Which Personal Loan in Singapore Has the Lowest Interest in 2026?

In Singapore in 2026, the personal loans with the lowest published interest are usually bank promotions, and the fair comparison is the EIR, so compare the EIR, then go through ShopBack before you apply, where ShopBack Cashback works like a discount, only easier than a promo code. For example, Standard Chartered advertises its CashOne Personal Loan from 0.90% a year, with an EIR from 1.75% a year, on its own page at the time of writing, so the EIR is roughly double the flat rate. Licensed moneylenders, by contrast, can legally charge up to 4% a month, according to the Ministry of Law. The rate you are offered depends on your own profile.

New to ShopBack? ShopBack Singapore is a free app and website that returns cash on eligible purchases and sign-ups when you start from ShopBack. Lendela, a loan matching service, is one of the stores you can go through this way. Join ShopBack Singapore for free.

Which personal loan in Singapore has the lowest interest?

No single loan is cheapest for everyone, but bank promotional loans usually publish the lowest rates, and your personalised EIR decides which one is cheapest for you. Banks publish a best-case starting rate for qualifying borrowers; the rate you are actually offered can be higher.

What the numbers looked like at the time of writing:

Source	What it says	Where it comes from
Bank promotions	Usually the lowest published rates; Standard Chartered's CashOne Personal Loan, for example, is advertised from 0.90% a year (EIR from 1.75% a year)	Standard Chartered Singapore's CashOne page, at the time of writing
Licensed moneylenders	Interest capped at 4% a month, late interest capped at 4% a month	Ministry of Law, Registry of Moneylenders
Your own offer	Priced on your income, credit history, existing debts, amount and tenure	How lenders usually price personal loans

Bank promotions change often, and some end on a set date, so check each bank's own page or a comparison service on the day you apply. Other lenders you will see in Singapore include OCBC, HSBC and CIMB, alongside licensed moneylenders listed by the Ministry of Law.

Flat rate vs EIR: the number that shows the real cost

The EIR (effective interest rate) is the number to compare, because the flat rate understates what you pay. A flat rate is worked out on the original loan amount for the whole tenure, even though you pay the balance down every month. The EIR reflects the interest on what you still owe, plus fees, so it usually comes out well above the flat rate.

Illustrative example only. These figures are our own arithmetic, not any lender's offer:

Advertised flat rate	Tenure	Approximate EIR (before fees)
1% a year	3 years	about 1.9% a year
3% a year	3 years	about 5.7% a year
5% a year	3 years	about 9.3% a year

Fees push the EIR higher still. A processing fee taken off the amount you receive, or an annual fee, means you pay interest on money you never got to use. A simple rule: judge an offer by the total payable amount (principal, interest and fees), not the headline rate.

Best personal loan Singapore: what to compare before you sign

The best personal loan in Singapore is the one with the lowest total repayable for the amount and tenure you actually need. Put every offer on the same amount and tenure, then compare these side by side:

Compare	Why it matters
EIR	The most comparable yearly cost across offers
Processing or annual fee	Some banks deduct it upfront; others waive it
Monthly repayment	Must fit your budget every month, not just this month
Total repayable	Principal plus interest plus fees: the real price of the loan
Early repayment fee	Matters if you plan to clear the loan early
Late payment fee	Matters if your income is irregular

A quick affordability check. Divide the monthly repayment by your monthly income, and choose a ratio you can keep up even in a month with higher expenses.

Tenure. A longer tenure lowers the monthly repayment but raises the total interest. Pick the shortest tenure you can comfortably afford.

Best personal loan Singapore 2026: banks or licensed moneylenders?

For most borrowers with a steady income and a clean credit record, a bank loan will cost far less than a moneylender loan. Licensed moneylenders are regulated by the Ministry of Law, and their rules are set out on its Registry of Moneylenders site. At the time of writing, it says licensed moneylenders:

• Interest: can charge at most 4% a month, whatever your income and whether the loan is secured or not.
• Late interest: can charge at most 4% a month, and only on the amount repaid late, not on the balance not yet due.
• Fees: can charge only an approval fee of up to 10% of the principal, up to S$60 for each month of late repayment, and court-ordered legal costs.
• Total cap: total interest, late interest and fees cannot exceed the principal of the loan.
• Borrowing limit (unsecured): for Singapore Citizens and PRs earning at least S$20,000 a year, up to 6 times monthly income across all moneylenders.
• Cooling-off period: for unsecured non-business loans disbursed on or after 15 September 2026, you can cancel within three business days of disbursement at a reduced cost, with no interest charged.

The Ministry of Law also advises borrowers to shop around different moneylenders for the most favourable terms and not to rush into a loan.

Best personal loan Singapore best deals in 2026

The best deals usually come from bank promotions, and the best way to find yours is to compare personalised offers rather than chase the lowest advertised number. A few habits help:

1. Check your credit report first. Your Credit Bureau Singapore record usually affects the rate you are offered, and the lowest published rates usually go to borrowers with strong credit.
2. Watch promotion end dates. Some bank promotions run to a fixed date, so a rate you saw last month may have changed.
3. Read the fee lines. A waived processing fee or a smaller annual fee can matter as much as the rate on a small loan.
4. Limit separate applications. Each formal application usually shows up as an enquiry on your credit record, so applying everywhere at once can work against you.
5. Check ShopBack before you check out. For a loan, that means before you submit the application.

