
<p>When faced with a large or multiple credit card debts, it may be tempting to get by with minimum payment in each month. However, this will likely lead to an accumulation of high interest debt. In this situation, debt consolidation is a common solution to simplify loan repayment and reduce an overall interest expense for borrowers.</p>



<p><a href="https://www.planto.hk/en/airstar/">Airstar Bank</a> is offering a debt consolidation loan which is suitable for consumers who are currently paying one or more high interest loans (such as credit card balance, credit card cash advance or an overdraft facility).</p>



<single-action-item title="Airstar Bank Debt Consolidation Exclusive Offers" subtitle=" Receive HK$400 loan rebate coupon registration (usable when drawing down loan) along with an extra HK$200 cash reward after a successful loan application. Lastly, enjoy a 60-day interest and repayment holiday! All offers are subject to term and condition below. 
" link="#Rewards" button_text="Apply Now" lang="zh" type="content"></single-action-item>



<h4><strong>Learn more:</strong></h4>



<ul><li>Key features of Airstar Bank Debt Consolidation Loan</li><li>Apply for a debt consolidation loan with Airstar in a few simple steps</li><li>Understand the benefits of a debt consolidation loan</li></ul>



<h2><strong>Key features of Airstar Bank Debt Consolidation Loan</strong></h2>



<card-container>
  <card title="60-day interest and repayment free³" description="Enjoy a break and relieve repayment pressure"></card>
  <card title="APR as low as 2.99%¹" description="Save up to 91%⁵ of total interest expenses and save up to 66%⁵ of repayment amount per installment"></card>
  <card title="High drawdown amount⁵" description="Borrow up to 21 times of monthly salary. Optional cash option of up to 12 times of monthly salary"></card>
<card title="No handling fee²" description="$0 handling fee, $0 admin or early repayment fee"></card>
</card-container>



<p><strong>Enjoy an exclusive welcome reward by completing a simple application via Planto</strong></p>



<p>Receive HK$400 loan rebate coupon upon registration (usable when drawing down loan) along with an extra HK$200 cash reward after a successful loan application.</p>



<h2 id="Rewards"><strong>Apply for a debt consolidation loan with Airstar in a few simple steps</strong></h2>



<div class="schema-how-to wp-block-yoast-how-to-block"><p class="schema-how-to-description"></p> <ol class="schema-how-to-steps"><li class="schema-how-to-step" id="how-to-step-1616732129929"><strong class="schema-how-to-step-name">Submit initial loan and personal information</strong> <p class="schema-how-to-step-text">(IDV &amp; Selfie are needed for new customers)</p> </li><li class="schema-how-to-step" id="how-to-step-1616732169774"><strong class="schema-how-to-step-name">Receive an initial approval in principle results</strong> <p class="schema-how-to-step-text"></p> </li><li class="schema-how-to-step" id="how-to-step-1616732177085"><strong class="schema-how-to-step-name">Three step setup of a settlement plan:</strong> <p class="schema-how-to-step-text">A- Set Loan Settlement Details<br/>B- Set Credit Card Settlement Details (OCR: Credit Card Numbers)<br/>C- Confirm required extra cash out option<img alt="" src="https://cms.planto.io/wp-content/uploads/2021/03/airstar-consolidation-loan.jpg"/></p> </li><li class="schema-how-to-step" id="how-to-step-1616732345262"><strong class="schema-how-to-step-name">Provide supplement document</strong> <p class="schema-how-to-step-text">(Support PDF &amp; photos upload)</p> </li><li class="schema-how-to-step" id="how-to-step-1616732356619"><strong class="schema-how-to-step-name">Receive a final offer</strong> <p class="schema-how-to-step-text"></p> </li><li class="schema-how-to-step" id="how-to-step-1616732372423"><strong class="schema-how-to-step-name">Credit card balances will be paid off automatically; Loans will be settled manually by Airstar Bank (if any)</strong> <p class="schema-how-to-step-text"></p> </li></ol></div>



<loan-table language="en" loanpartner="airstar" loantype="existing_loan"></loan-table>



<h2><strong>Understand the benefits of a debt consolidation loan</strong></h2>



<p>Key feature of a debt consolidation loan is to repay and consolidate one or multiple high interest loans into a single sum which typically has a lower interest rate and a longer repayment period. Borrowers can also choose to take out extra cash out for other usage on top of repayment of existing loans.</p>



<figure class="wp-block-table"><table><tbody><tr><td></td><td><strong>Debt consolidation loan</strong></td><td><strong>General personal loan</strong></td></tr><tr><td>Interest rate (APR)</td><td>Typically between 5% to 19%. <strong>Airstar Bank is offering APR as low as 2.99%</strong></td><td>Typically between 4% to 18%</td></tr><tr><td>Loan amount</td><td>As high as 18 to 21 times of monthly salary</td><td>As high as 8 to 12 times of monthly salary</td></tr><tr><td>Repayment period</td><td>Generally 6 to 72 months</td><td>Generally 6 to 60 months</td></tr><tr><td>Loan disbursement</td><td>Direct deposit/repayment into credit card or designated loan accounts. Part of the loan amount can be cashed out</td><td>Cash withdrawal or bank transfer</td></tr></tbody></table></figure>



<p>There are many debt consolidation loan offers on the market. Borrowers should watch out for the following factors before making any decision:</p>



<ul><li><strong>APR</strong>: debt consolidation loan can be an effective mean to lower down borrower’s interest expense. Consumers should do research and find a plan that can save the most interest expense</li><li><strong>Loan eligibility</strong>: while debt consolidation loan typically has a more accommodating eligibility criteria, a bad credit score can still lead to a higher interest rate which will reduce the amount of interest expense saving from consolidating loans</li><li><strong>Repayment ability</strong>: while borrowers can extend their repayment timeline using a debt consolidation – the debt still need to be repaid so all consumers should review their cashflow and ensure that they can keep up with the repayment plan before taking any loan</li><li><strong>Practice financial management</strong>: after taking a debt consolidation loan, borrowers can then enjoy a single loan with a lower interest and a longer repayment period. However it is still important to learn from past experience and avoid taking on high interest or multiple loans in the future</li></ul>



<p>To borrow or not to borrow? Borrow only if you can repay!</p>


[Airstar Bank Debt Consolidation Loan] Repay your existing loan and enjoy a 60-day interest / repayment free period + an exclusive welcome reward!

(IDV & Selfie are needed for new customers)

Submit initial loan and personal information

Receive an initial approval in principle results

A- Set Loan Settlement Details<br/>B- Set Credit Card Settlement Details (OCR: Credit Card Numbers)<br/>C- Confirm required extra cash out option

Three step setup of a settlement plan:

Provide supplement document

Airstar Bank is offering a debt consolidation loan which is suitable for consumers who are currently paying one or more high interest loans. Learn more!


<p><strong>SoFi</strong>, a FinTech unicorn from the U.S. recently acquired Hong Kong’s homegrown online securities firm,<strong> 8 Securities</strong> – <strong>SoFi </strong>subsequently launched a new securities trading app called <strong>SoFi Hong Kong</strong> (“SoFi HK”). </p>



<p>The new<strong> SoFi HK</strong> app features the same commission-free U.S. and Hong Kong stock trading as 8 Securities app, with additional features in the pipeline, including margin financing and frictional share U.S. stock trading.</p>



<broker-comparison-page market="hk" language="en" show_review="false" selectedbroker="sofihk"></broker-comparison-page>



<h2><strong>Open an SoFi HK account in 5 minutes using online application and e-signature</strong></h2>



<ol><li>Fill in basic information such as your name, phone number, address, work, financials, investment preference etc.</li><li>Upload proof of address and identity (HKID/Passport)</li><li>Provide e-signature through your mobile, deposit HK$10,000 via bank transfer then upload your transfer proof</li><li>The account will typically be opened within 2 to 3 working days, you will be able to start investing immediately afterward</li></ol>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZWlnaHRzZWN1cml0aWVzX3NvZmkiLCJ0eXBlIjoiaW52ZXN0bWVudF9icm9rZXIiLCJhcHBseVVybCI6Imh0dHBzOi8vZ28ub25lbGluay5tZS8xdFZvP3BpZD1QbGFudG8mYz1QbGFudG9fU29GaUhvbmdLb25nJmFmX3dlYl9kcD1odHRwcyUzQSUyRiUyRnd3dy5zb2ZpLmhrJTJGd2ViJTJGemgtaGFudCUyRm9wZW4tYWNjb3VudCUyRiUzRnV0bV9zb3VyY2UlM0RQbGFudG8lMjZ1dG1fbWVkaXVtJTNEQWZmaWxpYXRlcyUyNnV0bV9jYW1wYWlnbiUzRFBsYW50byIsImZyb20iOiJTb2ZpIFJldmlldyJ9">Download SoFi HK</planto-button>



<p>Some consumers have inquired about the validity and necessity of the HK$10,000 deposit during the account opening process – this is actually a requirement by the SFC as a standard practice for opening a securities account online so it is a common practice and there is nothing to worry about!</p>



<figure class="wp-block-image size-large"><img loading="lazy" width="1024" height="297" src="https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-1024x297.jpg" alt="" class="wp-image-11099" srcset="https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-1024x297.jpg 1024w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-300x87.jpg 300w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-768x222.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-1536x445.jpg 1536w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-2048x593.jpg 2048w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-1200x348.jpg 1200w, https://cms.planto.io/wp-content/uploads/2020/07/SoFI-commission-free-1980x573.jpg 1980w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption><strong>SoFi HK</strong> is the lowest fee trading platform in Hong Kong. </figcaption></figure>



<h2><strong>SoFi HK app, the newly introduced SoFi points and soon-to-come fractional share trading</strong></h2>



<p>The <strong>SoFi HK</strong> app’s interface is similar to the<strong> 8 Securities</strong>’ app, however the color theme has been changed to <strong>SoFi</strong>’s refreshing sky blue but you can still pick between light and dark modes. </p>



<p>Within the app, users can choose to trade from 15,000+ <a href="https://www.planto.hk/en/blog/US-Stock-Account-Compare/">U.S. stocks</a>, <a href="https://www.planto.hk/en/blog/invest-hk-stocks-broker-bank-accounts/">Hong Kong stocks</a> as well as <a href="https://www.planto.hk/en/blog/etf-explained/">ETF</a> funds – with $0 commission, $0 platform fees and no other hidden fees.&nbsp;</p>



<p>If you are an existing <strong>8 Securities</strong>’ app user, you will notice a newly added section within the <strong>SoFi HK</strong> app called “<strong>SoFi Points</strong>”, a newly introduced reward system where users can earn points by completing various tasks within the app including open an account , log-in daily, invite friend, open an account through referral etc.</p>



<p><strong>SoFi Points </strong>can be used to redeem free shares, for example 200 points can be exchanged for 1 free share of <strong>Manulife (MFC)</strong>. If you are an active app user who keeps a close eye on the stock market, you would be able to earn a few free shares throughout the year – a rewarding experience for loyal or active users which is uncommon in Hong Kong where most securities platforms only give out rewards to new users. Although the users should keep in mind that SoFi points will expire at the end of each year.</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>SoFi Points</strong></td><td><strong>Rewards (and US dollar value equivalent as at 13 July 2020)&nbsp;</strong></td></tr><tr><td>200</td><td>1 share of Manulife（MFC）</td></tr><tr><td>400</td><td>1 share of Pfizer（PFE）</td></tr><tr><td>600</td><td>1 share eBay（EBAY）</td></tr></tbody></table></figure>



<p>Additionally,<strong> SoFi HK</strong> was the first player in Hong Kong to announce fractional share trading as part of their future pipeline, this feature will allow investors in Hong Kong to invest in U.S. stock with as little as US$10 (or HK$78). U.S. stocks are typically traded on a per share basis, however even 1 blue chip share could be worth as much as HK$10,000 – for example 1 share of Alphabet (GOOGL), the parent company of Google, is worth more than US$2,100 or approximately HK$16,302 as of 11 March 2021. </p>



<p>The fractional share trading feature will allow a “fraction” of 1 share to be purchased and sold. In other words, even with just tens of US dollars, you can become a shareholder of one or multiple blue chip companies in the U.S. such as Amazon (AMZN), Tesla (TSLA) and Apple (AAPL).</p>



<p>However, <strong>SoFi HK</strong>’s fractional share trading is still subject to regulatory approval, this means <strong>SoFi HK</strong>’s users will have to wait a little longer before they can enjoy this feature.</p>



<h4><strong>Other useful services</strong></h4>



<ul><li><strong>US dollar exchange:</strong> SoFi users can seamlessly exchange their HKD into USD within the mobile app. One point to note is that the exchange rate displayed on the app is for reference only, the actual exchange rate may differ slightly from the displayed value. Users can also purchase U.S. stock directly without exchanging currencies in advance</li><li><strong>Leaderboard</strong>: SoFi’s anonymous leaderboard allows its users to learn or follow investment strategies of the most successful investors within the platform</li><li><strong>Academy:</strong> Investment academy feature provides multiple videos to answer questions like “What is a stock”, “What is asset allocation”, “What is diversification” and many more&nbsp;</li></ul>



<p>In terms of fees, <strong>SoFi HK</strong> is undoubtedly the best in Hong Kong market, however if you are looking for functionality, some of the popular features like streaming quotes or news and analysis features may still be lacking. </p>



<p>There are other online brokerages like <a href="https://www.planto.hk/en/blog/uSMART-brokers-review/"><strong>uSMART</strong></a> and <a href="https://www.planto.hk/en/blog/futu-brokers-review/"><strong>Futu</strong></a> that offers more features so one strategy you could consider is to make use of 2 platforms – one for tracking, analysis and alert features while another is primarily for making trades – this way you could take the most advantage of <strong>SoFi</strong> <strong>HK</strong>’s low cost trading without missing out or anything.</p>



<h3><strong>Existing 8 Securities customers are required to update their old mobile app</strong></h3>



<p>If you are one of 8 Securities’ existing customers, you can start using the new <strong>SoFi HK </strong>app immediately after a quick update which will replace your old 8 Securities app with the new <strong>SoFi HK</strong> app.</p>



<p><strong>SoFi HK</strong> stated that during this transition period, users may receive notifications or other forms of communications from 8 Securities Limited or “8 SL”, but this will eventually become<strong> SoFi Securities (Hong Kong) Limited </strong>or “<strong>SoFi HK</strong>” in the future.</p>



<h3><strong>The parent company, SoFi in the U.S. has more than 1 million users</strong></h3>



<p>Mike Cagney, a Stanford University business school student founded SoFi in 2011. Headquartered in San Francisco, SoFi was selected by Forbes as one of the top 5 fintech companies in the U.S.. The company has a valuation of over US$4.4 billion (approximately HK$34.4 billion), with many renowned investors like Softbank and Qatar Investment Authority as its shareholders. SoFi’s acquisition of 8 Securities was their first step into international market expansion.</p>



<h4><strong>Key fees and charges</strong></h4>



<p>While <strong>SoFi HK</strong> offers trading at 0 fees and commissions, the users will still need to pay taxes and other fees to the government (this is the same across all brokerages).&nbsp;</p>



<figure class="wp-block-table"><table><tbody><tr><td>Hong Kong stock exchange and government fee</td><td>U.S. stock exchange and government fee</td></tr><tr><td>Stamp duty: 0.1% (fees lower than HK$1 will be rounded up to HK$1)</td><td>Securities commission fee (sell): 0.00221% (minimum of US$0.01)</td></tr><tr><td>Transaction levy: 0.0027% (round to nearest cent)</td><td>Transaction levy (sell): US$0.000119 per share (minimum of US$0.01 and maximum of US$5.95)</td></tr><tr><td>HKEX transaction fee: 0.005% (round to nearest cent)</td><td><br></td></tr><tr><td>Clearing and settlement fee: 0.002% (minimum of HK$2 and maximum of HK$200)</td><td><br></td></tr><tr><td>Trading tariff: HK$0.5 per trade</td><td><br></td></tr><tr><td><br></td><td><br></td></tr><tr><td>Other charges</td><td>Other charges</td></tr><tr><td>Hosting fee: free</td><td>Hosting fee: free</td></tr><tr><td>Stock transfer fee: HK$0.2 per lot</td><td><br></td></tr><tr><td>Dividend fee: 0.5% (minimum of HK$28)</td><td>Dividend fee: free</td></tr><tr><td>Bonus share entitlement: HK$1 per lot (minimum of HK$28)&nbsp;</td><td><br></td></tr><tr><td>IPO: HK$88 (no charge If unsuccessful)</td><td><br></td></tr><tr><td>Deposit / withdraw: Free for HSBC / BOC HK$15 or US$2 for non HSBC / BOC Overseas transfer at cost (min US$35)</td><td>Deposit / withdraw: Free for HSBC / BOC HK$15 or US$2 for non HSBC / BOC Overseas transfer at cost (min US$35)</td></tr></tbody></table><figcaption><a href="https://www.sofi.hk/forms/Pricing_EN.pdf">Link to the full pricing list</a></figcaption></figure>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZWlnaHRzZWN1cml0aWVzX3NvZmkiLCJ0eXBlIjoiaW52ZXN0bWVudF9icm9rZXIiLCJhcHBseVVybCI6Imh0dHBzOi8vZ28ub25lbGluay5tZS8xdFZvP3BpZD1QbGFudG8mYz1QbGFudG9fU29GaUhvbmdLb25nJmFmX3dlYl9kcD1odHRwcyUzQSUyRiUyRnd3dy5zb2ZpLmhrJTJGd2ViJTJGemgtaGFudCUyRm9wZW4tYWNjb3VudCUyRiUzRnV0bV9zb3VyY2UlM0RQbGFudG8lMjZ1dG1fbWVkaXVtJTNEQWZmaWxpYXRlcyUyNnV0bV9jYW1wYWlnbiUzRFBsYW50byIsImZyb20iOiJTb2ZpIFJldmlldyJ9">Visit SoFi HK&#8217;s Website</planto-button>



<h4>Recommended readings: </h4>



<ul><li><a href="https://www.planto.hk/en/blog/Portfolio-Diversification-Investment/">Investment Strategy Guide to building a diversified portfolio</a></li><li><a href="https://www.planto.hk/en/blog/Valuable-Capital-Broker-Review/">Valuable Capital Review:&nbsp;Commission-free HK stock trading, free real-time quotes</a></li><li><a href="https://www.planto.hk/en/blog/futu-brokers-review/">Futu Securities Review</a></li></ul>



<p style="font-size:14px"><strong>Important information:</strong><br><br>Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.</p>


Trade U.S. and Hong Kong stock at 0 fee & commission! Check out SoFi HK's Account Opening Guideline and Money Saving Tips on U.S. Stock Trading. Learn how to redeem free stocks using SoFi Points!


