Personal loans are part of a Filipino’s life. If you haven’t tried getting a loan, either you are lucky or rich.
Even businessmen get loans for their ventures. On the other hand, a common Filipino uses a personal loan for a myriad of reasons from buying groceries until the next paycheck to medical emergency bills.
As needs arise, it is not surprising that banks and other financial institutions are now offering various personal loans. One of them is HSBC.
HSBC now services 67 countries and territories with over 3,900 offices. It offers a wide range of financial services such as loans, credit cards, investments, and more.
What factors should you consider when getting an HSBC personal loan?
HSBC Personal Loan Eligibility
It is important to consider the eligibility first before anything else. This can give you a general idea if you can actually qualify for a loan—allowing you to save time and effort.
HSBC only approves loans to permanent residents who live in Metro Manila, Bulacan, Pampanga, Metro Cebu, Cavite, Davao City, and Rizal. The applicant must be residing in the present residence for at least 3 years prior to the date of application.
If you are employed, your salary must be at least PHP14,000 a month. You must also have a 2-year work experience including your previous employment.
If you are an entrepreneur, you must earn at least PHP50,000. You must also have a residential landline or office landline and a personal mobile phone number.
HSBC Personal Loan Amount
One of the things you must also consider is the amount you can borrow. HSBC loan amount ranges from PHP30,000 to PHP500,000, or three times the borrower’s gross salary.
If you need lower than PHP30,000, then you can consider other options, as HSBC Personal Loan does not fit your actual need.
Take note that even if you tell the bank how much you want to borrow, it will still depend on the bank's credit check. The bank will first evaluate your credit worthiness or your ability to pay up the loan on chosen terms.
HSBC Personal Loan Calculator
A loan calculator comes in handy when considering the amount of loan you are applying for. This gives you an idea on how much you have to pay each month considering the term and amount. From this, you can easily foresee if you can handle the monthly payments.
Remember that you are getting a loan to help stabilize your finances. The key is to get only what you need in terms that you can meet.
HSBC offers personal loans with can be repaid in 6, 12, 18, 24, and 36 months. Fortunately, there are alternatives if you need a personal loan for a shorter term.
HSBC Personal Loan Fees and Penalties
- Late Payment Penalty is charged at 36% per annum based on the remaining balance. The minimum late payment fee is PHP300.
- Documentary Stamp Taxes is PHP1.00 for every additional Php200 on top of the principal loan amounting to PHP250,000.
- Amendment Service Fee is PHP500. This is charged for every changes or adjustment made on the loan which is already approved.
- The Processing Fee is deducted from loan proceeds usually costs PHP1,500. So do not be surprised if the disbursed loan is lesser than the approved loan
HSBC Personal Loan Advantages
- Payment options are flexible. You can pay through Auto-debit facility (ADA) if you have an existing HSBC deposit account, post-dated cheque, or payment centers.
- HSBC provides a loan calculator for the applicant’s ease when considering the principal loan amount and term.
- The loan is multi-purpose. This means you can use it to make a major purchase in cash, to pay for an outstanding hospital bill, to finance micro business, or in any legal way you want.
HSBC Personal Loan Limitations
- The loan application must be done personally. If you have work on weekdays, you need to adjust your schedule or even take a leave.
- The personal loan application takes 5 to 7 banking days upon the completion of application forms and requirements. Once approved, it will take another 2 to 3 days to draw the funds. If you are getting a loan for an emergency need, then you have to consider taking a loan from another provider who can meet your immediate needs.
- To get the funds, you need to personally go to the HSBC branch you have indicated on your loan application form. HSBC banks are only open on weekdays from 9 am until 4 pm.
If you need a short term loan with flexible options, you can get it from Cash Mart. Cash Mart offers loans with world class customer experience. Apply today!