It’s an unsecured revolving credit facility that allows you to borrow funds as and when you need them. With HSBC’s Personal Line of Credit, you can borrow up to six times your monthly income. Regardless of your overall credit limit, you will be charged interest only on the amount you use. Depending on your relationship with HSBC, interest rates vary in the range of 12% p.a. to 18.5% p.a.
|Relationship With HSBC||HSBC Premier Customers||HSBC Advance Customers||HSBC’s Revolution Customers||Retail Banking Customers|
|Interest Rates||12.% p.a.||16.5% p.a.||18.5% p.a.|
|Late payment fee||S$75|
|Minimum interest charge||S$10|
|Debit card replacement fee||S$5|
|Unsuccessful standing instructions or Interbank GIRO||S$30|
|Returned cheque fee||S$50 (if returned due to insufficient funds) S$10 (if returned due to technical issues)|
|Interest rate on amount borrowed in excess of limit||3% p.a. on top of prevailing rate|
|Charges for early closure of account||S$40 (if account is closed within six months from the date of opening)|
|Statement retrieval fee||S$20 for each copy|
You can apply for it through HSBC’s website by filling out an application form. You will also have to submit all the required supporting documents to finish the application process.
Q. Does the Personal Line of Credit require any collateral or guarantor?
A. No, it doesn’t require any guarantor or collateral as it’s an unsecured credit facility.
Q. How much credit limit am I eligible for?
A. If you are a Singaporean with annual income in the range of S$30,000 to S$119,999, you can apply for a limit of up to four times your monthly income. However, if your annual income is S$120,000 or more, you can apply for a limit of up six times your monthly income.
If you are a foreigner with annual income of at least S$40,000, you can apply for a limit of up to four times your monthly income.
Q. Can I state my preferred credit limit while applying?
A. Yes, you can state your preference, but the approval will be at the bank’s discretion. The bank may or may not approve the limit you have requested.
Q. Can I get my credit limit increased?
A. Yes. You will have to fill out the Credit Limit Review Form for that. Once you have completed the form, you will have to send it to the bank with all the required income documents.
Q. How do I know my payment due date?
A. You can check your payment due date from your monthly statement. It is 22 days from the date of the statement.
Q. What options do I have for making my monthly repayments?
A. You can make your monthly repayments in any of the following way: