1. Influencing factors of renovation loan interest
2. Refurbishment loan interest policy
3. Calculation method of decoration loan interest
4. Conclusion
First, the influencing factors of decoration loan interest
1. loan amount: the larger the loan amount, the higher the interest, and vice versa.
2. Loan term: The longer the loan term, the higher the interest, and vice versa.
3. Loan interest rate: The higher the loan interest rate, the higher the interest, and vice versa.
4. Loan collateral: The lower the loan collateral, the higher the interest, and vice versa.
Second, the decoration loan interest policy
1. Low-interest policy: In order to encourage people to actively participate in the transformation, the government gives low-interest policies to reduce interest.
2. Preferential policies: Banks give some preferential policies, such as early repayment and mortgage, which can reduce interest.
3. Interest rate concessions: the bank will give certain interest rate concessions according to the credit situation of customers to reduce interest.
Third, the calculation method of decoration loan interest
1. Equal principal and interest method: the monthly repayment amount is unchanged, and the monthly repayment amount = loan principal × monthly interest rate ×( 1+ monthly interest rate) ÷(( 1+ monthly interest rate) × repayment months-1).
2. Average capital method: the monthly repayment amount is different, and the monthly repayment amount = loan principal ÷ repayment months+loan principal × monthly interest rate.
3. Interest before this method: the monthly repayment amount is different, and the monthly repayment amount = loan principal × monthly interest rate.
The interest level of decoration loan mainly depends on the loan amount, loan term, loan interest rate and loan collateral, and the government and banks will also give some preferential policies and interest rates to reduce interest. The commonly used methods to calculate the interest of decoration loans are equal principal and interest method, average capital method and this method.
This paper introduces the interest of decoration loan from the aspects of influencing factors, interest policy and interest calculation method, so as to help readers better understand the interest of decoration loan.
How much is the interest on the renovation loan?
For mortgage customers with limited decoration budget, the bank launched a credit card-based decoration installment loan. The monthly interest rate is as low as 0.26% (in some cities), but the actual annual interest rate is unknown to many people.
The renovation loan interest rate is 0.26%. What is the actual annualized rate?
The common decoration loan is by credit card installment, that is, after the application is successful, a decoration installment credit card will be automatically issued, and it will be automatically installment next month after each swipe.
Let's take a look at how the real interest rate of decoration loans is calculated.
At first glance, the monthly interest rate is 0.26%, so the annual interest rate is 12*0.26%=3. 12%. However, is this really the case?
First of all, let's talk about the difference between rates and interest rates:
Rate: always charge according to the total principal, the principal owed is reduced, and the interest is unchanged, that is, the expenses incurred in each period are the same.
Scenario: It is generally used for bank large installment loans and credit card installment.
Interest rate: interest is calculated according to the remaining principal, and the interest decreases with the decrease of the principal owed, that is, the interest repaid in each period is different.
Scenario: generally used for mortgage, mortgage loan.
How to convert the rate into interest rate?
Let me give you an example: 20W renovation loan with monthly interest of 0.26% and 60 installments. The principal of each installment is 3,333.33 yuan (rounded up), and the monthly interest is 520 yuan.
The rate is converted into annualized interest rate and converted by IRR formula. Input these data into excel and use IRR function to calculate, as shown in the following figure:
As can be seen from the above table, the monthly interest rate of the 20W decoration loan is 0.26%, and the real interest rate of the 60th installment (five years) is 5.858%. It can also be seen that the sooner the loan is paid off, the lower the interest rate will be. This time, the real interest rate of the decoration loan is clear. Compared with the annualized interest rates of car loans and credit cards, decoration loans are very cost-effective, even lower than the mortgage interest rate in the short term.
Suggestion: The sooner the renovation loan is repaid, the lower the annualized interest rate. If there are indeed small partners who need to decorate, and there is a temporary shortage of funds, the monthly supply pressure will not be great, so you can consider making a decoration loan.
Where can I get a reliable decoration loan?
Now the four major banks have launched renovation loans. Rough houses and hardcover new houses, newly bought second-hand houses can apply for low-interest decoration loans. I will match the best bank according to your credit qualification.
How much is the interest on the renovation loan?
