If the mortgage interest rate is not lowered, the borrower's interest expense will not decrease.

Second, the specific analysis

Although the borrower can't interfere with the change of loan interest rate, he can reduce interest expenses by repaying the mortgage in advance.

There are two options to repay the mortgage in advance: partial prepayment and one-time prepayment.

1. Partial repayment in advance: If the borrower has spare money, he can apply for partial repayment in advance at the local loan bank every year. Although the remaining unpaid principal still pays interest at the interest rate agreed in the contract, it is more cost-effective for the borrower to choose to keep the repayment amount unchanged and shorten the repayment period, and the subsequent interest expenses will be less.

2. One-time settlement in advance: that is, the borrower pays off all the remaining principal at one time, and the interest is only calculated until the borrower pays off, and the remaining interest does not need to be paid.

However, most banks have requirements for repayment time. For example, if the borrower's repayment time is less than 1 year, he may have to pay liquidated damages to the bank, which is usually stipulated in the loan contract.

If the loan application is rejected, you can check your credit status in Xiaoqi Credit Check before applying for a loan. If the credit is not good, wait for a period of time, and then apply when the credit risk score is not high and there is almost no stain, so it will be easier to pass.

3. When will the mortgage interest rate be lowered?

After handling the mortgage, many people are still concerned about the change of loan interest rate. As soon as they heard that the loan interest rate had been lowered, they wanted to know when their mortgage interest rate would be lowered.

In fact, the time for lowering the mortgage interest rate should be analyzed according to various situations. Here's a brief introduction. By the way, what if the interest rate doesn't fall?

When will the mortgage interest rate be lowered?

The downward adjustment of loan interest rate refers to the downward adjustment of LPR interest rate. According to the pricing method of mortgage interest rate, the downward adjustment time of mortgage interest rate can be determined according to the following circumstances.

1, it will never drop.

(1) Provident fund loan: If the LPR interest rate is lowered, the interest rate of provident fund loan will never be lowered, because the interest rate of provident fund loan is not priced according to the LPR interest rate. Only when the benchmark interest rate of provident fund loans is lowered will the interest rate of provident fund loans be lowered accordingly.

(2) Mortgage interest rate is fixed interest rate: After the implementation of LPR, many borrowers did not change the pricing method of stock mortgage interest rate to LPR, but chose fixed interest rate. During the loan period, the interest rate will not be adjusted with the changes of external factors such as interest rate policy and capital supply and demand.

(3) Mortgage interest rate is the benchmark interest rate: after the implementation of LPR interest rate, some people still choose to price according to the benchmark interest rate of the central bank stipulated in the original loan contract. Only when the monetary policy is loose and the central bank cuts interest rates will the mortgage interest rate be lowered accordingly.

The benchmark interest rate of the central bank will withdraw from the market, and the mortgage interest rate will not change again.

2. The repricing date will be reduced.

Once the LPR interest rate is lowered, new commercial loans and stock mortgage loans priced at LPR+ basis points may also be lowered. The specific downward adjustment time is subject to the repricing date.

There are two repricing dates, one is 65438+ 10/month 1 every year, and the other is the lending date. The borrower can inquire which day it is according to the loan contract.

Because the new mortgage interest rate is determined by referring to the LPR interest rate in the same period of last month, it will only be adjusted on the re-pricing day every year, only once a year. After the new mortgage interest rate is determined, the same interest rate will remain unchanged until the next repricing date.