Trust Bank Instant Loan Review 2024 — Low Interest Rate And Instant Application

Trust Bank Instant Loan Review 2024 — Low Interest Rate And Instant Application

Would you put your trust in Trust? The local digital bank is backed by a partnership between Standard Chartered Bank and FairPrice Group, so it’s safe to say that it’s not going to disappear with our money.

Which means taking a loan from it should be ok… right? Well, with loans, it all depends on what you need a loan for, any fees to pay, and how much you can pay back, with interest. Let’s see how Trust Bank’s Instant Loan fares.

Trust Bank Instant Loan application criteria

Before we go into what’s different, here’s the eligibility criteria:

  • Be a Singaporean citizen or permanent resident
  • Be age 21 to 65 years old
  • Have a minimum annual income of $30,000

Sounds pretty easy but we’re not sure why the age limit cap is there. Do they doubt your ability to repay the loan if you’re older?

As its name suggests, the Instant Loan is really instant. Trust Bank claims that you can get the loan in just 60 seconds, which is basically immediately. (Although, we all know how long 60 seconds can be if you’re doing a plank).

You’ll need to apply for a Trust credit card first though—but that’s no issue as it takes less than 3 minutes. Only if the bank needs more clarification from you, then the application process may take up to 3 working days.

The loan amount that you get will be from your unused credit card limit, which can be converted into cash. According to Trust, “The bank will convert a portion of your Trust credit card available balance into cash, which will be deposited into your savings account”.

Those who already have a Trust savings account and credit card can get the loan in 60 seconds.

Once you apply and choose how much you want to loan (minimum $500 up to the available credit limit on your card), you can also choose the tenure you want to repay the loan, up to 60 months.

Trust also says there are no processing or hidden fees.

Trust Bank Instant Loan interest rate (2024)

Starting from 2.87% p.a. (EIR 5.41% p.a.), the interest rate for Trust Bank’s Instant Loan is one of the lowest out there. In comparison, the next highest personal loan interest rate in the market is 2.88%, offered by UOB, DBS and Standard Chartered.

Trust Bank logo

Per Month

S$2,200

Per Month
MoneySmart Exclusive
Interest Rate*
EIR: From 5.27%
From 2.79%
Total Amount Payable
S$52,790
Processing Fee
S$0
Per Month
S$2,200
MoneySmart Exclusive:

Get up to S$900 Cash via PayNow when you apply for a Trust Instant Loan through MoneySmart! T&Cs apply.
 
PLUS get up to S$70 FairPrice E-Vouchers from Trust when you sign up with the referral code MONEYSMT. T&Cs apply.

Valid until 31 May 2024

If you borrow $50,000 and want to repay it within 24 months (2 years), your repayment works out to around $2,202.92 per month at an interest rate of 2.87% (EIR 5.43% p.a.).

Note that 2.87% is just the simplified version. The actual interest rate offered to you will differ based on the loan amount, tenor selected and your risk profile.

Use Trust Bank’s handy calculator which you can play with to see how much interest you’ll need to pay based on the amount you want to borrow and tenure.

What’s the difference between interest rate and EIR you ask? The EIR is the actual interest you’ll be paying on your loan.

Trust also says you can save on your interest when repaying your loan early, BUT they charge a 3% early repayment fee on your outstanding principal amount when you do so. You can easily see on the Trust app your loan instalment left and how much interest you can save if you repay it early.

Trust Bank Instant Loan promotions

Trust Bank currently has no promotions on its website, unfortunately.

But the low interest rate is quite a draw. Plus, when you apply through MoneySmart, you’ll be able to get a cash incentive from $50 up to $900 based on the amount you loan.

Trust Bank Instant Loan vs POSB, DBS, OCBC, UOB

The main benefit of Trust’s instant Loan seems to be the low interest rate and no annual fees. However, it’s still best to compare with other bank loans to see which is most suitable for your needs.

POSB logo

Per Month

S$439

Per Month
Online Promo
Interest Rate*
EIR: From 5.43%
From 2.68%
Total Amount Payable
S$10,536
Processing Fee
From 1% of Approved Loan Amount
Per Month
S$439
OCBC logo

Per Month

S$462

Per Month
Interest Rate*
EIR: 12.11%
5.42%
Total Amount Payable
S$11,084
Processing Fee
S$100
Per Month
S$462

Compare all the best personal loans

No matter what, don’t rush into a loan! Think carefully about what you need the money for. Even if the interest rate seems tempting, avoid borrowing for wants such as holidays or fancy items.

Loans are best for expensive necessities, and only if you’re sure you can repay them. This means having a steady income and a stable job. Remember, loans always involve interest, so you’ll end up paying back more than you borrowed.

Think that a loan is the way to go for your needs? Check out MoneySmart’s personal loan comparison page to find the best interest rates from Singapore banks.