No Fees For Loan Scheme

Banks participating in the 100% Personal Loan Guarantee Scheme will aid loan applicants without levying any application or handling fee, and borrowers should not make applications via a third party, HKMC Insurance said today.

It made the statement in response to a news report about some people claiming to help those who are unemployed make applications for the scheme using false instruments at a handling fee.

Participating banks will try their best to assist applicants, it said, adding that borrowers who pay any fees to a third party will suffer a direct financial loss.

The statement said banks reviewing loan applications will exercise professional expertise, judgement and care to conduct customer due diligence and verify borrowers' eligibility. HKMC Insurance will also conduct checks and strive to ensure approved applications meet the requirements.

Any suspected illicit behaviour such as producing false declarations or using false instruments will be reported to law enforcement agencies, it noted.

Call participating banks or the loan guarantee scheme hotline at 2536 0392 for enquiries.