Personal Loans

POSB Loan Assist

Enjoy fixed interest rate and monthly instalments to better manage your finances.

POSB Loan Assist

Product Details

  • Instant approval1 when you apply via DBS Quick Credit App
  • Up to 4X2 your monthly salary or higher if your annual income is S$120,000 and above
  • Receive the approved amount directly in your chosen POSB/DBS account
  • Access your funds easily from any of our 900 over ATMs island-wide
  • Hassle-free monthly repayments automatically from your chosen POSB/DBS account
  • Enjoy last Installment waiver3
  • Peace of mind with Insurance4 coverage to take care of your payments should the unforeseen occur — included with just 1% of the approved loan amount

Interest Rate Table

Loan Tenure

Annual Income between S$20,000 and less than S$30,000

Annual Income of S$30,000 or more

 

AIR (% p.a.)^

EIR (% p.a.)#

AIR (% p.a.)^

EIR (% p.a.)#

1-year

11

27.69

6.18

19.03

2-year

11

24.16

6.18

15.59

3-year

11

22.57

5.88

13.71

4-year

11

21.53

5.88

12.96

5-year

11

20.74

5.68

12.09


Fees Table

Processing Fee

3% of Loan Amount

Insurance Fee

1% of Loan Amount

Prepayment penalty fee

1.5% on the outstanding loan amount is applicable of loan is fully repaid during the loan tenure

Late Fee

S$80


Loan Amount

 

Annual Income between S$20,000 and less than S$30,000

Annual Income of S$30,000 - <S$120,000

Annual Income of S$120,000 and above

Loan Amount

Up to 2X monthly Income

Up to 4X monthly income

Up to 4X monthly income or a higher limit1

Up to S$5,000

Singaporean and PR: Up to S$200,000

Foreigner: Up to S$60,000

Tenure

1 -5 years

Singaporean and PR: 1 -5 years

Foreigner: 1 -2 years**


Illustration

 

Annual Income between S$20,000 and less than S$30,000

Annual Income of S$30,000 or more

Approved Loan Amount

S$3,000

S$10,000

Less 3% Processing Fee

3%

Less 1% Processing Fee

1%

Disbursed Loan Amount

S$2,880

S$9,600

Tenure

Monthly Repayment Amount

AIR
(% p.a.)^

EIR
(% p.a.)#

Monthly Repayment Amount

AIR
(% p.a.)^

EIR
(% p.a.)#

1-year

S$278

11

27.69

S$885

6.18

19.03

2-year

S$153

11

24.16

S$468

6.18

15.59

3-year

S$111

11

22.57

S$327

5.88

13.71

4-year

S$90

11

21.53

S$257

5.88

12.96

5-year

S$78

11

20.74

S$214

5.68

12.09

^ Applied interest rate.

# Effective interest rate (inclusive of 3% processing fee and 1% insurance fee)

1 DBS may grant such credit limit at its discretion, which may differ from what is requested

Note: Minimum Loan Amount is S$1,000. For loan amount below S$3,000, the maximum loan tenure is 24 months.
(These numbers are meant for illustrative purposes only and should not be taken to be a guarantee of the actual, future or likely figures)

Application Requirements for POSB Loan Assist

Nationality

Singaporean or
Permanent Resident

Foreigners

Age

2 - 65 years old

Minimum Gross Annual Income

S$20,000 & above

S$45,000 & above

Mandatory Document

  • NRIC (Front and Back), AND
  • Income Documents(any ONE of the following)
  • Valid Passport*** and Employment Pass^^^ (with at least 6 months‘ validity), AND
  • Income Documents(any ONE of the following)

Salaried Employees:

  1. Latest 2 months’ CPF Contribution History Statement++
  2. Latest Computerised Payslip
  3. Salary Crediting into DBS/POSB Account^^
  4. Latest Income Tax Notice of Assessment** with either A OR B OR C

  1. Latest Computerised Payslip (in Singapore Dollar currency)
  2. Company Letter certifying Employment and Salary (in Singapore Dollars currency), dated within 3 months
  3. Salary Crediting into DBS/POSB Account^^
  4. Latest Income Tax Notice of Assessment~ with either A OR B OR C

Variable/Commission-based Employees:

  1. Latest 2 months’ CPF Contribution History Statement++
  2. Latest 2 years’ Income Tax Notice of Assessment**

Self Employed:

  1. Latest 2 years’ Income Tax Notice of Assessment**

 

Note: Existing POSB Loan Assist or POSB Loan Assist Plus and DBS Cashline customer are not eligible to apply

++ Please note that your CPF documents submitted online are only available for up to 7 days from the date of submission.
^^ Income documents are not required on condition that your salary is credited via GIRO, to your own Personal POSB/DBS Account for at least 3 consecutive months. The Bank will review, and if necessary, adjust the current combined credit limit of all unsecured accounts based on the latest salary crediting information provided.
~ You can now print your Income Tax Notice of Assessment at myTax Portal with your SingPass or IRAS PIN. The service is free. Log on to https://mytax.iras.gov.sg for more details.
***Please update us immediately if you are granted Singapore Citizenship or Permanent Resident status by the Singapore Government.
^^^Please provide a copy of your Company’s letter stating the Renewal of your Employment Pass if the validity is less than 6 months from the date of application. The Company’s letter has to be endorsed by the Company’s Representative or HR.
Applications not accompanied with required documents or with incomplete information will cause a delay in processing.

