If you're late on your mortgage payment, you risk losing your flat. Default on your bank loan and scary collectors pay you a visit. But if you're a university graduate and bail on your student loan, you get letters in the mailbox.Wednesday, 16 November, 2011, 12:00am
Officials at the Student Financial Assistance Agency should feel ashamed for proposing unworkable solutions to clamp down on student loan defaults. It's a no-brainer. The agency's suggestion to lengthen the repayment period and lower interest rates will help to increase the number of defaults, not cut it.15 Nov 2011 - 12:00am
When the number of student loan defaults doubles over a period of six years, there is cause for concern. Around 13,000 university graduates had failed to repay their loans in the previous academic year, up from 4,914 in 2004-05. The money involved totals HK$213 million. Some 2,000 recovery cases end up in the courts every year.12 Nov 2011 - 12:00am
The student loans agency is planning to restrict the amount of money that students receive, lower interest rates and extend the repayment period to try to sort out the problem of people not paying back loans.
The Student Financial Assistance Agency said the problem of bad debts is increasingly worrying, despite a healthy economy.10 Nov 2011 - 12:00am
Over the past four years, as first the United States and then Europe have suffered devastating financial crises, Beijing's sense of schadenfreude has been almost palpable.9 Nov 2011 - 12:00am
The student loans agency has proposed measures to tackle what the government says is the increasingly worrying problem of bad debts. They include lowering interest rates and lengthening the period of repayment to as long as 17 years.9 Nov 2011 - 12:00am
It is a Greek tragedy. I am not quite sure I even understand it
Professor John Nash, baffled by the current debt crisis in Europe despite winning the 1994 Nobel Prize in Economics
He wishes he could bring his family next time ... without telling anyone and let his children feel their family roots5 Nov 2011 - 12:00am
As sighs of relief go, yesterday's 3.26 per cent rally in Hong Kong's benchmark Hang Seng index was no gentle exhalation but a great big gusty gale.
After Europe's leaders announced their latest financial rescue plan, investors rediscovered their appetite for equity risk and bought into the market with a will.28 Oct 2011 - 12:00am
Twelve provinces are faced with debt totalling 759.3 billion yuan (HK$920.8 billion) they have incurred from building toll roads, and money from fees paid by drivers could be trickling in too slowly in most regions to pay off the amount, according to a mainland media report.18 Oct 2011 - 12:00am
It's a case of easy come, easy go - and not in a good way. Thousands of private business owners in Zhejiang province have been given an abject lesson by the suicides of several debt-ridden tycoons in hock to the underground banking sector and loan sharks.
Many are teetering on the brink of bankruptcy or have simply fled.15 Oct 2011 - 12:00am
Confronted with the sovereign debt crisis in Europe and the lacklustre state of the United States economy, the local property market is also going through a challenging period, although some experts suggest it provides a buying opportunity, especially for high-end properties.14 Oct 2011 - 12:00am
Credit Suisse yesterday substantially raised its forecast for the proportion of non-performing loans (NPLs) at mainland banks to between 8 and 12 per cent 'in the next few years', adding to worries over the lenders' asset quality.13 Oct 2011 - 12:00am
Beijing is likely to loosen its monetary policies before the end of the year as stabilising inflation and the looming threat of a credit crisis provide the government with the room and the momentum for a policy change, analysts say.7 Oct 2011 - 12:00am
Definition of an odious debt
The word 'odious' means vile and revolting. But what do we really mean when we say that a debt is bad; isn't all debt bad?
Well, odious debt is a defence used in international law to settle national debts. When a new government comes into power, it usually takes over the debt incurred by the previous government.4 Oct 2011 - 12:00am
Wenzhou city has rolled out a raft of measures to repair the damage done by numerous runaway bosses who failed to pay back loan sharks.
But analysts believe many companies in the coastal city, famous for its vibrant private sector and wealthy businessmen, will face a chilly winter.3 Oct 2011 - 12:00am