The bank's loan interest rate is calculated based on the LPR. The LPR quoting bank currently includes 18 banks. Before 9:00 on the 20th of each month (postponed if it is a holiday), each quoting bank will move towards the LPR in steps of 0.05 percentage points. The National Interbank Funding Center submits quotations, so what is the latest version of the loan interest rate tables of major banks in 2021? Let’s take a look at the list of the four major banks’ mortgage interest rates in 2021.

The latest version of the loan interest rate tables of major banks in 2021

The loan market quoted interest rate (LPR) on April 20, 2021 is: 1-year LPR is 3.85, and 5-year and above LPR is 4.65. The above LPR is valid until the next LPR is issued.

The loan market quoted interest rate (LPR) is quoted by each quoting bank based on the open market operating interest rate (mainly refers to the medium-term lending facility interest rate) plus points. It is calculated by the National Interbank Lending Center and is calculated by the bank. Loans provide pricing reference. LPR quoting banks now include 18 banks. Before 9:00 on the 20th of each month (postponed if it is a holiday), each quoting bank submits a quote to the National Interbank Funding Center in steps of 0.05 percentage points. The National Interbank Funding Center will The LPR is calculated by taking the arithmetic average after removing the highest and lowest quotes, and rounding to the nearest integer multiple of 0.05. It will be announced at 9:30 that day, and the public can check it on the websites of the National Interbank Funding Center and the People's Bank of China. Now, LPR includes two varieties: one-year and more than five-year. According to the "Announcement of the People's Bank of China" (Announcement [2019] No. 15), starting from August 20, 2019, the loan market quoted interest rate (LPR) will be quoted and calculated according to the new composition mechanism.

List of the four major banks’ mortgage interest rates in 2021

Mortgage loans: The current benchmark interest rate is 4.35 per year for short-term loans within 1 year, and 4.35 for medium-term loans between 1 and 5 years. The annual interest rate is 4.75, and the annual interest rate for long-term loans over 5 years is 4.9.

Credit loans: The entry threshold for credit loans is relatively high, but the interest rates are relatively acceptable. The interest rate of general bank credit loans ranges from 8-18.

Mortgage house loan: A house with a mortgage loan can continue to be used as a mortgage, and the annual interest rate is generally between 12 and 18.

Policy loan: Many companies now have policy loans, mainly life insurance policies. The interest rate is generally between 1.8-2.5 per month.

In July 2020 (the data monitoring period is June 20, 2020 - July 17, 2020), the national average interest rate for first-home loans was 5.26, a decrease of 2BP month-on-month; the average interest rate for second-home loans It was 5.58, an average month-on-month decrease of 2BP. (BP refers to BasisPoint (BP) used in finance. 1BP is equal to 1 of 1 percentage point, which is 0.01. Therefore, 100BP is equal to 1.)

Since the outbreak of the epidemic, LPR has been adjusted many times. The above-term LPR has been reduced by 15 BP compared with the end of last year, which has also brought about various reductions in mortgage interest rates across the country. According to monitoring data from Rong360 Big Data Research Institute, the national first-home loan interest rate dropped by 28 BP from the end of last year, and the second-home loan interest rate dropped by 27 BP from the end of last year, both of which were far greater than the decrease in the 5-year LPR.

On December 28, the central bank announced major news and promoted the conversion of existing floating rate loan pricing benchmarks. The pricing basis for old floating rate loans will be convertible to LPR. The new policy will be implemented from March 1 next year and will be completed before August 31 in principle.

Starting from October 8, 2019, the interest rate for newly issued commercial personal housing loans will be based on the loan prime rate (LPR) of the corresponding period in the last month as the pricing benchmark plus points. Among them, the interest rate of the first commercial personal housing loan shall not be lower than the LPR of the corresponding period, and the interest rate of the second commercial personal housing loan shall not be lower than the LPR of the corresponding period plus 60 basis points.

The above is the relevant content compiled by the editor about the "Latest Edition of Major Banks' Loan Interest Rate Tables in 2021".