On September 15, ICBC, Agricultural Bank of China, Bank of China, China Construction Bank, Bank of Communications, Postal Savings Bank and China Merchants Bank collectively lowered the listing interest rate of RMB deposits. Compared with the deposit interest rate reduction in April this year, the interest rate reduction covers a wider range of deposits, from demand deposits to time deposits and certificates of deposit, from three months to five years, with the reduction range ranging from 5 basis points to 15 basis points. Let's see what advantages and disadvantages it will bring.

Will reduce the savings needs of residents.

Since the beginning of this year, I have increased my willingness to save because of the great economic pressure, the fluctuation of the capital market, and the decline in the investment risk and quantity of residents. However, with the decline of deposit interest rate, those rising willingness to save will cool down, and the reduction of deposit interest rate by banks will reduce residents' savings demand, thus pushing up consumer demand and investment demand.

Risks in the financial investment market.

The deposit interest rate is lowered, the fixed deposit income is reduced, and the fixed deposit products are shrunk. Many users will choose insurance products, wealth management products and fund products. In order to obtain more investment income. Some users may choose wealth management products with too high investment risk, and ignore the risk in order to pursue high returns, which is very dangerous.