Loans


Whether you are new to borrowing or struggling to find an appropriate loan package, we can help you understand what options are available to make an informed decision. Bear in mind you will have to pay interest on what you borrow, which means that the longer the term of the loan the more you will pay in interest. You are also likely to pay fees and charges in connection with your loan.

Whichever loan you ask, the cost of borrowing depends on whether the loan facility is secured or not. If you opt to offer something as security (such as your home or a pledge on an investment or a bank account) to provide collateral, the bank will tend to charge you a lower rate of interest. The more liquid the security being offered the slimmer the rate of interest applicable to your personal loan. On the other hand, if you decide to apply for an unsecured loan, the granting of such facility will be based on your ability to effect the monthly repayments out of your disposable income, your track record with the bank, and any other good record of repaying any previous loans with any other bank.

Consequently, given that no security will be backing the amount borrowed, an unsecured loan will attract a higher rate of interest as it involves the bank in a higher credit risk than a secured loan.

Home loans

If you’re planning to buy your first house, moving home or staying put and refinancing, you might want to make an in-depth assessment of your financial situation…

Personal loans

Whilst the intentions behind a home loan are pretty straightforward, those behind a personal loan are broader. Amongst a whole heap of personal requirements, a personal loan may assist you in financing…

Comparing loans using the APR

APR stands for Annual Percentage Rate whilst APRC stands for Annual Percentage Rate of Charge. The APR is a requirement to be provided in the case of personal loans and credit cards, whereas the APRC should be provided for mortgages…

Overdraft

An overdraft is a loan arrangement under which a bank extends credit up to a maximum amount (called overdraft limit) against which a current account customer can write cheques or make withdrawals…

FAQs

Frequently asked questions in relation to bank loans…