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Balloon Payment
This loan is structured with a deferred final payment, secured by means of a post dated cheque. This product provides 100% ownership as the balloon payment is not guaranteed. The main benefit of a balloon payment is reduced monthly installments emanating from the deferred payment.
Features
Available for new vehicles from franchised and HSBC MEFCO authorized dealers
Used vehicles are restricted to current year model only
Balloon values to be applied to the loan
> 24 months - 60%
> 36 months - 40%
> 48 months - 30%
Balloon values are based on vehicle price after discount and exclude insurance or any other optional service financed
Minimum tenor - 24 months
Maximum tenor - 48 months
Nil down payment *
Ability to finance insurance, service contracts and extended warranties
Title is registered in the customer name, mortgaged in favor of HSBC MEFCO
The balloon value can be refinanced by HSBC MEFCO up to a maximum tenor provided the age of the vehicle does not exceed eight (8) years at maturity of the loan
Mortgage is released upon full and final settlement of the loan
* Conditions apply
Example
| Vehicle Selling Price | 200,000 | ||
| Tenor Years Tenor Months |
2 24 |
3 36 |
4 48 |
| Rate Flat Rate Reducing |
5.25 10.08 |
5.25 10.22 |
5.25 10.29 |
| Repayable as Balloon Amount Financed |
120,000 200,000 |
80,000 200,000 |
60,000 200,000 |
| Total Charges | 32,592 | 43,419 | 54,086 |
| Replayable as Installment | 232,592 | 243,419 | 254,086 |
| Monthly Installment | 4,691 | 4,539 | 4,043 |
| Normal Hire Purchase Installment | 9,208 | 6,431 | 5,042 |
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Service Charges - Fees and Charges on our Finance
Checklist of documents you need to have
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Call us now 04 2948000 within the UAE or +971 4 2948000 from outside the UAE
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