SoFi HK Review: Trade U.S. & HK Stock at $0 Commission and Get Free Stocks Using SoFi Points

Saxo Bank is the parent company of Saxo Capital Markets Hong Kong. Any Hong Kong resident can easily apply for a Danish offshore account to hedge their risk as well as invest in popular markets like Hong Kong, the U.S., the U.K., Japan, Singapore and many more. Learn More about how to open a Saxo Bank European offshore account!

Saxo Bank Review: A Simple Offshore Banking & Trading Solution for Hong Kongers


<p>Time deposits are quite conservative when it comes to investments. However, with the recent fluctuations in the market, time deposits could be a solution for you <a href="https://www.planto.hk/en/blog/low-risk-investment-tools/">if you are looking for low-risk investments</a> or if you are a beginner investor.</p>



<h2 id="what-are-time-deposits"><strong>What are time deposits?</strong></h2>



<p>Time deposits are essentially a type of savings accounts with a <strong>fixed interest rate</strong> and <strong>fixed date of withdrawal</strong>. Users deposit a certain amount of money to the account and earn a higher interest rate than a regular savings account.</p>



<p>An alternative to time deposits with slightly more return and flexibility are <a href="https://www.planto.hk/en/blog/Money-Market-Fund-Intro/">money market funds</a>, but if you&#8217;re intent on getting a time deposit, we&#8217;ve compared the best plans in Hong Kong for you:</p>



<p><single-action-item title="ZA Bank X Planto Welcome Offers" subtitle="ZA Bank has offered two exclusive invitation codes to Planto’s audience. You can choose either one of the codes to open a ZA Bank account from now on until 31st Jan 2020.
" link="https://www.planto.hk/en/blog/ZA-Bank-Open-Account/" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<p><time-deposit-calculator language="en"></time-deposit-calculator></p>


<h2 id="whats-so-good-about-time-deposit"><strong>What’s so good about time deposit?</strong></h2>
<ul>
<li>
<p><strong>No prior investment knowledge is needed.</strong> Compared to investing in the stock, bond or real estate markets, time deposits are easier for investment beginners to understand and to pick up basic investment skills.</p>
</li>
<li>
<p><strong>Stable returns.</strong> Since the interest rates of time deposit plans are fixed, it is guaranteed that investors can earn a certain amount of return after the agreed term length. Therefore, the investment risk is much lower than investing in the stock market or property market because of the certainty.</p>
</li>
<li>
<p><strong>Low threshold.</strong> The threshold for time deposits are lower than other financial assets, where it can go as low as HK$10,000.</p>
</li>
<li>
<p><strong>More choices.</strong> Different banks provide different time deposit plans, as such investors can choose according to their budget.</p>
</li>
<li>
<p><strong>It’s simple.</strong> Unlike investing in the stock market, you don’t have to spend hours researching on trends or doing scenario analyses. The only thing you need to do is to choose a bank, the amount of deposit and the duration. Then, you can sit back, relax, and wait for your returns. You can refer to our calculator to see which plan is best for you!</p>
</li>
</ul>
<h2 id="points-to-note-about-time-deposits"><strong>Points to note about time deposits</strong></h2>
<p>Sometimes, a longer term length does not necessarily mean higher yield. Banks often launch some <a href="https://www.scmp.com/business/banking-finance/article/2178805/hong-kongs-de-facto-central-bank-raises-base-interest-rate">short-term high-rate plans</a>, like a 2.7% interest rate for a three-month time deposit. However, most of these will have certain restrictions like minimum deposit amount, term length or even bank account type, and any breach of these restrictions many result in a penalty. Be sure to check twice before committing to a time deposit plan.</p>
<hr>


<p><single-action-item title="Another way to start investing" subtitle="Robo-advisors are automated investment managers with low fees that can create customized portfolios based on your risk appetite." button_text="Learn more" type="robo_comparison" lang="en"></single-action-item></p>


Compare the interest rates and find out the best deals of Time Deposit plans in Hong Kong banks, including HSBC, BOC, Standard Chartered and a lot more! 

The Best Time Deposit Plans in HK


<p><em>“What’s the difference between Virtual Banks and Traditional Banks?”</em></p>



<p><em>“Which virtual bank has come out on top?”</em></p>



<p><em>“Why are virtual banks offering such high deposit rates?”</em></p>



<p>In recent months, several <a href="https://www.planto.hk/en/blog/neo-virtual-banks/">virtual banks</a> have launched in Hong Kong. Consumers who are not familiar with the banking industry may not know where to start despite their interest in virtual banks’ attractive offers. ZA Bank is the first virtual bank to officially launch in Hong Kong. It also offers a relatively more comprehensive service range. If you’re interested in virtual banks and innovations, ZA Bank would be the right place to kick-start your “virtual banking” journey.</p>



<h4>Jump to:</h4>



<ul><li><a href="#welcome-offer">ZA Bank high interest time deposit offer</a></li><li><a href="#Open-account">5 minutes account opening process</a></li><li><a href="#ZA-Card">ZA Card: safe, simple and enjoy up to 11% cash rebate</a></li><li><a href="#useful-features">Other useful features</a></li></ul>



<h2 id="welcome-offer">2 exclusive welcome offers on your choices</h2>



<p>ZA Bank has offered two exclusive invitation codes to Planto’s audience. You can choose either one of the codes to open a ZA Bank account from now on until 30<sup>th</sup>&nbsp;Apr 2021.</p>



<ol><li><strong>Time Deposit Offer:&nbsp;</strong>New customers who successfully open a ZA Bank account using &lt;<strong>PLT300</strong>&gt; will receive a 3.0% interest rate-up coupon on top of ZA Bank’s standard 0.65% 3-month time deposit rate – this means you can enjoy up to 3.65</li><li>% interest for your 3-month time deposit.<br></li><li><strong>Cash Reward:</strong>&nbsp;You can choose to use &lt;<strong>PLT200</strong>&gt; instead to receive a 200 HKD cash and enjoy an annual interest rate of 1%.</li></ol>



<figure class="wp-block-image size-large"><img loading="lazy" width="1024" height="537" src="https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner-1024x537.png" alt="" class="wp-image-14875" srcset="https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner-1024x537.png 1024w, https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner-300x157.png 300w, https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner-768x403.png 768w, https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner-1200x629.png 1200w, https://cms.planto.io/wp-content/uploads/2021/03/ZA_Banner.png 1244w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>*Offer is subject to ZA Bank’s <a href="https://cdn.za.group/bank/app/info/en/static/1008066.html">terms and conditions</a> </figcaption></figure>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQyMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMjAwXzEwMDgwNzEmbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMjAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0yMDBfMTAwODA3MSIsImZyb20iOiJaQSBCYW5rX1BMVDIwMCJ9">I want $200 cash reward（promo code：PLT200）</planto-button>


<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQzMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMzAwXzEwMDgwNzImbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMzAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0zMDBfMTAwODA3MiIsImZyb20iOiJaQSBCYW5rX1BMVDMwMCJ9">I want 3% rate-up coupon（promo code：PLT300）</planto-button>



<h3>Easy way to earn HK$456 with a 3-month time deposit</h3>



<p>Example:&nbsp;</p>



<figure class="wp-block-table"><table><tbody><tr><td>Standard 3-month time deposit rate</td><td>0.65%*</td></tr><tr><td>Special rate-up coupon through Planto’s invitation code &lt;<strong>PLT300</strong>&gt; (from now on until 31<sup>st</sup> Jan 2020)</td><td>3.0%</td></tr><tr><td>Total interest rate</td><td>3.65%*</td></tr><tr><td>Interest for a customer who deposits HK$50,000 for 3 months&nbsp;</td><td>HK$456.25</td></tr></tbody></table></figure>



<p>Once the 3-month time deposit is over, customers can continue to enjoy <a href="https://cdn.za.group/bank/app/info/en/static/1007422.html">an annual interest rate of 1% with the saving account.</a></p>



<h2 id="Open-account"><strong>How to open a ZA Bank account in 5 minutes&nbsp;</strong></h2>



<p>Virtual banks’ services are mostly provided through mobile application, and the same applies to ZA Bank. To open a ZA Bank account, users just need to go through a simple and intuitive online process which can be done any time and from anywhere. These steps include:&nbsp;</p>



<p>1. Search “ZA Bank” from Apple App Store or Google Play Store and download the ZA Bank mobile application. (To install directly via apk, please visit and download from bank.za.group. Please switch the store to Hong Kong if no results were found.)&nbsp;</p>



<p>2. Register with mobile phone number and email address (Remember to use the promo code &lt;<strong>PLT200</strong>&gt; or &lt;<strong>PLT300</strong>&gt; to get the rewards on or before 31<sup>st</sup> JAN 2020)</p>



<p>3. Scan your HKID using phone’s camera&nbsp;</p>



<p>4. Verify identity with facial recognition&nbsp;</p>



<p>5. Fill in basic information such as occupation and address, and customise your ZA card number</p>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQyMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMjAwXzEwMDgwNzEmbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMjAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0yMDBfMTAwODA3MSIsImZyb20iOiJaQSBCYW5rX1BMVDIwMCJ9">I want $200 cash reward（promo code：PLT200）</planto-button>


<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQzMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMzAwXzEwMDgwNzImbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMzAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0zMDBfMTAwODA3MiIsImZyb20iOiJaQSBCYW5rX1BMVDMwMCJ9">I want 3% rate-up coupon（promo code：PLT300）</planto-button>



<p><img loading="lazy" width="602" height="289" src="https://lh4.googleusercontent.com/UNdCynsEz9r3LDrh7WrKLWWKS-xBrdLo8XVkml73DXytyikD_l6oOD1A6CxHtUAF1245IzblttasOrAl_e0P2VBjYRb7ZF5f9cUDqAaqJus3X99reUCjgqyW1FrfyQ9gPPJZ8ww"></p>



<h2><strong>What are the key functions of ZA Bank’s mobile application?&nbsp;</strong></h2>



<p>ZA Bank mobile application follows a clean and simple UI design with eye-catching mint green and white as its primary color. Unlike mobile application from many traditional banks, contents within ZA Bank’s mobile application are not cluttered which give good user experience even for the first-time user.&nbsp;</p>



<h3 id="ZA-Card">Up to 11% cash rebate on ZA Bank virtual Visa debit card</h3>



<p>Choose and customize your Visa debit card number while enjoying up to 6% cash rebate from online transactions with <a href="https://cdn.za.group/bank/app/info/en/static/1008057.html">ZA card</a>, while all Deliveroo orders can enjoy up to 11% cash rebate. You will not have to worry about monthly payment, late payment or annual finance charges. You can also add your card to ZA Bank through Apple Wallet.&nbsp;</p>



<p>Besides, you can enjoy a <a href="https://cdn.za.group/bank/app/info/en/static/1008058.html">buy-1-get-1-free offer</a> when you buy a coffee at some famous merchants such as Arabica, Coffee Academics, Cupping Room, LOF10!&nbsp;</p>



<figure class="wp-block-image size-large"><img loading="lazy" width="1024" height="365" src="https://cms.planto.io/wp-content/uploads/2020/11/image3-1024x365.jpg" alt="" class="wp-image-12633" srcset="https://cms.planto.io/wp-content/uploads/2020/11/image3-1024x365.jpg 1024w, https://cms.planto.io/wp-content/uploads/2020/11/image3-300x107.jpg 300w, https://cms.planto.io/wp-content/uploads/2020/11/image3-768x273.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/11/image3-1200x427.jpg 1200w, https://cms.planto.io/wp-content/uploads/2020/11/image3.jpg 1202w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>ZA Card is a debit card with no annual fees.</figcaption></figure>



<h3 id="useful-features">FPS and real-time withdrawal</h3>



<p>Just like any traditional banks, ZA Bank supports FPS and you can swiftly transfer money to and from your existing bank account without any handling fee. Given FPS is a standardized transfer method initiated by the Hong Kong Monetary Authority, the FPS function in ZA Bank is the same as any other traditional banks. This means funds can be transferred instantly after registration using phone number, email address or FPS ID.&nbsp;</p>



<h3>Add money with &#8220;Easy Deposit&#8221;</h3>



<p>ZA bank’s rolling out a brand-new deposit experience. You can bind your account at other banks and add money to ZA Bank in seconds.</p>



<h3>30 minutes approval personal loan</h3>



<p>ZA Bank has made a pledge to ensure that your loan application will be reviewed <a href="https://cdn.za.group/bank/za-bank-portal-web/assets/files/en/terms/Promotional%20Terms%20and%20Condition.pdf">within 30 minutes</a> after all the required documents are submitted. Consumers will get HK$10 for every minute of overtime, and this amount can go up to HK$500 (Some people may start to wish that ZA Bank processes their loan slowly!).&nbsp;</p>



<p><strong>A</strong> <strong>“Less is more” virtual banking experience&nbsp;</strong></p>



<p>There have been many success stories among virtual banks around the world – however one common question that consumers often ask was “if I have a traditional bank account already, why should I open a virtual bank account?” this is a fair question, and the answers can be found below.&nbsp;</p>



<p>While it is true that the breath and variety of services offered by virtual banks is often limited when compared to any traditional banks, traditional banks’ mobile applications are usually equipped with cluttered or complicated interface.&nbsp;</p>



<p>You may think of virtual banks as “lite” version of the traditional, full service banks. Depending on your needs, this may not be a bad thing since it allows virtual banks to focus on making its online services convenient and accessible 24 hours. Furthermore, virtual banks’ services come with competitive fees and promotions.&nbsp;</p>



<p>As Hong Kong’s first virtual bank, ZA Bank has taken the initiative to introduce banking innovations to Hong Kong consumers – this ranges from seamless account opening, high interest time deposit, fast approval loan and ability to customize various notifications. Our team at Planto has tried out ZA Bank’s mobile banking experience and the amount of investment into user experience design was noticeable throughout the user journey.&nbsp;</p>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQyMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMjAwXzEwMDgwNzEmbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMjAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0yMDBfMTAwODA3MSIsImZyb20iOiJaQSBCYW5rX1BMVDIwMCJ9">I want $200 cash reward（promo code：PLT200）</planto-button>


