How Much Can You Borrow in Singapore? MAS Rules Explained Simply
Please note: Costs, loan amounts, tenures and timelines mentioned here are indicative estimates based on publicly available information at the time of writing. Your actual figures depend on the licensed lender's assessment of your profile and prevailing MAS rules.
Before applying for any loan in Singapore, it's worth knowing how much you can realistically borrow. Rules from the Monetary Authority of Singapore (MAS) cap unsecured credit across all banks, and each lender applies its own assessment on top. This guide explains both.
Key takeaways
- Total unsecured credit facilities across all banks are capped at 12× your monthly income (MAS rule).
- Licensed moneylenders assess separately from banks and typically cap at 6× monthly income for those earning above S$20,000/year.
- Individual bank approvals also depend on your commitments, credit history and employment.
- Just because you can borrow up to the cap doesn't mean you should — always keep repayments comfortable.
The MAS 12× cap on unsecured credit
MAS limits your total unsecured credit facilities from banks and card issuers to 12× your monthly income. This includes personal loan balances and card outstanding across every bank in Singapore.
If you exceed this cap for three consecutive months, banks cannot extend new unsecured facilities to you until you bring the total back within the limit.
How lenders assess capacity individually
Beyond the MAS cap, each lender assesses your monthly ability to repay. They consider existing card and loan repayments, dependants and stability of income. Two applicants at the same salary can be offered very different amounts.
For home loans, the Total Debt Servicing Ratio (TDSR) framework caps total monthly debt repayments — including the new mortgage — at 55% of gross monthly income.
Helpful next steps
Illustrative unsecured borrowing capacity (MAS 12× cap)
| Monthly income | Max total unsecured credit | If you already owe S$X, new headroom |
|---|---|---|
| S$2,500 | S$30,000 | S$0 owed → S$30,000; S$10,000 owed → S$20,000 |
| S$4,000 | S$48,000 | S$0 owed → S$48,000; S$15,000 owed → S$33,000 |
| S$6,000 | S$72,000 | S$0 owed → S$72,000; S$30,000 owed → S$42,000 |
| S$10,000 | S$120,000 | S$0 owed → S$120,000; S$50,000 owed → S$70,000 |
The 12× cap is a regulatory maximum. Individual lenders may offer less based on their own assessment.
Bank vs licensed moneylender caps
| Item | Banks | Licensed moneylenders |
|---|---|---|
| Regulator | MAS | Ministry of Law |
| Total unsecured cap | 12× monthly income | S$3,000 (income <S$10k) up to 6× monthly income (income ≥S$20k) |
| Interest cap | No statutory cap; competitive market | 4% per month, cap applies to all charges |
| Late fee cap | Bank-specific | S$60 per month; capped total |
Refer to MAS and Ministry of Law for the latest official limits.
Step-by-step
- 1
Add up your current unsecured debt
Include every credit card balance and personal loan across all banks.
- 2
Calculate your 12× ceiling
12 × your monthly income. Subtract current balances to see remaining headroom.
- 3
Estimate a comfortable monthly repayment
A safe rule of thumb: total debt repayments (excluding home) should not exceed 20–30% of income.
- 4
Match tenure to purpose
Longer tenures reduce monthly instalments but increase total interest paid.
- 5
Compare offers before applying
Get multiple indicative offers to see the actual amount each lender is prepared to offer at what rate.
Real Singapore examples
Under the cap
A borrower earning S$5,000/mo has S$18,000 in card balances. Their MAS cap is S$60,000. Headroom is S$42,000. They apply for a S$25,000 personal loan and it fits comfortably.
At the cap
A borrower earning S$3,500/mo has S$40,000 spread across cards and existing loans. Their MAS cap is S$42,000. Any new bank facility is unlikely until they reduce existing balances.
Examples are illustrative only and may not reflect your individual outcome.
Frequently asked questions
OneCompare is a licensed comparison and referral service. Figures shown are indicative and depend on lender assessment — no approval is guaranteed. Compare offers, apply when you're ready, or chat with our team on WhatsApp.
Loan approval, loan amount and terms are subject to the lender's assessment and applicable requirements.
Reviewed by the OneCompare Editorial Team
Our editors cross-check every article against Singapore's Moneylenders Act, MAS advisories and Ministry of Law guidance. Articles are refreshed on a rolling schedule so figures and rules stay current — if you spot anything out of date, please let us know.