Failure to repay loan instalments by the due dates will result in extra payment of penalty charge and surcharge.
If a student loan repayer fails to arrange autopay transaction for repayment on the due dates, he/ she will have to pay a penalty charge of HK$30. Moreover, a surcharge of 5% on the overdue instalment will be levied on all loans if payment of any instalment is delayed by 7 days or more. If a student loan repayer fails to repay two or more consecutive quarterly instalments, the repayment of the outstanding loan, surcharge and unsuccessful autopay transaction penalty charge will be due immediately, and he/ she is considered as in debt to the University. The University reserves the right to take one or more of the following actions to recover the loan to defaulters:
- holding of the indemnifier as responsible for paying the outstanding amount on behalf of the concerned student;
- withholding of the final result status of course(s) being studied (the result status would be 'pending');
- exclusion from further registration of courses;
- exclusion from further financial assistance;
- withholding of the conferment of any qualification on the concerned student;
- withholding of the issuance of certificate/diploma/transcript; and
- commencing legal proceedings against the loan recipient and/or his/her indemnifier(s).