Overspending. The one reason why people get into debt

One Reason Why People Get into Debt — Overspending

There are many reasons why people get into debts — gambling, falling sick, getting retrenched, etc. But in this age of consumerism, one common reason why people get into debt is overspending.

Companies has gotten so good at tempting us into spending our money that we only realised we have spent too much when we looked at our bank account at the end of the month. Here are some of the common reasons why we tend to overspend.

The Environment We Are in Makes Us Spend

Have you ever step into the supermarket with the goal of purchasing one thing but end up leaving with a whole basket of food and groceries? Don’t worry, you are not alone. In fact, supermarket are designed specifically to get you to spend more.

Here’s an interesting observation:

“So, why is the dairy at the deepest part of the stores, anyway? Underhill says it’s because almost everyone who walks into a supermarket has some sort of dairy on their shopping list, and if it’s in the deepest part of the store, you have to walk past a lot of tantalising goods to get to it.”

But layout is just one of the weapon they have under their arsenal. Music is another common strategy used, especially so during festive periods such as Christmas.

Dr Alan Bradshaw of Royal Holloway, University of London, said: “Festive jingles are force-fed to Christmas shoppers in a bid to change their mood, influence their sense of time and what sort of products they buy. In other words, this is an attempt to manipulate your shopping habits in a way that you might barely be aware of.

So, the next time you are shopping in the supermarket, one of the best way to prevent this from happening is to walk in with a shopping list in hand. This way, you can keep yourself on task, get the necessary stuff only and walk to the checkout counter.

Our Friends and Peers May Make Us Spend More

Humans have an innate desire to be similar to the people that we hang out with, it’s our nature survival instinct to want to “fit-in”.

This is what caused us to overspend at time. Some of your friends may be more well-off than you so when you are out, they may tend to choose dining or partying places that are way out of your budget.

And in your effort to continue hanging out of the group, you may choose to overspend your budget.

One way to prevent this from happening is to be upfront with your friends about your situation, and if they are true friends, they will understand your situation and choose to hang out at a place that’s within your budget.

Credit Cards Makes Us Spend More

Credit cards are both a powerful saving tool and a powerful spending tool. It really depends on how one choose to use it to their advantage… or disadvantage.

Psychology studies have shown that people are often willing to pay more for the same product when using credit than when using cash.

If you realise that you have been maxing out your cards and only paying the minimum interest rate each month, then you should probably look at getting out of the credit card game entirely as this will lead you into a debt freefall.

Rely on cold hard cash and you will have lesser margin for error.

How to Stop Getting into Debt

Take a look at these two equations:

1st equation: Salary – Spending = Savings

And

2nd equation: Salary – Savings = Spending

These two may look the same mathematically. But look at it from a financial planning standpoint and you will realise that one will more likely lead you down the path of debt and overspending than the other.

If you were to follow the first equation, you will end up with unstable savings each month. Sometimes maybe even negative savings (e.g. credit cards spending).

But if you were to follow the second equation, you can be assured of a guaranteed amount of savings each month, and you will have to budget your spending according, effectively controlling your spending.

So, if you are hoping for a comfortable retirement in the future, go for the 2nd equation and start planning your savings, and not leaving it all the way till the end of the month.

Smart Ways to Spend Your AWS or Year-End Bonus

Everyone’s counting down to 2015. In just a couple more days and we are headed towards a new year. And everyone is looking forward towards AWS or Year-End Bonus. It’s time to maximise your hard-earned bonus. We at Empire Global had a good year and would like to dish our some sound financial advise for our readers.

What is Annual Wage Supplement (AWS): Demystifying AWS

Definition of AWS:The Annual Wage Supplement (AWS) is commonly known as the 13th month payment. It is a single annual payment to employees that supplements the total amount of annual wage earned by them.

Common Idea// Misconception: It’s compulsory for employers to award employees AWS.

The Truth:An annual bonus is an optional, one-time payment given at the end of the year. It is usually paid to motivate employees who have performed well. It can also be drafted in employee’s contract.

Read more on Annual Wage Bonus from the MOM

What to do with your Bonus

Worst thing to do? Rack up credit card debt in advance of your bonus and expect things to pay off eventually. That’s a big No-No! Use your bonus to treat your family members extravagantly.

Avoid making sudden big ticket purchases. Splurge spending and not checking out the best deals.

