PRIVATE HIRER LOAN IN SINGAPORE: WHAT IS IT AND HOW TO APPLY
If you’re thinking of becoming a private hire driver, but lack funds to start, getting a private hirer loan may be the right solution for you.
Nowadays, more and more Singaporeans as well as permanent residents (PRs) are turning to being a private hire driver to generate income.
Statistics show that as of September 2020, there are about 25,000 private hire drivers in Singapore, more than the number of taxi drivers, which counts around 15,000.
While it is relatively easy to sign up on the Grab platform or other similar ones and start your gig as a private hire driver, you do need to rent or purchase a car if you don’t already own one.
And if you’re low on funds to get a vehicle for your private hire driving, then your next step is probably to consider getting a private hirer loan.
What is a private hirer loan?
This is a specific type of loan that is undertaken by individuals who want to be a private hire driver but lack the upfront money to pay for capital commitment such as downpayment for a car purchase, or the security deposit of a rented car.
Why is the private hirer loan useful?
Being a private hire driver can be a good way to earn a living fairly quickly, which probably explains why there has been a surge in number of people becoming private hire drivers in recent years.
However, just like any other independent business (a private hire driver is considered as a self-employed person), it takes some money to start one. And it is no different in this case.
Unless you already own a vehicle suitable for private hire driving, the most obvious financial commitment is that of buying or renting a car.
If you’re lacking the money to finance the purchase or initial rental costs, having a private hirer loan to cover this outlay can be instrumental in helping you get this gig off the ground.
Using a private hirer loan allows you to get started without an immediate significant dip in your financial reserves and gives you more time to focus on your driving, so that you can earn back more to repay the loan and then some.
When should you get a private hirer loan?
To take out a loan or not boils down to whether or not you are in urgent need to start plying the roads as a private hire driver.
If there is an immediacy to your intentions, and you’ve also planned out how to earn enough back to service the loan and leave a comfortable amount for yourself, then it is worthwhile to apply for the loan.
Where can you apply for a private hirer loan?
One of the best avenues to get a private hirer loan is from a licensed moneylender.
The good thing about getting a loan from a money lender is that the terms are usually more flexible and negotiable compared to those of banks, and that you tend to get your money faster once your loan application is approved.
Where to find the best private hirer loans
You can do a search on Google and go from one moneylender website to another and learn about the types of personal loans they offer, and the terms that come with those loans. You can also call them up one by one and ask.
A better and easier solution would be to use a quote aggregation platform such as Loanhere.
With a simple enquiry request, Loanhere will generate your customised loan quotes from a curated selection of the best licensed moneylenders in Singapore and send them straight to your email almost instantly.
If you’re looking to apply for a private hirer loan, get a quote now.