Hitachi Personal Finance is a non-bank financial services institutions that only provide finance for personal use. Hitachi Provide tailored-made personal loan for different purposes. To get a clear picture of Hitachi personal finance’s product Personal Loan, we can presume that you need £15,000 personal finance. And you opted to apply with Hitachi Personal Finance for Personal Loan for a period of 5 years. You need to pay £272.50 in 60 monthly installments, which includes interest (3.5% illustrative), and principal amount. So the total amount you need to repay; would be £16,350 minimum on a loan of £15000. Keep in mind that the interest rate (APR) may be higher due to someone’s personal financial positions and credit history. After the credit score amount of the loan and the period of loan play the main role in the interest rate that would be charged. It is further explained below for your connivance.
Hitachi Personal Finance allows loans ranging from £2500 to £25000 and period of loan range from 24 months minimum to 60 months maximum. The rate of interest charged (APR) given by Hitachi Personal Finance is a minimum of 3.5% to 31.9% maximum. Age allows for Hitachi personal finance is 21 years minimum but no minimum income required. Means anybody who is permanently employed and a retiree with a pension can apply for a loan.
Hitachi personal finance APR charging mechanism
You are somehow confused with this term APR if you are not from finance background.
APR (Annual percentage rate): is normally the rate which accounts for all loan associated cost. Nominal interest rates do not account for this cost some banks show nominal interest rates low but other costs high. So when you need to compare two loans you have to compare APR which will give you a fair view.
APR charged by Hitachi on the personal loan depends on amount
- When the amount falls within the range of £2,500 to £2,999: As it is explained above the loan is allowed for a period starting from 2 years to 5 years. APR depends on more amount variation and when it falls in the given above category of £2,500 to £2,999 then APR would be 13.4% minimum which is very high.
- When the amount falls within the range of £3,000 to £4,999: The annual percentage rate charged on Hitachi’s personal loan would be 8.4% minimum could go up to 31.9% depending on circumstances. As explained above a period of loan shouldn’t fall between 24 months to 60 months.
- When amount Fall within the range of £5,000 to £ 25000: Hitachi personal finance charge a 3.5% minimum on the amount falling between £5,000 to £ 25000 and whatever the period between the allowed range.
- If applying online and APR rate given: Hitachi personal finance gives a guarantee on the maximum charged APR will not increase from 26.9%.
How Hitachi personal finance will apply to you, you can check here the feature and loan calculator as well.
Key options :
On Spot decision of loan acceptance or rejection:
When a customer applies by the online application they normally get the decision on loan acceptance or rejections on spot. This is good feature offered by Hitachi using the latest technology and this saves time for customers.
Fixed rate charged and better planning:
This allows the borrower to forget about fluctuations in interest rates. Fixed-rate of interest allows the individual borrower in smooth budgeting and efficient cash management.
Fastest transfer on approval of loan:
As long as agreement is signed Hitachi transfers the amount into the borrower account within 48 hours. This will give borrower an extra ordinary favor in case on health expense emergency.
Option to repay early:
Hitachi personal finance offers the option to repay the loan early means you can pay before the due date. When you feel you have enough money can repay a partial or full amount of loan and feel debt-free. As the bank has mentioned it’s free but terms and conditions are suggesting some changes. You can view terms and conditions here and clear all doubts.
Limitation of Hitachi personal finance
Amount allowed between the range of £2500 to £25000;
In contrast to Hitachi’s personal finance, most of the other banks offer range starting from £1000 and ending on £30000 to £35000 in personal loans.
High rate of interest (APR):
Hitachi bank offers higher interest rates compared to other financial institutions offering the same personal loans. The majority of other banks offer loans between 2.8% 3.0% minimum and 21.9% to 27.0% maximum while Hitachi personal finance offers between 3.50% minimum to 31.9% maximum. E.g. M&S bank is offering personal loans at 21.9% maximum and 2.9% minimum.
Limiting the borrowers by age:
Hitachi bank offer loans starting from the age of 21 years. Other financial institution same personal loan two the people starting from the age of 18 years.
Limited loan period:
Hitachi personal finance limits borrowers in terms of the allowed time period. Hitachi personal finance allows loans should be minimum of 24 months of the loan period. While other financial institutions same personal loan for a period starting from 12 months. Similarly, the maximum time period allowed by Hitachi personal finance financial
the institution is for 60 months or 5 years. In opposed to this other financial institutions offers the same personal loan with a more flexible time period of up to 84 months.
High late payment fee
Hitachi personal finance charges a higher fee in case of late payment which makes this loan more costly and less attractive. You can view the late payment fee by click here which seems to be costly to the fee charged by other banks.
Please carefully read the terms and conditions before applying for a personal loan with Hitachi Personal Finance. You can compare with other banks such as M&S bank personal loan which will help you in the decision.
Haley Hayward is an experienced writer at gblogo.com, where she’s credited with more than 200 articles covering everything from entrepreneurial stories to mental health at work.
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Prior to joining gblogo.com, Haley honed her skills as a freelance writer, tackling a wide array of topics from petcare to car maintenance.
Haley holds a Master’s degree in English Literature from the University of Edinburgh, Scotland.