If you are considering taking out a personal loan to go on vacation, please close this browser window and slowly walk away from the computer. Personal loans are not meant to be a quick fix for your cash flow problems and should never be used to pay for anything that is not an emergency or a necessity.
However, if you are facing something that counts as an emergency – for example, a medical emergency or an urgent home repair, and you really don’t have the money for it, a personal loan can be an alternative to low interest rate credit card debt. .
So, let’s take a look at the Citi Quick Cash personal loan to see what it entails and what factors you need to consider, including interest rates, repayments, and more.
By the way, this is only a review, not an advertisement, so you should always compare personal loans between different banks such as popular DBS and POSB personal loans, OCBC personal loans and UOB personal loans before deciding which one to sign up for. for.
Citibank Personal Loan Application Criteria
Citi Quick Cash is a little different from your regular personal loan. It’s for people who have a Citi Credit Card or Citi Ready Credit account and haven’t used all the money in their credit limit. Citi Quick Cash allows them to convert this available credit limit into cash, at lower interest rates.
If you do not already have a Citi Credit Card or Citibank Ready Credit, you will need to obtain one or the other first before you can access Citi Quick Cash.
Additionally, you must meet the following annual income requirements to qualify for Quick Cash:
- Singapore citizens and PR: $30,000
- Foreigners: $42,000
Citi Personal Loan Application and Approval Time
Before making your request, you can check your potential monthly repayments on the Citi Quick Cash Loan website. On the Loan Calculator, you can also select the reason you are borrowing money. (If you selected “branded luxury” or “vacation,” do yourself a favor and forget about taking out the loan.)
You can also use the MoneySmart Personal Loan Comparison Page to get a quote and at the same time compare with other banks.
To request Quick Cash, existing Citibank customers can go through the Citibank mobile app.
For non-Citibank cardholders, you must first register for a credit card. If so, I suggest applying for your card at MoneySmart to take advantage of our exclusive promotions.
Current Citi Credit Card holders and Ready Credit account holders do not need to provide any documents.
For new Citibank customers applying for a Credit Card or Ready Credit, you can apply online with the following documents:
- NRIC or Passport
- CPF statement for the last 12 months submitted via the CPF website OR last tax notice and last computerized payslip (for employees and all foreigners)
- Income tax notice for the last two years and bank statements for the last three months (for the self-employed)
- Employment Pass (foreigners only)
For existing Citibank customers who submit a request through the Citibank mobile app, approval is instant.
For new Citibank customers, approval may take three to five business days.
READ ALSO : Citi to sell its Southeast Asia retail business in $5 billion deal to Singapore’s UOB
Citibank QuickCash Personal Loan Interest Rate (2022)
Citibank does not publish its interest rates transparently on its site, which is a major annoyance.
You can only see the actual interest rate you will get when you apply for the loan.
The website says rates go down as low as 3.45% per annum, which equates to an effective interest rate (EIR) of 6.5%. But these lowest interest rates are usually reserved for wealthier customers, such as those with annual incomes of at least $120,000.
Citibank Personal Loan vs DBS, POSB, OCBC, UOB Personal Loan Interest Rates
For purposes of comparing the Citibank loan with those of the three local banks, consider the hypothetical example of a person taking out a $10,000 loan, repayable over three years.
Assuming that person is a Singaporean or a PR earning $2,500 per month, here’s what the interest rates might look like:
|Interest rate||RIE||Monthly payment||Total amount to pay|
As you can see, in this particular example, Citi Quick Cash is actually quite competitive against the three local banks, with only UOB being slightly cheaper.
Citibank Quick Cash Personal Loan Promotions
In the spirit of sharing the lobangs, here are the current Citibank promotions to watch:
- MoneySmart Promotion: New Quick Cash loan customers receive $150 + $400 cash through PayNow when they apply for Citi Quick Cash via MoneySmart. Valid until April 30, 2022.
- Citibank Mobile App Promotion: Get $50, $150 or $450 GrabFood vouchers. Valid until May 31, 2022.
Be careful with personal loans
Despite what the banks’ marketing slogans might have you believe, personal loans are NOT a convenient band-aid to all your money troubles, allowing you to afford all the vacations and shopping sprees you desire.
In fact, it’s best to avoid personal loans unless you absolutely need to spend the money and your only other option is to go into credit card debt. Some examples of needs are: emergency medical care, your child/parent/pet becomes ill, your window or front door is broken, or your refrigerator is broken.
For anything less urgent or less necessary, give yourself time to save up rather than go into debt.
READ ALSO : Citi, Fave, convertCASH: New BNPL Players Enter Singapore Market (July 2021)
This article was first published in MoneySmart.