Personal loans can provide you with the money you need. You can use the proceeds for various purposes, such as house renovation, vehicle financing, debt consolidation, and other emergency expenses.
The money you can borrow through a personal loan is larger than other loan alternatives, such as quick cash loans. However, be reminded that personal loans will ask for more requirements. Not to mention the credit evaluation that you need to hurdle.
We understand that the majority of employed Filipinos are busy. So, in times of financial constraints, visiting a bank to apply for a personal loan becomes a hassle.
Don’t worry, we will help you. We will share the top personal loans you can apply 100% online. Not only that. Our handpicked options have low interest rates and don’t require collateral.
Are you excited to know the best personal loans with 100% application in the Philippines?
Let’s cut the chase!
Let’s go!
Table of Contents
What is a Personal Loan?
A personal loan is a loan product wherein you can use the proceeds for various purposes. You can apply for personal loans to generate funds for home repair, buy a car, finance your dream wedding, etc.
Who Can Apply for a Personal Loan?
Employed and self-employed Filipinos can apply for personal loans. However, in this article, we will focus on personal loans tailored for employed individuals.
Since personal loans involve a significant amount of money, the requirements are not easy. Usually, banks and other financial institutions offering personal loans will ask for a certificate of employment (COE), valid ID, and payslips, among others.
Digital Bank, Traditional Bank, Online Banking
Personal loans are available in traditional banks, digital banks, and lending companies.
Unfortunately, some people get confused with the term’ digital bank.’ Without proper context, even those financial entities that should not be considered digital banks are regarded as such. We will make things clear here.
According to Bangko Sentral ng Pilipinas (BSP), a digital bank pertains to a bank, without a physical branch, offering financial services fully processed and operated online.
Based on the definition, we can conclude that some traditional banks branding themselves as digital banks are misleading the public. Again, according to BSP, a digital bank doesn’t have any physical office or branch.
Traditional banks providing various online services are actually employing the so-called online banking system. Online banking is different from digital banking. When you say online banking, you still need to visit a traditional bank to open an account. If you already have an account, that’s the time that you can avail of different online services.
Meanwhile, in legit digital banks, no bank visit is required. Remember, digital banks don’t have physical offices; hence, opening an account and all other transactions will be done online.
I hope the difference between a digital bank, a traditional bank, and online banking is clear now.
In this article, we will focus on personal loans offered by trusted financial institutions- disregarding whether they are digital or traditional banks.
Pros of Personal Loans
Lump Sum
Unlike credit cards or line of credit borrowing, personal loans give the loan proceeds in full. If you have an important project that needs more funding to complete, a personal loan can help.
Varied Use
Some loans are very specific, like OFW, Seafarer, and housing loans. But in personal loans? You can use the money for whatever reason you want. Debt consolidation, house renovation, and medical emergencies are some of the common reasons why people apply for personal loans. But then again, it’s up to you.
Builds Credit Score
Personal loans are perfect for employed individuals with high credit scores. Aside from the higher approval rate, better loan offers are also reserved for applicants with an indisputable credit history. How can personal loans help build your credit score? Your on time payments reflect your good paying habits, which banks and other lending companies will use as a reference.
Higher Loan Amount
Compared to quick cash loans, personal loans have higher loan amounts. In fact, if you’re eligible and can provide all the requirements, you can borrow millions of pesos.
Flexible Repayment
Depending on your preference, you can set the best repayment term for your personal loan. You can also select the most suited monthly amortization to ensure your budget will not be compromised.
No Collateral (Unsecured)
We recommend you apply for unsecured personal loans. Don’t worry; our list below will contain the best unsecured personal loans in the Philippines.
Why unsecured? Because this doesn’t require collateral, such as a car, home, or any other property. Without collateral, the lender cannot take anything from you if you fail to repay your loan. But this should not happen in the first place. As a responsible borrower, you should do your best to manage your financial obligations.
Non-predatory
Hidden charges, excessive processing fees, and extremely high interest rates- you can experience all of these in quick cash loans but not in personal loans. Banks, lending companies, and financial institutions offering personal loans are bound to follow the standards set by the BSP. With this, you’re safe from predatory lending practices.
Cons of Personal Loans
More Requirements
Compared to alternative loan products, personal loans will ask for more requirements. First and foremost, you should have a good credit score. You must also present valid IDs, payslips, and Certificate of Employment (COE). The list goes on, depending on which lending entity you want to apply.