<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiWkEgQmFua19QTFQzMDAiLCJ0eXBlIjoiU2F2aW5ncyIsImFwcGx5VXJsIjoiaHR0cHM6Ly96YS5vbmVsaW5rLm1lL0xxOWw/cGlkPVBhcnRuZXImYz1QbGFudG8tMzAwXzEwMDgwNzImbGluaz1qdW1wJTNGbW9kdWxlJTNET3BlbkFjY291bnQlMjZ0eXBlJTNET3BlbkFjY291bnRUaXBTY3JlZW4lMjZjb250ZW50JTNEJTdCJTIycHJvbW9Db2RlJTIyJTNBJTIyUExUMzAwJTIyJTdEJTI2dXRtX3NvdXJjZSUzRFBhcnRuZXIlMjZ1dG1fbWVkaXVtJTNETGluayUyNnV0bV9jYW1wYWlnbiUzRFBsYW50by0zMDBfMTAwODA3MiIsImZyb20iOiJaQSBCYW5rX1BMVDMwMCJ9">I want 3% rate-up coupon（promo code：PLT300）</planto-button>



<h2><strong>Frequently asked questions&nbsp;</strong></h2>



<div class="schema-faq wp-block-yoast-faq-block"><div class="schema-faq-section" id="faq-question-1604312012310"><strong class="schema-faq-question">What protection is in place for deposit at ZA Bank? </strong> <p class="schema-faq-answer">ZA Bank is a member of the Hong Kong Deposit Protection Scheme with a maximum deposit protection amount of up to HK$500,000 per depositor. </p> </div> <div class="schema-faq-section" id="faq-question-1604312031114"><strong class="schema-faq-question">What is a virtual bank? </strong> <p class="schema-faq-answer">Virtual banks are banks that mainly provide services through digital platforms such as the internet and mobile application. The concept of virtual banking has been popular for many years in the U.S. and Europe. In Hong Kong, virtual banks are licensed and regulated by the Hong Kong Monetary Authority just like all traditional banks. ZA Bank was the first to launch among 8 virtual banking license holders in Hong Kong. Learn more about Hong Kong virtual bank <a href="https://www.planto.hk/en/blog/neo-virtual-banks/">here</a>. </p> </div> <div class="schema-faq-section" id="faq-question-1604312062505"><strong class="schema-faq-question">Why is the interest rate offered by ZA Bank higher than other banks? </strong> <p class="schema-faq-answer">Given a virtual bank like ZA Bank mostly serves customers online, it can save on operating costs such as rent and employment, the benefit of cost-saving can then be passed on to their customers in the form of higher interest or fee reduction. Furthermore, given all virtual banks are new to the market, there will likely be many promotions in order to attract new customers. </p> </div> <div class="schema-faq-section" id="faq-question-1604312085788"><strong class="schema-faq-question">Does ZA Bank have physical branches or staff for customer service? </strong> <p class="schema-faq-answer">ZA Bank mostly operates online through the mobile application, hence the bank has no physical office. However, as a pioneer in the era of banking digitalization, all ZA Bank’s services can be completed online, unlike traditional banks requiring customers to line up at physical branches.</p> </div> </div>



<p>To contact ZA Bank’s customer service staff, you may call +852 3665 3665 or email to <a href="mailto:bank.opinion@za.group">bank.opinion@za.group</a>.&nbsp;</p>



<p>*Offer is subject to ZA Bank’s <a href="https://cdn.za.group/bank/app/info/en/static/1008066.html">terms and conditions</a>&nbsp;</p>



<p>To borrow or not borrow? Borrow only if you can repay.</p>



<p><sup>1</sup>The Annualized Percentage Rate (“APR”) of 1.45% is calculated based on a loan amount of HKD200,000, repayment tenor of 6 months at a monthly flat rate of 0.07%. Interest is calculated on the basis of 365 days per year. The APR is calculated using method specified in relevant guidelines issued by the Hong Kong Associations of Banks. The APR is a reference rate, which includes all applicable interest rates, fees and charges of the product, expressed as an annualized rate.</p>



<p></p>


ZA Bank is a member of the Hong Kong Deposit Protection Scheme with a maximum deposit protection amount of up to HK$500,000 per depositor. 

What protection is in place for deposit at ZA Bank? 

Virtual banks are banks that mainly provide services through digital platforms such as the internet and mobile application. The concept of virtual banking has been popular for many years in the U.S. and Europe. In Hong Kong, virtual banks are licensed and regulated by the Hong Kong Monetary Authority just like all traditional banks. ZA Bank was the first to launch among 8 virtual banking license holders in Hong Kong. Learn more about Hong Kong virtual bank <a href="https://www.planto.hk/en/blog/neo-virtual-banks/">here</a>. 

What is a virtual bank? 

Given a virtual bank like ZA Bank mostly serves customers online, it can save on operating costs such as rent and employment, the benefit of cost-saving can then be passed on to their customers in the form of higher interest or fee reduction. Furthermore, given all virtual banks are new to the market, there will likely be many promotions in order to attract new customers. 

Why is the interest rate offered by ZA Bank higher than other banks? 

ZA Bank mostly operates online through the mobile application, hence the bank has no physical office. However, as a pioneer in the era of banking digitalization, all ZA Bank’s services can be completed online, unlike traditional banks requiring customers to line up at physical branches.

Does ZA Bank have physical branches or staff for customer service? 

 ZA Bank is the first virtual bank to officially launch in Hong Kong. It also offers a relatively more comprehensive service range. If you’re interested in virtual banks and innovations, ZA Bank would be the right place to kick-start your “virtual banking” journey.

ZA Bank Account Opening & Review: Get a 3.65% Interest Rate On Time Deposit or HK$200  Exclusive Cash Reward


<p><strong>Webull </strong>is a securities firm that launched in the United States in 2018. It recently landed in Hong Kong with zero-commissions for Hong Kong stocks and A-share trading services. It is expected to provide US stock trading functions very soon. We tried <strong>Webull</strong>&#8216;s mobile app and found that in addition to its low fees, it also has a surprisingly good UX and functionality which makes it stand out among the many other low-fee securities firms.</p>



<h2>Table of Contents</h2>



<ul><li><a href="#introduction-to-webull">Introduction to Webull</a></li><li><a href="#webull-welcome-offer">Webull’s Welcome Offer</a></li><li><a href="#open-webull-account">Open a Webull account in 3 minutes</a></li><li><a href="#user-interface">Professional yet simple user interface</a></li><li><a href="#market-data">Market &amp; Cryptocurrency Data</a></li><li><a href="#transaction-fees">Transaction Fee Details</a></li></ul>



<h2 id="introduction-to-webull">Introduction to Webull</h2>



<figure class="wp-block-table"><table><tbody><tr><td>Background</td><td>Launched in the United States in 2018.</td></tr><tr><td>Fees and products</td><td>$0 commission, support Hong Kong stocks, A shares, ETFs, warrants, IPOs and odd lot shares<br><br>Dual licensed  in US and Hong Kong stocks (Over 10 million US and Hong Kong stock choices for users)</td></tr><tr><td>Real-time market information</td><td>Free real-time quotes for Hong Kong stocks (BMP quotes) and quotes from major global exchanges</td></tr><tr><td>Analysis tools</td><td>Provides 8 chart tools and 50 technical indicators, including Xiaomi&#8217;s strategic investment technology. </td></tr><tr><td>Trading platforms</td><td>Supports iOS and Android. Windows, Mac and Web versions are coming soon</td></tr><tr><td>Security</td><td>Licensed by the SFC, uses Citibank and CMB Wing Lung as custodian bank, protected by the Investor Compensation Fund</td></tr></tbody></table></figure>



<h2 id="webull-welcome-offer">Webull’s Welcome Offer</h2>



<p>On or before 30th April 2021,  new customers who open an account through Planto&#8217;s link and transact at least once will get 2 Alibaba (9988 HKG) and 2 Xiaomi (1810 HKG) stocks. </p>



<planto-button link="https://act.webull.com/invitation/hk/share.html?hl=zh-hant&amp;inviteSource=wb_kol_us&amp;inviteCode=G6Cl8cIThVeq&amp;source=planto-cp">Learn more about welcome offer and eligibility criteria</planto-button>



<h2 id="open-webull-account">Open a Webull account in 3 minutes</h2>



<p>Like other online securities firms, the process of applying for a <strong>Webull</strong> account is very simple and it only takes a few minutes to complete.</p>



<ol><li><strong>Fill in personal information:</strong> including name, date of birth, ID number, work status, investment experience, etc.</li><li><strong>Select account:</strong> Currently, Hong Kong users can only choose cash account, and Hong Kong or Shanghai-SZ-HK Stock Connect account. Margin accounts and US stock accounts are coming soon.</li><li><strong>Identity verification: </strong>Upload your ID card and proof of address, and transfer HK$ 10,000 to your <strong>Webull</strong> account (as per regulations HK SFC to complete online identity verification).</li></ol>



<p>After completion, the account can be opened within one working day at the earliest. Don’t forget to complete the above-mentioned welcome offer conditions and redeem 2 shares of Alibaba stocks and 2 shares of Xiaomi stocks for free.</p>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/10/Image-from-iOS-1-604x1024.jpg" alt="" class="wp-image-12203" width="302" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/10/Image-from-iOS-1-604x1024.jpg 604w, https://cms.planto.io/wp-content/uploads/2020/10/Image-from-iOS-1-177x300.jpg 177w, https://cms.planto.io/wp-content/uploads/2020/10/Image-from-iOS-1.jpg 750w" sizes="(max-width: 302px) 100vw, 302px" /><figcaption>The application is more or less the same as other securities brokers.</figcaption></figure>



<h2 id="user-interface">Professional yet simple user interface</h2>



<p><strong>Webull</strong> is not the first securities firm to use in-depth data as a selling point &#8211; and it isn’t the broker with the most number of data points. The real advantage of <strong>Webull</strong> is that it can display important data and charts in a very simple to understand way. Retail investors without professional training will not find it overwhelming!</p>



<p>After selecting any stock, in addition to the necessary data such as market value, turnover rate and dividend rate, you can also see the flow of funds and related news reports. In the Hong Kong stock market, reports come from local media such as Economic Daily, Hong Kong Economic Journal and Economic News; news sources for U.S. stocks include Bloomberg, CNBC, SeekingAlpha, Bloomberg, etc., to help users easily understand what news may be affecting the stock.<br><br><strong>Webull</strong> also provides analysts’ comprehensive rating data, dividing stocks into five levels: “strong recommendation”, “buy”, “neutral”, “lagging market” and “sell”, as well as target value prediction, support level and resistance analysis. Of course, the analyst’s views are for reference only and should not be the only thing you rely on.</p>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/10/StockReview_WeBull-576x1024.jpg" alt="" class="wp-image-12192" width="288" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/10/StockReview_WeBull-576x1024.jpg 576w, https://cms.planto.io/wp-content/uploads/2020/10/StockReview_WeBull-169x300.jpg 169w, https://cms.planto.io/wp-content/uploads/2020/10/StockReview_WeBull.jpg 750w" sizes="(max-width: 288px) 100vw, 288px" /><figcaption>Webull is one of the Hong Kong stock trading apps with good analysis functions.</figcaption></figure>



<p>In the financial column, there are key data such as business analysis, earnings per share, balance sheet, and cash flow. You may have used similar financial data analysis functions on other securities trading platforms, but <strong>Webull</strong>’s unique because the chart design and color are easy to read and understand. It feels like the product was designed with an attention to the customer’s needs.</p>



<p>Other unique stock analysis functions that are rare in the mobile apps of similar securities firms in Hong Kong include:</p>



<ul><li>Comparison: Select up to 3 stocks or indexes, and automatically make comparison charts</li><li>Replay: At a speed of 1 to 120 times, look back at the stock price of the specified date and time period like a movie</li><li>Double Chart: Split the mobile interface into two and watch the charts of two stocks at the same time</li></ul>



<p></p>



<figure class="wp-block-image size-large"><img loading="lazy" width="1024" height="576" src="https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull-1024x576.jpg" alt="" class="wp-image-12193" srcset="https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull-1024x576.jpg 1024w, https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull-300x169.jpg 300w, https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull-768x432.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull-1200x675.jpg 1200w, https://cms.planto.io/wp-content/uploads/2020/10/Chart_WeBull.jpg 1334w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Users can make their own comparison charts on Webull. The picture shows the performance comparison of Meituan (3690), Tencent (0700) and the Hang Seng Index</figcaption></figure>



<h2 id="market-data">Market &amp; Cryptocurrency Data</h2>



<p>In the quotation column, you can see macro overview of the three markets of Hong Kong, Shanghai-Shenzhen-Hong Kong Stock Connect and US stocks, including the market index trend, market fluctuation distribution, net capital inflow, and the trend of different industry sectors and leaderboard.</p>



<p>In addition to the most popular stock markets, there are also the Japan FTSE 100 Index, the Canadian S&amp;P/TSX Composite Index, and basic data on multiple major currencies. Surprisingly, they also list the price trends of more than a dozen cryptocurrencies such as Bitcoin and Ethereum. Although <strong>Webull</strong> does not allow you to trade cryptocurrencies, it’s a good way for investors to keep an eye on crypto-currency prices in the same platform!</p>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/10/Crypto_WeBull-576x1024.jpg" alt="" class="wp-image-12195" width="288" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/10/Crypto_WeBull-576x1024.jpg 576w, https://cms.planto.io/wp-content/uploads/2020/10/Crypto_WeBull-169x300.jpg 169w, https://cms.planto.io/wp-content/uploads/2020/10/Crypto_WeBull.jpg 750w" sizes="(max-width: 288px) 100vw, 288px" /><figcaption>Webull provides cryptocurrency quotes, but does not have trading functions.</figcaption></figure>



<h2 id="transaction-fees">Transaction Fee Details</h2>



<p><strong>Webull</strong> supports investing in Hong Kong stocks, Shanghai-Shenzhen-Hong Kong Stock Connect A shares, as well as ETFs, warrants, CBBCs and inbound securities in the Hong Kong stock market. Hong Kong stock trading supports three types of orders: market order at auction, limit order at auction, and enhanced limit order.</p>



<p>Like online securities firms that have emerged in recent years, <strong>Webull</strong> has taken a lower fee route.</p>



<figure class="wp-block-table"><table><thead><tr><th>Hong Kong stock trading items</th><th>Rate</th><th>Charged By</th></tr></thead><tbody><tr><td>Commission (electronic channel)</td><td>0</td><td>Webull</td></tr><tr><td>Platform Fee</td><td>HK$10/order</td><td>Webull</td></tr><tr><td>Commission (telephone)</td><td>0.25% (min. HK$100)</td><td>Webull</td></tr><tr><td>Stamp Duty</td><td>0.10%  (If it is less than HK$1, it will be calculated as HK$1. Not charged when trading ETFs, warrants, CBBCs, and inbound securities)</td><td>HKSAR</td></tr><tr><td>Transaction Levy</td><td>0.0027%</td><td>SFC</td></tr><tr><td>Clearing Fee</td><td>0.002% (min. HK$2，max. HK$100)</td><td>HKSE</td></tr><tr><td>Transaction Fee</td><td>0.005%</td><td>HKSE</td></tr><tr><td>Trading System Usage Fee</td><td>HK$0.5/order (min. HK$0.50)</td><td>HKSE</td></tr><tr><td>Investor Compensation Levy</td><td>0.002% (has been suspended until further notice since 2005)</td><td>Investor Compensation Fund</td></tr></tbody></table><figcaption>(Applicable to Hong Kong market stocks, exchange-traded funds (ETF), warrants, CBBCs, inbound securities, etc.)</figcaption></figure>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/10/CreateOrder_WeBull-495x1024.jpg" alt="" class="wp-image-12182" width="260" height="512"/><figcaption>Hong Kong stock trading supports three types of orders: market order at auction, limit order at auction, and enhanced limit order.</figcaption></figure>



<p>Although US stock trading is not supported by <strong>Webull</strong> yet &#8211; given that they are active in the US for a while, it’s quite likely they will launch this service in Hong Kong as well. We’ll let you know as soon as we have any new information about that!</p>



<h2 id="webull-summary">Summary: A unique challenger in the investment broker market</h2>



<p>In recent years, low-fee mobile securities firms have become popular. Since transaction costs have nearly hit rock-bottom and brokers are pushing welcome rewards, whether they can eventually keep their users depends more and more on the user experience, research functionality and content available in their apps.</p>



<p>We’ve reviewed almost all the major mobile securities firms in the Hong Kong market, but we’re surprised by <strong>Webull</strong>’s UX. You may find similar analysis information on other websites or platforms, but what <strong>Webull</strong> excels at is displaying data in a concise and simple way. It is by no means another ‘generic’ trading platform and we think it has a bright future in the Hong Kong market</p>



<planto-button link="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0Ijoid2VidWxsIiwidHlwZSI6ImludmVzdG1lbnRfYnJva2VyIiwiYXBwbHlVcmwiOiJodHRwczovL2FjdC53ZWJ1bGwuY29tL2ludml0YXRpb24vaGsvc2hhcmUuaHRtbD9obD16aC1oYW50Jmludml0ZVNvdXJjZT13Yl9rb2xfdXMmaW52aXRlQ29kZT1HNkNsOGNJVGhWZXEmc291cmNlPXBsYW50by1jcCIsImZyb20iOiJXZWJ1bGwgUmV2aWV3In0=">Open an account with Webull</planto-button>


Webull launched in Hong Kong with zero-commission HK stock trading, IPO and A-share trading services. Besides the low fees, it also has a great UX. Learn more about the functionality, fees and account opening process of Webull

【2 Free Alibaba stocks + 2 Free Xiaomi stocks】Webull Review: Low fees and good user experience!


