Why Trust MoneySmart?Generally, good personal loan interest rate in Singapore means securing an Effective Interest Rate (EIR) of below 6% per annum, with the most competitive 2026 offers from leading banks starting around 1.00%–3.00% per annum. The EIR is the true measure of borrowing cost because it includes all interest charges and processing fees—so always use it when comparing options, not just the headline (flat) rate.
Typical Bank EIR Ranges (May 2026)
Here’s a quick comparison of competitive personal loan EIRs from major Singapore banks. Actual offers will vary based on your income, credit profile, and promotional campaigns.
Bank/Lender | Effective Interest Rate (EIR) from |
3.22% p.a. | |
2.46% p.a. | |
1.93% p.a. | |
2.28% p.a. | |
2.02% p.a. | |
1.94% p.a. | |
3.50% p.a. |
💡 MoneySmart Tip |
Use trusted online comparison tools like MoneySmart's personal loan comparison to review personalised rates, eligibility, and requirements across major banks in Singapore—helping you make a more informed choice quickly. |
Licensed moneylenders in Singapore typically charge much higher rates, often starting from 10%–15% p.a. and above.
💡 Having trouble choosing the right licensed moneylender? |
Let us do the work for you! Compare all licensed moneylenders at one glance on our alternate lenders comparison page! |
Factors influencing your rate
Each lender will personalise your final interest rate based on your individual financial profile and application. These are the key factors that matter:
Credit score: A strong credit score gets you the lowest rates—banks reserve their best EIRs for borrowers with healthy credit histories.
Annual income: Meeting (or exceeding) the minimum income bar (typically $20,000–$30,000/year for Singaporeans/PRs) and demonstrating income stability are crucial for lower rates.
Loan amount and tenure: Larger loan amounts or longer repayment periods may influence your offered rate; sometimes, shorter tenures are priced more attractively by banks.
Existing-customer perks: If you bank with the lender (for example, having a salary credit, credit card, or savings account), you may qualify for faster approval and better rates.
To secure the best deal, always compare rates and terms from multiple lenders. Use trustworthy Singapore comparison sites like MoneySmart, and focus on the EIR when comparing personal loan offers—never just the flat rate. The difference could mean hundreds (or even thousands) in interest saved over your loan tenure.
