China Watch Blog has learnt that there is a rising number of bankruptcies in Hong Kong, as many companies and individuals, squeezed by the adverse economic situation are falling behind in their payments to banks, which are aggressively recalling loans and so on, pressuring many to resort to bankruptcy protection.
Banks are resorting to dirty tactics to squeeze their customers, and when their payments are overdue by slightly over one month, they add the second month’s payment to the first and immediately demand two months payments in one-go putting tremendous pressure on customers.
If customers fail to pay up, they send their customers case immediately to the debt collection companies, which then bill the customers exorbitant fees for doing the debt collection for the banks.
In so doing, banks ruin their reputation by resorting to dirty tactics.
People many go bankrupt but after four years in Hong Kong, they can discharge their debts, but they cannot borrow money or use credit cards for life. These people would be better off with cash since they cannot deal with banks.