HSBC Cash installment plan (CIP) is a great to for you to get cash from your credit card at ease. You can now enjoy 6.88% p.a flat interest rate when you apply for Cash Installment Plan online. This rate is quite attractive compared with the option of personal loan plans in Malaysia. Let see if there are any catch for this plan.
Obviously credit card cash advance would be a very easy way to get financing minus the approval process and documentations. You will need to be an existing HSBC Credit Card holder and perhaps good record will help out. Let’s have a look at the CIP details
|HSBC Cash Installment Plan|
|Interest at 6.88% (flat rate) p.a. Only applicable if you apply online|
|2% Fees for RM 1000 to RM 4,999 . No rewards point|
|0% Fees for RM 5,000 and above . 10,000 rewards point|
To enjoy the 6.88% p.a , you will need to apply for the plan online. Which means you to not get any benefits if you perform the cash advance in any other ways. There is an approval process needed from HSBC for this plan.
Do bear in mind that this interest is based on flat rate calculation rather than credit card reducing balance method. This means that the effective interest rates can be somewhere from 13% to 13.5% depending on loan tenure. 6.88% (flat) p.a. interest rates is considered pretty good when compared to other bank’s personal loan interest.
There is a 2% fees when you apply for RM 1,000 to RM 4,999 cash advance. To eliminate this, it’s best if you apply for RM 5,000 and above. The maximum amount of cash advance that you can apply is only 95% of your credit card limit. You can spread your repayment from 12 months to 36 months with this plan.
If you are keen on the repayment table