Personal Loans
· You Fin Hub Editorial Team

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Debunking Personal Loan Myths: What You Need to Know

Uncover the truth about personal loans: discover real rates, terms, and eligibility criteria that can save you money.

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Quick Picks

Best for large amounts: RCBC Pasado Loan.
Best for freelancers: SB Finance Personal Loan.
Lowest add-on rate: UnionBank Personal Loan.

Dispelling Common Personal Loan Myths

Personal loans often come with a slew of misconceptions that can mislead borrowers. Understanding the truth behind these myths can help you make smarter borrowing decisions.

CTBC Bank Salary Stretch Personal Loan

Many believe international banks always have higher fees. However, CTBC Bank offers competitive add-on rates from 1.39% monthly with no separate processing charge, making it a strong option for those who want a balance of affordability and international backing.

Editor's Pick

UnionBank Personal Loan

Contrary to the myth that digital banks can't compete on rates, UnionBank proves otherwise with a 1.26% monthly add-on rate, the lowest among major Philippine banks. Its fully digital application process is a bonus for tech-savvy borrowers.

Lowest APR
Personal 25.0–36.0%

UnionBank Personal Loan

This loan is best for individuals seeking quick access to funds without collateral and who can meet the income requirements.

Amount ₱20k–₱2M
Term 12–60 mo
Decision 3-5 banking days

RCBC Pasado Loan

Thinking traditional banks are always safer? RCBC offers a wide loan range with terms up to 60 months, rivaling many big names. It’s perfect for those needing flexibility with large borrowing amounts.

Best for Large Amounts
Personal 19.0–34.0%

RCBC Pasado Loan

This loan is ideal for first-time borrowers who need quick access to funds without the burden of collateral, making it suitable for personal expenses like education or travel.

Amount ₱20k–₱5M
Term 3–60 mo
Decision 3-5 banking days

While these options might suit many, others may seek loans catering to less conventional profiles. The next set focuses on borrowers with unique financial needs.

Loans for Niche Borrowers

For freelancers or those with less stable incomes, finding a loan can be challenging. These options cater specifically to such needs.

SB Finance Personal Loan

For freelancers or self-employed individuals, SB Finance offers unsecured loans up to ₱3 million. Though it has a higher APR of 39.43%, it's accessible to those who might not qualify elsewhere.

Personal 39.43%

SB Finance Personal Loan

This loan is ideal for individuals looking to cover various financial needs like education, business, or debt consolidation, especially for credit card holders.

Amount ₱30k–₱3M
Term 12–36 mo
Decision 1-3 business days

Tonik Quick Loan

If you need a high loan ceiling and extended terms, RCBC Pasado Loan offers up to ₱5 million with competitive rates starting at 1.30%. Ideal for those looking for both flexibility and size.

Best for Large Amounts
Personal 6.0%

Tonik Quick Loan

Filipino citizens aged 21-55 with a minimum credit score looking for short-term personal loans.

Amount ₱5k–₱50k
Term 6–12 mo
Decision Instant in-app

BPI Personal Loan

Existing BPI clients benefit from streamlined processes and competitive rates starting at 1.20% monthly. Perfect for those who already bank with BPI and want no collateral requirements.

Editor's Pick
Personal 25.03–28.67%

BPI Personal Loan

This loan is best for individuals with high credit scores seeking substantial amounts, up to ₱3 million, for various personal needs.

Amount ₱20k–₱3M
Term 12–36 mo
Decision 2-3 banking days

Metrobank Personal Loan

Metrobank's offering is compelling for those who prefer a major bank. With rates as low as 1.25% for longer terms, it's for those who appreciate branch access and established networks.

Personal 25.98–36.74%

Metrobank Personal Loan

This loan is ideal for those with a strong credit profile seeking funding for personal ventures such as education, travel, or other milestones.

Amount ₱20k–₱2M
Term 12–36 mo
Decision 7 banking days

BDO Personal Loan

BDO stands out for its predictable costs with an ACR range of 25.98-26.76%, ideal for those valuing stability and the largest branch network in the Philippines.

Personal 25.98–26.76%

BDO Personal Loan

This loan is best for individuals looking for significant funding up to ₱2 Million with manageable repayment terms.

Amount ₱10k–₱2M
Term 6–36 mo
Decision 5-7 banking days

What actually matters when choosing a personal loan? It's not just about finding a low rate. Consider the overall cost, flexibility, and how the loan fits your financial situation. These debunked myths should help guide your decision.

Rates and terms shown are representative. Your actual rate depends on your credit profile and circumstances. This is not financial advice — always read the lender's terms before applying.

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Personal 25.98–26.76%

BDO Personal Loan

This loan is best for individuals looking for significant funding up to ₱2 Million with manageable repayment terms.

Amount ₱10k–₱2M
Term 6–36 mo
Decision 5-7 banking days
Personal 6.0%

Tonik Quick Loan

Filipino citizens aged 21-55 with a minimum credit score looking for short-term personal loans.

Amount ₱5k–₱50k
Term 6–12 mo
Decision Instant in-app
Personal 39.43%

SB Finance Personal Loan

This loan is ideal for individuals looking to cover various financial needs like education, business, or debt consolidation, especially for credit card holders.

Amount ₱30k–₱3M
Term 12–36 mo
Decision 1-3 business days
Personal 19.0–34.0%

RCBC Pasado Loan

This loan is ideal for first-time borrowers who need quick access to funds without the burden of collateral, making it suitable for personal expenses like education or travel.

Amount ₱20k–₱5M
Term 3–60 mo
Decision 3-5 banking days
Personal 25.98–36.74%

Metrobank Personal Loan

This loan is ideal for those with a strong credit profile seeking funding for personal ventures such as education, travel, or other milestones.

Amount ₱20k–₱2M
Term 12–36 mo
Decision 7 banking days
Personal 25.03–28.67%

BPI Personal Loan

This loan is best for individuals with high credit scores seeking substantial amounts, up to ₱3 million, for various personal needs.

Amount ₱20k–₱3M
Term 12–36 mo
Decision 2-3 banking days
Personal 25.0–36.0%

UnionBank Personal Loan

This loan is best for individuals seeking quick access to funds without collateral and who can meet the income requirements.

Amount ₱20k–₱2M
Term 12–60 mo
Decision 3-5 banking days