How much is the late fee for FE Credit? How is it calculated?

In the writing look up FE Credit contract, we have mentioned the concept of late fee penalty. So FE Credit late penalty fee how much? How is it calculated? In the content of the article below, customers will be updated with some information including:

How to calculate fee for late payment of Fe Credit.

How to avoid late penalty of Fe Credit?

What to do if the Fe Credit is late?

See more: How much is the HD Saison fine?

Update the latest regulations in 2022 on FE Credit penalty fees

Regulations on Circular 39 of the State Bank of Vietnam on the operation and borrowing of credits. The Decree takes effect in 2017, when borrowers need to carefully study this Circular 39. To avoid unwanted risks that you take. Specifically, according to the regulations, until the payment date, if the customer does not pay the principal and interest, a late payment will be incurred. Fees are calculated as follows:

The penalty fee is calculated not exceeding 150% of the loan interest, ie calculated on the outstanding principal balance of that month.

If the customer pays late, it can be calculated on the outstanding balance of principal and interest not exceeding 10%.

Interest on the agreed loan principal balance is compatible with the time that the customer has not paid.

**Applies to fe credit card late payment penalty fee calculation method. Penalty fee for late payment of a Fecredit loan. Late / late penalty fee at Fecredit

Late penalty fee (Late payment penalty fee) What is FE Credit?

FE Credit late fee is a fee that customers have to pay when paying late or intending to pay off the loan before the due date. So why is there a penalty fee for FE Credit when finalizing the application? That's because when you pay off the loan early, Fe Credit will not charge interest on the remaining principal, causing damage to Fe Credit. And the settlement penalty is considered a small compensation for the damage.

Similarly, when you pay a loan late at FeCredit, it also causes economic loss and late payment penalty fee at Fe Credit is incurred as part of compensating for the loss.

What is the impact of FE Credit's late penalty?

Of course, when you installment loan and late payment, the late penalty fee is obvious. Penalty fee is incurred when the monthly installment payment date has passed but you have not paid FE Credit.

So in addition to the late fee for FE Credit, what are the harmful effects of this?

There is a high probability that the late payment will change from overdue bad debt and updated to the CIC credit system of the State Bank. In this case, it is very difficult for you to continue to borrow from other credit institutions, because with a history of bad debt, no bank will accept support.

You will be texted or called to remind you of your debt, affecting your work and life.

Late payment inadvertently creates financial pressure on you personally, affecting work morale.

Refer:

The fastest way to look up fe credit contracts

How to contact the home credit switchboard to help customers answer questions?

How to calculate the latest FE Credit late penalty fee 2022

Normally, FE Credit's overdue debt penalty fee will start to be charged if the customer is 1 day or more late. For example, the 30th day is the payment due date on the loan contract, but you only pay the money on the 1st day, it means that you have paid the FE Credit late and are charged the FE Credit overdue penalty fee.

In addition, late fees are subject to three principles of interest calculation as follows:

The interest rate on the principal for the period specified in the credit contract. This interest is the interest agreed between the customer and Fe Credit when signing the loan contract.

The interest rate is calculated based on the overdue principal balance as required by the regulations, not exceeding 10%/year on the delayed interest balance.

The prescribed interest rate is calculated on the late payment interest and this interest rate will not exceed 150% of the lending interest rate.

According to the share from FE Credit finance company, FE Credit deferred interest will be calculated according to the following formula:

Penalty fee = Overdue interest on principal balance * 10% + overdue interest on late payment interest * 150%.

In there:

Overdue interest on principal balance: is the daily interest based on the original loan amount (also known as the principal balance).

Overdue interest is calculated on the late interest: is the daily interest based on overdue interest calculated on the principal balance.

So the late payment penalty fee of FE Credit from 1 to 10 days will have the following formula:

Penalty fee for late payment of FE Credit 1 day = n*150% + n*10%.

Penalty fee for late payment of FE Credit 2 days = n*150% +(n*2)*10%.

Late payment penalty fee of FE Credit for 3 days = n*150% +(n*3)*10%.

Late payment penalty fee of FE Credit 4 days = n*150% +(n*4)*10%

Penalty fee for late payment of FE Credit 5 days = n*150% +(n*5)*10%.

Late payment penalty fee of FE Credit 6 days = n*150% +(n*6)*10%.

FE Credit late payment penalty fee = n*150% +(n*7)*10%.

FE Credit late payment penalty fee = n*150% +(n*8)*10%.