<p>In 2019, The Hong Kong Monetary Authority (“HKMA”) issued 8 virtual banking licenses. So far, 7 of the 8 license holders have launched their services in Hong Kong, marking a new era of digital banking.</p>



<p>As suggested by their name, virtual banks are neobanks that do not have physical retail presence. Their services are 100% digital and the services can range from deposit, personal loan, debit/credit card or even insurance. The virtual banks can be accessed primarily through their websites and mobile applications.</p>



<h2><strong>Comparison of the 7 virtual banks that have been launched</strong></h2>



<p>As of now, virtual banks offer fewer products when compared to traditional banks. Each of the virtual banks is focusing on a different value proposition for example Mox Bank launched a numberless bank card that comes with various spending rebates, livi Bank launched a virtual credit card that supports UnionPay QR code.</p>



<p>On the lending sector Airstar Bank is providing a technology backed, fast approval loan with very attractive interest rate. In the meantime, Welab Bank’s parent company is a well-known lending platform so it is expected that Welab Bank will also join the competition with an attractive lending product.</p>



<p><a href="https://www.planto.hk/en/blog/ZA-Bank-Open-Account/">ZA Bank</a> was the first virtual bank to launch in Hong Kong, among other products, ZA is introducing low cost virtual insurance under the ZA Insure brand.</p>



<p>Ant Bank currently only provides deposit and transfer services, but it&#8217;s expected that AlipayHK users can open Ant Bank accounts and use its services in the e-wallets in the future. As for PAO Bank, it became the first bank to provide loan and deposit services for SMEs.</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Virtual bank</strong></td><td><strong>Deposit</strong></td><td><strong>Personal&nbsp; loan</strong></td><td><strong>Debit card</strong></td><td><strong>Payment/ Transfer</strong></td><td><strong>Insurance</strong></td><td><strong>SME services</strong></td></tr><tr><td><strong>Airstar Bank</strong></td><td>✅</td><td>✅ <br>👉<a href="https://www.planto.hk/en/airstar/">Limited time offer</a></td><td>❌</td><td>✅</td><td>❌</td><td>❌</td></tr><tr><td><strong>livi Bank</strong></td><td>✅</td><td>❌</td><td>✅</td><td>✅</td><td>❌</td><td>❌</td></tr><tr><td><strong>Mox Bank</strong></td><td>✅</td><td>❌</td><td>✅</td><td>✅</td><td>❌</td><td>❌</td></tr><tr><td><strong>Welab Bank</strong></td><td>✅</td><td>❌</td><td>✅</td><td>✅</td><td>❌</td><td>❌</td></tr><tr><td><strong>ZA Bank</strong></td><td>✅<br>👉<a href="https://www.planto.hk/en/blog/ZA-Bank-Open-Account/">Limited time offer</a></td><td>✅</td><td>✅</td><td>✅</td><td>✅</td><td>✅</td></tr><tr><td><strong>Ant Bank</strong></td><td>✅</td><td>❌</td><td>❌</td><td>✅</td><td>❌</td><td>❌</td></tr><tr><td><strong>PAO Bank</strong></td><td>✅</td><td>❌</td><td>❌</td><td>✅</td><td>❌</td><td>✅</td></tr></tbody></table></figure>



<p><single-action-item title="ZA Bank X Planto Welcome Offers" subtitle="ZA Bank has offered two exclusive invitation codes to Planto’s audience. You can choose either one of the codes to open a ZA Bank account from now on until 31st Jan 2020.
" link="https://www.planto.hk/en/blog/ZA-Bank-Open-Account/" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h2><strong>Comparison of VBs&#8217; promotional offers</strong></h2>



<p>On top of existing traditional banks, Hong Kong is seeing an influx of new virtual banks launching in 2020. Hong Kong virtual banks are giving out attractive offers to attract customers and come out on top of competition.&nbsp;</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Virtual bank</strong></td><td><strong>Promotional offers</strong></td></tr><tr><td><strong>Airstar Bank</strong></td><td>– 3.6% annual interest rate for the first HK$20,000 deposit for 1 year <br>– Apply for a personal loan through Planto to enjoy APR as low as 1.85% and receive HK$200 cash reward upon a successful application</td></tr><tr><td><strong>livi Bank</strong></td><td>– Receive HK$100 cash reward after opening an account<br>– Earn HK$100 for each successful referral of up to HK$1,000 0.5% interest rate on the first HK$500,000 deposit <br>– Shake your phone after using UnionPay QR code to receive reward up to 3 times per day</td></tr><tr><td><strong>Mox Bank</strong></td><td>– 1% interest p.a. daily interest on the first HK$1 million deposit<br>– 1% unlimited cashback on eligible spending 5% cashback at Mox’s Founding Merchants (up to HK$1,000 of cash back) before 31 December 2020</td></tr><tr><td><strong>WeLab Bank</strong></td><td>– 8% cash rebate on WeLab Debit Card until 27 January 2021</td></tr><tr><td><strong>ZA Bank</strong></td><td>– Receive a 200 HKD cash&nbsp;reward or 3% rate-up coupon by using Planto&#8217;s link and exclusive promo code to open an account 👉<a href="https://www.planto.hk/en/blog/ZA-Bank-Open-Account/">Learn More</a><br>– 1% interest on the first HK$500,000 deposit</td></tr><tr><td><strong>Ant Bank </strong></td><td>– 2.5% interest p.a. on the first HK$20,000 deposit<br>– 1% interest p.a. on deposit above HK$20,000 and below HK$500,000</td></tr><tr><td><strong>PAO Bank</strong></td><td>– 2.5% interest p.a. on the first HK$1 million deposit</td></tr></tbody></table><figcaption>The offers are subject to banks’ terms and conditions which may be changing from time to time. Please visit banks’ websites for latest offers.</figcaption></figure>



<h2><strong>Who are the 8 virtual banking license holders?</strong></h2>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Virtual bank</strong></td><td><strong>Shareholders</strong></td></tr><tr><td>Airstar Bank</td><td>Xiaomi Corporation, AMTD Group</td></tr><tr><td>livi Bank</td><td>Bank of China, Jardine Matheson Group, Jingdong Digits Technology</td></tr><tr><td>Mox Bank</td><td>Standard Chartered, HKT, PCCW, Ctrip</td></tr><tr><td>WeLab Bank</td><td>WeLab</td></tr><tr><td>ZA Bank</td><td>Zhong An Insurance</td></tr><tr><td>Fusion Bank</td><td>Tencent, ICBC, Hillhouse Capital</td></tr><tr><td>Ping An OneConnect Bank</td><td>Ping An Insurance</td></tr><tr><td>Ant Bank</td><td>Ant Financial</td></tr></tbody></table></figure>



<h2><strong>Virtual banks vs. traditional banks</strong>: Pros &amp; Cons</h2>



<p>Digital banking service has moved banking online and does not require any physical branches, this helps to reduce rent and manpower costs. The service can also be accessed anywhere and almost anytime making it very suitable for new generation of consumers.</p>



<h4>Virtual bank advantages:</h4>



<ol><li><strong>24-hour mobile banking:</strong> banking service can be accessed anytime and from anywhere without queuing. New customers can swiftly open their accounts by scanning HKID or upload selfie photo</li><li><strong>Lower fees:</strong> virtual banks generally do not impose minimum balance requirement, and they also charge less or no fees across various product lines for example low account balance fee, handling fee or loan early repayment fee</li><li><strong>Increase market competition:</strong> market competition is often good for the consumer. In order to attract/retain customers, both virtual and traditional banks are expected reduce fees and provide attractive offers such as increasing deposit interest and credit card cash rebate</li><li><strong>Promote digital banking:</strong> virtual banks are expected to set the pace of innovation in financial services across areas like mobile banking, virtual credit card, cross-border payment and virtual insurance</li><li><strong>Connection with traditional banks:</strong> virtual banking accounts can send or receive money from traditional banks seamlessly through FPS and real-time transfer which make the 2 ecosystems complementary to each other</li></ol>



<p>While virtual banks have their own strength, they are most likely not going to replace traditional banks entirely as virtual banks also have some shortfalls which include:</p>



<ol><li><strong>No physical branch:</strong> while all virtual banks offer great mobile banking experience, many consumers still prefer to bank offline (for example money withdrawal at a branch) or speak face to face with a banking professional. Furthermore, older generation of consumers would need to learn about new technology in order to enjoy virtual banking service</li><li><strong>Fewer service offering:</strong> traditional banks still have advantage when it comes to the breath and variety of financial products. This is particularly true on some product categories like investment and mortgage which are not being offered by any virtual bank today</li><li><strong>Standardized service:</strong> in general, virtual banks have designed their services for majority of the consumers. However with traditional banks, consumers who require personalization or high-touch service can engage directly with their account manager for direct communication&nbsp;</li></ol>



<p>Ultimately, it is expected that traditional banks will transform themselves in order to keep up with innovation brought on by virtual banks. For example both Payme by HSBC and inMotion by CITIC Bank are both digital products developed by long standing traditional banks. Additionally, many existing banks like HSBC, Bank of China, Standard Chartered and Dah Sing have announced that they will stop charging certain fees in order to stay competitive.</p>



<p>The investment landscape has seen rapid adoption of many new digital platforms such as Futu, SoFi HK and Flexinvest by HSBC. Unless virtual banks are coming up with new investment innovation, there may not be a lot of impact on the market.</p>



<p>Still, Hong Kong consumers should be excited about virtual banking as there are many successful virtual banks around the world. One of the most famous case would be Monzo, a U.K. digital bank which was established in 2015. Monzo’s key selling points include automated saving/accounting as well as free withdrawal from Monzo account around the world. By 2020, Monzo has accumulated approximately 4.5 million users, most of which are under 40 years old (a great indicator that virtual banking service is extremely suitable to young consumers).</p>



<h2><strong>What consumer protection is in place for virtual banking service in Hong Kong?</strong></h2>



<p>Like all banks, virtual banks in Hong Kong are supervised by the HKMA, and they are also participants of the Deposit Protection Scheme. This means up to HK$500,000 of deposit is protected per customer.</p>



<p>Additionally, although virtual banks’ services are online, the banks are still established and have physical office in Hong Kong. Customers can still get in touch with virtual banks physically for matters which cannot be resolved online.</p>



<hr class="wp-block-separator"/>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/overseas-mortgage-interest-expense/">Can personal loan in Hong Kong reduce your mortgage interest expense?</a></li><li><a href="https://www.planto.hk/en/blog/living-cost-hongkong-bangkok/">Hong Kong vs. Bangkok, from a Thai person living in Hong Kong</a></li><li><a href="https://www.planto.hk/en/blog/consolidation-loan-explained/">What is consolidation loan and how it can be useful to you?</a></li><li><a href="https://www.planto.hk/en/blog/personal-loan-APR-comparison/">Do Big Financial Institutions Offer the Lowest Interest Rates?</a></li></ul>



<p></p>


 Virtual banks are neobanks that do not have physical retail presence. Their services are 100% digital and the services can range from deposit, personal loan, debit/credit card or even insurance. Learn more about the welcome offers of Hong Kong virtual banks. 

What is a virtual bank? Comparison of services, promotional offers and key selling points of Hong Kong VBs


<p><strong>Personal loans</strong> offered by banks and financial institutions in Hong Kong are often categorized as “unsecured loan”, that means borrowers do not have to provide any collateral to the financial institutions. A loan application typically only requires an application form, HKID, proof of income and an address. Most recently, some financial institutions start to offer loans without requiring any proof of income or address which helps to greatly simplify the personal loan borrowing process.</p>



<p>One of the most important factors to consider before borrowing money is the Annual Percentage Rate (APR) which is an indicator of interest rate commonly used by HKMA authorized lenders (<a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">Read more about the impact of interest rate on interest expense</a>). APR indicates total yearly interest expense (without taking into consideration the effect of compounding), so it is important to understand APR offers in the market and consider other key components such as maximum loan amount and the repayment period.</p>



<h2><strong>Personal Loans APR &amp; packages comparison:</strong></h2>



<loan-table> language=&#8221;en&#8221; </loan-table>



<h2><strong>Frequently asked questions about Personal Loan</strong>s</h2>



<div class="schema-faq wp-block-yoast-faq-block"><div class="schema-faq-section" id="faq-question-1600678765816"><strong class="schema-faq-question">Why is the actual interest rate offered by financial institutions different from the ones advertised?</strong> <p class="schema-faq-answer">The actual interest rate offered to borrowers depends on multiple factors such as borrower’s credit profile, loan amount, and repayment period – as such not all borrowers will be able to get the lowest Annual Percentage Rate (APR) possible as advertised by financial institutions.</p> </div> <div class="schema-faq-section" id="faq-question-1600678864564"><strong class="schema-faq-question">What are the key types of personal loan?</strong> <p class="schema-faq-answer">Some of the most common types include installment, revolving and consolidation loans. An <strong>installment loan</strong> is the most common personal loan in Hong Kong, it is characterized by fixed monthly repayment schedule. A <strong>Revolving loan</strong> on the other hand offers more flexibility as the borrowers can decide when to drawdown then payback at their own pace. Lastly, a <strong>consolidation loan</strong> is a type of borrowing to payback one or more other loans – ideally higher interest one(s). <a href="https://www.planto.hk/en/blog/consolidation-loan-explained/">Read more about consolidation loan here</a>.</p> </div> <div class="schema-faq-section" id="faq-question-1600678966998"><strong class="schema-faq-question">How long does it usually take to apply for and get a personal loan?</strong> <p class="schema-faq-answer">Traditionally, financial institutions typically take about one week to approve a personal loan application. However, with the aid of online application, application and approval can now be as fast as one day.</p> </div> <div class="schema-faq-section" id="faq-question-1600678990148"><strong class="schema-faq-question">What factors should be considered when applying for a personal loan?</strong> <p class="schema-faq-answer">While APR plays an important role, borrowers should also consider other important factors such as repayment ability, handling fee, overdue penalty, early repayment fee and repayment methods.</p> </div> <div class="schema-faq-section" id="faq-question-1600679041585"><strong class="schema-faq-question">How to decide on repayment period for your personal loan?</strong> <p class="schema-faq-answer">The repayment period of any personal loan in Hong Kong can range between 3 to 72 months. The repayment period directly impacts the monthly repayment amount and overall interest expense. Longer repayment period means lower monthly repayment, but at the same time it will also increase overall interest expense due to compounding. <a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">Read more about the relationship between the repayment period and total interest expense here</a>.</p> </div> <div class="schema-faq-section" id="faq-question-1600679075273"><strong class="schema-faq-question">What documents are required during a personal loan application?</strong> <p class="schema-faq-answer">Financial institutions generally require documents such as identification documents (HKID/password), proof of address and proof of income. Some institutions allow the borrower to skip some document provision, however maximum loan amount will be lower as well.</p> </div> <div class="schema-faq-section" id="faq-question-1600679090599"><strong class="schema-faq-question">What are the consequences of late repayment?</strong> <p class="schema-faq-answer">Failing to repay the loan on time typically results in additional finance charges. Another important consequence is the impact of late repayment on credit score &#8211; having a bad credit score could result in loan disapproval or getting a loan offer but at a higher interest rate.</p> </div> <div class="schema-faq-section" id="faq-question-1600679107808"><strong class="schema-faq-question">Can early repayment save money?</strong> <p class="schema-faq-answer">Financial institutions typically request handling fees or interest payback if borrowers want to repay their personal loans earlier. This means early repayment of personal loans may not always result in saving on interest expense so borrowers should discuss this option with their lenders before making any decision.</p> </div> <div class="schema-faq-section" id="faq-question-1600679122461"><strong class="schema-faq-question">What is the difference between secured and unsecured loan?</strong> <p class="schema-faq-answer">A secured loan uses collateral as a guarantee for repayment (mortgage is one example of a secured loan). On another hand, unsecured loan like personal loan, tax loan or even credit card do not have any guarantee for repayment, so their interest rate tends to be higher when compared to secured loan.</p> </div> <div class="schema-faq-section" id="faq-question-1600679138279"><strong class="schema-faq-question">What is a loan guarantor?</strong> <p class="schema-faq-answer">A loan guarantor’s role is to cover for outstanding loan amount if the original borrower failed to repay the loan. Having a guarantor can help to improve borrower’s chance of getting approval as this helps to reduce risk for financial institutions.</p> </div> <div class="schema-faq-section" id="faq-question-1600679156382"><strong class="schema-faq-question">What is a credit report?</strong> <p class="schema-faq-answer">TransUnion (“TU”) is currently the only provider of personal credit report in Hong Kong. A credit report takes into considerations of past credit card, loan and mortgage application / payment information to compute a credit score which ranges from AA to JJ (AA being the best and JJ being the worst). Borrowers who manage number of credit card / loan applications well, while at the same time have good repayment habit tend to have better credit score and should not have any issue when applying for any type of loan.</p> </div> </div>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/overseas-mortgage-interest-expense/">Can personal loan in Hong Kong reduce your mortgage interest expense?</a></li><li><a href="https://www.planto.hk/en/blog/living-cost-hongkong-bangkok/">Hong Kong vs. Bangkok, from a Thai person living in Hong Kong</a></li><li><a href="https://www.planto.hk/en/blog/consolidation-loan-explained/">What is consolidation loan and how it can be useful to you?</a></li></ul>