Best thing to do? Pay off high interest credit card debts and loans first. Clear as much liabilities as much as possible before the interest piles up. Clear all the bills! That’s your number one priority.

This is the best time to improve your credit score if you previously had some bad records. Having a clean sheet, void of debts would be most advisable. It helps in terms of future loan application especially for houses (it’s really tough to get a new BTO HDB flat).

Make that money work harder for you. You can channel some of that money into your CPF account and make your CPF work harder.

Learn more about how to Make Your CPF Funds Work Harder 

Don’t Forget Taxes

An old saying is to sound your chickens before they hatch. Even if you know your bonus amount, don’t assume its something extra. It is still taxable under Singapore’s IRAS. Save some of the bonus for the year’s taxes (set aside 10-40%) based on your income bracket. Those annual pesky taxes will make your bonus smaller. Which is why you should not be blowing off the extra cash that easily.

If your taxes are on the higher end, donate some of your bonus and receive a  250% tax rebate (http://www.iras.gov.sg/irashome/page04.aspx?id=1274)! Most people would not think about donating. Perhaps it’s time for you to donate some for a good cause plus you can some tax savings. Of course you need to check whether the charity is a registered IPC (Institutions of a Public Character).

Check out the charities on https://www.charities.gov.sg/

Fund Financial Goals

Plan your finances for the year ahead with this added bonus. Add some of that bonus money to your emergency savings. You can use that bonus to pay a small lump sum towards your housing loan. Any bit helps in the long run as the amount of compounded interest is equivalent to getting another house from HDB!

Put that entire bonus amount in a retirement fund. If you’re really ambitious and wish to retire early, a compounding interest with regular lump sums added can go a really long way.

Save for the Fun Things Your Like

Save that Bonus into your Piggy Bank

Save that Bonus into your Piggy Bank

We all love to treat ourselves to something nice. Firstly add a portion of that bonus to your piggy bank. As long you are financially stable, have some of the savings stashed up somewhere, well spend it! Not all of it of course. We suggest a good 20% will do.

Look out for really good deals for the items on your watch list. It’s the year-end and companies are going all-out to give you the best sales ever. Doing online shopping? Look our for coupon codes first before hitting the checkout button.

Rakuten(popular e-commerce in Singapore) for example has a great social following and regularly holds great sales. So check out companies Facebook pages, websites and surf around (sometimes bloggers are sponsored to give out coupon codes). All these can amount to great savings, not to forget, use the correct credit card for your purchase.

Summary: Spend or Save?

Everyone of us have had small windfalls or bonuses in our course of work. More often than not, that bonus money can be spent very quickly. Bonuses by nature are infrequent and is something we aren’t used to.

So treat that bonus as something separate to your regular income. Ideally, stash that bonus into your savings. This way, it allows you to keep your lifestyle and spending the same.

Read more related articles:

6 Tips to Help you Manager Debts & Finances

Spend Bonus Wisely This Year End Holidays

Spend Your Bonus Wisely this Year End Holidays

Christmas is coming! All the streets and shopping outlets are getting into the festive mood as we await the new year 2015. We at Empire Global  are none the wise too. Some of us have gone on long vacations to soak in the holidays we needed. Most of you are awaiting the year-end bonus or AWS or some would call it the thirteen month bonus.

iPhone6? Holidays in Europe? Can’t wait to spend on those items you want? Let us give you some advise before you think about spending them away.

Review Your Budget

Budgets are important if you want to get your finances in order especially now it’s the year-end frenzied shopping happens when big sales goes on in festive seasons. Take advantage of your bonus, all you need is 4 simple tips from us.

1. Don’t count your chickens before they hatch

Your bonus might be a sure thing, but  don’t ever go spending until it’s yours. You won’t want to land yourself in debt and hate yourself when you don’t get your bonus.

2. Factor in income tax & Chinese New Year
Save Your Bonus for Income Tax in 2015

Save Your Bonus for Income Tax in 2015

When you receive your bonus, you have to account for the following year’s income tax amount. Set aside a sum of the bonus for income tax. Not to forget, the annual CNY festival can amount to large spendings for the family. Ang baos, family dinners, visiting all are unforeseen costs.

3. Formulate a plan and stick to it.

If you had worked out a budget in the earlier part of the year, now’s the best time to look at it again. Have you stuck to your goals and savings policy? Look at the financial goals you have made, the bonus can be used as a boost on your goals.

