CashOne Personal Loan: Worth the Cashback?

The Quick Version

The Standard Chartered CashOne Personal Loan promises low interest rates starting at 1% p.a. and enticing cashback offers up to S$7,500. But watch out for the S$199 first-year annual fee that skews the Effective Interest Rate (EIR) to 1.94% p.a. It's a decent option for those with strong credit profiles looking for significant loan amounts.

What You Get

With the CashOne Personal Loan, you can borrow between S$1,000 and S$250,000. The advertised interest rate starts at 1% p.a., but the EIR, which includes a S$199 annual fee, kicks off at 1.94% p.a. Expect monthly repayments of around S$1,225.00 for a S$70,000 loan over five years. The loan also comes with a cashback offer up to 3%, depending on the loan amount and whether you're a new or existing cardholder.

What's Actually Good

The cashback offer is the standout feature here, with up to S$7,500 available for loans starting at S$70,000. This is particularly advantageous if you're already planning on borrowing large sums. The low starting interest rate of 1% p.a. is also competitive, if you qualify for it.

• ✅ Up to 3% cashback on approved loans
• ✅ Low starting interest rate at 1% p.a.
• ✅ High loan amounts up to S$250,000

The Catch

The Effective Interest Rate (EIR) is more telling than the flat rate, and it starts at 1.94% p.a. due to the S$199 annual fee. Additionally, the cashback offer only applies to loans above S$18,000 and for tenures of three to five years, limiting flexibility. If you're not planning to borrow a large amount, the benefits shrink considerably.

• ❌ S$199 annual fee impacts EIR
• ❌ Cashback only for loans above S$18,000
• ❌ Limited flexibility in loan tenure

Who Should Apply

This loan is best suited for individuals with a solid credit score who need a large sum, ideally over S$70,000, and who can benefit from the cashback offer. If your credit is less than stellar or you need a smaller amount, consider alternatives like HSBC's Personal Loan, which offers more flexibility in loan amounts and tenures without the hefty fees.

The Bottom Line

If you have a strong credit profile and need a large loan, the Standard Chartered CashOne Personal Loan offers competitive rates and attractive cashback. But for smaller loans, the fees might outweigh the benefits. Weigh your options, especially if your borrowing needs are more modest.