The specific interest rate of decoration loan is actually related to many factors, such as the city where it is located, the bank it chooses and so on. The interest rate of decoration loan products of banks generally fluctuates on the basis of the benchmark interest rate of the central bank, and different banks set interest according to this system. The annual interest rate of the loan term is about 5.6% for less than one year and about 6% for one to five years. If the loan term exceeds five years, the required interest is about 6. 15%.
How many years can I borrow a decoration loan?
I. Detailed Rules for Decoration Loan of China Construction Bank
1. Loan target: 18 to 60 years old China citizens with full civil capacity;
2. Loan amount: the starting point of the loan is RMB 5,000 (including RMB 5,000), and the maximum is RMB 654.38+RMB 500,000 (including RMB 654.38+RMB 500,000);
3. Loan term: the shortest half year and the longest not exceeding 5 years (including 5 years);
4. Loan interest rate: the loan interest rate for the same period stipulated by the People's Bank of China shall apply;
5. Guarantee method: pledge, mortgage and qualified third-party natural person guarantee recognized by CCB.
Two. ICBC Decoration Loan Rules
1, with urban permanent residence or valid residence status;
2. Have a stable occupation and income, good credit, and the ability to repay the loan principal and interest on schedule;
3. Take the assets recognized by the bank as collateral or pledge, or take the units or individuals with sufficient compensatory capacity as guarantors to repay the loan principal and interest and bear joint and several liabilities;
4. There is a house renovation contract, decoration budget and related materials signed with the decoration enterprise approved by the competent department;
5, with no less than 50% of the total decoration budget of its own funds, and before the use of loans into the project construction;
6. Loan term: the longest loan term shall not exceed 10 year (including 5 years);
7. Other conditions stipulated by the bank.
Before, I also needed business turnover. I have used several small loan products. In fact, every small loan platform has an internal application entrance, with low interest, convenient payment and high quota! Scan the code below to enter the QR code!
How to calculate the interest on the decoration loan?
The loan is 65,438+000,000 yuan, and the monthly interest rate is 0.25%;
Monthly interest = loan amount × monthly interest rate = 65438+ million× 0.25% = 250 yuan;
Annual interest = monthly interest ×1February = 250×12 = 3,000 yuan.
The loan is 200,000 yuan with a monthly interest rate of 0.25%;
Monthly interest = loan amount × monthly interest rate = 200,000× 0.25% = 500 yuan;
Annual interest = monthly interest ×1February =500× 12=6000 yuan.
The loan is 300,000 yuan with a monthly interest rate of 0.25%;
Monthly interest = loan amount × monthly interest rate = 300,000× 0.25% = 750 yuan;
Annual interest = monthly interest ×1February = 750× 12 = 9000 yuan.
Calculation formula of monthly interest: monthly interest = loan amount × monthly interest rate;
Calculation formula of annual interest rate: annual interest rate = monthly interest × 12 months.
You can calculate the interest of your own decoration loan according to the formula.
How to calculate the interest rate of decoration loan?
What's the interest rate for the renovation loan?
The interest rate of decoration loan products of banks generally fluctuates on the basis of the benchmark interest rate of the central bank, and different banks set interest according to this system. The annual interest rate of the loan term is about one year or less.
The loan interest rate of decoration loan will also depend on the loan amount and repayment time. Interest rate of bank decoration loan: 6% for short-term loans and medium-and long-term loans from six months (inclusive) to one year (inclusive); Three to five years (inclusive) 6%; Renovation loans for more than five years are loans provided by banks or other financial institutions to individuals for housing renovation, and generally do not require mortgage. Compared with other consumer loans, its amount can be given very high.
/kloc-how much interest does a decoration loan of 0/00000 have for one year?
Assuming that the loan is calculated according to the above loan interest rate, and the repayment method of equal principal and interest is adopted, the loan is 654.38 million yuan, and the repayment period is one year, so the total interest is 5600 yuan.
In addition, we need to remind everyone that according to the regulations of the bank, renovation loans are not allowed to be withdrawn. The bank either directly transfers the money to the account of the decoration company, or the borrower can only spend it at some hardware stores. The special requirements in the house decoration loan are: to have the house renovation contract, decoration budget and related materials signed with the decoration enterprises recognized by the relevant departments.
The above is the sharing of "how much is the interest rate of decoration loan", and I hope it will help everyone!
Before, I also needed business turnover. I have used several small loan products. In fact, every small loan platform has an internal application entrance, with low interest, convenient payment and high quota! Scan the code below to enter the QR code!