<p></p>


The actual interest rate offered to borrowers depends on multiple factors such as borrower’s credit profile, loan amount, and repayment period – as such not all borrowers will be able to get the lowest Annual Percentage Rate (APR) possible as advertised by financial institutions.

Why is the actual interest rate offered by financial institutions different from the ones advertised?

Some of the most common types include installment, revolving and consolidation loans. An <strong>installment loan</strong> is the most common personal loan in Hong Kong, it is characterized by fixed monthly repayment schedule. A <strong>Revolving loan</strong> on the other hand offers more flexibility as the borrowers can decide when to drawdown then payback at their own pace. Lastly, a <strong>consolidation loan</strong> is a type of borrowing to payback one or more other loans – ideally higher interest one(s). <a href="https://www.planto.hk/en/blog/consolidation-loan-explained/">Read more about consolidation loan here</a>.

What are the key types of personal loan?

Traditionally, financial institutions typically take about one week to approve a personal loan application. However, with the aid of online application, application and approval can now be as fast as one day.

How long does it usually take to apply for and get a personal loan?

While APR plays an important role, borrowers should also consider other important factors such as repayment ability, handling fee, overdue penalty, early repayment fee and repayment methods.

What factors should be considered when applying for a personal loan?

The repayment period of any personal loan in Hong Kong can range between 3 to 72 months. The repayment period directly impacts the monthly repayment amount and overall interest expense. Longer repayment period means lower monthly repayment, but at the same time it will also increase overall interest expense due to compounding. <a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">Read more about the relationship between the repayment period and total interest expense here</a>.

How to decide on repayment period for your personal loan?

Financial institutions generally require documents such as identification documents (HKID/password), proof of address and proof of income. Some institutions allow the borrower to skip some document provision, however maximum loan amount will be lower as well.

What documents are required during a personal loan application?

Failing to repay the loan on time typically results in additional finance charges. Another important consequence is the impact of late repayment on credit score - having a bad credit score could result in loan disapproval or getting a loan offer but at a higher interest rate.

What are the consequences of late repayment?

Financial institutions typically request handling fees or interest payback if borrowers want to repay their personal loans earlier. This means early repayment of personal loans may not always result in saving on interest expense so borrowers should discuss this option with their lenders before making any decision.

Can early repayment save money?

A secured loan uses collateral as a guarantee for repayment (mortgage is one example of a secured loan). On another hand, unsecured loan like personal loan, tax loan or even credit card do not have any guarantee for repayment, so their interest rate tends to be higher when compared to secured loan.

What is the difference between secured and unsecured loan?

A loan guarantor’s role is to cover for outstanding loan amount if the original borrower failed to repay the loan. Having a guarantor can help to improve borrower’s chance of getting approval as this helps to reduce risk for financial institutions.

What is a loan guarantor?

TransUnion (“TU”) is currently the only provider of personal credit report in Hong Kong. A credit report takes into considerations of past credit card, loan and mortgage application / payment information to compute a credit score which ranges from AA to JJ (AA being the best and JJ being the worst). Borrowers who manage number of credit card / loan applications well, while at the same time have good repayment habit tend to have better credit score and should not have any issue when applying for any type of loan.

What is a credit report?

The most important factor to consider before borrowing money is the Annual Percentage Rate (APR). APR indicates total yearly interest expense so it is important to understand APR offers in the market and consider other key components such as maximum loan amount and the repayment period.

Personal Loans Annual Percentage Rate (APR) Comparison: Do Big Financial Institutions Offer the Lowest Interest Rates?


<p>Consolidation loan or the concept of debt consolidation in general is a process of taking one single loan to replace multiple loans or a loan with high interest rate (for example credit card debt). This can effectively help to reduce total cost from high interest rate or finance charge.</p>



<p>As mentioned previously, consolidation loan is useful for replacing one or multiple high interest loans which may include:</p>



<ul><li>Finance charge on credit card debt (if you do not pay credit card on time)</li><li>Finance charge on credit card cash advance (if you withdraw cash using credit card and do not pay on time)</li><li>Overdraft facility</li></ul>



<p>Interest expense from these types of borrowing can be high as they tend to have high interest rate (up to 30%+ APR) or their finance charges accrue on a daily basis.&nbsp;</p>



<h3><strong>Benefits of consolidation loan and who it is suitable for</strong></h3>



<p>In general, consolidation loan provides the following benefits:</p>



<ul><li><strong>Reduce total interest expense and finance charge</strong>. Given total loan repayment amount is a combination of principal and interest expense, this will help to reduce overall loan repayment so that you can pay off your debt earlier or reduce burden on your monthly cashflow</li><li><strong>Simplify payment process</strong>. Keeping track of and paying for a single loan is simpler than doing so for multiple loans. More importantly, it also reduces the risk of missing repayment (which can help you to avoid various finance charges)</li></ul>



<p>Consolidation loan tends to have lower interest when compared to other more expensive types of borrowing listed above. So how do you know if consolidation loan is right for you?</p>



<ul><li>You are paying for one or more high interest loans</li><li>You still have a good enough credit score to qualify for loan with lower interest than your current ones</li><li>Your cashflow in the next 12 &#8211; 36 months will allow you to pay off the new consolidation loan</li></ul>



<h3><strong>Illustration of how consolidation loan can benefit you</strong></h3>



<p>In this example, we will be looking at a consumer who is paying for one credit card debt and one overdraft facility every month, however both loans are accruing interest on a daily basis.</p>



<figure class="wp-block-table"><table><tbody><tr><td><br></td><td><strong>Credit card debt</strong></td><td><strong>Overdraft facility</strong></td></tr><tr><td><strong>Outstanding balance</strong></td><td>HK$40,000</td><td>HK$150,000</td></tr><tr><td><strong>Interest</strong></td><td>25% APR accruing daily</td><td>15% APR accruing daily</td></tr><tr><td><strong>Current monthly repayment</strong></td><td>~HK$7,170</td><td>~HK$9,370</td></tr><tr><td><strong>Total interest expense</strong></td><td>~HK$3,000</td><td>~HK$18,550</td></tr><tr><td><strong>Est. time until total repayment</strong></td><td>6 months</td><td>18 months</td></tr></tbody></table></figure>



<p>Following the above calculation, this consumer is spending HK$16,540 in loan repayment every month. It will take about 18 months for all debt to be paid back and total interest expense during this period will be HK$21,550.</p>



<p>If this consumer is to take a consolidation loan of equal balance with similar monthly repayment amount however, the consumer will be able to reduce interest expense as well as become debt-free sooner.</p>



<figure class="wp-block-table"><table><tbody><tr><td><br></td><td><strong>Existing loans</strong></td><td><strong>Consolidation loan with 10% APR which accrue monthly for 12 months</strong></td></tr><tr><td><strong>Balance</strong></td><td>HK$190,000</td><td>HK$190,000</td></tr><tr><td><strong>Monthly repayment</strong></td><td>HK$16,540</td><td>HK$16,704</td></tr><tr><td><strong>Total interest expense</strong></td><td>HK$21,550</td><td>HK$10,450</td></tr><tr><td><strong>Est. time until total repayment</strong></td><td>18 months</td><td>12 months</td></tr></tbody></table></figure>



<p>This example illustrates how consolidation loan can help a consumer who is paying for multiple high interest loans by reducing total interest expense and repayment timeline while keeping a similar level of monthly repayment amount.</p>



<p>*Note: calculations above follow a standard formula and may differ from calculations used by financial institutions</p>



<p><strong>Things to watch out for before taking a consolidation loan</strong></p>



<p>While the benefits of taking a consolidation loan can be quite clear, there are still a few things to take into consideration:</p>



<ul><li>Like any other types of loan, consolidation loan requires timely repayment. Missing of payment can lead to additional interest and finance charge&nbsp;</li><li>If high monthly repayment will place a burden on your cashflow, consider a consolidation loan with longer repayment (Although this will lead to higher overall interest expense. Read more about the relationship between repayment plan and total interest expense <a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">here</a>)</li><li>If your existing loans’ outstanding balances are small enough and you have enough saving for emergency situations, paying off the loans or making early repayment could be a better alternative than consolidation loan (However do watch out for early repayment fee)</li></ul>



<p>It is advisable that you do research and plan ahead of any borrowing. If you are looking for more resources around borrowing, feel free to visit the <a href="https://www.ifec.org.hk/web/en/moneyessentials/debts-and-borrowing/index.page">Investor and Financial Education Council</a> or the Chin family’s website.</p>



<hr class="wp-block-separator"/>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/overseas-mortgage-interest-expense/">Can personal loan in Hong Kong reduce your mortgage interest expense?</a></li><li><a href="https://www.planto.hk/en/blog/living-cost-hongkong-bangkok/">Hong Kong vs. Bangkok, from a Thai person living in Hong Kong</a></li></ul>



<p></p>


Consolidation loan or the concept of debt consolidation in general is a process of taking one single loan to replace multiple loans or a loan with high interest rate (for example credit card debt). This can effectively help to reduce total cost from high interest rate or finance charge.

What is consolidation loan and how it can be useful to you?


<p>For anyone who might have been thinking about emigration and overseas retirement &#8211; Planto recently featured an article <a href="https://www.planto.hk/zh/blog/taiwan-hongkong-living-compare">comparing the cost of living between Hong Kong and Taiwan</a>. This month, Planto’s Founding Member &#8211; Apinun Narkhan, is going to compare costs of living in the two cities.&nbsp;</p>



<p>Having spent many years in Hong Kong and Bangkok, I find that both cities are vibrant &amp; full of opportunities and things to explore – but how do income and costs of living compare? Lets find out!</p>



<h2><strong>House rental</strong></h2>



<p>UBS’s <a href="https://www.ubs.com/microsites/prices-earnings/en/">2018 Prices &amp; Earnings</a> reported rental cost for standardized 2 furnished bedroom or 3 unfurnished bedroom apartments in Hong Kong to be US$3,947 (~HK$31,000) and Bangkok to be US$766 (~HK$6,000), that is about 5 times cheaper than Hong Kong.</p>



<p>To put this into perspective, lets take a look at a few apartments in Asoke, a prime shopping/office location intersected by both MRT and BTS trains. Fully furnished, 2 bedroom apartments (~600sqft) in this area which are within walking distance from both train stations generally cost around HK$8,000 to HK$9,000 per month!</p>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/y7zYAai0dOBGhRDiVcCpWDOYZkgmXofB3YQgwNQlYkyu4GTIknpm9IpkIwCZce1OTOeddy1P-AQiHBkxh5JTtqIyWXfPpRD6_HjIsXXHkT3CoxGG9pN1m-jqoZsf9CGkVdLEVX5c" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh5.googleusercontent.com/VmHmuQQlyFfj27oTDiieb7UXEKT9P635JRjNb5KC1mZyWWjiVZefRGLzu24ZOswcBwOaGB_uZ04qsRr84QjFOPfu3OUwbhrOEM5aqiKQxvx47zz_oeek9-iINdPZp4kP5v1X4S9h" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/V43IOkBiJNm8nkTSJnJ_ZIDEYzgZ5CdkNxu5v-ZDfjSq6w0rx9ILxkPTGx_UobsmFTm7Ck7XU1USliP-YX0UNZRxyMUgdVl4wI75ahbGPNQ1wGVfEjlCH3Y-hbT298-e3zsGQMUR" alt=""/></figure>



<h2><strong>Food and beverages</strong></h2>



<p>Instead of referring to any survey or benchmark, I will drive right into cost comparisons between specific dishes!</p>



<h4>Everyday food</h4>



<p>Kra pao, or stir fried minced pork with basil leaf rice – a very common Thai dish that you can find anywhere in Bangkok typically cost around THB35 – THB 40 (HK$10). In Hong Kong, BBQ pork rice or 2-choice rice can easily cost HK$30 – HK$40.</p>



<figure class="wp-block-image"><img src="https://lh3.googleusercontent.com/iLaqRCp4-8ka_H3spCbCvMT5srrYwg-2JAgVIX1Tur8kCYXSSr4gF0qVOZa7dsxOtZQ6DK5fOmzrJyjMQEMBgV9DDyaiqJtmU2f-ve92qoAGVJ5-tNhGmvzULK_xnxow0weBaHnk" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/6iFiYibgPKQPXa9PNS9XDIj9FEStq6Ev_4dmxOZOrFAt6mv-ctSoq30h6v4oBmNKfmEnn9QHC1bskdzNWweYRlrCfR9LOu_oczs32K_QE58Cs6fLycFUXWnGVPCJ_oWJVfSMcuqc" alt=""/></figure>



<h4>Noodle</h4>



<p>Pad Thai is probably one of the most well-known Thai dishes globally – in Bangkok a plate of Pad Thai typically costs between THB40 – THB60 (~HK$15 – although this could also goes up to HK$40 or HK$50 with a serving of large river prawn). In Hong Kong, I typically pay HK$30 – HK$40 for 港式乾炒牛河 at local eateries without drinks.</p>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/I8XIvcl8dAhxt2keG_JAqzNQvlGqklAEESqMdzkMytA-tjFxXQxmwbMeWsRfjNpcu8NglKVE4YGCKAvBqaxPog46sSDiBdGdID2DC9rkB1KopROopd0F4TidZxWBDQch7do7Cchk" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/BlCaTSG5KDkaMGIhvbz_cO25Yc-wpG1PwtDRnUElyHaISViXGRfAmh4NEjzxdsqzHJ1I6xeLhENfMplUx_FbcsKe3Xy3zYNYR0aSJQebq_rFZl3ga5ZFBEJATlfn8tDAKhzjlW4P" alt=""/></figure>



<h4>Milk tea</h4>



<p>For many (including mine), life is dull without bubble milk tea. If you are a fan of Thai milk tea, you can have a cup of milk tea (with or without bubbles) from a popular Thai chain, Cha TraMue for about HK$10. In Hong Kong, there are a wide range of bubble tea options like Sharetea, ComebuyTea, and Ten Ren which typically cost around HK$20+ per cup.</p>



