According to CCTV's China Voice "News Night" report, five state-owned banks, namely Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank and Postal Savings Bank, all started to convert eligible individual housing loans in batches on August 25th, and uniformly adjusted their prices to LPR.
According to the announcements of the five major state-owned banks, the scope of this batch conversion includes personal housing loans with floating interest rates that have been issued before 2020 1 and personal housing loans that have been signed but not issued with reference to the benchmark interest rate of loans, but does not include personal provident fund loans. ICBC also made it clear that the current overdue loans are not within the scope of this conversion.
For this batch conversion, a number of banks said in the announcement that it was carried out with reference to ordinary banking practices in order to simplify customer operations. However, this does not mean that consumers have no choice. Wen Bin, chief researcher of Minsheng Bank, said: "If individuals still want to use a fixed interest rate, this is no problem. You can contact the corresponding bank at any time before the end of this year and choose the interest rate method that you think is suitable for you. "
All banks have made it clear that after the batch conversion is completed, if they disagree with the conversion result, they can transfer it back through online banking or mobile banking or negotiate with the loan handling bank before February 3, 2020. It should be noted that the existing banks have made it clear that the cancellation operation can only be handled once.
The China Monetary Policy Implementation Report for the Second Quarter of 2020 recently released by the central bank pointed out that by the end of June, the conversion progress of stock loan pricing benchmark had reached 55%. Among them, the conversion progress of existing enterprise loans is 76%. Wen Bin said: "Except for the five major banks, I think most small and medium-sized joint-stock banks basically adopt LPR floating interest rates. Therefore, by the end of August this year, it should be said that more than 90% of the floating interest rate of the stock will be converted into quotations such as LPR interest rates. "
So, should the lender choose fixed interest rate or LPR floating interest rate? Dong Ximiao, chief researcher of Zhilian Finance, believes that in fact, in the long run, the interest rate risk faced by any interest rate method is the same. "Just need to judge a little-the trend of ——LPR, or what is the trend of interest rate in the whole market. If it is judged that the market interest rate may rise, then switching to a fixed interest rate can lock in the current lower interest rate; If it is judged that the market interest rate may drop, then when you switch to LPR, you will enjoy the benefits of falling interest rates. " He said.
2065438+09.8.20 The quotation was released after the LPR reform. So far, LPR reform has gone through a year. What changes have been brought about by the reform this year? What progress has been made?
At present, it is in the final stage of converting the stock floating rate loan pricing benchmark to LPR, and successfully completing the conversion of the stock floating rate loan pricing benchmark to LRP is a key step to achieve "anchoring" with LPR loan pricing.
Dong Ximiao pointed out that in the past year, the effect of LPR reform is mainly reflected in two aspects: first, the interest rate transmission mechanism has been formed; The second is to promote the marketization of deposit interest rate, which means that the transmission efficiency of monetary policy to deposit interest rate has also been improved. He further explained: "First of all, LPR gradually replaced the benchmark interest rate of loans and became the main reference for loan pricing. Although the benchmark interest rate for loans has not been abolished, all new loans are based on LPR, and most existing loans have begun to turn to LPR, which is an achievement. Secondly, on this basis, the transmission mechanism of monetary policy is further clarified. The loan interest rate is linked to LPR, and LPR is linked to the open market operating interest rate. In this way, changes in policy interest rates can be transmitted to loan interest rates in a more timely manner. "
The LPR quotation in July shows that the LPR for 1 year is 3.85%, and that for five years or more is 4.65%, which is 40 basis points and 20 basis points lower than the reformed quotation respectively. During this year, it actually reduced the financing cost of the real economy. Wen Bin said: "Through the reform of LPR, it should be said that the effect is still remarkable in reducing the financing cost. From August last year to this year, LPR's interest rate quotation dropped by about 40 basis points, but the actual loan interest rate of banks fell by more than this ratio, including the loan interest rate of small and micro enterprises dropped by more than 50 basis points compared with last year. "