Compare Personal Loans in Philippines

Live offers

18 live offers compared from 15 providers. Updated daily.

What are personal loans in the Philippines?

A personal loan is an unsecured sum you borrow from a bank or licensed lender and repay in fixed monthly instalments over an agreed term, without putting up your home or car as collateral. Filipinos use them to consolidate credit-card balances, fund medical costs, home improvements, tuition or major purchases, and to smooth out large one-off expenses. Because there is no security backing the loan, approval rests on your income, credit history and ability to repay, and the interest is higher than on a secured loan. The amount you can borrow, the term and the rate vary by lender, and the total cost depends heavily on how the interest is quoted — an area where Philippine borrowers need to read carefully before signing.

How the Philippine market works

Personal loans are offered by universal and commercial banks and by regulated fintech lenders. Banks such as BDO, BPI, Security Bank, UnionBank, EastWest, CIMB Bank and HSBC Philippines assess applicants on income documents, employment and credit standing, and disburse to your account once approved. Alongside them, app-based lenders like Cashalo provide smaller, faster online loans. A crucial local quirk is how interest is presented: many lenders advertise a monthly add-on rate, which is calculated on the original principal for the whole term rather than the declining balance. This makes the effective interest rate considerably higher than the add-on figure suggests, so comparing the true cost — not just the advertised monthly percentage — is essential when choosing between offers.

Benefits

No collateral required — you borrow on the strength of your income and credit standing, without risking your house or vehicle.

Fixed, predictable repayments — a set monthly instalment over a defined term makes budgeting straightforward compared with revolving credit.

Debt consolidation — combining several high-cost balances into one loan can simplify payments and, if the rate is lower, reduce total interest.

Fast access for emergencies — banks and app lenders can approve and disburse quickly, useful for urgent medical or family costs.

How to choose

Do not compare loans on the advertised monthly add-on rate alone — ask for the effective interest rate and, ideally, the total amount you will repay over the full term, because add-on quoting understates the real cost. Weigh the processing fee, any early-settlement penalty and the loan term: a longer term lowers the monthly payment but raises total interest. Check the eligibility requirements and required documents, and borrow only what you can comfortably repay from your monthly income. If you use an app-based lender, verify it is properly registered before sharing personal or contacts data. Finally, compare a couple of banks against a fintech offer, since bank rates are often lower for salaried borrowers with good records.

Leading providers in the Philippines

Major banks dominate the personal-loan market: BDO Unibank, BPI, Security Bank, UnionBank, EastWest, CIMB Bank and HSBC Philippines all offer unsecured personal loans, typically to salaried or self-employed borrowers who meet income thresholds. CIMB Bank is notable for a fully digital application through its app, while the larger branch-based banks like BDO and BPI serve wide customer bases. On the fintech side, Cashalo provides app-based loans for smaller, shorter-term needs. Bank loans generally carry lower rates and larger limits for qualifying borrowers, whereas app lenders trade higher cost for speed and lighter requirements — so match the lender to your amount, urgency and credit profile.

What it costs

Personal loans are usually priced with a monthly add-on interest rate applied to the original principal, plus a one-time processing fee and sometimes documentary charges. Because the add-on rate ignores the fact that you are paying down the balance each month, the effective annual rate is meaningfully higher — often close to double the simple annualised add-on figure. There may also be penalties for late payment and, in some cases, for settling early. To judge true cost, focus on the total repayment amount over the term rather than the monthly percentage. App-based loans tend to cost more than bank loans for the convenience and lighter checks, so the same peso amount can carry very different total costs.

Protections and regulation

Banks offering personal loans are supervised by the Bangko Sentral ng Pilipinas (BSP), while online lending apps and financing companies must be registered with the Securities and Exchange Commission (SEC) — an unregistered lending app is a serious red flag. The Truth in Lending Act requires lenders to disclose the finance charges and effective cost of credit so you can compare fairly, so insist on seeing the effective interest rate and total repayment. Regulators have also acted against abusive collection practices and unauthorised access to borrowers' phone contacts by rogue apps. Borrow only from BSP-supervised banks or SEC-registered lenders, read the disclosure statement, and keep your loan agreement and receipts.

Common questions

Why is the effective rate higher than the advertised rate? Because many lenders quote a monthly add-on rate on the full original principal, ignoring that your balance falls each month — so the true effective interest is considerably higher. Always ask for the effective rate. Do I need collateral? No, personal loans are unsecured; approval depends on your income and credit standing. Are online lending apps safe? Only if they are SEC-registered — avoid any app that is not, especially those demanding access to your contacts. Can I settle early? Often yes, but check for pre-termination penalties, as some lenders charge them.

Personal Loans in Philippines — FAQ