  1. How do I calculate my monthly installment amount for POSB Loan Assist?

    POSB Loan Assist interest rate computation is under Flat Rate Basis. Fixed Rate Flat-Add-On means that the interest rate and your monthly loan installment remain the same throughout the duration of your loan. This protects you against any interest rate fluctuations.

    Illustration 1
    Suppose you take a loan of S$10,000.00 over 5 years at an interest rate of 8.88%. The computation would be as follows:

    • Total interest payable over 5 years
      S$10,000.00 x 8.88% x 5 years = S$4,440
    • Monthly instalment
      (S$10,000 + S$4,440) / 60 months = S$240.67

  2. How do I compute for early redemption for POSB Loan Assist?

    For any standard loan scheme, you are required to pay all principal and interest that would have accrued over the entire loan period. However, in the event you decide to repay the outstanding loan before the loan period ends, you will receive a rebate on the interest.

    The interest rebate will be calculated by the using an Interest rebate formula +
    Suppose your loan is S$10,000.00 over 5 years at 8.88%. If you repay the entire loan outstanding after making 36 monthly instalments, the computation is as follows:

    Computation For Loan Redemption

    Original Loan Amount

    S$10,000

    Total Interest (based on illustration 1)

    S$4,440

    Total payable (principal + interest)

    S$14,440

    Less : instalment paid (S$240.67 x 36)

    (S$8,664)

    Less : Rebate of Unearned Interest
    Using Interest rebate formula

    (S$728)

    Total amount payable to bank to fully redeem your loan

    S$5,048

    +Interest rebate formula

    R =

    n (n + 1)

    x TC =

    24 (24 + 1)

    x S$4,440.00 = S$728

    -------------

    -----------------

    N (N + 1)

    60 (60 + 1)

    Where:
    R represents the interest charges rebate
    n represents the balance loan period expressed in months
    N represents the original loan period expressed in months
    TC represents the total amount of interest payable over the loan period

    (These numbers are meant for illustrative purposes only and should not be taken to be a guarantee of the actual, future or likely figures)

    Note: A prepayment fee of 1.5% of outstanding loan amount will be applicable for early termination before the end of the loan tenure.

  3. How do I apply for Cash in 5 mins*?

    The Cash in 5 mins* application processing service is available at any POSB branch from Monday to Thursday, 8.30am to 5pm and Friday from 8.30am to 4.30pm (except public holidays). For Branch operating hours, please click here.

    The Cash in 5 mins* service is applicable to the POSB Loan Assist loan facilities.

    Please note that the Bank will firstly send you an SMS confirming receipt of your application. Within the next 5 minutes, the Bank will send you a 2nd SMS to inform you of the status of your application. Thereafter, the loan will be disbursed to your designated account with POSB within the same day.

    To qualify for the Cash in 5mins* service, you must be between 21 years and 65 years of age, residing in Singapore and currently in a continuous employment of at least 12 months.

    * POSB will only process applications that meet the bank's internal requirements. We regret that we will be unable to process applications if the Cash in 5mins* system is unavailable at the point of application. POSB reserves the right to reject any application and/or grant a lower limit at its sole discretion.

How to Apply

  • Download the DBS Quick Credit App. Apply for Loan Assist to get instant approval1

           

  • Contact me

  • Fill up the form and mail back

  • Send SMS in this format: POSBLA<space>NAME<space>NRIC to 76060.

  • Visit any of our POSB branches to give you cash in 5 minutes5

View the latest POSB Loan Assist Terms and Conditions.

Please be informed that with immediate effect, the provision for disclosure of information in the terms and conditions governing each of the Bank's unsecured loans facilities has been revised to allow disclosure of information to any person or organisation involved in the sending or delivering of any communication to your last known address on our records. Communication will include all forms of direct mailers and advertisements (including messages printed on envelopes with DBS' name and logo).

Please be informed that revisions have been made to the POSB Loan Assist Terms and Conditions which will take effect on 1st July 2014. Full list of changes.

1The approval of the personal loan application by DBS through the DBS Quick Credit mobile application is subject to full authentication and validation of completed information of the applicant and receipt of all mandatory documents from the applicant.
2 DBS may grant such credit limit at its discretion, which may differ from what is requested
3 Last instalment waiver feature is only applicable for loan accounts with minimum loan tenure of 36 months that are prompt in the monthly repayment. Qualified accounts will be notified via mail before the last instalment date.
4 Personal loan life insurance is underwritten by AVIVA Ltd.
5POSB will only process applications that meet the bank's internal requirements. We regret that we will be unable to process applications if the Cash in 5mins* system is unavailable at the point of application. POSB reserves the right to reject any application and/or grant a lower limit at its sole discretion.