How to Get a Loan Without Collateral in the Philippines

Many Filipinos hesitate to apply for loans because they worry about pledging property, vehicles, or other assets as security.

The good news is that today, you can get a loan without collateral in the Philippines through a variety of providers.

These are known as unsecured personal loans and are designed for borrowers who need funds but don’t want to risk their possessions.

What Is a Loan Without Collateral?

A loan without collateral, also called an unsecured loan, does not require you to pledge any asset to the lender. Instead of relying on property or guarantees, lenders evaluate your income, credit history, and financial stability to decide whether you qualify. While these loans may have higher interest rates compared to secured loans, they offer speed, convenience, and peace of mind.

Who Offers Loans Without Collateral in the Philippines?

Several providers make unsecured loans accessible to Filipinos:

• Banks:
  • BDO, BPI, Metrobank, UnionBank, and Security Bank offer personal loans without collateral.
  • These are ideal for higher loan amounts with structured repayment terms.
• Government Programs:
  • SSS Salary Loan, GSIS Loan, and Pag-IBIG Multi-Purpose Loan are available for members.
  • These are unsecured and often come with lower interest rates compared to banks.
• Loan Apps and Fintech:
  • Cashalo, Tala, Digido, JuanHand, and Home Credit provide fast, no-collateral loans through mobile apps.
  • Perfect for smaller amounts and urgent needs with quick approvals.

Requirements for No-Collateral Loans

Even though no asset is needed, lenders still require certain documents to confirm your identity and ability to repay:

• Valid government-issued ID
• Proof of income (payslip, employment certificate, or income tax return for self-employed)
• Proof of billing (electricity or water bill)
• Active mobile number and bank account (for apps and online lenders)

Some fintech apps even approve borrowers with only one valid ID, making the process simpler.

Advantages of Loans Without Collateral

• No risk to property – You don’t have to pledge land, a car, or valuables.
• Faster processing – Less documentation means quicker approval.
• Accessibility – Available to salaried employees, self-employed individuals, and even freelancers.
• Flexibility – Can be used for almost any purpose: medical needs, education, debt consolidation, or emergencies.

Things to Watch Out For

Unsecured loans are convenient, but you should consider:

• Higher interest rates compared to secured loans
• Stricter eligibility checks on income and credit history
• Possible penalties for late payments

Always read the terms carefully before signing, and borrow only what you can repay comfortably.

Frequently Asked Questions

Can I get a loan without collateral if I don’t have a stable job?
Yes, some loan apps approve borrowers without traditional employment, but proof of alternative income may be required.

Are government loans in the Philippines collateral-free?
Yes. SSS, GSIS, and Pag-IBIG offer unsecured salary and multi-purpose loans.

What is the maximum loan I can get without collateral?
Banks may approve up to ₱1 million or more, depending on income. Loan apps usually cap amounts between ₱10,000 and ₱50,000.

Which is the easiest no-collateral loan to get?
Loan apps like Tala and Digido provide very quick approval, often with just one valid ID.

Is a credit score required for unsecured loans?
Banks may check your credit history, but many fintech lenders do not require it for first-time borrowers.