4. Pay off debt

Pay off outstanding debt, whether its credit cards, renovation loan or personal loan, especially if they attract high interest. Have a bigger bonus, consider putting it on your home loan or car loan.

Spending on Year End Bonus

Rather than squandering the cash in needless new devices or luxury items and accruing more debt, because you’ve overspent on the bonus, consider investing in a hobby, an experience or a charitable course.

Considering travelling? Travel tight on a budget, stay in a hostel. Experience the culture right from within.

Learn from billionaire Li Ka-Shing to build up your network and savings using your income. We feel the article is more weighted towards business owners however the common salaryman should saving at least 30-50% of his salary.

Invest in long-term investments to get the compounding effect. Compounding goes a very long way and works most effectively when you are consistent.

Set up your new financial goals for 2015. Write them down and use your bonus as the baby pot of gold for your new plans. A little bit can go a long way.

Making purchases Online: Avoid online cyber scams!

Online Shopping Scam: Be aware of your money

Online Shopping Scam: Be aware of your money

$50 for a camera? Too cheap to be true? Although most of us would have forego such deals, but some of us will still take the bait. There have been several reports of people getting scammed online by deals that seemed too good to be true.

The number of cases in reported crimes have risen from 96-504 and the amount involved has tripled. Singapore Police Force has ramped up on educating the public through various media outlets.

Our advise?

Always buy from authorised retailers or known platforms. Check out the seller’s profile and ensure that you are confident of receiving the product too. Start by being aware by checking out this video by SPF New Media Team
If you are intending to purchase a device online from digital marketplaces, second hand sellers or resellers, you can do a quick check on the product’s imei number on the SPF SPEX platform. http://www.police.gov.sg/epc/spex_info.html
Here’s a musical video on online scams (#criminalwatch) to lighten the mood:

Spending on Year End Bonus: Bottom Line

Ultimately, the bonus is yours. Use your bonus in a way that you feel good about and do something that gets you enthusiastic about your overall financial life. And of course, it’s best to clear as much debt as possible and living a debt-free life is one of the best feelings that you can have.

Don't Be a Victim. Learn about these four financial scams today.

Don’t Be A Victim! Learn About These Financial Scams

We had previously talked about 7 great tips you can use to identify legal and illegal moneylenders. Read it if you haven’t, as it might just save you from heaps of troubles.

We at Empire Global greatly enforce the rules stipulated by IPTO and our loan officers always advise our customers on the proper loan terms.

A reminder, legal and licensed moneylenders do not send out SMS marketing messages. If you ever received one, it MUST be from an illegal source. But unfortunately illegal moneylenders aren’t the only problems that borrowers face nowadays.

There are always unscrupulous businessman and scammers who constantly think of new ways to trick you off your hard-earned cash. These usually come in the form of financial scams that are carefully disguised as legitimate businesses deals or easy cash. Falling into any one of these could mean landing yourself in huge debt or seeing your savings wiped clean.

4 Common Types of Financial Scams

Now let me quickly take you through these 4 most common type of financial scams and how to identify them with a help of a great educational video.

Ponzi Scam

Ponzi scams almost always lured victims with high short-term returns with low to zero risk, but things aren’t as good as it seems. Often victims will receive about 1-2 prompt returns on their investments (as advertised), but that’s as far as it goes.

The greatest Ponzi scam in Singapore was Sunshine Empire masking as a MLM business that promises extremely high returns. Lots of people around us at Empire Global had been duped by them.

Once the victims are convinced and hooked into investing more of their money, the scammer starts to disappear and becomes uncontactable.

Thus always remember the saying, “there is no free lunch in this world”. If the investment sounds too good to be true, or encountered such an attractive deal, do a research online (forums, news, government website) to prevent falling into such traps yourself.

Lottery winnings / Inheritance Financial Scams

These are one of the oldest scam out there. Typical a scammer will contact you about a huge windfall either through winning some lottery or inheritance.

These usually come in the form of an email/mail (usually very well written!), with proper letterheads, and promoting it as risk-free. This is to give you the perception that it comes from a legitimate source.

Once you bite onto the good news, they will then slowly bait you into transferring money as a “processing fee” or “handling fee” in order for them to transfer the winnings to you.

Phishing Scam

Phishing scams refers to scammers trying to impersonate as an existing legitimate business or government body to try to get your personal particulars or passwords etc.