Lendela: comparing personal loans in Singapore in one application

Lendela is a loan matching service: you fill in one application and see personalised offers from its panel of licensed banks and financial institutions side by side. In short:

• Cost to you: the matching service is usually free for borrowers; the loan itself carries the chosen lender's interest and fees.
• One application: you apply once instead of filling in a separate form for each lender.
• What you see: each offer's rate, fees and repayments, so you can compare EIR and total payable before you choose.

How to use Lendela with ShopBack:

1. Open the ShopBack Lendela page.
2. Tap through to Lendela and complete your application.
3. Review your offers on EIR, fees and total payable, and choose the one that suits you, or none.

Why ShopBack is a step before you apply

Check ShopBack before you check out. For a personal loan, the "check out" is the moment you submit your application, so open ShopBack first. Before you check out, go through ShopBack to get a post-purchase discount on the order.

Cashback lowers what you actually pay for an order. It comes back as cash, so it works like a discount on the price, not like points or miles. On a loan application, it does not change the interest rate the lender offers you; it is Cashback to your ShopBack account once the application is confirmed.

The live cash amount is shown on the ShopBack Lendela page, so check it before you apply.

A loan should never be chosen for the Cashback. Pick the loan on EIR and total repayable first, then go through ShopBack when you apply.

Step by step: finding the lowest interest personal loan in Singapore

1. Decide the amount and tenure you need, and the monthly repayment you can afford.
2. Check your credit report so you know roughly where you stand.
3. Open the ShopBack Lendela page, then submit one application on Lendela to see personalised offers.
4. Check bank pages directly for current promotions from banks you already use.
5. Compare on EIR and total repayable, including processing fees, annual fees and early repayment charges.
6. Read the contract before you sign, and borrow only what you need.

FAQ

Which personal loan in Singapore has the lowest interest?

In Singapore in 2026, the lowest published personal loan rates usually come from bank promotions, not from licensed moneylenders. For example, Standard Chartered advertises its CashOne Personal Loan from 0.90% a year, with an EIR from 1.75% a year, on its own page at the time of writing, so the EIR is roughly double the flat rate. Bank promotions change often, so check the live rate on each bank page. The rate you are actually offered depends on your income and credit profile, so compare personalised offers on EIR and total repayable.

What is the difference between the flat rate and the EIR on a personal loan?

The flat rate is worked out on the original loan amount for the whole tenure, even though you pay the balance down every month. The EIR (effective interest rate) reflects the interest on what you still owe, plus fees, so it usually comes out well above the flat rate. As an illustration, a 3% a year flat rate over three years works out to an EIR of roughly 5.7% a year before fees. Compare loans on EIR.

What is the best personal loan in Singapore in 2026?

The best personal loan is the one with the lowest total repayable for the amount and tenure you need, from a bank or licensed lender, with fees and early repayment charges you can live with. Line up offers on the same amount and tenure, then compare EIR, processing or annual fees, the monthly repayment and the total you will pay back.

How much interest can a licensed moneylender charge in Singapore?

According to the Ministry of Law, licensed moneylenders can charge at most 4% a month in interest, and at most 4% a month in late interest on the amount repaid late. Fees are limited to an approval fee of up to 10% of the principal and up to S$60 for each month of late repayment, and total charges cannot exceed the principal of the loan.

Is there a cooling-off period for personal loans from moneylenders?

Yes, for unsecured non-business loans from licensed moneylenders disbursed on or after 15 September 2026. According to the Ministry of Law, you can cancel within three business days of disbursement at a reduced cost, with no interest charged, and the lender may keep only part of the approval fee.

How does Lendela help me find the best personal loan in Singapore?

Lendela is a loan matching service. You fill in one application, which is usually free for borrowers, and see personalised offers from its panel of banks and financial institutions side by side, so you can compare EIR, fees and repayments before you choose. Check ShopBack before you start: open the ShopBack Lendela page first, then submit your application.

Will applying to several banks hurt my credit score?

It can. Each formal loan application usually shows up as an enquiry on your Credit Bureau Singapore record, so applying to many lenders separately adds several enquiries. Applying once through a matching service, or narrowing your list before you apply, keeps the number of applications down.

What affects the personal loan interest rate I get?

Lenders price personal loans on your income, employment, credit history, existing debts, residency status, the amount you borrow and the tenure. That is why the published starting rate is a best case, and two people can be offered different rates on the same loan.

Should I choose a longer tenure to lower my monthly repayment?

Only if you need the lower monthly amount. A longer tenure lowers each monthly repayment but raises the total interest you pay, so choose the shortest tenure whose monthly repayment you can comfortably keep up, and check the early repayment fee in case you want to clear the loan sooner.

How does ShopBack work with a personal loan application?

Check ShopBack before you check out, and for a loan that means before you submit your application. Open the Lendela page on ShopBack Singapore, tap through to Lendela, and complete the application. The live cash amount is shown on that page.

Disclaimer

The information in this article is provided for general informational purposes only and is not financial advice. Interest rates, fees, promotions, eligibility rules and ShopBack amounts change over time and depend on your own circumstances. Check the lender's own terms and the live details on the ShopBack Lendela page before you apply, borrow only what you can repay, and consider speaking to a licensed financial adviser if you are unsure.