What is the average personal loan interest rate in Singapore?

What is the average personal loan interest rate in Singapore?
KEY TAKEAWAYS
  • There is no official average: the lowest bank-published EIRs we checked on 6 November 2026 ran from 1.75% to 2.32%, and your own rate depends on your profile.
  • Consider working with a loan matching platform like Lendela to compare offers across multiple banks and financial institutions.
  • Compare both the advertised flat rate and the effective interest rate (EIR) when reviewing loan options.
  • Check and compare loan fees (processing, late, and early repayment fees) from banks and loan providers that you are interested in borrowing from.
  • To qualify for lower-cost credit, consider building your annual income over time or having additional and consistent revenue streams.

There is no official average personal loan interest rate in Singapore, because banks price each loan on the borrower's profile. On the bank pages we checked on 6 November 2026, the lowest published flat rates ran from 0.90% to 1.00% p.a., which works out to an EIR of about 1.75% to 2.32% p.a. Your own rate depends on your income, credit profile and loan terms, and can be well above these best-case figures.

This guide explains how to read published rates, what affects your personal rate, and how to interpret loan pricing before applying.

Quick answer:

  • Lowest bank-published flat rates (checked 6 November 2026): 0.90% to 1.00% p.a.

  • Matching EIRs (true cost): about 1.75% to 2.32% p.a.

  • UOB's own page shows its full range, from 1.00% flat (EIR 1.93%) up to 8.00% flat (EIR 17.62%), depending on the borrower

  • Your actual rate depends on your credit profile, income, and existing debt

Published rates are useful as a benchmark, but not a guarantee of what you will receive.

A closer look at the average interest rates for personal loans

In Singapore, the interest rates that borrowers pay on personal loans depend on individual loan providers. This is why it's worth using a loan matching platform like Lendela to compare terms across multiple banks and financial institutions at once. When focusing on interest rates, you need to appreciate that it is broken down into two groups, annual flat rate, and effective interest rate.

Flat rate

Effective interest rate

  • A flat rate is charged annually on the original principal of the loan.

  • As an example: a personal loan of $60,000 at a flat rate of 3% for three years means $1,800 in interest each year.

  • The monthly payment is divided into equal parts, including interest (divided over 12 months) and principal (divided across the full loan term, 36 months).

  • The EIR reflects the actual cost of taking a personal loan. On the bank pages we checked, it ran at roughly 1.9 to 2.3 times the advertised flat rate (1.75% to 2.32% against 0.90% to 1.00%).

  • Banks may include other costs, such as processing fees, within the EIR.

  • Because you repay part of the principal every month, the EIR is calculated on the balance you still owe, which is why it is higher than the flat rate.

  • This is why comparing loans based on EIR, not just advertised rates, gives a more accurate view of total borrowing cost.

To show the difference between effective interest rates and flat rates in practice, here are the lowest rates the main banks publish on their own pages:

Bank

Lowest published flat rate (p.a.)

EIR (p.a.)

Standard Chartered CashOne

0.90%

From 1.75%

UOB Personal Loan

1.00%

From 1.93%

CIMB Personal Loan

1.00%

From 1.94%

DBS Personal Loan

1.00%

2.32% (includes the 1% processing fee)

Table 1: Lowest rates published on each bank's own page, checked 6 November 2026. These are best-case rates; your actual rate depends on your individual profile. See the full rates comparison for fees and sources.

How banks in Singapore determine the personal loan interest rates

Now that you have seen the published rates, the next question might be, "How do banks determine what to charge clients?" Well, they review every application and use the following factors.

Applicant’s annual income

Principal

Loan term

  • MAS rules let banks lend unsecured credit only if your annual income is at least $20,000, and many banks set higher minimums of their own (UOB's is $30,000)

  • Applicants earning less typically face higher rates and lower approved amounts, or may need to consider licensed loan providers, which follow separate Ministry of Law rules

  • For low-cost credit, consider building your annual income over time or have additional and consistent revenue streams

  • Higher incomes can borrow larger amounts, which can also attract lower interest rates

  • MAS limits the unsecured credit a bank can give you to 2 months' income below $30,000 a year and 4 months' income from $30,000 to below $120,000, with no MAS limit from $120,000

  • Separately, banks cannot give you more unsecured credit if your interest-bearing unsecured debt stays above 12 times your monthly income for three months

  • With the same flat rate, a longer term does not lower your EIR, but it does raise the total interest you pay

  • Banks may price different tenures differently, so compare total repayable on the same tenure

  • Be aware that the amount payable ends up being more when compared to borrowing the same amount over a shorter period

Note that a longer term does not make a loan cheaper: when the flat rate stays the same, the EIR does not fall as the term lengthens, and the total interest you pay rises. Some banks do price longer tenures differently, so always compare total repayable on the same tenure.

When it comes to loans, the rule of thumb is to try and get them cleared as fast as possible. So, if you can afford it, try to clear the personal loan as fast as possible. By paying the loan fast, you have the opportunity of regaining full control over personal finances, and consistent on-time repayment supports your credit score.

Key takeaway:

Published rates provide a general guide, but your actual interest rate is personalised based on your credit profile, income, and existing debt obligations.

Explore our main page for personal loans to understand how they work beyond interest rates, including eligibility and repayment structure.

Loan interest rate in Singapore: loan fees

What are some of the loan fees you should be aware of?

Processing fee

Late fee

Early repayment fee

  • Processing fees vary by bank: UOB and CIMB waive theirs, Standard Chartered charges a $199 first-year annual fee instead, and DBS charges 1% of the loan

  • Used to cover the costs associated with reviewing the applicant’s documents and other related costs

  • Late fees are usually a flat amount, for example $100 at Standard Chartered

  • It is wise to follow the agreed loan payment schedule strictly to avoid the late fee

  • Early repayment fees differ: UOB and Standard Chartered charge $150 or 3% of the outstanding amount, whichever is higher; DBS charges $250.

  • Before deciding to pay early, compare the amount you would have paid by sticking to the loan limit with the early repayment fee

Loan interest rate in Singapore: processing fee, late fee, early repayment fee Loan interest rate in Singapore: processing fee, late fee, early repayment fee

The easy way to get a personal loan with low-interest rate

Published rates are useful as a benchmark, but the actual rate you receive depends on your individual profile and the loan provider's assessment. Two borrowers can receive very different offers even within the same bank. Because different banks have varying terms and conditions, narrowing down to the right one is never easy. Instead of reviewing dozens of loan providers, running multiple calculations, and submitting many applications, there is a simpler method: using Lendela.

Lendela is a loan matching platform that makes finding competitive rates straightforward. Submit one application, and you'll be matched with personalised offers from across our panel of 70+ banks and licensed loan providers, so you can compare rates, fees, and repayment terms side by side before deciding.

In this guide, we've covered how personal loan interest rates in Singapore work, and how banks determine what to charge each applicant. Rather than relying on averages, comparing personalised offers gives you a far more accurate picture of what you'd actually pay.

Click this link if you want to compare personal loans instead of relying on averages.

Sources: bank pages checked 6 November 2026 – Standard Chartered, UOB, DBS and CIMB; MAS rules on unsecured credit from the MAS explainer.

Last updated: 8 November 2026.

Read more

What are the best auto and car financing options in Singapore?
Car financing options in Singapore

LET YOUR IDEAL LOAN FIND YOU TODAY

Try our loan matching technology for free

Start Now

Money questions?
We’ve got answers.

From rate movements to practical money tips, get the updates that keep you informed, whenever they’re worth sharing.

You're subscribed.

We'll send Lendela's money tips and updates to .

whatsapp