Common ones are these online login website to your bank accounts. They develop a login website similar to those of the banks and trick you into keying in your personal data and passwords into the online form.

Hence, always ensure that the Bank login website that you are visiting is the correct and legit ones. Always check with the bank if you are unsure.

Illegal Moneylenders Scam

Today, we are also going to highlight another new financial scams scheme use by the illegal moneylenders in Singapore. If you think they only use SMS marketing to fake as legal licensed moneylender in their SMS message? You are wrong! They are more than just fake SMS marketing as licensed moneylenders.

In fact, there are even reported cases of scammers sending threatening SMS to their victims demanding for money that they have allegedly borrowed or payments that they have missed.

Read more on Watch Out! Illegal Moneylenders and the Ah Long Scams

What really forces the victims to comply is the scammer ability to identify them by their names and NRIC number. Which is then followed by a threat to the victim’s family members.

Once successful, the scammer will then instruct the victim to pay the money within an hour or less to a bank account. This is to prevent them from having the time to go seek for advice or help from other inclusive of the Police.

However, since the rise of such cases, the Singapore Police Force came out with some guidelines highlighted below that can help you avoid such financial scams.

  • Do not contact the senders of dubious messages or letters
  • Do not response to unsolicited demand for loan payments
  • Do not reveal your personal particulars such as Name, NRIC number, and address to unknown individuals
  • And always report to the police when such incidents happen.

You may just save you your hard earned cash and the agony of dealing with such incidents.

Here we are also sharing an infographic about financial scams around the World! Arm yourself and your families with this knowledge and prevent these from happening to you!

Infographic - Learn about financial Scams  happening around the world

Infographic – Learn about financial Scams happening around the world

Credit Card Payment on Credit

6 Tips to help you Manage Debts & Finances

According to an article published on The Straits Times on 1 August 2013, Singaporeans are loading up more and more on debts and many are taking up multiple loans.

This is also made evident in the Yearbook of Statistics Singapore 2013; it shows that the number of pledges received at pawnshops and the numbers of loans have shot up significantly between the years 2011-2013. Obviously, this has shown that Singaporeans may have difficulty in managing debts and require help to manage debts.

As it’s becoming easier to apply for credit options such as credit cards, credit lines and loans, the number of young adults running into debts are increasing as well.

6 Tips to Manage Debts Better

So how should you ensure that you don’t end up being buried under a mountain of debt?

Here is a simple video by Institute of Financial Literarcy that shows us how you can learn to manage debts, and some take-away pointers from us at Empire Global SG.

1.) Don’t take up loans that you Cannot Afford

Before you get too excited about taking up a loan for your new Porsche or Ferrari, please bear this in mind – higher debts equals higher repayment terms which leads to lesser ready cash for your other expenses.

As a general rule of thumb, your total monthly servicable should not exceed 35% of your gross income. This is to ensure that you will be able to repay the loan with ease and not create a pit-hole for your future.

2.) Be interested in interest rates

Is it true that you should take a package with a lower interest rate? If you agree with that statement, you are probably paying more interest than necessary.

Effective interest rates reflect the true cost of taking up the loan as it takes into consideration the frequency and amount of the repayments.

This could means that although you are servicing a smaller amount of monthly repayments but you are actually paying more than one who pays a larger monthly amount.

Advertised interest rates on the other hand, are typically nominal rates, which have not taken the amount of loan and period of repayment into consideration.

Therefore, next time when you are offer an attractive loan rate, do not be too hasty to take up yet.

Ask the bank for the effective interest rates as well; calculate the exact amount that you need to repay after taking into consideration the amount of loan and the frequency of repayments before you decide whether to take up the loan.

Hence, if you are keen to manage debts, make sure you have adequate knowledge in the different interest rates and be very clear of what you are landing yourself into!

3.) Read Everything before signing anything

Unless you are a superstar who needs to autograph for 5000 fans within 2 hours, take time to study the contract carefully. Understand your rights and obligations before you sign.

If in doubt, question every term and jargon that you don’t understand. Know that you are the customer and have the right to know every detail thoroughly from the service providers.

Once you have signed on the contract, you are legally bound to the terms and conditions stated.

To manage debts well, do not make the common mistake that most people do when taking up a loan deal. Not reading the fine print!

4.) Don’t Borrow to Pay a Debt. Ever.