<figure class="wp-block-image"><img src="https://lh3.googleusercontent.com/0AEbuHfVAu8a_dUewt_GOAwcsWGjl3kD4XxzWJV8L4o2rEZvGR7IE-II4o6y252z1l9ysI5rTOqXD2qtIRaIo9PvhEZ9NOqpQJjWYFXCJKMRASb0e6ABGdvyjb1i0Olhh8tBguNm" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh5.googleusercontent.com/wMBCftsSWHGddKHo-k6_Nyzx_6_KrXW-vdv4pQOqn2uUWXt3fru9hsompgdXwtVxsJX_GuRkkcGrQQ0Ib5cm87HTABRba0mt03v3pIhtfUX5lKFSzIk_BcNyo5ofxkmJizxgi4ci" alt=""/></figure>



<h4>Dessert</h4>



<p>The price of coconut ice cream in Bangkok and soft serve in Hong Kong (for example Mister Softee) are surprisingly similar (around HK$7-8) so we will move slightly up scale for dessert – shibuya honey toast, my absolute favorite.</p>



<p>When it comes to honey toast, AfterYou is a must-visit in Bangkok (its popularity is justified by its IPO status with HK$3bn market cap). A classic honey toast at After You cost about THB 200 (~HK$50), this is sufficient for 2 people. In Hong Kong, we often see long lines in front of TeaWood cafes, honey toast there cost about HK$78, not much higher than Bangkok’s price.</p>



<figure class="wp-block-image"><img src="https://lh4.googleusercontent.com/eFcbdFsp83jvFoTed_djp5_-nUt65UYQFeVskvnRrfh2S_QyWxp2t8Ybd3W7Jg4wDsT0gxCk2S3zXZCSXptxKYuxPmwzfsthiF4i1PDzyXi8YPUzxM_MX8MH8lUKLJhnftz1hLex" alt=""/></figure>



<figure class="wp-block-image"><img src="https://lh6.googleusercontent.com/2U-EPhvivYyfUb6XByWt8FIzKkWbLqssF0HJeGHwty513BcNwgxf3pcuHK6HDRiVRU0aGQwkMLPqES72zdMSIsqaqFThFqC4qhVBBEQjsDaGNndcomO3YiTWSMLoHIum985EPn_k" alt=""/></figure>



<h4><strong>Public transportation</strong></h4>



<p>In Hong Kong, my 20-minute journey to work on the MTR costs HK$8.5 when I pay with Octopus. A similar train ride on Bangkok’s BTS would cost about THB44 (~HK$11), which is more expensive than Hong Kong!&nbsp;</p>



<p>On the other hand, taxi’s starting fare in Bangkok is THB35 (~HK$8), this is cheaper when compared to HK$24 in Hong Kong.</p>



<h4><strong>Income</strong></h4>



<p><a href="https://hk.jobsdb.com/en-hk/wp-content/uploads/sites/2/static/salary-report/2019/190124_student_PR_eng.pdf.pdf">JobsDB</a> reported average fresh graduate salary in Hong Kong to be at HK$16.9k. While in Thailand, <a href="https://th.jobsdb.com/th-th/articles/%e0%b8%88%e0%b9%8a%e0%b8%ad%e0%b8%9a%e0%b8%aa%e0%b9%8c%e0%b8%94%e0%b8%b5%e0%b8%9a%e0%b8%b5%e0%b9%80%e0%b8%9c%e0%b8%a2%e0%b9%80%e0%b8%87%e0%b8%b4%e0%b8%99%e0%b9%80%e0%b8%94%e0%b8%b7%e0%b8%ad%e0%b8%99">JobsDB</a> quoted average fresh graduate salary to be between THB25.2k to THB29.9k (~HK$6.3 – 7.5k), close to 3x lower than Hong Kong. However, unlike Hong Kong where finance and banking jobs pay the most – jobs like business consultants and lawyers are the best paying jobs for fresh graduates in Thailand.</p>



<h4><strong>Verdict and other considerations</strong></h4>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Category</strong></td><td><strong>When compared to Hong Kong, Thailand is …</strong></td></tr><tr><td>Housing</td><td>5x cheaper</td></tr><tr><td>Food</td><td>2x – 4x cheaper</td></tr><tr><td>Transportation</td><td>1x – 3x cheaper</td></tr><tr><td>Salary</td><td>3x lower</td></tr></tbody></table></figure>



<p>If you are considering emigration, the cost of living is definitely lower in Bangkok, but getting 3x pay cut will mean your absolute earning/saving amount will decrease as well – this could impact your future if you decide to move back to Hong Kong or a more expensive city. Other considerations to keep in mind include Thailand’s country personal income tax rate as well as emerging country’s cost inflation which tend to be higher than developed economy in a longer run.</p>



<p>If overseas retirement is in your mind, saving up in Hong Kong for retirement in Bangkok is also an option. Extra considerations apart from costs, language and cultural differences are healthcare quality and getting long-term visa. For long-term visa, you can obtain investment visa in Thailand by for example buying an apartment worth THB10million (~HK$2.5million), in this case your family will also be eligible to apply for visa as well.</p>



<p>Personally, I have had the privilege of working in Hong Kong while spending most of my holiday time in Thailand – this has been extremely economical. In a long run, I am looking to return home and enjoy early retirement there!</p>



<p>If you have any questions about emigration consideration or retirement saving feel free to have a chat with us on Planto app’s livechat or email us at hello@planto.hk!</p>



<hr class="wp-block-separator"/>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul id="block-040a54b7-293d-482b-a06f-74bc77d41108"><li><a href="https://www.planto.hk/en/blog/overseas-mortgage-interest-expense/">Can personal loan in Hong Kong reduce your mortgage interest expense?</a></li><li><a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">how interest rate and payment term impact overall interest expense</a></li><li><a href="https://www.planto.hk/en/blog/property-ownership-internal-transfer/">HK Homeowners Gain Tax Advantages by Transferring Property Ownership. Here’s How it Works and the Risks</a></li><li><a href="https://www.planto.hk/en/airstar">Airstar Bank Personal Loan〡 Instant Approval Online〡Exclusive Cash Rebate</a></li></ul>


Cost of living comparison: Hong Kong vs. Bangkok, from a Thai person living in Hong Kong


<p>According to a <a href="https://www.transunion.com/blog/financial-hardship-study/Hong-Kong">recent consumer financial hardship study</a> published by TransUnion, between 30% to 40% of Hong Kong consumers are concerned about their ability to pay back personal loan and <a href="https://www.planto.hk/en/blog/credit-card-compare-recommend">credit card</a>. The repayment of such financial products include both principal and interest (personal loan interest, credit card overdraft etc.).</p>



<p>In this article, we will examine the impact on overall interest expense from key factors such as interest rate and payment term.</p>



<h4>Highlights: </h4>



<ul><li><a href="#What-factors-determine-your-personal-loan-interest-rate">What factors determine your personal loan interest rate?</a></li><li><a href="#Longer-payment-term-generally-results-in-higher-interest-expense">Longer payment term generally results in higher interest expense</a></li><li><a href="#3-scenarios-showing-interest-expense-impact-from-interest-rate-and-payment-term">3 scenarios showing interest expense impact from interest rate and payment term</a></li><li><a href="#personal-loan-offer">Learn about the personal loan offer from a Hong Kong virtual bank</a></li></ul>



<h2 id="What-factors-determine-your-personal-loan-interest-rate">What factors determine your personal loan interest rate?</h2>



<pre class="wp-block-preformatted"><strong>Interest rate varies depending on your credit score, loan type and the lender</strong>.</pre>



<p>There are a wide range of lending products available in Hong Kong including personal loan, tax loan, overdraft, credit card advance and others. Depending on your credit profile, loan type and the lender, your interest rate can vary between 2% to 30%+</p>



<ul><li><strong>Credit score</strong>: In Hong Kong, your credit score is typically measured by TransUnion credit score which range from AA (super prime) to JJ (Subprime) in alphabetical order. In general, consumers with better credit score (closer to AA) will get lower interest rate<br></li><li><strong>Loan type</strong>: Personal loan and tax loan tend to have much lower interest rate than overdraft and credit card advance&nbsp;<br></li><li><strong>The lender</strong>: Risk assessment tends to vary from one lender to another, this means same consumer is likely to get offer with different interest rates from different lenders</li></ul>



<h2 id="Longer-payment-term-generally-results-in-higher-interest-expense"><strong>Longer payment term generally results in higher interest expense</strong></h2>



<p>Interest is generally measured and offered in Annualised Percentage Rate (APR) which indicates actual yearly interest expense without taking into consideration the effect of compounding. Personal loan tends to compound on a monthly basis which is inline with monthly payment schedule.</p>



<p>In general, loan with longer payment term will have higher interest expense due to longer exposure to compounding effect.</p>



<h2 id="3-scenarios-showing-interest-expense-impact-from-interest-rate-and-payment-term">3 scenarios showing <strong>interest expense impact from interest rate and payment term</strong></h2>



<p>To visualize the impact in numbers, we have prepared 3 calculations below:</p>



<h3><strong>Scenario 1: HK$150k personal loan with the same payment term but different interest rate</strong></h3>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Mortgage &#8211; Overseas package</strong><br>&#8211; Interest rate: 3%<br>&#8211; Term: 3 years</td><td><strong>Personal loan &#8211; Hong Kong package</strong><br>&#8211; Interest rate: 9%<br>&#8211; Term: 3 years</td></tr><tr><td>Monthly repayment: HK$4,362</td><td>Monthly repayment: HK$4,770</td></tr><tr><td><strong>Total interest expense: HK$7,039</strong></td><td><strong>Total interest expense: HK$21,719</strong></td></tr><tr><td>Total repayment: HK$157,039 <br>&#8211; Principal 96%<br>&#8211; Interest 4%</td><td>Total repayment: HK$171,719<br>&#8211; Principal 87%<br>&#8211; Interest 13%</td></tr></tbody></table></figure>



<p>As illustrated in the calculation above, higher interest rate will result in higher interest expense which generally come back in a form of higher monthly repayment. In this case, 3x higher interest rate will mean 3.1x higher in total interest expense due to compounding effect.</p>



<h3><strong>Scenario 2: HK$150k personal loan with the same interest rate but different payment term</strong></h3>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Mortgage &#8211; Overseas package</strong><br><br>&#8211; Interest rate: 3%<br>&#8211; Term: 2 year</td><td><strong>Personal loan &#8211; Hong Kong package</strong><br><br>&#8211; Interest rate: 3%<br>&#8211; Term: 4 years</td></tr><tr><td>Monthly repayment: HK$6,447</td><td>Monthly repayment: HK$3,320</td></tr><tr><td><strong>Total interest expense: HK$4,732</strong></td><td><strong>Total interest expense: HK$9,367</strong></td></tr><tr><td>Total repayment: HK$154,732<br>&#8211; Principal 97%<br>&#8211; Interest 3%</td><td>Total repayment: HK$159,367<br>&#8211; Principal 94%<br>&#8211; Interest 6%</td></tr></tbody></table></figure>



<p>Longer payment term will generally lower monthly repayment requirement, however the total interest expense will be higher as the interest gets compounded over a longer period of time. In this case, while the payment term is 2x longer, total interest expense only increase by 1.9x as the principal reduces over time due to monthly repayment.</p>



<h3><strong>Scenario 3: HK$150k personal loan with different interest rate and payment term</strong></h3>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Mortgage &#8211; Overseas package</strong><br><br>&#8211; Interest rate: 3%<br>&#8211; Term: 2 year</td><td><strong>Personal loan &#8211; Hong Kong package</strong><br><br>&#8211; Interest rate: 9%<br>&#8211; Term: 4 years</td></tr><tr><td>Monthly repayment: HK$6,447</td><td>Monthly repayment: HK$3,733</td></tr><tr><td><strong>Total interest expense: HK$4,732</strong></td><td><strong>Total interest expense: HK$29,172</strong></td></tr><tr><td>Total repayment: HK$154,732<br><br>&#8211; Principal 97%<br>&#8211; Interest 3%</td><td>Total repayment: HK$179,172<br><br>&#8211; Principal 84%<br>&#8211; Interest 16%</td></tr></tbody></table></figure>



<p>When higher interest rate is combined with longer payment term, the increase in total interest expense will naturally be more prominent. In scenario 3 above, while the principal remains the same at HK$150k, the difference in total interest expense is as high as ~HK$25k.</p>



<h3><strong>Key takeaways</strong></h3>



<p>While an ideal scenario for every consumer would be to take loan at lower interest rate and shortest payment term possible – in reality, there are many restrictions such as your credit score or monthly income/saving which may prevent you from paying back your loan quickly. It is advisable that you:</p>



<ul><li><strong>Understand your credit score</strong>: Consumers with better credit score tends to get lower interest rate. You can check your credit score by getting a TransUnion report or apply for loan with a digital lender like <a href="https://www.planto.hk/en/airstar">Airstar</a> who shows your credit score as part of the journey (note that every loan application will impact your credit score)<br></li><li><strong>Understand your monthly cashflow</strong>: Having a good understanding of your monthly cashflow and saving will allow you to clearly calculate payment term. It is advisable that personal loan should only be considered if A) you have emergency saving and B) you are still able to save money after regular expenses and repayment on a monthly basis. If you do not have a clear understanding of your monthly cashflow, mobile app like <a href="https://www.planto.hk/en/">Planto</a> can help you to automatically calculate and keep track of your income and spending on a monthly basis</li></ul>



<hr class="wp-block-separator" id="personal-loan-offer"/>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/property-ownership-internal-transfer/">HK Homeowners Gain Tax Advantages by Transferring Property Ownership. Here’s How it Works and the Risks</a></li><li><a href="https://www.planto.hk/en/airstar">Airstar Bank Personal Loan〡 Instant Approval Online〡Exclusive Cash Rebate</a></li></ul>



<p>To borrow or not to borrow? Borrow only if you can repay!</p>


What factors determine your personal loan interest rate? In this article, we will examine the impact on overall interest expense from key factors such as interest rate and payment term.

Hong Kong personal loan: how interest rate and payment term impact overall interest expense


<p>Overseas property investment is a popular topic among many Hong Kong consumers who are attracted to their (relative) affordability, rental yield, or the potential prospect of future emigration.&nbsp;</p>



<p>There are many things to consider when it comes to a large decision like property investment. For those of you who have decided on a city/country and have found your ideal overseas property, one of the last steps is to think about cost and mortgage options, in which the mortgage interest expense is a vital factor in your decision-making process. </p>



<p>In this article, we will be exploring a potential role that personal loans in Hong Kong can play in overseas property investment.</p>



<h2>Overseas <strong>mortgage interest rates can be </strong>much higher than those in Hong Kong</h2>



<p>Mortgage interest rate varies from one country to another. In general, fast growing countries (also typically countries with higher rental yield) tend to have a higher mortgage interest rate when compared to Hong Kong.</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Countries</strong>/<strong>Regions</strong> <strong>with</strong> <strong>High / Low interest rate</strong></td><td><strong>Rental yield</strong></td><td><strong>Mortgage interest rate</strong></td></tr><tr><td><strong>Low interest rate: <br></strong>Taiwan, Japan, Malaysia, Canada</td><td>2% to 4%</td><td>2% to 4%</td></tr><tr><td><strong>High interest rate: <br></strong>Thailand, Vietnam, Indonesia</td><td>4% to 7%</td><td>Up to 8%</td></tr></tbody></table><figcaption>Rental yield data from <a href="https://www.globalpropertyguide.com/">GlobalPropertyGuide</a></figcaption></figure>



<p>Mortgage interest rates in certain countries like Thailand, Vietnam and Indonesia can be as high as 8% – this is more than double of Hong Kong’s typical fixed-rate mortgage of 2% to 3%.</p>



<h2><strong>Potential role of Hong Kong personal loan in overseas property investment</strong></h2>



<p>Depending on your credit profile, interest on banks’ and <a href="https://www.planto.hk/en/airstar">virtual banks’ personal loans</a> in Hong Kong can be as low as 1.8%. This opens up the possibility of taking a cheaper loan to free up your savings for property investment. For example, you could increase your down payment in order to reduce overseas mortgage amount OR simply replace overseas mortgage all together if the property value is low enough / you have enough savings.</p>



<p><strong>Impact of mortgage interest rate difference on your overall expense</strong></p>



<p>While it is logical that lower interest rate will result in lower interest payment, but by how much?</p>



<p>There are multiple factors that impact total interest expense, the 2 major factors are interest rate and payment period. <a href="https://www.planto.hk/en/blog/personal-loan-interest-rate-factors/">Check out another article that talks about these 2 factors in more detail.</a></p>



