The difference between bonds and bank loans lies in:

1, suitable for different people: bonds are for the whole people, and you can buy them as long as you have money. Bank loans are given to people with certain qualifications and good credit status;

2. Different forms of expression: bonds are a kind of securities. The bank loan is a loan contract;

3. Different maturities: Some bonds have long maturities, such as corporate bonds, which can provide long-term financial support for the company. Bank loans are generally short-term loans.

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The difference between bonds and loans

Difference:

1, different objects

There is a creditor-debtor relationship between bond buyers or investors and issuers. Bond issuers are debtors and investors (bond buyers) are creditors. Lending means that the borrower transfers the ownership of money to the borrower, and the borrower returns the same amount of money with interest.

2. Different publishers

The issuers of bonds are debtors such as government, enterprises and banks. The issuer of the loan can be a private person or an institution, and there is no restriction.

3. Different distribution methods.

Bonds are securities issued by debtors such as governments, enterprises and banks in accordance with legal procedures in order to raise funds and promise creditors to repay the principal and interest on a specified date.

Lending refers to the bond financing behavior that the bond purchaser borrows the underlying bond from the bond lender with a certain amount of bonds as pledge, and agrees to return the borrowed underlying bond at a certain date in the future, and the bond lender returns the corresponding pledge.

Extended data

The main issuers of bonds in China are legal person enterprises and state-owned enterprises. The conditions for an enterprise to issue bonds are:

1. The net assets of a joint stock limited company shall not be less than RMB 30 million, and the net assets of a limited liability company shall not be less than RMB 60 million.

2. The total amount of accumulated bonds shall not exceed 40% of the net assets.

3. The company's 3-year average distributable profit is enough to pay the interest of corporate bonds 1 year.

4. The investment of raised funds conforms to the national industrial policy.

5. The bond interest rate shall not exceed the interest rate level stipulated by the State Council.

6. Other conditions.