We cannot stress on this point any further – Never Ever Borrow to Pay a Debt. Do this in order to manage debts better!

If you need to borrow to pay for a debt, it shows that you are already having problems to manage debts.

Stop before you dig yourself into another hole! Look at some of the Stupidest Ways Singaporeans Deal With Debts and don’t follow in their footsteps.

If you think you can manage debts yourself, by doing so, you are totally wrong. Wouldn’t it be worse to have one more debtor coming after you for repayment?

Here are some steps from MoneySense to help you understand how you can become debt-free as soon as possible.

Credit Card Payment on Credit

Credit Card Payment on Credit Card Joke

 

5.) Stay on track with the big picture

Are you getting confused over the different debts that you have? Are you unsure of what debts you are paying for every month and when are the repayments going to end?

To manage debts well, come up with a spreadsheet to have a better overview of the outstanding debts. It will also help you to prioritise which debt you should repay first.

As a general rule, you should always pay off the debt with the highest interest rates such as credit card debts.

This helpful infographic will show you 5 tips to save yourself from the credit card debts.

5 Ways Dig Yourself Out of Credit Card Debt Info graphic. Manage Debts better!

5 Ways Dig Yourself Out of Credit Card Debt Info graphic. Manage Debts better!

 

6.) Consolidate and save

Are you suffocating from the different debts that you need to repay every month? Perhaps it’s time for you to speak to your lender on the repayment terms.

Trust us; the situation will just get worse if you try to avoid payments. Have a good control over your financial situation; ensure that you do not have too many late repayments to prevent incurring more interest.

Your lender may be able to help you to restructure the loan. After all, all lenders would want their money back.

Don’t try to avoid your lender just because you are having problems with the repayments. Be open to them. Ask for help.

Conclusion

At the end of the day, the best way to prevent you from getting unhealthy with debts is to be able to manage  debts well. Understanding your needs and wants, be able to differentiate between the two.

Focus on your priorities in life. Understand your needs and reduce on your wants, you will naturally be able to reduce your debts.

Before taking up a loan or swiping your credit cards for your next purchases. You should look at your monthly income, expenses and budget them accordingly.

Do you have the capability to support that new purchase? Ask yourself the questions before committing.

Spending more than you Earn

Spending more than you Earn

 

Therefore, as much as possible, we should try our best to manage debts before it gone badly and enjoy our lives within our own means.

If you can only remember one point, just remember this – Spend within your limits and plan wisely. Speak to the friendly loan officers at Empire Global SG for advice and assistance if you need further information.

Managing Debt in Singapore

In our fast-paced society and growing needs, it has become a stage whereby most people would have debts. Be it a home loan, mortgage, personal loan, car loan or credit card bills. Most importantly, one should pay off one’s debt as soon as possible to avoid incurring unknown expenses. It will save you lots of hassle and money in the future.

It is important to understand that getting into debt is a major responsibility. Too much debt can easily get us into trouble. Ask yourself the following questions before making a commitment to borrowing.

6 Big Questions before Borrowing & getting into Debt.

1. Do I really need it in the first place?

Many a times we tend to buy things we do not need. Getting the latest iPhone? Getting new clothes because of an event? A growing number of people are now buying things that they don’t really need, but due to the people around them or society itself we make the purchase on the item. We love ‘the thing’, hence we need ‘the thing’. Sounds familiar?

Many of our purchases are due to our inability to resist the temptation for instant gratification. We are turning into a first buy, and then pay for it later lifestyle; without knowing whether we can earn that money in future! Be very careful of instalment plans on purchases. It’s easy to underestimate the small weekly payments as it can add up to a whole lot more. Avoid being rash in purchase decisions and check the terms and conditions of any such instalment policy.

Start simple. Assess whether the purchase decision is a need or a want. Determine whether if it’s something that you can wait. Then save up for it and make the purchase later. Buy when you need it, not when you want it.

Impatient: Today's tweens want everything fast, with 56 per cent admitting they prefer instant gratification - Dailymail.co.uk

Impatient: Today’s tweens want everything fast, with 56 per cent admitting they prefer instant gratification – Dailymail.co.uk 

2. Is there another way I can pay for my items?

Sometimes, there are subsidies and grants for items. Some of the easiest way to pay for a new item is to sell an old one. At least this reduces your purchase price of the item or even make a profit out of your sale.

