Wise Mortgage
Alleviating Mortgage Interest Expenditure
Wise Mortgage can provide competitive mortgage rate1, as well as a preferential deposit rate equivalent to the mortgage rate applicable to your repayment account2 during repayment period. At the same time as owning your dream house, Wise Mortgage allows you to earn higher interest returns on your savings deposited in repayment account, and provides greater flexibility on arranging funds , since there is no restrictions on withdrawal or deposit.
Privileges of Wise Mortgage
Preferential deposit rate
- Preferential interest rate is equivalent to Wise mortgage interest rate and will be accrued on a daily basis, which allows you to enjoy preferential deposit interest and a steady return.
- In the first year of repayment, the maximum amount of deposits bearing a preferential interest rate is up to 60% of the total outstanding balance of the mortgage loan4.
Flexible arrangement of funds
- You can make deposits or withdrawals from your designated Repayment Account anytime to match your financial needs.
Flexible repayment options
- Available in Prime Rate or the Hong Kong Interbank Offered Rate (HIBOR) as the basis of mortgage interest rate, which offers favourable choices to customers.
- Apart from monthly repayment option , you can also choose bi-weekly repayment option7 to save interest expense.
Comparison between Wise Mortgage and other mortgage plans
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Wise Mortgage8
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Similar Deposit-
Linked Mortgage Plans
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General
Mortgage Plan
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Feature
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Apart from mortgage, you can also enjoy preferential deposit rate same as the mortgage rate3
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Mortgage without preferential deposit offer
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Maximum amount of deposit bearing preferential interest rate
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Up to 60% of the total outstanding balance of the mortgage loan for the first year, and up to 50% thereafter
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Up to 50% of the total outstanding balance of the mortgage loan
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Not applicable
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Balance in excess of the maximum amount of deposit bearing preferential interest rate
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Interest rate based on our Bank’s tiered interest rate structure for Hong Kong Dollar Savings Account5
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Only some plans offer interest, and interest rate based on their tiered interest rate structure for Hong Kong Dollar Savings Account
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Not applicable
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Example6(for reference only)
Mortgage loan amount: HK$1,000,000
Repayment tenor: 30 years
Balance of Hong Kong Dollar Repayment Account upon loan drawdown date: HK$20,000
Extra monthly deposit: HK$3,000
(Assuming no withdrawal of deposit is made throughout the entire loan tenor and no overdue repayment)
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Wise Mortgage
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General Mortgage Plan
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Mortgage interest rate (p.a.)1
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2.5%
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2.75%
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Monthly repayment
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$3,951
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$4,082
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Total Mortgage Interest expense (i)
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$423,026
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$470,361
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Preferential deposit rate (p.a.)
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2.5%
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N/A
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HKD savings rate (p.a.)
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0.15%
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0.15%
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Total interest income on deposit account (ii)
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$167,203
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$25,153
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Total net interest expenses (i)-(ii)
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$255,661
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$445,016
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Saving on interest expenses^
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$189,355
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^Saving on interest expenses = Total net interest expenses of General Mortgage Plan - Total net interest expenses of Wise Mortgage
If you want to ease your mortgage burden while earning a steady interest return, please visit any one of our branches and discuss with our bank staff or call our customer service hotline at 218 95588.
Remarks:
1. Annualized Percentage Rates are calculated according to the basis set out in the Code of Banking Practice.
2. You can choose our savings account or savings account in our integrated account as your designated Repayment Account of Wise Mortgage.
3. Preferential deposit rate will not be available when there is overdue instalment repayment during the repayment period.
4. Up to 50% of the total outstanding balance of the mortgage loan thereafter.
5. The tiered interest rate structure may vary on different type of savings accounts, please contact our bank staff for latest update. The tiered interest rate will be determined according to the total balance of the savings account.
6. The mortgage loan interest rate and savings rates, and the interest calculation example are for reference only. The actual terms and conditions of mortgage loan refer to the Wise Mortgage facility letter.
7. Bi-weekly repayment option is not applicable to HIBOR plan.
8. Applicable to Hong Kong primary or secondary private residentials and village type houses for purpose of new purchasing, refinancing, top-up refinancing and mortgage-free property refinancing.
*ICBC (Asia) reserves the right to amend or suspend the above offers at any time without prior notice and reserves the right of final approval on all loan applications.
** ICBC (Asia) reserves the right of final decision in the event of any dispute relating to Wise Mortgage. In case of any discrepancies between the English and Chinese version, the English version shall prevail.
***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!
For further information regarding our appointed loan referral agent list, please contact our customer service hotline at 218 95588.
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RELATED LINKS
To borrow or not to borrow? Borrow only if you can repay!
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