Core Insights - The majority of Hong Kong consumers (over 80%) rely solely on credit cards as their only credit product, with the fastest growth rate of 8.8% from the end of 2018 to the end of 2024 [1] - The credit wallet of Hong Kong consumers can be categorized into three types: Basic Credit Wallet (83% only hold credit cards), Flexible Credit Wallet (11% hold at least one credit card and one personal or revolving loan), and Diverse Credit Wallet (2% hold at least one credit card and multiple personal or revolving loans) [1][2] - The growth rate of consumers with a Basic Credit Wallet is the highest at 8.8%, compared to 5.4% for Flexible Wallet and 6.8% for Diverse Wallet [1] Consumer Behavior - The research indicates that the credit market in Hong Kong is not as mature as commonly perceived, with consumers primarily depending on credit cards and less on a broader range of credit products [2] - Consumers with a more diversified credit product portfolio, especially those in the Flexible Wallet category, show a significant demand for additional credit, with 4.4% interested in new personal loans, followed by 2.5% for credit cards and 2.0% for revolving loans [2] - When applying for new credit products, 84% of Flexible Wallet consumers choose banks for additional credit cards, while 89% opt for finance companies for personal loans, and 55% use finance companies for revolving loans [2] Loyalty and Repayment Behavior - Flexible Wallet consumers exhibit relatively low loyalty to their existing financial institutions when applying for new credit cards or revolving loans, with only 11% and 14% respectively choosing their original institutions [3] - In contrast, these consumers show higher loyalty for new personal loans, with 58% opting for their existing financial institutions, split between traditional banks (54%) and finance companies (46%) [3] - The repayment performance for new credit products shows that consumers with a Flexible Wallet and lower credit ratings prioritize repaying bank-issued loans, with overdue rates for bank products generally lower than those from finance companies [3]