High Interest Rates
While it’s true that applicants with outstanding credit scores can be entitled to a lower Annual Percentage Rate (APR), not-so-creditworthy applicants, on the other hand, are subjected to higher interest rates- like 50% to some extent. To avoid being trapped in personal loans with high interest rates, you must carefully check the loan’s terms and conditions.
Fees and Penalties
Aside from the interest rates, there are other fees that you need to shoulder in personal loans, including processing fees and origination fees.
Affects Credit Score
If you fail to pay your loan obligations, it will negatively affect your credit score. Banks and lending companies can quickly check your delinquent credit history via credit bureaus, such as the Credit Information Corporation (CIC).
When it’s Right to Apply for a Personal Loan?
You have a clear purpose- It’s definitely logical to apply for personal loans if you have a specific purpose in mind. For instance, if you want to renovate your house, then apply for a personal loan. If you want a new car, apply for a personal loan. What about during emergencies wherein you need a significant amount of money? The more that it is right to apply for a personal loan! The bottom line is that you should have a clear and sensible purpose for obtaining a personal loan. Otherwise, the money that you’ll get will just be wasted.
Requires a significant amount- It is not good to borrow money- let’s put that on record. But during emergency situations requiring a significant amount of money, applying for a personal loan is an intelligent decision.
You have a good credit score- People with good credit scores can apply for personal loans anytime they want. Why? Because they can pay the monthly amortizations without ruining their budget.
When it’s NOT Right to Apply for a Personal Loan?
Without a Purpose- Never consider personal loans if you don’t have a clear end goal. If you do, you’ll just be wasting your money and find yourself complaining about the monthly amortization that you need to pay.
Overspending tendency- If you know you’re not financially literate, don’t dare to apply for personal loans. Even if you have a clear goal at first, your overspending attitude will jeopardize all your plans. Ultimately, you’ll end up wondering why your money is all spent, and yet your project hasn’t started yet.
Can’t shoulder the monthly payments- We emphasized right from the get-go that this article will present the best personal loans intended for employed individuals. Why is that so? Because we fully understand that, in the Philippines, meeting both ends is a constant struggle. If you don’t have a stable job or if you’re just earning a minimal amount, personal loans are not for you!
Not urgent necessity- If you don’t need the funds immediately, don’t think about personal loans. Try to find other means to produce the amount that you need. Personal loans should be the last resort. Remember that if you borrow money from banks or lending companies, you’ll be obliged to shoulder many charges apart from the high interest rates.
Best Personal Loans for Employed Filipinos- 100% Online
1. CIMB Bank Personal Loan
Looking for an all-digital personal loan product to fund a major project? Apply for a CIMB Bank Personal loan. Only 10 minutes is needed to complete the entire loan application process. And guess what? CIMB offers up to ₱1,000,000 loan amount.
Eligibility/ Requirements:
- Applicant should be 21 years old and above
- Employed- should be tenured for at least 6 months (current employer), or with 1 year of continuous employment, except if working in the country’s top 15,000 corporations
- Self-employed are also welcome, provided their livelihood operates for at least 1 year
- With a minimum gross monthly income of ₱15,000
- Applicant should present a Philippine mailing address and use a Philippine-registered mobile number
- Must be a legitimate Philippine citizen and a non-US person
- Age must not be older than 65 upon reaching loan maturity
- Can present at least 1 valid ID
Loan Amount:
₱30,000- ₱1,000,000
Interest Rate:
As low as 0.83% monthly add-on rate (corresponding to 18% annual contractual rate) – still subject to risk assessment
Loan Term:
12- 60 months
Fees and charges:
- Documentary Stamp Tax- ₱1.50 per ₱200 loan (fraction of)
- Early Settlement Fee- 3% of the unbilled amount or ₱300 minimum, whichever is higher
- Late Payment Penalty- 5% of the unpaid installment due or ₱300, whichever is higher. (Note: Penalty charge will be computed based on the payment due date until full payment of the obligation)
- Disbursement Fee- None if disbursed via CIMB account; via other banks- 1% of the Principal Amount or ₱500, whichever is higher
Loan Application Turnaround Time:
10 minutes
2. Security Bank Personal Loan
If you’re looking for a personal loan with a bigger loan amount, Security Bank got you covered. Aside from the high loan amount, Security Bank Personal Loan also offers flexible repayment terms. If you’re cash-strapped, this is the best alternative you can resort to.
