Along with the development of the fintech industry ( financial technology ), especially in P2P ( peer to peer ) lending, there are more and more WC Finance alternatives for prospective borrowers/debtors. Often because you want to get funds as quickly as possible, you ignore or don’t really understand the calculation of fees and interest set by the online WC Finance provider/creditor itself. This will ultimately burden the debtor in returning the borrowed funds. In this article, we will discuss the costs and interest set by Fintech , so that you have an overview and are more careful before submitting WC Finance online.
Costs for WC Finance online
In general, WC Finance online sets several costs including provision fees, administrative fees, service fees, and late fees.
Determination of the percentage in each WC Finance online varies, but generally in the range as follows:
- Fees: 5-8% of WC Finance’s total
- Administration fee: 1% of WC Finance’s total
- Service fee: 1% of WC Finance’s total
- Late fees: 1-3% adjusted for the length of the day of delay. For example, for WC Finance who is 1-7 days late, a 1% late fee will be charged, while WC Finance who is 14 days late will be charged a 2% late fee.
Also read: Confused about Counting WC Finance’s Flowers? Here’s the way!
The interest charged by WC Finance online to the debtor
In addition to the costs mentioned in point No.1, WC Finance online also set the interest of WC Finance where the percentage between WC Finance online also varies. However, generally the interest set is as follows:
If the duration of WC Finance is less than or equal to 30 days, the interest set is 1% per day = 30% a month
If the duration of WC Finance is more than 30 days, namely 3, 6, or 12 months, the interest set is usually in the range of 3-8% per month.
Now try to see the WC Finance simulation at the following WC Finance Online A company:
Assume you borrow money from WC Finance online A for Rp.4,000,000 with a repayment period of 4 months. When funds are sent to your account, the amount will be deducted by a 6% provision fee (assuming WC Finance online A stipulates a 6% provision fee), which is IDR 240,000. In addition, WC Finance online A also charged an administration and service fee of 1% each, so WC Finance would be deducted again by IDR 80,000. In the end you will receive IDR 3,680,000 in your account.
If WC Finance online A sets interest at 6% a month, then every month you will be charged an installment of Rp1,240,000 / month or with the total amount paid until the end of WC Finance’s duration of Rp.4,960,000.
The amount to be paid also increases due to late fees.
However, if you pay late for WC Finance, the amount to be paid also increases due to late fees.
You can certainly imagine how much debt is accumulated if you don’t make payments on time. Usually, WC Finance online will clearly state the costs to be paid and you have the choice of whether to continue WC Finance or not. QQI Credit is one of the online WC Finance that applies the openness of fees and interest to be paid, where the QQI Credit team calls prospective borrowers and explains in detail the costs to be paid. At QQI Credit, the debtor is given the opportunity to consider whether to continue WC Finance or not. In addition, QQI Credit also does not apply relatively lighter costs compared to other WC Finance, namely:
- Fees: 5%
- Administration fee: none
- Service fee: none
- Late fees: Rp. 55,000 for each installment that has been delayed
- Interest: 4% a month (QQI Credit Installment) and 10% (mini QQI Credit where another online WC Finance applies 1% interest a day, meaning that for WC Finance with a duration of 30 days, on another online WC Finance, the debtor must pay 30% interest)
Assuming you are borrowing on QQI Credit for the above case, you will receive Rp.3,800,000 and then you will pay an installment of Rp1,160,000 per month so that at the end of your period you will pay a total of Rp.4,640,000.