Clementi Moneylender | Synergy Credit

How to enhance your savings instead of leaving them in a bank

Man in white shirt holds jar full of golden coins in his palm in Singapore

Have you ever considered how a loan from a licensed money lender in Singapore can actually help you make money? If you have been relying on just your savings, it is time to rectify that mistake.

The term ‘savings account’ itself is somewhat of a misnomer. While you are saving your money and stashing it away in a bank account, inflation and other factors are eroding its real-world value. If you aren’t already, it is time for you to not just continue saving but learn how to grow your wealth.

Here are some popular and highly effective ways that a money lender loan in Singapore can help you make more money than the interest on a savings account.

1. Online Bank Accounts

An ‘online bank’ is self-descriptive; it exists only as an online institution without the bricks and mortar branches and ATMs of traditional banks. Because they forego these additional facilities, they also save on major expenses such as big staff salaries, utilities, and rent.

These savings are directed into paying their clients higher interest on their accounts. Depending on the online bank, interest rates can be double or triple what a traditional bank pays. It is almost like placing a fixed deposit with your regular bank but without the penalties for early withdrawal.

If you have a large sum of money that you expect not to touch but would like to earn a higher rate of interest, consider a loan from a licensed money lender in Singapore to open an online bank account.

2. Cryptocurrency

Crypto has become one of the most popular investment alternatives to traditional shares and stocks over the past decade. Besides the massive potential for profit, investors are also drawn to its relative independence from government regulations and manipulation.

To understand the massive power of cryptocurrencies, consider Bitcoin, the world’s first crypto and still the leader in market capitalisation. If you had approached a money lender for an SG$850 (US$627) loan in July 2016 to buy one Bitcoin token, that investment would be worth SG$45,600 (US$33,746) today (July 2021). That is a profit of over 5,300%.

In early 2021, another cryptocurrency, Dogecoin captured the market’s attention and saw a steep climb in value. Investors who got in early made massive profits, much more than the interest charged by any licensed money lender in Singapore.

3. High-Dividend Stocks

Investing in stocks is more than just comparing buy and sell prices; you should also consider including companies that pay high dividends in your stock investment portfolio.

Dividends are a share of a company’s profits that are not reinvested in the company but paid out to its shareholders. The decision to do this and the volume of dividend paid is at the sole discretion of the company’s board. 

Some companies have a track record of paying good dividends even when they are not making huge profits. What this does is grow your investment regardless of how the markets are performing. 

Remember, dividends are given out in addition to any rise in stock value. The interest rate on your loan in Singapore could be less than the profit you earn through these dividends simply for holding a stock.

4. Invest in Yourself

Most of us forget that the asset that we have the most control over is also the one that can generate the greatest profits: ourselves!

The most obvious way to invest in yourself is through education. Gain relevant specialised knowledge through tertiary or technical courses relevant to your profession. Whether you are a skilled worker, unskilled worker, or professional, employers always consider such work-related credentials when hiring or promoting. The money you stand to earn far outstrips the interest rate on any regular bank account.

Upskilling and education also give you a strong foundation if you intend to start your own business or expand a current one. Most legal money lenders in Singapore have specific loans for education courses as well as business-specific options. Talk to them and find out how they can help you invest in yourself. 


Contrary to popular belief, a loan from a licensed money lender can be an asset if you invest it properly. All licensed lenders loan Singapore citizens and legal residents money in accordance with their credit score. If your finances are stable, you should consider an investment loan as an alternative to just leaving your savings in the bank.

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