Ut Reivisok

Question 1

Rights of MPF

Answer 1

1. Right to ask for details of constituent funds
2. Right to file a complaint
3. Right to make additional contributions

Question 2

Duties of MPF

Answer 2

Duty to understand the terms of the MPF contract before singing it
Duty to monitor activities on own account by checking the account statement annually

Question 3

Exemption from MPF

Answer 3

domestic employees
Self employed Hawkers
People covered by statutory pension or provident fund schemes, such as cilvil servants or grant school teachers
People from overseas who enter Hong Kong for employment for not more then 13 months or who are overhead by overseas retirement scheme

Question 4

Withdrawal of accrued benefits

Answer 4

Age 65

Question 5

Early withdrawal

Answer 5

Early retirement
Permanent departure of HK
Death
Totally disabled

Question 6

How much to contribute?

Answer 6

Lower than 7100: 5%, nil
7100 to 30k: 5%, 5%
30k+: 1500, 1500

Question 7

Coverage of MPF scheme

Answer 7

Regular employees
Casual employees
Self-employed persons

Age 18 to 64

Question 8

Objective of MPF scheme

Answer 8

To reduce the burden of the working population in provision of benefits for retired people in the future

Question 9

5 stages of life + what gets lower?

Answer 9

Young single adult, newly married without children, married with children, pre-retirement, retirement

Risk of tolerance

Question 10

Why should we keep a good personal credit?

Answer 10

To obtain better loan terms
Eg.
Lower interest rate
Longer repayment period
Greater credit limit approved

Question 11

Personal credit record stored

Answer 11

1. Outstanding amount
2. Payment history
3. Default record

Question 12

Advantages of installment loans

Answer 12

Interest rate is lower than comparing with other consumer credits. Therefore, people can have a better planning

Question 13

Disadvantage of installment loans

Answer 13

Fixed repayment schedule and amount. Therefore no flexibility to adjust any repayment

Question 14

Advatange of using revolving loan

Answer 14

Allows borrower to repay any amount at any time. Therefore has a lot of flexibility with repayment.

Question 15

Disadvantage of revolving loan

Answer 15

Higher interest rate comparing with installment loan.

May lead to overspending if the borrower has a low self-discipline

Question 16

How many times can u withdraw money from installment and revolving loam?

Answer 16

Once. As many times as long as it’s in the credit limit

Question 17

Personal loans characteristics

Answer 17

1. Pay both principal and interest
2. Need to provide information of an guarantor who will be responsible for repaying if the borrow fails to

Question 18

Characteristics of Bank Overdraft

Answer 18

People apply it to avoid their Cheque from being dishonored
Overdraft interest is charged on a daily basis
Collateral isn’t required

Question 19

Advantages of using credit card

Answer 19

No need to carry a large amount of cash
Can make payments worldwide and online

Question 20

Disadvantage of credit cards

Answer 20

May lead to overspending
Card may be misappropriated

Question 21

5 types of consumer credit

Answer 21

Credit card, bank overdraft, revolving loan, installment loan, mortgage loan

Question 22

Social responsibility of business to employees, customers, banks, suppliers, shareholders, government, society/ community