Buzz
Fast unsecured loans are increasingly popular, saving time and costs for borrowers while enjoying favorable interest rates. So, what are unsecured cash loans? Where to borrow?
4 effective ways to obtain unsecured cash loans
I. Understanding Unsecured Loans: Benefits
Unsecured cash loans are a form of borrowing money without requiring collateral, increasingly offered by many banks. Banks rely on the credibility of customers rather than assets to approve loans.
Unsecured loans bring many benefits to customers:
- Simple and quick procedures, resolved within a short time frame, often within 24 hours.
- Enables you to fulfill your dreams.
- Provides financial stability for your lifestyle.
- Avoids the burden of high-interest loans.
- Enjoy preferential interest rates.
- Simply need your ID card and unsecured loan document without having to pledge any assets.
- Enjoy the benefit of no interest if you repay the loan before the due date.
- You can borrow a large amount if you have fully and punctually repaid previous loans.
II. How to Secure Unsecured Cash Loans? Which Banks?
Currently, there are 4 methods for obtaining unsecured loans such as salary-based loans, life insurance loans, etc. You can choose one of these methods to easily and quickly borrow money.
1. Salary-Based Loans
Borrowing unsecured cash loans based on salary with low interest rates is a very popular borrowing method nowadays due to simple procedures, preferential interest rates, and quick approval by banks.
Conditions for Cash Loans
- You are of working age, meaning you belong to the age group from 18 to 60 years old.
- You have a good credit history, with no outstanding debts to banks.
- Your monthly income is at least 3,000,000 VND, supported by either a bank statement or a salary confirmation letter for the last three months prior to borrowing.
Interest rates for unsecured cash loans vary depending on each bank but generally apply reducing balance interest rates:
- BIDV: The interest rate for unsecured loans is 11.9% per annum.
- Vietinbank: The interest rate for unsecured loans is 10% per annum.
- VPBank: The interest rate for unsecured loans is 1.33% per month.
- MB Bank: The interest rate for unsecured loans is 13% per annum.
- Vietcombank: The interest rate for unsecured loans is 15% per annum
2. Unsecured Cash Loans Against Vehicle Documents
If salary-based loans are not an option, you can consider borrowing against vehicle documents. You can use the registration papers of your motorcycle or car, which are in your name, to borrow money from banks if you meet the following conditions:
- Age requirement: 20 - 60 years old.
- Ownership of motorcycle or car registration papers.
- Vehicle value exceeding 15 million VND.
- Ownership duration of the vehicle: 4 to 30 months at the time of borrowing.
When borrowing using this method, many banks may conduct additional valuation steps to determine the loan limit. Interest rates for unsecured loans against vehicle documents offered by banks are highly competitive, ranging from 2 to 3.5% per month depending on the bank and vehicle value.
3. Unsecured Cash Loans Against Life Insurance Policies
Borrowing against life insurance policies is a popular option, offering loan amounts of up to 100 times the monthly premium without requiring any collateral or guarantor.
The interest rates for this borrowing method vary around 1.66% per month depending on each bank. To borrow unsecured cash loans against life insurance policies, you need to meet the following borrowing conditions:
- You are between 20 and 60 years old.
- You have a valid life insurance policy with a minimum term of 1 year.
- You are the policyholder named on the insurance contract.
- Monthly insurance premiums are at least 167,000 VND.
4. Unsecured Cash Loans Against Electricity Bills
In addition to the above 3 methods, you can also apply for unsecured cash loans using electricity or water bills. However, you need to meet the following conditions:
- Age requirement: 20 - 60 years old.
- You are the person named on the electricity bill.
- Electricity bill exceeding 300,000 VND per month for the last 3 months prior to borrowing.
Interest rates for borrowing against electricity bills vary from 2 to 3% depending on the bank.
III. Procedure for Unsecured Cash Loans
The procedure for borrowing unsecured bank loans includes the following steps:
Here are some ways to borrow money without collateral. We hope we have answered your questions. If you're unsure about this method, feel free to ask questions in the comments section below for Mytour to provide specific and detailed answers. Additionally, if you're interested in depositing savings in banks in Vietnam, be proactive in monitoring the interest rates of the banks you intend to invest in.
