ID :
34761
Wed, 12/10/2008 - 09:03
Auther :
Shortlink :
http://m.oananews.org//node/34761
The shortlink copeid
Borrowers rush to pay off loans
HCM City (VNA) - Many
borrowers who took out high interest rate bank loans months ago are seeking credit on the black market to pay off their loans before their maturity date.
With interest rates on bank loans as high as 18 percent to 21 percent
several months ago, borrowers are looking to the black market for loans at
an average of 0.5 percent per day (12 percent a month).
Two months ago, Nguyen Thi Thanh Mai of Hanoi 's Dong Da district
borrowed 100 million VND from Hanoi 's Techcombank at an interest rate of
21 percent per year for a six-month term and she has paid the interest for
two months and will have to continue to pay about 7 million VND for the
remaining four months.
"I borrowed 100 million VND from the black market on a seven-day term.
With such an interest rate, I had to pay a total of 3.5 million VND only.
Then I used the money to pay my loan four months ahead of schedule at
Techcombank," she said.
Like many others who have borrowed from the black market, Mai went to a
Commercial Bank, Agribank, to take advantage of interest rates that have
dropped sharply in the last few weeks.
Her loan at Agribank, at 14 percent interest per month, will be used to
pay off her black market loan.
Mai is only one of hundred of individuals and enterprises nationwide who
are taking out loans on the black market.
One black market loan dealer, who requested anonymity, said that many
companies had been asking to borrow money to pay bank loans before maturity.
He said they often accepted hot loans at interest rates of between 0.5 and
0.7 percent per day and with terms of five to seven days.
To qualify for the loans from the black market, borrowers must use as
collateral their ownership certificates for houses or cars if they want to
borrow at least 300 million VND.
Several websites have been set up that give information about acquiring
loans from the black market.
In mid-October the bank loan ceiling rate was 21 percent per year, falling
to 15 percent in late November.
The average interest rate on bank loans has dropped and is now an average
of 11 percent.-Enditem
borrowers who took out high interest rate bank loans months ago are seeking credit on the black market to pay off their loans before their maturity date.
With interest rates on bank loans as high as 18 percent to 21 percent
several months ago, borrowers are looking to the black market for loans at
an average of 0.5 percent per day (12 percent a month).
Two months ago, Nguyen Thi Thanh Mai of Hanoi 's Dong Da district
borrowed 100 million VND from Hanoi 's Techcombank at an interest rate of
21 percent per year for a six-month term and she has paid the interest for
two months and will have to continue to pay about 7 million VND for the
remaining four months.
"I borrowed 100 million VND from the black market on a seven-day term.
With such an interest rate, I had to pay a total of 3.5 million VND only.
Then I used the money to pay my loan four months ahead of schedule at
Techcombank," she said.
Like many others who have borrowed from the black market, Mai went to a
Commercial Bank, Agribank, to take advantage of interest rates that have
dropped sharply in the last few weeks.
Her loan at Agribank, at 14 percent interest per month, will be used to
pay off her black market loan.
Mai is only one of hundred of individuals and enterprises nationwide who
are taking out loans on the black market.
One black market loan dealer, who requested anonymity, said that many
companies had been asking to borrow money to pay bank loans before maturity.
He said they often accepted hot loans at interest rates of between 0.5 and
0.7 percent per day and with terms of five to seven days.
To qualify for the loans from the black market, borrowers must use as
collateral their ownership certificates for houses or cars if they want to
borrow at least 300 million VND.
Several websites have been set up that give information about acquiring
loans from the black market.
In mid-October the bank loan ceiling rate was 21 percent per year, falling
to 15 percent in late November.
The average interest rate on bank loans has dropped and is now an average
of 11 percent.-Enditem
