KTC expects personal loan industry to grow by 8 – 9% this year

[webfact]

KTC expects personal loan industry to grow by 8 – 9% this year

 

   

BANGKOK (NNT) - Krungthai Card Plc (KTC) expects the personal loan industry to grow at an average of 8-9 percent, from eight percent last year. However, there are still challenges arising from the Bank of Thailand (BOT)’s personal loans’ control measures and the high level of household debt in the country. KTC plans to penetrate markets and expand the customer base for loans.

 

Ms. Phichamon Chitpentham, vice-president overseeing personal loans, said this week that there are many pilot projects which offer education loans. KTC has cooperated with 44 branches of four language schools including Wall Street English, Champ EngRish, Language Express and Inspire English to reach a group of working people who want to develop their English language skills. They can apply and submit documents to the institution directly and will know whether they will be granted a loan within an hour. The loan offers a zero-percent interest rate on the installment payments over not more than 24 months.

 

Currently, the company’s personal loan portfolio has risen 8.2% from the previous year to 26.48 billion baht. Its non-performing loans have dropped to 0.78 percent, down from 0.82 percent last year. It is expected that KTC will reach its target of a 10 percent increase in personal credit card loans by the end of the year.

 

However, there are still challenges from the Bank of Thailand (BOT)’s personal loans’ control measures which require that people who earn less than 30,000 baht are entitled to receive a credit limit of not more than 1.5 times of their income and the high level of household debt of almost 80 percent, causing the government to issue a more intensive lending controls measure.

 

-- © Copyright nnt 2019-06-21

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[marko kok prong]

Don't believe the figure for non performing loans.

[connda]

6 hours ago, webfact said:

KTC expects personal loan industry to grow by 8 – 9% this year

Translated:  Thais are now borrowing to sustain day-to-day living expenses adding to their already unsustainable debt load that needs to be serviced by borrowing money from relatives once a year to pay-off and then reapply for new loans. But! Time for new smartphones and flat-screen TVs for the family.  What could possibly go wrong?
Waiting for the shoe to drop: Countdown in progress.......

[GreasyFingers]

And one of the government banks to help low income earners only charge 9%.

[UnkleMoooose]

9 hours ago, webfact said:

KTC plans to penetrate markets and expand the customer base for loans.

All this and they make delicious fried chicken. Quite the company.

[overherebc]

23 minutes ago, UnkleMoooose said:

All this and they make delicious fried chicken. Quite the company.

K is for Kipling. Makes exceedingly good cakes and also did a bit of writing as well although sometimes a bit racist I hear.

[DrTuner]

Ah, the good old chain-the-credit-cards dance. Until .. 

[Jingjock]

Crap is this a Joke Hahaha

[marko kok prong]

This is starting too look like the start of the excellent movie the big short,unscrutinised loans ,non performing loans,my now seperated wife has a car she got for Australian brother in law in her name,he has very little money and could not get finanace so she did it for him,now she is 30,000 baht a month lighter since we seperated. He is under incredible pressure as the family have dug three ponds for fish farming,the bore was around 80 metre deep i think,plus digging out the ponds ,plus piping ,pumps,and a generator[no electric out there],s0 the down payment on the pick up was maybe 200,000, that leave's a mil on it,in addition,feed for the fish,and he is also paying rent on the house back in Aussie,feel real sorry and worried for him as he is a nice guy. This all smacks of the controlling influence of my ex,one of the greediest and tightest people i have ever met,how the hell are they ever even gonna break even i do not know,as for the car it must be 10,000 at least a month for the repayments,of course before they could subsidise this with my money,no longer! i am using this as a scenario of how Thai people come up with these crazy money making scheme's that eventually come crashing down around them and this is widespread,a shack with a brand new pickup outside,common sight in my area,mark my words many Thai's are well over their heads in debt they cannot service,this has sub prime written all over it.