The above example is for reference only. Flexi Assets Financing is subject to the terms and conditions. Please contact our branch staff for more details.

Reminders about Responsible Borrowing

- Customer should have a clear understanding of his/her financial condition, daily expenses, and actual borrowing needs.

- Customer should assess his/her repayment ability and avoid over-borrowing.

- Customer should repay any outstanding balance on time to avoid late payment charges and additional overdue/overlimit interest charged by the Bank.

- To borrow or not to borrow? Borrow only if you can repay!

Remarks:

For reference only. The Bank shall have absolute discretion to prescribe and revise the eligibility of collateral and the calculation method of relevant lending ratio.

Structured Deposit and Certificate of Deposit are not the same as Time Deposit, they are NOT protected deposit and are NOT protected by the Deposit Protection Scheme in Hong Kong.

The Flexi Assets Financing – Insurance Plan (“facility”) is only applicable to those applications which are secured by pledging acceptable insurance plan (“collateral”) underwritten by insurers designated by the Bank. “Flexi Assets Financing - Insurance Plan” means (i) Premium Financing: an applicant (i.e. the proposed policy holder), borrows funds from the Bank to pay for the premium of an insurance plan acceptable to the Bank and in doing so, the applicant would assign all of his/her total rights under the insurance policy to the Bank as collateral; or (ii) Policy Financing: an applicant assigns all of his/her rights under an insurance policy to the Bank as collateral and borrows funds from the Bank for personal use.

100% of principal protected deposit with investment period within 12 months is acceptable.

Offering hundred of investment funds as eligible collateral with lending ratio ranging from 55% to 80%.

Offering hundred of HK stocks as eligible collateral with lending ratio ranging from 20% to 60%.

The Bank’s decision to approve the facility limit is based on the asset’s market value and lending ratio.

Interest will be calculated on the basis of actual number of days elapsed and 365-day year (including leap years) for Overdraft Facility. The interest will be debited from the account at every month end.

Risk Disclosure

- Customers may be exposed to significant interest rate risk as the interest rate of the facility is not fixed (i.e. floating rate subject to changes from time to time). ICBC (Asia) has discretion to adjust the interest rate of the facility from time to time. Any increase in interest rates applicable to the facility will increase the interest cost of servicing the loan facility. Customers may not be able to make repayment(s) and may hence default when there is a substantial increase in the interest rate.

- Customers should be able to assume the risks and bear the potential losses of leveraged investments. The use of leverage in investments means that relatively small price movements will have a multiplying effect on borrower’s corresponding gains or losses, and the degree of investment risk borrower face is greatly increased. Thus, the risk of loss in leveraged trading can be substantial.

- Exchange rate exposure arises when the facility currency differs from the collaterals currency which may affect the facility and collateral value. The currency of the collateral shall be converted into the currency of the outstanding amount(s) under the facility at the Bank’s prevailing spot buying rate (which is conclusively determined by the Bank at its sole and absolute discretion) before Customers settle any outstanding loan amount(s).

- For details of risk disclosure, please refer to the loan application including charges, important information and terms and conditions.