Eligibility/ Requirements:
- A Filipino Citizen
- At least 21 years old at the time of application and not more than 65 years old upon loan maturity
- Employed, with ₱15,000 (Metro Manila) or ₱12,000 (Outside Metro Manila) minimum gross monthly income. The minimum gross monthly income for self-employed is ₱100,000
- Must have an office or home landline
- 1 valid, government-issued ID with a photo
- Certificate of Employment and Compensation (issued within the last six months)
- Updated Income Tax Return (ITR)
- Latest payslip
Loan Amount:
₱30,000.00- ₱2,000,000
Interest rate:
As low as 2% monthly add-on rate
Loan Term:
12-36 months
Fees and charges:
- Processing Fee- ₱2,000.00 (deducted from the loan amount)
- Stamps- ₱1.50 for every ₱200.00
- Late Payment Fee- 3% of the total amount due or ₱500, whichever is higher
- Pre-termination Processing Charge- ₱2,500 (based on PN)
- Closure handling- ₱2,500
Loan Application Turnaround Time:
5-7 working days
3. CTBC Bank
Upholding its core values to provide caring, trustworthy, and professional services, CTBC Bank’s Salary Stretch Loan is another top-notch option.
Salary Stretch Loan is a short-term or mid-term, unsecured multi-purpose loan for employed and self-employed individuals.
Anyone currently employed for at least 6 months, and those particularly working in call centers, are eligible to apply for CTBC Bank’s Salary Stretch Loan. Self-employed individuals who can provide all the necessary documents can also avail of this loan product.
Since this article collates information about the best personal loans for employees, we’ll provide details intended for employed loan applicants. You can visit CTBC Bank’s official website to learn more if you’re self-employed, a doctor, or a consultant.
Eligibility/ Requirements:
For Salaried/ Employed
- A Filipino citizen
- With active home and office landline and/or cellphone number
- With at least 6 months of work tenure in the current employer or 2 years total work experience, including regular/ permanent employment
- At least 23 years old and not older than 65 upon loan maturity
- For bankers, a minimum ₱15,000 gross monthly income is required. Meanwhile, for Non-Bankers working within the Bank’s serviceable area, the required gross monthly income is ₱20,000
For employed in Call Centers
- A Filipino citizen
- With active home and office landline and/or cellphone number
- At least 1 year of work tenure under the current company or 2 years of total call center employment
- With at least ₱25,000 minimum gross monthly income and working within the Bank’s serviceable area
Loan Amount:
₱20,000- ₱1,000,000
Interest rate
1.39%- 1.79% monthly
Loan Term:
12, 18, 24, or 36 months
Fees and charges:
Processing fee- 0
Loan Application Turnaround Time:
1-5 banking days
4. BPI Personal Loan
Looking for a personal loan that offers a bigger loan amount? Well, settle with a BPI Personal Loan! Aside from the bigger loan amount, this loan product also implements low interest rates, collateral-free, and comes with minimal requirements.
The BPI Personal Loan is perfect if you need funds for school, travel, or anything you think is worthy. It’s available to employed and self-employed individuals.
Apply for a BPI Personal Loan today and take advantage of the flexible payment arrangements and hassle-free auto-debit scheme.
Eligibility/ Requirements:
- Valid, government-issued ID with photo and signature. Check out BPI’s official website to see the list of accepted IDs
- Payslips for the last 3 months or the latest Income Tax Return (ITR)/ BIR Form 2316
Loan Amount:
₱20,000- ₱3,000,000
Interest rate
25.60%- maximum Annual Contractual Rate (ACR)
Loan Term:
12- 36 months
Fees and charges:
- One-time processing fee- ₱1,500
- Documentary Stamps Tax- ₱1.50 for every ₱200 of the loan amount- only applies to loans above ₱250,000
Loan Application Turnaround Time:
5- 7 working days
5. UnionBank Personal Loan
This loan product is best if you want to open a business or renovate your home. Why? Because you can borrow up to 2 million pesos.
Your UnionBank Personal Loan application will be processed as fast as 5 minutes. And wait! There’s more! This loan offer comes with a super flexible repayment term of up to 5 years!