Try making a bargain on your purchase items or check out online marketplaces for cheap deals and second-hand purchases. Many a times, we seldom need items that are brand new. Pre-loved items are currently in trend now as it sharply marked down from its usual price.

Stretch your dollar on your purchases. Singaporeans are embracing the second-hand market and its a fast booming economy.

Stretch Your Dollar - Second-hand Economy

Stretch Your Dollar – Second-hand Economy

3. I already have other monthly expenses. Can I still afford it?

Track your budget. Use a budget tracking app or even an excel spreadsheet to understand your financial standing. See how much you have left after your monthly expenses, borrowings and savings. Look at the amount at the end of the day and determine whether it is still advisable to buy it or to put off the purchase.

Make a budget. Always.

Make a budget. Always.

Here’s a quick video on managing your debt in Singapore.

4. How much should I borrow?

How much should I borrow

How much should I borrow

Always try to make a larger downpayment that you can afford or go with a repayment policy that is bigger and shorter within your means. Go for loan plans that can be paid off earlier than the set period so as to avoid incurring further interest on your debt.

Borrowings should always be kept within the repayment limits; too much or too little can be restricting in their own way.

5. How much do i have to pay every month?

To keep your financial status healthy, you should not fork out more than 35% of your gross income on your total debt that you have.

Balancing Your Debt Payment

Balancing Your Debt Payment – Ensure that you plan your debt repayment well against your income

6. How long will it take to pay off my loan?

Managing Your Loan Repayment Period

Managing Your Loan Repayment Period

The longer a loan period is, the more you end up paying. Ask for a comparison of loan tenures across different loan packages that loan companies offer. Look for the interest rates and cumulative interest rates as this will help you in making an informed choice to decide on a comfortable repayment period for your debt.

Ask the loan officers for a manageable repayment period within your means. Understand the different undertaking of each loan types from them too. Payday loans, personal loans, housing loan or even renovation loans are different terms that a loan officer will use. Choose one that best suits your situation.

Conclusion

The whole point here, is that we don’t think much about long-term aspects of our spending and hence make bad financial decisions that land us into debt. Always spend within your means.

Ask yourself repeatedly; Do i need this? Can I afford this? How can I pay for it?

Know your own financial ability and borrow the minimum you need. All these will allow you to have a peace of mind and be financially sound. And finally, always be prepared for life’s “What if’s”. Have emergency savings to fall back on to cover against life’s ups and downs.

References

 

Foreigner Loan Made Easy

Foreigner Loan – A Complete Guide

A guide to getting a Foreigner Loan

New to Singapore? Working in Singapore as a foreigner? Unfamiliar with financial terms and unable to secure a loan from the banks? In need of financial aid quickly?

Does any of these above mentioned sound like you? The good news is that in Singapore, it’s easy to get a foreigner loan to help you in times of financial crisis. There are a lot of licensed moneylenders and banks willing to speak to you on loan assistance. Most will be patient and will take their time to understand your situation and assist you.

For businesses like us, it’s better as most people will take debt more seriously in a foreign country. Hence this makes the application process simpler and easier.

Why would I need a Foreigner Loan

There are things that might crop up at the last minute. In Singapore, medical fees are expensive for foreigners and these are only minimally subsidized by the employer. As a foreigner, you pay lots more for medical services. There are also visa issues or legal fees that you might run into over the course of working in Singapore. Not to mention the escalating housing rental. All this takes up a toll on your salary and this is why most foreigners consider taking up a foreigner loan.

A 3 Minute Foreigner Loan Application Process Guide (Singapore)

In Empire Global we like things to be simple. Therefore, we have written up a complete guide for you to obtain a foreigner loan. At the same time you can apply online or call us and we would be most willing to listen and work out the details with you. Just post us questions on anything about loans or advice on repayment policies and we can consult with you. The charge? Free of course!

Basic Requirements required from Money Lenders

These are basic requirements that a licensed money lender would need. It would quicken the process if you are able to fulfil all the requirements. An employment letter plus a valid working pass or your own passport is the minimum for an application.

  1. Have a passport, work permit, valid E-Pass or an S-Pass (required)
  2. Has an appointment/employment letter sent from their company. (required)
  3. Have an existing residential tenancy agreement.
  4. Have PUB bills, phone bills or a tenancy agreement that reflects your salary.
  5. Obtain a bank statement for the past 6 months.
  6. Working in Singapore as a full time worker and obtain an employment letter.

