Chinese Students Are Signing Up For Horrific Loans To Buy Apple Products

Apple will have 7 retail stores in China come Saturday.

There are some people in China that will do almost anything to get their hands on a new Apple product. One guy even sold his kidney. But if you don’t want to sell a body part, Chinese students have decided to accept some truly horrific loan terms just to buy an iPhone.

The China Daily reports that more than 20,000 college students in the Chinese city of Wuhan have taken out high-interest loans from January 2012 to February 2013 to buy Apple products.

Over the past 12 months, about $25.7 million has been loaned out to the students, and 90% of that credit has gone to buying Apple products. The loans carry an annual interest rate of over 47% over a 12-month loan term.

Even though the loans are horrible, they’re very easy to get according to a Home Credit China spokesman. The entire loan application process only takes a few minutes and students can borrow between $85 to $1,600. Despite the high interest rates, the loans have become a frequent occurrence among students, as Apple products become more popular among the Chinese.

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  • RaptorOO7

    China is enjoying what Americans have for years, huge amounts of debt for expensive stuff they shouldn’t be buying on credit to begin with. I pay cash or I don’t buy at all. I just sell my older tech stuff to buy the new one (iOS devices do hold their value).

  • technochick

    It’s a sad reflection on Chinese culture that students are so gimme gimme that they would take this step. And that adults would take advantage of them in such a way.

    Yes we have some credit companies like even Barclay that works directly with Apple that have like 25% interest but they also have no interest offers.

  • technochick

    I just sell my older tech stuff to buy the new one (iOS devices do hold their value).

    That’s another good point. Right now I don’t sell my old stuff because I use them as test units for app development and such. My original iPad is currently acting as my home remote center since the battery is shot etc. but many folks have great luck in selling their used stuff to other users, gazelle etc

  • SLoanSearch

    To offer a iDevice to girlfriends, also very silly when people don’t make enough money and have to do an extremely hard effort to buy them. There are cheaper alternatives, maybe not as cool but I’m sure there are better ways to be happy than to get an iPhone. http://speedyloansearch.com/

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Buster HeinBuster Hein is Cult of Mac's Senior News Editor and lives in Phoenix, Arizona. Twitter: @bst3r.

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