Eligibility/ Requirements:
- Applicant must be a Filipino residing in the Philippines. Local resident foreigners can also apply, provided they can present a valid Philippine billing address
- 21- 65 years old
- Must be a principal credit card holder
- With a Tax Payer’s Identification Number (TIN)
- ₱250,000 minimum gross annual income
- Latest 1 month pay slip. If two or more payslips are issued in a month, all of them must be submitted
- Certificate of Employment reflecting the salary issued within the last 2 months; or
- Latest Income Tax Return (ITR) with BIR stamp (ITR issued in 2020 will not be accepted )
Loan Amount:
Up to ₱2,000,000
Interest rate
26.9% Average Annual Contractual Rate (ACR)
Loan Term:
1- 5 years
Fees and charges:
- Disbursement Fee- ₱1,750 per disbursement
- Documentary Stamp Tax (DST)- ₱1.50 for every ₱200 of the loan amount
- Returned Check Fee- ₱1,500 for every bounced or returned check due to insufficient funds, stop payment order, uncollected deposits, erasures or alterations, and the like
- Closure Handling Fee- 4% of the outstanding principal component of the settled loan
- Monthly Late Charge- 6% of the overdue amount or ₱500, whichever is higher
Loan Application Turnaround Time:
As fast as 24 hours
6. Maya Bank Personal Loan
Maya Bank Personal Loan’s main pitch is to provide reliable assistance to fund big life decisions, which is true!
You can apply as much as ₱250,000 to cover school expenses, finance a home upgrade, expand a business, consolidate debt, and even buy high-end gadgets. You can propose any reason, while Maya’s role is to give the money in no time.
Eligibility/ Requirements:
- Filipino resident
- 21- 65 years old
- With an upgraded Maya account
- Actively using Maya in various transactions
Loan Amount:
₱15,000- ₱250,000
Interest rate
1.40% per month
Loan Term:
Up to 6 months
Fees and charges:
- Processing/ service fee- 0
- Documentary Stamp Tax- 0
Loan Application Turnaround Time:
Seconds
7. PSBank Flexi Personal Loan
PSBank Flexi Personal Loan is the country’s first and only non-collateral personal loan product with a revolving credit line and fixed term options.
If you’re a newbie, maybe you’re not familiar with revolving credit. Well, revolving credit is a type of credit without a fixed number of payments. This means the amount you can borrow may decrease or increase depending on how much you have repaid. It basically involves withdrawing, spending, and repaying cycle.
Meanwhile, if you opt for a fixed term loan, you must repay within a certain period.
Eligibility/ Requirements:
- A Filipino citizen residing in the Philippines
- 22- 54 years old upon filing the loan application
- Employed applicants should have at least 2 years of permanent work status and at least 1 year work tenure in the current employer
- Applicants running a business should be operating profitably for the last 3 years
- At least ₱15,000 gross monthly income if employed, ₱30,000 for self-employed
- Should have a residential/business landline or Philippine-registered mobile number and email address
- An active credit cardholder (preferably)
- Valid primary IDs
- Employed applicants should submit a Photocopy of BIR form 2316
- Self-employed applicants are required to submit a photocopy of BIR form 1701, Audited Financial Statements (with BIR stamps) for the past 2 years
- Credit cardholders need to submit an original copy of the latest credit card billing statement (the borrower should be the principal cardholder)
Loan Amount:
Up to ₱250,000
Interest rate
1.75% monthly add-on-rate (Fixed Term Loan)
2.5% monthly interest rate (Revolving Loan)
Loan Term:
24 or 36 months- Only applicable to fixed term loans
Fees and charges:
- Handling fee- 1% of the approved credit line or 1,500, whichever is higher
- Due date extension charge- The exact amount will be determined following the formula: Outstanding Balance x Rate x number of days/ 360
- Early settlement fee/ Pre-termination charges- 0
Loan Application Turnaround Time:
Within 3 days
8. UNO Digital Bank Personal Loan
Here’s a personal loan from a legit digital bank in the country. Dubbed #UNONow Loan, this particular loan product can give you as much as ₱200,000. And what’s even more enticing is that #UNONow Loan doesn’t require a guarantor or collateral.
Since UNO is a legitimate digital bank, the entire application process is done online. Once approved, the loan proceeds will be instantly credited to your UNO Savings Account.