Steps to getting a Foreigner Loan

  1. Get ready all the above requirements and documents
  2. Submit a loan application online with us
  3. Or Give us a call directly
  4. Wait for approval! Usually less than an hour

Our Empire Global Foreigner Loan Features

  1. We allow you to pay back your loans in monthly installment plans
  2. We have made packages, flexible to suit your every need or situation
  3. We have made easy structured repayment packages for you to understand
  4. An instant approval process once all the documents provided are approved
  5. Friendly bilingually* trained loan officers to assist you (Chinese and English)

As one of the leading and most trusted, licensed loan companies in Singapore, you can trust us on our reliability and service standards. Empire Global has the correct expertise and experience in helping you. Our personalized foreigner loan packages are made to suit you.

Satisfied Foreigner with their loan

Satisfied Foreigner with their loan

All you need to know about Pay day Loans

Payday Loan: Everything you need to know

Tight on cash this month? If you are, one option you may consider would be taking up a payday loan. A quick and fast cash loan subjected to your salary.

By definition, a payday loan is a short-term, unsecured loan. At times its referred to as “cash advance”. The interest rate is much higher in comparison to personal loan but the merit is that the loan is processed quickly and you so not have to give any security

Why people get A Payday Loan

Demand for payday loans have soared over the years due to the rapidly increasing cost of living and a non-existent rise in salary. Due to this worrying fact, more people are opting for payday loans and some are unable to repay them. We really do not want you to get caught in this debt trap so before you take a payday loan out, we want to be doubly sure that you understand what you are signing up for.

It helps to keep and maintain the basic needs that one may have. Not just that, life emergencies requires cash quickly. This is one of the many typical scenarios whereby a payday loan could really help you.

Many a times some of our customers got their loans from illegal moneylenders in Singapore who charge them extremely high interest rates. These unlicensed moneylenders target those who are desperate. Offering no obligations instant loans and take advantage of the borrower. These borrowers usually end up in higher never-ending debts.

Like always, we strongly advise you to get a loan from a licensed moneylender.

Basic Requirements for a payday loan?

Payday loan is our area of expertise. Empire Global specialises in payday loan and personal loans in Singapore. We do no judge base on race or nationalities when it comes to a payday loan.

So whether if you are a foreigner living in Singapore or a local, or just unfamiliar with the loan industry. Do no hesitate to drop us a call @ 6259 1883 or use our instant quote. Our loan officers will shortly attend to you in one hour.

Eligibilities
• Full time employment.
• Age above 21 years old and below 65 years old.
• You must be a Singaporean or Permanent Resident.
• Bankruptcy Do Not Apply.

Call us direct on any loan enquiries that you might have. We want you to make the correct decision. Do check out this guide provided by the Ministry of Law on borrowing from licensed money lenders.

What are the Advantages of a Payday Loan?

Loans differ on case by case basis. A personal loan might not be a right fit for you should you should you need advance cash faster. Basically there are 5 main advantages of a payday loan as compared to a bank loan.

1. Quick, fast, convenient. Payday loans are common in the market and the competition is high. There is a great variety of such short term loans and multiple offerings. Hence with a little bit of research and bargaining, you could get a better deal.
2. Payday loans are much easier to attain vs those by large financial institutions. Pay day loan serve as great alternatives to other loans provided by banks.
3. Smaller loan amount makes repayment much easier. Payday loans are kept small as they are meant to assist you in life emergencies. Essentials like keep your own house operating by paying for the multiple bills you have incurred. Smaller loans also allows affordable repayment options for many. This loan can be used for both businesses and personal transactions.
4. Lower qualifying requirements. As the amounts are smaller, the processes are far fewer. Most of the time cash advances are made accessible and transferred to the borrower’s account within a couple of hours.
5. Improves credit history. Payday loans are still loans. Since the loan amounts are smaller, it is easier to repay them. If you have previously failed to repay other loans, this is one of the easiest ways to improve your credit score ratings.

There are many cash loan and pay day loan located conveniently in Singapore. Once again we emphasize you to choose wisely on the money lender and loan plans that you intend to get. Great advice and guidance are some of the many things that our highly trained loan advisors take pride in. We always take time to assist you through when you apply for a loan or a non-obligationary quote enquiry.

We provide online application for pay day loans that are accessed and replied to you within an hour. Quick and great service is one of our promises.