<p>To illustrate the potential impact of Hong Kong personal loan in overseas property investment, 2 calculations are provided below:</p>



<h3><strong>Scenario 1: property investment in high interest rate country that requires HK$750,000 of personal loan or mortgage</strong></h3>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Mortgage &#8211; Overseas package</strong><br><br>&#8211; Interest rate: 6%<br>&#8211; Term: 20 years</td><td><strong>Personal loan &#8211; Hong Kong package</strong><br><br>&#8211; Interest rate: 2%<br>&#8211; Term: 3 years</td></tr><tr><td>Monthly repayment: HK$5,373</td><td>Monthly repayment: HK$21,482</td></tr><tr><td><strong>Total interest expense: HK$539,576</strong></td><td><strong>Total interest expense: HK$23,350</strong></td></tr><tr><td>Total repayment: HK$1,289,576<br>&#8211; Principal 58%<br>&#8211; Interest 42%</td><td>Total repayment: HK$773,350<br>Principal 97%<br>Interest 3%</td></tr></tbody></table></figure>



<p>In this scenario where the overseas mortgage package has a high interest rate, potential saving from personal loan in Hong Kong can be staggering as the difference could be as high as HK$500,000. As an example, an investment of HK$1m million in Vietnam could end up being HK$1.5 million when factoring in interest expense from mortgage (of course this would likely come with higher value appreciation and rental yield of a fast growing economy).&nbsp;</p>



<h3><strong>Scenario 2: property investment in low interest rate country that requires HK$750,000 of personal loan or mortgage</strong></h3>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Mortgage – Overseas package</strong><br>&#8211; Interest rate: 2%<br>&#8211; Term: 20 years</td><td><strong>Personal loan – Hong Kong package</strong><br>&#8211; Interest rate: 2%<br>&#8211; Term: 3 years</td></tr><tr><td>Monthly repayment: HK$3,794</td><td>Monthly repayment: HK$21,482</td></tr><tr><td><strong>Total interest expense: HK$160,590</strong></td><td><strong>Total interest expense: HK$23,350</strong></td></tr><tr><td>Total repayment: HK$910,590<br>&#8211; Principal 82%<br>&#8211; Interest 18%</td><td>Total repayment: HK$773,350<br>&#8211; Principal 97%<br>&#8211; Interest 3%</td></tr></tbody></table></figure>



<p>On another hand, if the overseas mortgage package has a low interest rate, potential saving from personal loan in Hong Kong will not be significant.</p>



<p>One very important point to note is about monthly repayment. Long term borrowing like a mortgage will have a much lower monthly repayment when compared to short term personal loan. In the scenario above, a personal loan option may not be worth considering due to the limited saving potential that comes with a high monthly repayment requirement.</p>



<p><strong>Other key personal finance considerations</strong></p>



<ul><li><strong>Monthly repayment:</strong> taking a large personal loan means high monthly repayment which will place a heavy burden on your monthly cashflow. Personal loan should only be considered if A) you have emergency saving and B) you are still able to save money after regular expenses and repayment on a monthly basis&nbsp;<br></li><li><strong>FX rate: </strong>taking a loan in Hong Kong dollar while the property value and rental return are denominated in foreign currency means any currency movement against Hong Kong dollar will lower your investment return<br></li><li><strong>Tax: </strong>Every country has a different taxation system and it may increase the cost of your investment or reduce eventual investment return<br></li><li><strong>Local mortgage offer: </strong>local banks may have mortgage offers that help to reduce overall interest costs. This could come in many forms such as deposit of excess saving or step-up repayment plan</li></ul>



<p>Property investment, no matter in what country is a big decision. It is advisable to do research well ahead of time. If you are looking for more information, feel free to check out the <a href="https://www.ifec.org.hk/">Investor and Financial Education Council</a> or the Chin family for more resources.</p>



<hr class="wp-block-separator"/>



<p><single-action-item title="Apply for a Personal Loan and Redeem Exclusive $200 Cash Reward!" subtitle=" APR as low as 1.85%. $0 handling fee. 5 minutes to disbursement. To borrow or not to borrow? Borrow only if you can repay!
" link="https://www.planto.hk/en/airstar" button_text="Learn More" lang="zh" type="content"></single-action-item></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/property-ownership-internal-transfer/">HK Homeowners Gain Tax Advantages by Transferring Property Ownership. Here’s How it Works and the Risks</a></li><li><a href="https://www.planto.hk/en/airstar">Airstar Bank Personal Loan〡 Instant Approval Online〡Exclusive Cash Rebate</a></li><li><a href="https://www.planto.hk/en/blog/invest-in-gold/">Investing in gold, gold ETF and paper gold: Pro, con and low barrier to entry alternatives</a></li></ul>



<p style="font-size:16px"><strong>Important information:</strong></p>



<p style="font-size:16px">Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.</p>



<p>To borrow or not to borrow? Borrow only if you can repay!</p>


In this article, we will be exploring a potential role that personal loans in Hong Kong can play in overseas property investment. Learn how to reduce mortgage interest expense of buying an overseas property through a personal loan in Hong kong.

Overseas property investment: Can personal loan in Hong Kong reduce your mortgage interest expense?


<p>Amid global economic uncertainties, investors are becoming cautious when it comes to making new investment. While the safest route is to leave assets as bank deposits, the asset value would be depreciating over time in the face of inflation. Depending on the situation, investing in gold can be a safe alternative – this also explains why gold price has recently been increasing at a steady pace (and exceeded US$2,000 per ounce at one point). Despite some up and down, the gold price has repeatedly hit new record highs over the course of 2020, causing analysts and banks to revise their forecasts consequently.</p>



<p>Investors who are interested in gold can choose to purchase physical gold or explore alternatives such as gold ETF and paper gold.</p>



<figure class="wp-block-image size-large"><img loading="lazy" width="1024" height="322" src="https://cms.planto.io/wp-content/uploads/2020/08/image-1024x322.png" alt="" class="wp-image-11610" srcset="https://cms.planto.io/wp-content/uploads/2020/08/image-1024x322.png 1024w, https://cms.planto.io/wp-content/uploads/2020/08/image-300x94.png 300w, https://cms.planto.io/wp-content/uploads/2020/08/image-768x242.png 768w, https://cms.planto.io/wp-content/uploads/2020/08/image-1200x378.png 1200w, https://cms.planto.io/wp-content/uploads/2020/08/image.jpg 1484w" sizes="(max-width: 1024px) 100vw, 1024px" /><figcaption>Gold price has been on the rise in the past year. Source: TradingView</figcaption></figure>



<h2><strong>Physical gold: proper maintenance is required to preserve the value</strong></h2>



<p>Physical gold comes in various forms such as gold nuggets, gold bars and jewelries/accessories. One advantage of physical gold investment over other options is the fact that investors get to own something that they can see and touch.</p>



<p>Investors from the older generation like to visit gold shops to purchase or make accessories for the purpose of investment or value preservation, however purchasing gold jewelries or accessories typically include additional fees such as design, making and wastage charges.</p>



<p>One convenient way to invest in physical gold is to invest directly through retail banks. Many banks in Hong Kong such as Bank of China, Hang Seng Bank, Wing Lung Bank, Shanghai Commercial Bank etc. offer physical gold trading service. However, investors should be mindful that not all bank branches stock gold so it would be best to make a phone call before making a visit.</p>



<p>Physical gold also requires storage and proper maintenance as any damage would affect the gold’s value. Investors may explore vault service for storage and safety.</p>



<h2><strong>Paper gold: low barrier to entry but be cautious when selecting service provider</strong></h2>



<p>Gold passbook account or paper gold is an alternative for investors who do not wish to deal with physical assets. While investors can trade gold on a passbook account, there is no actual buying or selling of physical gold – this also means physical gold can not be withdrawn from the account either. The passbook accounts only record gold deposits and trades, hence the investors will not be getting any interest income from the bank. The only way to make money from paper gold investment is through price appreciation as the price of paper gold fluctuates with the gold market. One other benefit of paper gold investment is its low barrier to entry as the minimum transaction amount can be very low.</p>



<p>The value of paper gold depends entirely on the gold passbook account, this makes the credibility of financial institutions or banks who offer this service extremely important. For example, in an unlikely event of bankruptcy, the value of paper gold held in the passbook account may return to nothing. &nbsp;</p>



<h2><strong>Gold ETF: Low barrier to entry, high transparency and liquidity, watch out for management fee</strong></h2>



<p>Investors who are interested in both gold and the stock market can choose to either invest in gold related companies or explore gold ETFs. Gold ETFs are gold related funds which offer high transparency and liquidity when it comes to gold investment. Gold ETFs that are currently available on the Hong Kong Stock Exchange include SPDR Gold ETF (2840), Value Gold ETF (3081) and Hang Seng RMB Gold ETF (83168). Gold ETFs are backed by gold commodity, this means when an investor purchases gold ETF, the issuer will buy physical gold of corresponding value and place it in a high security vault.</p>



<p>Apart from being listed in Hong Kong, SPDR Gold ETF is also listed in the U.S. and Japan which are considered more international markets. Value Gold ETF is issued by a Hong Kong asset management company called Value Partners. The Hang Seng RMB Gold ETF is issued by Hang Seng Investment Management, however this requires RMB for trading.</p>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/08/image-1.jpg" alt="" class="wp-image-11611" width="305" height="392" srcset="https://cms.planto.io/wp-content/uploads/2020/08/image-1.jpg 610w, https://cms.planto.io/wp-content/uploads/2020/08/image-1-234x300.png 234w" sizes="(max-width: 305px) 100vw, 305px" /><figcaption>Price of SPDR Gold ETF (2840) is rising following the rise in gold price. Source: SoFi HK</figcaption></figure>



<p>According to the price on 18<sup>th</sup> August 2020, Value Gold ETF costs about HK$48 per share, and 1 lot consists of 100 shares – which means HK$4,800 per lot. On the U.S. exchange, GLD ETF share price in the same period is US$186.5 per share with no lot restriction. With gold ETFs, casual or new retail investors can participate in the gold market with funds as low as HK$1,000. One thing to note however is ETFs generally have management fees, but they typically do not exceed 1%.&nbsp;</p>



<p>Participation in the stock market always involves risk. Gold ETFs in Hong Kong do not have hedging mechanisms so whenever gold price drops, the price of gold ETFs will also follow.</p>



<h2><strong>Explore overseas Gold ETFs</strong></h2>



<p>While there may only be a few gold ETFs in Hong Kong, the concept of gold backed ETFs have been popular in the U.S. and Europe for the past decade. There are close to 100 gold ETFs registered around the world and Hong Kong investors can easily explore them through some of the local and international brokerage platforms.&nbsp;</p>



<hr class="wp-block-separator"/>



<h2><strong>Free stock offers from brokerages</strong></h2>



<p>Many investors invest in gold ETFs through the Hong Kong or U.S. stock exchanges to take advantage of high liquidity. The following are some of the popular welcome offers from stock brokerages:</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Securities Firm</strong></td><td><strong><a href="https://www.planto.hk/en/blog/SoFi-Hong-Kong-Broker-Review/">SoFi HK</a></strong></td><td><strong><a href="https://www.planto.hk/zh/blog/uSMART-brokers-review/">uSMART Securities</a></strong></td><td><strong>9F Securities</strong></td><td><strong><a href="https://www.planto.hk/zh/blog/futu-brokers-review/">Futu Securities</a></strong></td></tr><tr><td><strong>Free Stock Offers and Conditions</strong></td><td>Earn 20 SoFi points after account opening. Get more points through various activities and exchange them for free SnapChat, Twitter or Coca Cola shares.</td><td>1 share of Jiumaojiu after account opening<br><br>2 shares of Peijia Medical if first-time deposit &gt; HK$20,000<br><br>2 shares of Ping An Good Doctor if first transaction is over HK$500 and assets under management amount reach HK$100,000 or above within 30 days upon account activation</td><td>Get 2 and up to 10 shares of CLP Holdings after depositing a minimum of HK$20,000</td><td>Get 1 share of HSBC and Tencent each after depositing HK$20,000 or more</td></tr><tr><td><strong>Other Offers</strong></td><td>⭐️No commission and platform free for U.S. and Hong Kong stock trading</td><td>⭐️Zero commission plan for U.S. and Hong Kong stock trading</td><td>⭐️0 platform fee and transaction fee for HK stocks.<br><br>⭐️Free 30-day trial for LV2 streaming.</td><td>⭐️HK$100 supermarket gift voucher<br>Life long commission free Hong Kong stock trading</td></tr><tr><td><strong>More Details</strong></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZWlnaHRzZWN1cml0aWVzX3NvZmkiLCJ0eXBlIjoiaW52ZXN0bWVudF9icm9rZXIiLCJhcHBseVVybCI6Imh0dHBzOi8vZ28ub25lbGluay5tZS8xdFZvP3BpZD1QbGFudG8mYz1QbGFudG9fU29GaUhvbmdLb25nJmFmX3dlYl9kcD1odHRwcyUzQSUyRiUyRnd3dy5zb2ZpLmhrJTJGd2ViJTJGemgtaGFudCUyRm9wZW4tYWNjb3VudCUyRiUzRnV0bV9zb3VyY2UlM0RQbGFudG8lMjZ1dG1fbWVkaXVtJTNEQWZmaWxpYXRlcyUyNnV0bV9jYW1wYWlnbiUzRFBsYW50byIsImZyb20iOiJicm9rZXIgd2VsY29tZSBvZmZlciB0YWJsZSB0YWJsZSJ9">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoidXNtYXJ0X2Jyb2tlciIsInR5cGUiOiJpbnZlc3RtZW50X2Jyb2tlciIsImFwcGx5VXJsIjoiaHR0cHM6Ly91c21hcnRzZWN1cml0aWVzLmNvbS9BZmZpbGlhdGUvdC9OciIsImZyb20iOiJicm9rZXIgd2VsY29tZSBvZmZlciB0YWJsZSB0YWJsZSJ9">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiOUZfYnJva2VyIiwidHlwZSI6ImludmVzdG1lbnRfYnJva2VyIiwiYXBwbHlVcmwiOiJodHRwczovL3d3dy45ZnN0b2NrLmNvbS9uZXctb3Blbi1zdG9jay5odG1sP2NoYW5uZWxJZD01NTUmdXRtX3NvdXJjZT0zcmQtemh1Y2UmdXRtX21lZGl1bT1wbGFudG8iLCJmcm9tIjoiYnJva2VyIHdlbGNvbWUgb2ZmZXIgdGFibGUgdGFibGUifQ==">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZnV0dV9zZWN1cml0aWVzIiwidHlwZSI6ImludmVzdG1lbnRfYnJva2VyIiwiYXBwbHlVcmwiOiJodHRwczovL3Bhc3Nwb3J0LmZ1dHU1LmNvbS9zZW0vaGs/bGFuZGluZ0lkPTMmY2hhbm5lbD02NDIiLCJmcm9tIjoiYnJva2VyIHdlbGNvbWUgb2ZmZXIgdGFibGUgdGFibGUifQ==">Visit Broker</a></td></tr></tbody></table><figcaption>The above offers are limited time offers and they are subjected to periodical updates. Latest offer information can be found on securities firm’s websites.</figcaption></figure>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/free-stocks-brokers-welcome-offer/">Welcome Offer Comparison: Get Free Blue-Chip Stocks With New Investment Accounts</a></li><li><a href="https://www.planto.hk/en/blog/Portfolio-Diversification-Investment/">Investment Strategy Guide to building a diversified portfolio</a></li><li><a href="https://www.planto.hk/en/blog/Valuable-Capital-Broker-Review/">Valuable Capital Review:&nbsp;Commission-free HK stock trading, free real-time quotes</a></li><li><a href="https://www.planto.hk/en/blog/futu-brokers-review/">Futu Securities Review</a></li><li><a href="https://www.planto.hk/en/blog/saxo-bank-review-offshore-account/">Saxo Bank Review: A Simple Offshore Banking &amp; Trading Solution for Hong Kongers</a></li></ul>



<p style="font-size:16px"><strong>Important information:</strong></p>



<p style="font-size:16px">Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.</p>


Investors who are interested in gold can choose to purchase physical gold or explore alternatives such as gold ETF and paper gold.

