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This content is for informational purposes only and is not intended to provide financial advice.
A lot of people may have adversity towards loans. But no one can deny its importance in a person’s finances. Many can say saving is better than loans. However, loans can be a lifesaver in case of emergencies. That is why personal loans, in particular, are needed by people to save them from financial predicaments.
What are Personal Loans in the Philippines?
There are various types of loans but one of the most popular offered by banks and other financial institutions is the personal loan. As the name suggests, this type of loan is used for personal consumption and is often given in cash.
As a fast emerging economy in Southeast Asia, the Philippines is a country with numerous banks and financial institutions that offer personal loans. Several mobile apps offer only personal loans.
Most of these online personal loan apps are working legally. Thus, they are safe to use and you will surely be able to use their services easily.
Why People Take Personal Loans
Since personal loans are granted for the personal use of the debtor, there are various reasons why they do this. The most popular reason is to be used to pay the bills. In the Philippines, it is quite common for companies to have late salary payments. Thus, to keep up with the bills, individuals sign up to get a personal loan.
Another common reason is to pay off another debt. Debtors dislike penalties on their loans. That is why they would prefer to have to obtain a new personal loan rather than have penalties.
There are more minor reasons why people look for a personal loan with a low-interest rate in the Philippines. But because these are common scenarios in the day-to-day life of a person, there is a high personal loan demand in the country.
Legit Personal Loans in the Philippines
There are a lot of legitimate establishments that offer personal loans and here are some of them:
Government Personal Loans
There are government institutions in the country that provide personal loans for their citizens. Usually, they are the ones that provide the lowest interest personal loan Philippines offers. However, they have strict personal loan application procedures.
If you are a private worker in this country, you can apply for an SSS Personal loan. If you are a government worker, you can get your loan through the GSIS. There are also personal loans provided by the PAG-IBIG Fund, even though they are more known for their housing loans.
Bank Personal Loan
Banks in the Philippines also issue personal loans. If government loans have low-interest rates, banks have more personalized loan plans. However, they are very strict when it comes to applications and repayment performances. They usually hold off loan grants for bad credit performance.
Almost most banks and cooperatives in the country offer personal loans. However, they have their own set of personal loan bank requirements. Thus, it is best to reach out to the bank directly. An even better option for you is to check out Upfinance where you can find all the bank information that you need.
Personal Loan PH Apps
You don’t need to go to a bank or a government institution to get a personal loan. You can now obtain personal loans online through different money lending apps. You can simply browse the app store on your phone and you will surely encounter a lot of online personal loan Philippines apps like this.
Compared to government agencies and banks, they provide fast approval for any personal loan online application. Their personal loan requirements usually are just two valid government-issued IDs.
The Best Personal Loan Philippines Proposals
Institution | Institution Type | Interest Rates | Approval time |
Juanhand | Online Payday Loans | 1.66% per month | 5 minutes |
Robocash | Online Payday Loans | 1st loan is interest-free
0% – 11.9% per month |
4 minutes |
MoneyCat | Online Payday Loans | 1st loan is interest-free
0% – 11.9% per month |
Within 24 hours |
Bank of the Philippine Islands | Bank | 1.2% per month | Within the day |
RCBC | Bank | 2.18% – 2.3% per month | Within the day |
Visit Upfinance to check out more that provides the lowest interest personal loan proposals.
Personal Loans Philippines Repayment: How to pay them back
Usually, loan institutions will give you at most a month of allowance before you need to pay back your loans. Thus, it is important that you know where to pay for your loans when you sign up for them.
In the Philippines, usually, you can pay your loans at the branch or office of the bank or institution where you got the loan. But nowadays, you can pay back your debts through E-wallets like Gcash and Maya. Just make sure that your creditor allows payments through these platforms.
Where to Find Fast and Easy Personal Loans
As mentioned, there are a lot of personal loan offerings in the Philippines. However, it can be a hassle for you to search for them one by one. It would have been convenient if you could view all of these personal loan institutions on a website. Luckily, you can do this through Upfinance.
Upfinance has consolidated all personal loan information in the Philippines so you can easily compare their rates and approval times. You can also learn the specific requirements needed to get a personal loan online.
Best of all, Upfinance has a personal loan calculator Philippines app. You can use the personal loan calculator to find out what your repayment amount is by adjusting the amount, interest rates, and terms. Furthermore, Upfinance makes sure that these banks, cooperatives, and online payday apps are legit.
Author Maria Torres from Upfinance.
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