Debt consolidation is crucial for customers who wish to improve their credit scores and gain eligibility for financial products and services in the future. In a balance transfer, the balance from one credit card can be transferred to another credit card in an effort to save money which would otherwise go towards interest payments. Hong Leong offers balance transfer to customers who wish to save on charges when transferring the balance to another card. Not only does it significantly reduce your financial worries and make way for greater savings, but also offers attractively low interest rates when transferring outstanding balances from one credit card to another.
You can consolidate all your debt by going in for a balance transfer with Hong Leong. Both new cardholders as well as existing ones can transfer any amount in excess of RM1, 000 from up to three other banks.
The following table shows how the plan works in various tenures:
|BT Repayment Period||BT Interest Rate||Eligibility|
|Lifetime (No Fixed Repayment Period)||4.99%p.a||New Cardholder (Never own a Hong Leong Credit Card before)*|
|6 or 12 Months||6.99%p.a||HLB Credit Card Holder|
There are three easy steps to follow when it comes to applying for a Hong Leong Balance Transfer. Firstly, you must confirm the total balance transfer amount, which has to be above RM1, 000 for you to qualify. You will then have to choose the balance transfer repayment period, which is up to 12 months, and finally, just call 03-76268899 and the bank’s executives will further assist you in completing the balance transfer.
All individuals who own a Hong Leong credit card are eligible for a balance transfer with the bank.
Customers can transfer their outstanding balances from different credit card to their Hong Leong credit card for free of cost. The amount of money that you spend on interest payments and repayment towards different credit cards will be clubbed together and your debt will be consolidated and a lower rate of interest will be applicable so that you will be in a better position to clear your debt.
Penalties are imposed on customers who do not pay their instalments on time. As a matter of fact, two penalties are levied on customers who default on their payments. Firstly, the rate of interest applicable to your balance will go back to being 18% per annum and you will also be required to pay 1% of your overall outstanding balance, or RM10, whichever is more, as late fees. Since it is a flexible payment plan, customers have no fixed instalment due at the end of every month, but a minimum payment or RM50, whichever is more, must be done each month.
Customers of Hong Leong can repay their balances before the end of the tenor, but RM70 will have to be paid as early settlement fees.