Investing in gold, gold ETF and paper gold: Pro, con and low barrier to entry alternatives


<p>Investment services have continuously been shifting online in recent years. With the help of mobile investing experience, stock portfolio trading is now simpler and more convenient than ever before. However, having access to simplified investment experience does not necessarily translate to better investment performance.</p>



<p>Common difficulties faced by new and casual retail investors include limited access to market information, inability to assess investment opportunities, and lack of knowledge/tools to analyze complicated data and keep their portfolios well-managed.</p>



<p>Fortunately, there are several stock apps out there that come in handy when making or managing investments.</p>



<h2><strong>Stock Trackers Help you Understand Investment Performance</strong></h2>



<h4>Recommended Free Tools: Excel / Google Sheet, Ticker, Planto</h4>



<p>The most traditional stock tracker is Excel or Google sheet. You can manually add data such as stock name, ticker, number of shares, buying/selling price, and fees/commissions, these data will then allow you to calculate the return of each investment. </p>



<p>While Excel / Google sheet option is the most manual and time-consuming, it also gives you the flexibility to include and sort information in any way that you prefer or think is the most useful. Once all the information and calculations are in place, you can do further analysis or plot out trends and examine whether the return is in line with your expectations.</p>



<p>👉<a href="https://docs.google.com/spreadsheets/d/13GeYeG7s4NBT_ZA7HB8rHdJN37tmIHSO7bJb4pd-UPQ/edit">Download and try the stock tracking Google Sheet we have made.</a></p>



<p>For investors who do not want to manage a spreadsheet or prefer an automated stock tracker, a mobile app called “Ticker” is a popular option among many local investors. With Ticker, users only need to enter information like the ticker, number of shares, buying/selling price, and fees of each transaction, Ticker app will then calculate the realized and unrealized profit of your portfolio automatically. One drawback of the Ticker app however is that it does not provide tracking for U.S. stocks.</p>



<p>If you are looking for the ultimate convenience, <a href="https://www.planto.hk/en/">Planto app</a> helps you to automatically track all kinds of investment assets including stocks and MPF – simply link your securities or investment accounts to Planto, then the system will automatically convert your Hong Kong and U.S. stock portfolio into charts, making it easy for you to understand your performance at a glance. </p>



<p>Planto app currently supports more than 20 investment providers including <a href="https://www.planto.hk/en/blog/SoFi-Hong-Kong-Broker-Review/">SoFi HK</a>, <a href="https://www.planto.hk/en/blog/futu-brokers-review/">Futu</a>, <a href="https://www.planto.hk/en/blog/aqumon-breakdown-and-performance-review/">Aqumon</a>, Interactive Brokers, HSBC, Citi Bank, Bank of China (Hong Kong), and many more.</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Stock tracking tool</strong></td><td><strong>Adding of transaction(s)</strong></td><td><strong>Supporting instrument</strong></td><td><strong>Ease of use</strong></td></tr><tr><td>Excel / Google sheet</td><td>Manual</td><td>Hong Kong stocks, U.S. stocks and any other asset</td><td>Relatively complex</td></tr><tr><td>Ticker</td><td>Manual</td><td>Hong Kong stocks</td><td>Simple</td></tr><tr><td>Planto</td><td>Automatic</td><td>Hong Kong stocks, U.S. stocks, time deposit, MPF etc.</td><td>Simple</td></tr></tbody></table></figure>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-495x1024.jpg" alt="" class="wp-image-11458" width="248" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-495x1024.jpg 495w, https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-145x300.jpg 145w, https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-768x1589.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-742x1536.jpg 742w, https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio-990x2048.jpg 990w, https://cms.planto.io/wp-content/uploads/2020/08/Ticker-app-tracking-portfolio.jpg 1125w" sizes="(max-width: 248px) 100vw, 248px" /><figcaption>Ticker is a stock tracking app that is popular among Hong Kong stock investors.<br></figcaption></figure>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance-493x1024.jpg" alt="" class="wp-image-11459" width="247" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance-493x1024.jpg 493w, https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance-768x1595.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance-740x1536.jpg 740w, https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance-986x2048.jpg 986w, https://cms.planto.io/wp-content/uploads/2020/08/Planto-tracking-investment-performance.jpg 1125w" sizes="(max-width: 247px) 100vw, 247px" /><figcaption>Planto provides automatic solutions for stock tracking (supports both Hong Kong and U.S. stock). The app goes beyond a stock tracker by automatically recording and analyzing deposits, MPF, insurance and credit card expenditure.</figcaption></figure>



<h2><strong>Access News &amp; Information on the Stock Markets</strong></h2>



<h4>Recommended Tools: Futu Securities and other Major Financial Information App</h4>



<p>Hong Kong investors typically use AASTOCK, HKET, and other apps/websites for information on the market and stock trends, however contents on such channels mostly focus on local trends and opinions. While the primary function of mobile applications from securities brokers such as Futu Securities and Valuable Capital is to facilitate stock trading, these mobile applications are also equipped with comprehensive news, intelligence, and stock screening features. Such mobile apps also have social features that allow investors to communicate and learn from each other, making them convenient platforms for accessing information.</p>



<p>For investors who mainly focus on the U.S. stock market, they may find local information platforms lacking as information is typically updated less frequently during trading hours which is caused by time zone difference. If you are looking for a reliable source of real-time information on the U.S. market, international platforms that focus on the global financial market may be more suitable for you. </p>



<p>If you do not mind paying subscription fees, Bloomberg can offer real-time information, news, and content on the financial markets globally. Bloomberg also has a Watchlist feature which can help you to build and track stocks in Hong Kong, U.S., Japan, U.K. and many more, this feature from Bloomberg is free and is easy to use. Bloomberg’s alternatives include Reuters and Investing.com.</p>



<figure class="wp-block-image size-large is-resized"><img loading="lazy" src="https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-502x1024.jpg" alt="" class="wp-image-11116" width="251" height="512" srcset="https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-502x1024.jpg 502w, https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-147x300.jpg 147w, https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-768x1566.jpg 768w, https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-753x1536.jpg 753w, https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg-1004x2048.jpg 1004w, https://cms.planto.io/wp-content/uploads/2020/07/Bloomberg.jpg 1125w" sizes="(max-width: 251px) 100vw, 251px" /><figcaption>Apart from news and market trends, Bloomberg also has a Watchlist feature which helps investors to track stocks from many markets.<br></figcaption></figure>



<hr class="wp-block-separator"/>



<h2>Compare U.S. Investment Brokers</h2>



<p><broker-comparison-page articlename="HK Stock Investing Article" country="US" language="en"></broker-comparison-page></p>



<p>Recommended Readings:</p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/free-stocks-brokers-welcome-offer/">Welcome Offer Comparison: Get Free Blue-Chip Stocks With New Investment Accounts</a></li><li><a href="https://www.planto.hk/en/blog/Portfolio-Diversification-Investment/">Investment Strategy Guide to building a diversified portfolio</a></li><li><a href="https://www.planto.hk/en/blog/Valuable-Capital-Broker-Review/">Valuable Capital Review:&nbsp;Commission-free HK stock trading, free real-time quotes</a></li><li><a href="https://www.planto.hk/en/blog/futu-brokers-review/">Futu Securities Review</a></li><li><a href="https://www.planto.hk/en/blog/saxo-bank-review-offshore-account/">Saxo Bank Review: A Simple Offshore Banking &amp; Trading Solution for Hong Kongers</a></li></ul>



<p style="font-size:14px"><strong>Important information:</strong><br><br>Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.</p>


Finding a free stock tracker? There are several stock portfolio tracking apps and tools that come in handy when managing U.S. and HK stock investments. Check out how Excel / Google Sheet, Ticker and Planto help you track your investment performance. 

Essential Tools for Stock Portfolio Tracking and Understanding Investment Performances


<p>Due to heated competition between investment service providers, various securities brokers are competing for new customers. In recent months, securities brokers are going above and beyond competing with services, and account opening welcome offers are becoming a norm among <a href="https://www.planto.hk/en/blog/invest-hk-stocks-broker-bank-accounts/">securities brokers in Hong Kong</a>.</p>



<p>Consumers are opening securities accounts for investment, and no welcome offer would prove to be more attractive than having blue-chip stocks in the newly opened account, for free!</p>



<p>Welcome offers from providers like <a href="https://www.planto.hk/zh/blog/futu-brokers-review/">Futu Securities</a>,<a href="https://www.planto.hk/en/blog/SoFi-Hong-Kong-Broker-Review/"> SoFi HK (Formerly 8 Securities)</a>, <a href="https://www.planto.hk/zh/blog/uSMART-brokers-review/">uSMART Securities</a> and 9F Securities are currently among the most attractive in the market. Find out how you can get free stocks in your new securities account below:</p>



<figure class="wp-block-table"><table><tbody><tr><td><strong>Securities Firm</strong></td><td><strong><a href="https://www.planto.hk/en/blog/SoFi-Hong-Kong-Broker-Review/">SoFi HK</a></strong></td><td><strong><a href="https://www.planto.hk/zh/blog/uSMART-brokers-review/">uSMART Securities</a></strong></td><td><strong>9F Securities</strong></td><td><strong><a href="https://www.planto.hk/zh/blog/futu-brokers-review/">Futu Securities</a></strong></td></tr><tr><td><strong>Free Stock Offers and Conditions</strong></td><td>Earn 20 SoFi points after account opening. Get more points through various activities and exchange them for free SnapChat, Twitter or Coca Cola shares.</td><td>1 share of Jiumaojiu after account opening<br><br>2 shares of Peijia Medical if first-time deposit &gt; HK$20,000<br><br>2 shares of Ping An Good Doctor if first transaction is over HK$500 and assets under management amount reach HK$100,000 or above within 30 days upon account activation</td><td>Get 2 and up to 10 shares of CLP Holdings after depositing a minimum of HK$20,000</td><td>Get 1 share of HSBC and Tencent each after depositing HK$20,000 or more</td></tr><tr><td><strong>Other Offers</strong></td><td>⭐️No commission and platform free for U.S. and Hong Kong stock trading</td><td>⭐️Zero commission plan for U.S. and Hong Kong stock trading</td><td>⭐️0 platform fee and transaction fee for HK stocks.<br><br>⭐️Free 30-day trial for LV2 streaming.</td><td>⭐️HK$100 supermarket gift voucher<br>Life long commission free Hong Kong stock trading</td></tr><tr><td><strong>More Details</strong></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZWlnaHRzZWN1cml0aWVzX3NvZmkiLCJ0eXBlIjoiaW52ZXN0bWVudF9icm9rZXIiLCJhcHBseVVybCI6Imh0dHBzOi8vZ28ub25lbGluay5tZS8xdFZvP3BpZD1QbGFudG8mYz1QbGFudG9fU29GaUhvbmdLb25nJmFmX3dlYl9kcD1odHRwcyUzQSUyRiUyRnd3dy5zb2ZpLmhrJTJGd2ViJTJGemgtaGFudCUyRm9wZW4tYWNjb3VudCUyRiUzRnV0bV9zb3VyY2UlM0RQbGFudG8lMjZ1dG1fbWVkaXVtJTNEQWZmaWxpYXRlcyUyNnV0bV9jYW1wYWlnbiUzRFBsYW50byIsImZyb20iOiJicm9rZXIgd2VsY29tZSBvZmZlciB0YWJsZSB0YWJsZSJ9">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoidXNtYXJ0X2Jyb2tlciIsInR5cGUiOiJpbnZlc3RtZW50X2Jyb2tlciIsImFwcGx5VXJsIjoiaHR0cHM6Ly91c21hcnRzZWN1cml0aWVzLmNvbS9BZmZpbGlhdGUvdC9OciIsImZyb20iOiJicm9rZXIgd2VsY29tZSBvZmZlciB0YWJsZSB0YWJsZSJ9">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiOUZfYnJva2VyIiwidHlwZSI6ImludmVzdG1lbnRfYnJva2VyIiwiYXBwbHlVcmwiOiJodHRwczovL3d3dy45ZnN0b2NrLmNvbS9uZXctb3Blbi1zdG9jay5odG1sP2NoYW5uZWxJZD01NTUmdXRtX3NvdXJjZT0zcmQtemh1Y2UmdXRtX21lZGl1bT1wbGFudG8iLCJmcm9tIjoiYnJva2VyIHdlbGNvbWUgb2ZmZXIgdGFibGUgdGFibGUifQ==">Visit Broker</a></td><td><a href="https://www.planto.hk/en/redirect/?params=eyJwcm9kdWN0IjoiZnV0dV9zZWN1cml0aWVzIiwidHlwZSI6ImludmVzdG1lbnRfYnJva2VyIiwiYXBwbHlVcmwiOiJodHRwczovL3Bhc3Nwb3J0LmZ1dHU1LmNvbS9zZW0vaGs/bGFuZGluZ0lkPTMmY2hhbm5lbD02NDIiLCJmcm9tIjoiYnJva2VyIHdlbGNvbWUgb2ZmZXIgdGFibGUgdGFibGUifQ==">Visit Broker</a></td></tr></tbody></table><figcaption>The above offers are limited time offers and they are subjected to periodical updates. Latest offer information can be found on securities firm’s websites.</figcaption></figure>



<p><strong>Free stocks are especially great for new investors</strong></p>



<p>From experienced investors’ perspective, receiving a few free shares may not have any impact on their overall portfolio, however this may not be the case for new investors. According to a survey done by Hong Kong Investor Education Center, over 62% of their survey respondents want to increase their wealth through investment, but they are afraid of losing money.&nbsp;</p>



<p>First time experiences are often scary, and they intensify when money is at stake. New investors may be concerned about making the right investment choice or they feel unfamiliar with the buying/selling process of investment which ultimately lead to the fear of losing money.</p>



<p>Free stocks solve this problem for new investors by giving them stocks to manage for free as soon as they open an account. They can experience the up and down of investment, then try selling off stocks for profit before they invest their own money.&nbsp;</p>



<p>Furthermore, securities firms like Futu and 9F do not charge any custodian fee so new investors can take their time and experience investment process free of charge. Since welcome offers typically give out popular blue-chip shares, new investors can also use this chance to get to know these companies and their performance before consider investing their own money.</p>



<p><strong>Odd lots</strong></p>



<p>Most welcome offers will give out 1 or 2 share(s), which will be considered an odd lot because it amounts to less than 1 single board lot (For example 1 single HSBC lot size contains 400 shares). According to HKEX, odd lots are not accepted by the Exchange’s trading system for auto-matching, but there is a special lot market in the system for odd lots trading. In general, share prices of odd lots are slightly lower than that of the same security in the board lot market due to their lower liquidity.</p>



<p>Given the welcome offer’s odd lots are free in the first place and their selling price could increase in the future, a slight discount in share price should not be a big consideration. Although odd lots are typically eligible for dividend, if the number of shares is too small, any dividend could be offset by handling or platform fee.</p>



<p>The concept of odd lot does not apply if you receive U.S. stock as part of the welcome offer since the lot system is unique to the Hong Kong market. U.S. stocks are traded on per share basis so welcome offer shares will have the same liquidity as any other shares.</p>



<p><strong>Welcome offer comparison and more details</strong></p>



<p>Securities firms in Hong Kong are offering a wide range of welcome offers to new customers. Find out more and compare them below:</p>



<p><broker-comparison-page articlename="HK Stock Investing Article" country="HK" language="en"></broker-comparison-page></p>



<h4>Recommended Readings</h4>



<ul><li><a href="https://www.planto.hk/en/blog/Portfolio-Diversification-Investment/">Investment Strategy Guide to building a diversified portfolio</a></li><li><a href="https://www.planto.hk/en/blog/Valuable-Capital-Broker-Review/">Valuable Capital Review:&nbsp;Commission-free HK stock trading, free real-time quotes</a></li><li><a href="https://www.planto.hk/en/blog/futu-brokers-review/">Futu Securities Review</a></li><li><a href="https://www.planto.hk/en/blog/saxo-bank-review-offshore-account/">Saxo Bank Review: A Simple Offshore Banking &amp; Trading Solution for Hong Kongers</a></li></ul>



<p style="font-size:14px"><strong>Important information:</strong><br><br>Investment involves risks. This information is intended to be educational and is not tailored to the investment needs of any specific investor. This information does not constitute investment advice and should not be used as the basis for any investment decision nor should it be treated as a recommendation for any investment or action. Past performance is no guarantee of future results. The value of investments and the income from them can go down as well as up, so you may not get back what you invest.</p>


How to get free stocks from brokers in Hong Kong? Welcome offers from providers like Futu Securities, SoFi HK, uSMART Securities and 9F Securities are currently among the most attractive in the market. Find out how you can get free stocks in your new securities account.