Getting a personal loan in the Philippines is a big deal because it is a fast and convenient way to get money for emergencies, fund your dream house or start a business. If you are in need of financial help, you can apply for personal loans in top banks and financial institutions in the Philippines. Banks do not ask a lot of questions when it comes to the purpose of the loan. In addition, you can always pay for your cash loan in easy installment terms on a monthly basis. Nonetheless, it pays to know before you apply for a personal loan. In this article, GoBear answers top personal loans questions you might have, so you can make the best decision for your cash loan.
How much can I borrow for personal loans?
The maximum and minimum borrowing power for personal loans depends on many factors: your monthly income, employment status, the loan limit setting of the bank, and the loan tenure. Top banks and financial institutions in the Philippines can lend up to ₱ 2,000,000, depending on your financial capacity. You can use the loan calculator at GoBear Philippines to find out how much money you can borrow based on your current income.
What are the requirements for a cash loan in the Philippines?
Personal loans have certain eligibility requirements. To be eligible for a cash loan, the applicant must be a Filipino citizen between 21 to 65 years of age,
Income requirement for personal loans also
How much is the interest rate for personal loans?
The interest rate for your loan
Are there other fees?
Aside from interest rates, banks charge a one-time processing fee upon application. Some personal loans have a set amount of processing fee while some banks base it on your total loanable amount. Personal loan fees range from ₱1,200 to ₱2,000, or 1% total amount you borrowed, whichever is higher. In addition, you will be asked to pay for documentary stamp tax which is usually ₱1 for every ₱200, if the loan is above ₱250,000.
Do I need to present a collateral?
There are two types of personal loans – secured and unsecured. Personal loans in the Philippines are usually “unsecured loans” so you do not need to pledge a collateral security upon application.
What happens if I fail to pay my monthly installment?
If you missed a monthly payment for some reason, you will be charged a late payment penalty fee of 3% to 8% of the total monthly payment, depending on the bank. For a list of fees and other charges, check out the personal loans page here at GoBear Philippines.
Can I pre-terminate a personal loan?
Yes, you can. Most banks and financial institutions allow a pre-termination of a personal loan account provided that you have paid the total balance in full. For this to happen, you may have to pay a certain amount as prepayment fee, although some banks won’t charge you as long as you give due notice one month before pre-terminating your loan.
How long is the processing time for personal loans?
Processing time for personal loans
How long do I have to pay for my loan?
Banks now offer personal loans with flexible repayment terms. You can choose how long you want to keep your loan. Loan tenure can range from 3 months to 5 years. By choosing personal loans with flexible repayment terms, you will be able to know how much money you need to pay each month and budget your money accordingly.
Take the guesswork out of your personal loan application. Compare personal loans, fees, and requirements at GoBear Philippines and make the smart choice for your cash loan.