Penalty fee for late payment of FE Credit 9 days = n*150% +(n*9)*10%.

Penalty fee for late payment of FE Credit 10 days = n*150% +(n*10)*10%.

Where, N is the daily interest on the loan

As for the late payment penalty fee of FE Credit according to specific time points as follows:

Penalty fee for late payment of FE Credit 1 day = n*150% +(n*10)*10%.

Penalty fee for late payment of FE Credit 10 days = n*150% +(n*10)*10%.

Fee for late payment of FE Credit 15 days = n*150% +(n*10)*10%.

Penalty fee for late payment of FE Credit 1 month = n*150% +(n*10)*10%.

Where, N is the daily interest on the loan

According to the above principle, we have an example of how to calculate the late fee for FE Credit as follows:

Loan amount: 10,000,000 VND

Loan term: 6 months

Interest rate (for example): 300,000 VND/month

In case you pay late, the late fee is calculated as follows:

In the first month, the amount to be paid including penalty fees = Monthly outstanding balance + (300,000 x 150%) + (300,000 x 10%)

In the 2nd month, if the payment is late, the accrued interest payable by the customer = (300,000 x 150%) + (600,000 x 10%)…

Similar calculation for the following months.

Through the above example, we can see that the longer the overdue time, the higher the late fee will be.

See more: FE Credit Call Center contact how?

Is it possible to extend FE Credit's debt?

FE Credit is a financial company not a private loan app, so there is no policy to extend FE Credit debt. However, in some special cases, customers can go directly to FE Credit branches to make an application to consider extending the debt.

The following two cases can be considered:

Case 1: When you take out a loan at the financial company Fe Credit, you will pay a risk premium. This insurance money will help you if you have an unexpected accident and can no longer work. Then the Fecredit side will come down to verify that the information you declared is true. From there, it is possible to extend the late fee for Fe Credit. In addition, the insurance side may pay a certain amount for you!

Case 2: You are unemployed or your job is unstable. You can go to Fe Credit's whole house to directly explain to extend the fee for late payment of Fecredit. Party Fe will receive your information. From there may be an extension for you.

How to calculate bad debt based on late payment time at FE Credit

Group 1 of FE Credit: Standard balance: Standard loans or good loans in group 1 are customers who are able to pay principal and interest on time; debts no more than 10 days.

Group 2 of FE Credit: Outstanding balance to pay attention to: Outstanding balance to pay attention to group 2 are customers whose debts are overdue from 10 to 30 days; first-time debt restructuring.

Group 3 of FE Credit: Substandard loan balance: Outstanding loans under group 3 standards are debts that are overdue from 30 to 90 days; first-time restructured debts that are overdue for 30 days; Debts are exempt from interest reduction due to customers' inability to pay.

Group 4 of FE Credit: Doubtful balance: Group 4 doubtful outstanding loans are debts that are overdue from 90 to 180 days; the first restructured debt is overdue from 30 to 90 days.

Group 5 of FE Credit: Outstanding loans at risk of capital loss: Group 5 outstanding loans at risk of capital loss include debts that are overdue for payment of 180 days or more, and restructured debts that are overdue for 90 days or more; the second and third restructuring debts are overdue.

How to avoid incurring late fees for FE Credit

Do not wait until late payment, incur a penalty fee and then ask the question "How much is the late fee for FE Credit" but avoid it from the beginning. So how do you avoid late fees?

First, consider your income to borrow the right amount, choose the amount to pay each month that matches your income so as not to be under financial pressure. According to some experience of Banktop, the amount of money you have left over to pay for unsecured loan should only account for 35% of your income. Assuming the income is 10 million, then only 3.5 million should be deducted to borrow and pay the bank.

Second, do not borrow money and then use that loan capital in vain. Calculate and try to generate a profit from the loaned capital. That helps you balance your financial situation and pay off the loan easily.

According to Disbursement process of unsecured loan application, after the customer receives the money, the Bank will provide a repayment schedule for the customer. Therefore, please note the repayment time to pay on time. It is best to pay 2-3 days before the due date so that the bank can promptly update the amount you have paid.

If there are economic conditions, should final settlement loans profile. Although there will be an early settlement penalty fee, it will be nothing compared to the late penalty fee of FE Credit.

Conclude

Here are some experiences of Banktop to help you avoid arising FE Credit late penalty fee. Hopefully after reading this article, you will have experiences in borrow money from FE Credit and pay the debt on time.

Information edited by: banktop.vn