Generally speaking, when the bank loan interest rate is converted, it is only calculated as 360 days a year. In fact, if the loan interest is calculated at the daily interest rate, a year is 365 days.

The borrower can negotiate with the bank in the contract to decide which formula to use to calculate the specific interest rate.

The general loan interest rate is the main factor that determines the loan interest. The higher the loan interest rate, the higher the loan interest. Conversely, the lower the loan interest rate, the lower the loan interest rate. The conversion formula of loan interest rate is:

1, daily interest rate = annual interest rate (%)÷360= monthly interest rate (‰) ÷ 30;

2. Monthly interest rate (‰) = annual interest rate (%)÷ 12.

What is the loan term:

The loan term refers to the period from the time when the lender issues the loan to the borrower to the time when the loan is recovered. The loan term is the term for the borrower to actually use the loan.

First, the lender can arrange the loan scientifically and reasonably according to the length of the loan period to ensure the safety and efficiency of the credit assets. Second, the borrower can apply for a loan according to the loan term, make good use of the loan within the term, and strive to get the maximum benefit. Third, the loan term is closely related to interest payment, which can make the borrower calculate the borrowing cost more carefully and reduce unnecessary time. It can also enable the lender to allocate the loan amount reasonably and improve the overall benefit of loan use.

Division of loan term:

According to the length of the loan period, loans can be divided into short-term loans and medium-and long-term loans.

1), short-term loans with a term of 1 year or 1 year (temporary loans for more than 3 months and less than 6 months), characterized by short term, low risk and high interest rate. They are usually issued in the form of "loans", which are mainly used to meet the needs of borrowers for short-term funds.

2) The medium-term loan term is over 1 year (excluding 1 year) and under five years (including five years), which is characterized by long term, high interest rate, poor liquidity and high risk.

3) Long-term loans are loans for more than 5 years (excluding 5 years).