Eligibility/ Requirements:
- A Filipino citizen
- Borrower should be at least 21 years old; not older than 65 years old upon loan maturity
- Residing and/or working within Metro Manila, Rizal, Cavite, Laguna, Pampanga, Bulacan, Batangas, Cebu, Iloilo, or Davao Del Sur.
- With ₱20,000 minimum gross monthly income
- UNO Savings Account holder
- Must be tenured for at least 6 months (employed)
- Business should be operating for at least 2 years (self-employed)
- With an active Philippine mobile number and email address
- 1 Valid ID- with photo, ID number, gender, civil status of the applicant
Loan Amount:
₱10,000- ₱200,000
Interest rate:
As low as 1.79% monthly add-on interest rate
Loan Term:
6- 36 months
Fees and charges:
- Processing Fee – ₱500 or 3% of the approved loan amount, whichever is higher (to be deducted automatically from the loan proceeds)
- Late Payment Fee – ₱500 or 5% of the unpaid installment, whichever is higher
- Loan Pre-termination Processing Fee – ₱300 or 3% of the unbilled amount, whichever is higher (only applicable on loans exceeding 30 days; free of charge for loans paid in less than 30 days)
Loan Application Turnaround Time:
Seconds
9. Metrobank Personal Loan
Looking for a personal loan offered by a reputable bank? You should apply for a Metrobank Personal Loan. Metrobank’s reputation remains rock solid. In fact, it bagged the ‘Best Bank in the Philippines’ award during the Euromoney Awards for Excellence 2022.
If you’re afraid of applying for personal loans due to safety concerns, Metrobank’s Personal Loan has got you covered.
Eligibility/ Requirements:
- Filipino citizen residing in the Philippines
- At least 21 years old, not older than 65 years old upon loan maturity
- ₱350,000- gross annual income
- Existing credit card holder
- Employed- at least 1 year of regular employment status under the current employer
- Self-employed- engaged for at least 2 years in the current business
- Duly signed Promissory Note and Disclosure Statement (PNDS)
- Valid government ID, bearing photo and signature
Loan Amount:
Up to ₱1,000,000
Interest rate
1.75% monthly add-on interest rate
Loan Term:
12- 36 months
Fees and charges:
- Disbursement Fee- ₱1,500
- Documentary Stamp Tax- ₱1.50 for every ₱200 of the loan amount (applicable only for loans above ₱250,000)
- Late Payment Fee- ₱850 per late payment or non-payment incidence
- Pre-termination Fee – ₱550 or 5% of the outstanding balance, whichever is higher
Loan Application Turnaround Time:
7 business days
10. Citi Personal Loan (Citibank)
Citibank’s personal loan product stands out from its competitors due to its fast approval process, high loan amount, and flexible repayment terms.
Citi Personal Loan is only available to existing Citi credit cardholders.
Eligibility/ Requirements:
- At least 21- 65 years old
- A Filipino citizen residing in the Philippines or a foreigner considered a local resident with a valid Philippine billing address
- With Tax Payer’s Identification Number (TIN)
- Principal credit cardholder
- ₱250,000- minimum gross annual income
- 1 valid government-issued ID with signature and photo
- 1 month pay slip issued within the last 2 months (Note: If two or more pay slips are issued in 1 month, submit all of them)
- Certificate of Employment (COE) reflecting the salary; must be issued within the last 2 months; or
- Updated ITR with BIR stamp
- For self-employed: Form 1701 (latest income tax return of your business); and
- Latest Audited Financial Statements (of the business), including independent auditor’s report, tax receipt with bank stamp, and balance sheets– all pages
- For foreigners: Valid passport or ACR and proof of local residency (check out Citibank’s official website to see the complete list of accepted local residency proofs)
Loan Amount:
Up to ₱2,000,000
Interest rate
26.9% Annual Contract Rate (ACR)
Loan Term:
1-5 years
Fees and charges:
- Disbursement Fee- ₱1,750 per disbursement
- Documentary Stamp Tax (DST)- ₱1.50 per ₱200 of the loan amount
- Closure Handling Fee- 4% of the unbilled principal component of the loan paid in advance
Loan Application Turnaround Time:
24 hours
Conclusion:
The best personal loans in the Philippines are in front of you. You have the power to select based on the details that we’ve presented. Use this article to find a personal loan product that is fair and humane enough.