Not even a tax loan and starting as low as HKD200k.
... when I read the Key Facts Statement, for a loan of HK$200K repayable over 3 years, the APR* is 6.95%.
Total repayments are HK$221, 348.16.
*APR = Annualise Percentage Rate which includes interest, fees and other chargers.
Can'ts see the link from here. How does 2.15% to to an APR of >6%? Is it weird fees or is interest calculated differently?
Don't think 2.15% is possible these days anyway when banks are offering 2.3/5% for new fixed deposits..
Just checked the link and they indeed have 2.15% APR for anything above 700k, also SC offers upto18 times monthly salary.. Really surprised how they structure products when on the other hand they are offering 2.3% for 6 months deposit.. Perhaps it needs to be confirmed if its still available, linked brochure is from Nov-18.
Last edited by nivantj; 12-09-2019 at 02:04 PM.
Scroll down to repayment table and check the different rates / payment schedules.
IIRC, under the Money Lenders Ordinance, lenders have to disclose the APR to borrowers.
More detailed explanation here: https://www.investopedia.com/terms/a/apr.asp
Actually looking at this again, it's a pretty good deal. For example, you can borrow $200,000 for 36 months, your monthly repayments are $5740 x 36 = total repayment $206,640, no other fees or charges. That's not too bad, over a 3 year period. Not for me as I'm fully committed already, and also unless you need right now it might still better to wait for tax loans to come out in a few months as they usually offer even better (as low as 1.8%). But still this is pretty good. eg if some of you guys have mortgages overseas in Australia etc, paying around 4% interest, take out one of these 2% loans now, send the money back home and pay a bit off your mortgage, really a no brainer thing to do I think!