likely that your personal loan application will be rejected. You can still appeal to the bank and find out if they will accept a guarantor for the loan.
If you know that you have a bad credit score, you will need to fulfil all overdue repayments before getting approved for your loan.
In any case, you should always have your credit score at hand – and looking for ways to further improve it. Keep in mind that any improvements will take six months on average to see any changes.
What are the documents that I will need to apply for a fast approval personal loan?
Here’s a quick rundown of the documentation required:
- Proof of identity (MyKad)
- Latest one to three months’ payslip
- Latest three. Months’ bank statement
- Latest EA or BE form (with official tax receipt)
- Latest six months’ EPF statement
Self-employed or business owner applicants
- Proof of identity
- Business Registration Card
- Latest B form (with official tax receipt)
- Latest six months’ company bank statement
Of course, this varies in accordance to the bank’s own terms and conditions. So do get the full requirements when forwarding your application. If you want to get your loan approved fast, you’ll need to play your part too.
How much can I borrow?
The majority of banks in Malaysia are able to provide loans between RM2,000 and RM250,000. This depends on several factors upon performing a credit evaluation of the applicant:
- Applicant’s credit history.
This goes back to one’s credit score as mentioned above; and will also determine if the sum disbursed is 100% or less.
- Current salary.
Certain banks will also implement a cap on the upper limit of borrowing sum. For example, Citibank say up to ten times of the applicant’s gross monthly income.
What are the penalties and fees related of a fast approval personal loan?
Again, this varies between one bank to another, however do take a quick glance to see how it affects the cost of taking up this fast approval personal loan.
Many providers impose a stamp duty fee in accordance with the Stamp Duty Act 1949 (revised 1989) of 0.5% on the total approved loan sum to be deducted from the loan facility. If your loan sum application is RM10,000, the stamp duty will come up to RM50.
A processing fee is uncommon these days amongst banks in Malaysia. So be wary if you are requested for one, especially if it is an agent claiming to represent a bank.
Late payment fee
Late payment penalties typically stand at approximately 1% p.a. on the instalment amount or outstanding balance overdue. So the Bear would like you to be the best
Early settlement fee
Early settlement (or termination) fees will also depend on the bank you apply with. There are banks who charge RM200 or the equivalent of 3% of the loan sum, whereas some will waive it off completely if you provide them with a three-month notice.
Such fees and penalties may or may not impact your decision when taking up a fast approval personal loan, but at the very least you do need to be wary of them so that you know just how much money you’ll actually be receiving when you sign on the dotted line.
What about insurance coverage?
There are a number of banks who will provide you with the option of adding insurance coverage for your loan; similarly there is takaful coverage if you opt for an Islamic personal loan. The premium for this add-on is to be paid in full when you sign off on your loan agreement.
Such an insurance opt-in (or takaful) is designed to provide you security in the unfortunate event of death or even permanent disability suffered by the borrower. This protection will ensure that your remaining family members will not have to take on the financial burden left behind when the personal loan is not repaid.
Keep in mind that this does not cover any cases of job loss or redundancy.