Be Tested As Interest Rates Rise

The personal loan market is booming thanks in part to low unemployment, favorable regulation and a crop of fintech lenders.

But whether or not this type of lending is resilient in the face of rising interest rates and the potential for a future downturn in employment, remains to be seen, injecting risk into the economies in the developed countries where this type of lending has exploded.

Hong Kong personal loan : CCB(Asia)\’s personal instalment loan service allows you to enjoy liquidity with a low interest rate and $0 handling fee. Make your personal goals more reachable with extra cash on hands!

That’s the assessment of the Bank of International Settlements, which in a report last month warned the fintech lending market is still unproven.  “It is not clear how fintech credit will perform when conditions deteriorate, ” wrote BIS in the research report. It pointed to China, the U.S., and the UK where higher default rates for the fintech lenders have reduced investor returns. BIS said a “significant” share of the fintech lending platforms cite increased levels of defaults as a very high or high risk to operations.

It doesn’t help that the higher fintech credit default rates are happening at a time when non-performing loan rates at traditional banks are historically low. That suggests the fintech lenders, in an effort to expand, are providing loans to borrowers that are deemed riskier by the traditional banks.  That’s fine when interest rates remain low and unemployment is near historical levels. But if interest rates continue to march higher, and the job market has a downturn, lots of consumers could be staring at personal loans bills they can’t pay back. For countries with higher incomes and less competitive banking systems, the potential impact could be more profound. BIS found fintech lending is robust in those markets. The volume of fintech loans is also higher in countries that don’t have stringent banking laws.

Unsecured personal Loans Are Booming

Thanks in part to the growth of lending fintechs, the popularity of unsecured personal loans has been surging over the past few years. Take the first quarter of 2018 as one example. According to TransUnion, the credit-scoring company, the number of outstanding personal loans in the first three months of the year rose to 19.2 million. That compares to 16.9 million a year ago. Meanwhile, the total loan balances reached $120 billion, up from $102 billion in the first quarter of 2017.  Good news for the fintech lending industry and investors: default rates among personal loan borrowers declined by 3.51% in the first quarter of this year compared to a rate of 3.72% in the same period last year. The strong performance of the loans so far has emboldened lenders, with more fintechs entering the fray.

Mia Cucina introduces modern microwave oven to make your everyday gourmet simple yet tasty. It helps to fulfil your cooking desire and enhance your quality of life with the combination of modern design and advanced functionality.

Increased Regulation Likely

While BIS called out the unproven nature of fintech lending as a risk, it also noted that increased regulation should be coming down the pike and could dampen returns. It pointed to China’s fintech lending market, which has been slowing down in recent months due to a crackdown on the part of the government, as an example. It came too late for the countless investors who lost their money in unregulated peer-to-peer lenders. Then there is LendingClub in the U.S. Just this week its  founder and former chief executive officer Renaud Laplanche agreed to pay $200,000 to the Securities and Exchange Commission to settle a lawsuit in which the government agency contends he directed an outside investment firm he was president of to purchase LendingClub loans that were at risk of not getting funded. While that has nothing to do with the fintech lending industry at large it did shake investors conference in the market.

Related articles:

bank alternatives for convenience

be accepted and to save money

unstable work-life balance

how you can use your annual bonus wisely

getting better at managing money

you should avoid easy loans


What he did wrong
Four years after his Malaysia and Vietnam trip, Ujjwal was knee-deep in loans. His loan requirement from a mere Rs 50,000, had increased to Rs 6 lakh. More than half of his salary went into paying EMI for the consolidated personal loan.

offer on personal loan hk  instalment loan enables you to greatly improve liquidity with monthly flat rate as low as 0.18% and long repayment period. Sign up online now to fulfill your dreams and desires!

Where did Ujjwal go wrong?
Firstly, Ujjwal started out as a credit-worthy customer, who then over-leveraged himself. It was an easy decision for financial institutions to lend to him. However, the borrower should practice restraint. Because somebody is offering attractively-designed loans, it does not mean you should take them.

Eco Building Fund has been established since 2014. The Fund aims to subsidise retrofitting projects that make the buildings and nearby ancillary facilities more energy efficient buildings.

Secondly, like many gullible borrowers, Ujjwal fell into the credit card and personal loan vortex. Credit cards charge interest rates ranging from 30-42% per year. Such high interest means you should never use credit cards for one to two year tenure of loans. Once the outstanding starts getting accumulated, the entire loan becomes too big, due to high-interest rate.

Tools such as KOL and WOM are also featured in the online public relations strategy for a improved publicity.

Thirdly, paying the minimum outstanding on credit cards is a big mistake. It is the minimum amount that has maximum impact. Try to pay all credit card dues, not just the minimum amount. Any amount that you do not pay attracts interest.

Fourthly, Ujjwal was sucked into more debt even as he tried to handle the situation. In a bid to reduce interest costs from his four credit cards, he took a personal loan. However, he took extra funds. More funds mean more debt, resulting in more repayment.

Will be part of the groundbreaking Victoria Dockside development, the 3 million-square-foot and design district in Tsim Sha Tsui

Lastly, one should assume only that much unsecured debt which can be repaid easily. As a thumb-rule, you should not take more than 20% of your monthly income in unsecured loan repayments.

Women take collagen supplements

Collagen protein is very important for girls, women often taking collagen, not only can hairdressing to raise colour and weight loss, but also can improve the trace elements in the body, improve the body’s blood circulation, so as to let the body maintain a healthy level, in fact, in our life, there are a lot of small food contains a lot of collagen.

What foods do women eat to replenish collagen?

1. Fish food

The collagen content in fish is very high, especially there is more collagen in fish scales, but very few people will not eat fish scales, in addition to fish scales, fish skin also contains collagen. So can eat a few fish at ordinary times, can drink a few fish soup at ordinary times, because fish won’t let human body put on weight at all, also can complement collagen for the body at the same time.

2. Cartilage and bones of animals

Many people are especially fond of animal meat. If you want to add more collagen, you can eat more animal bones, especially cartilage. When eating ribs, you can suck out the bone marrow in the bones. Bones of animals such as leg bones, skull, spine bones, fish head, cow bones, duck bones, and chicken bones.

3. Animal’s fascia and fascia

Tendons, tendons, pigs‘ feet are all part of the animal’s tendons and fascia, which are rich in collagen. Some of the animal’s calves, such as those of cows, sheep, or pigs, can be found. Some of the fascia, dermis, and tendons on the bones get large amounts of collagen inside.

The dermis of animals

The dermis of animals contains very high collagen content, such as fish skin, duck skin, chicken skin, sheepskin, cowhide skin, pig skin and so on. You can use the dermis of animals for stewing, so that you can get more collagen.

The wings and claws of a bird

Duck feet, chicken feet, chicken wings, goose feet, duck wings, etc. These birds‘ claws and wings contain a lot of collagen. There is a lot of collagen in the dermis, tendons and bones.