The advantages of bank loans are: low risk, low interest rate, formal handling and long loan life; Disadvantages are: there are relatively many procedures for credit reporting and the requirements are high.
Second, the advantages and disadvantages of credit channels?
Advantages of bank loans:
1. At present, there are many preferential policies for bank loans, especially for SMEs. At present, many banks still follow the call of the corresponding countries.
2. The speed of bank loans is accelerating. As long as you submit the loan information according to the requirements of the bank, you can get the bank loan quickly.
3. Low interest rate cost. Compared with private lending institutions and companies, the bank interest rate is definitely much lower, which can reduce the repayment cost for borrowers.
4. Low cost, generally speaking, it is a channel with the lowest loan cost on the market at present. The interest rate of general loans is determined according to the specific circumstances. Generally, loans with high credit have low interest rates, and those with low credit will have high interest rates.
5. The source of funds is stable. For banks, we should know that their strength is very advantageous and their funds are sufficient. For small and medium-sized enterprises, as long as they apply for loans, they will sign contracts and issue loans immediately.
Disadvantages of bank loans
1, there are many procedures, and it is relatively complicated to handle loan business in the bank.
2. The collateral requirements are very strict. For small and medium-sized enterprises, bank loans need collateral or third-party guarantee, and the requirements for collateral are strict.
3. Higher credit requirements. Enterprises and enterprise legal persons need to have high credit records. Otherwise, it will be difficult to pass the audit.
Wo Bao concluded: Therefore, in the face of numerous loan methods, we should choose the one that suits us best and pay off the loan arrears in time. This is also a good accumulation of your own credit, which is convenient for future loans.
3. What are the advantages and disadvantages of bank revolving loan?
The floating ratio of revolving loan interest rate is determined according to the personal industrial and commercial loan interest rate of the bank with the same term and grade on the contract signing date. The interest rate of a single loan varies with the adjustment of the benchmark interest rate and the grade of the loan term. The loan contract shall prevail and the interest rate concessions shall be implemented in accordance with relevant regulations. Advantages of revolving loan:
1, quick use of funds: once approved, it will be repaid with the loan within the validity period, and the maximum amount will be directly approved by the approver, which is quick and convenient.
2. Interest rate concessions: because of recycling, short-term loans, long-term loans, short-term interest rates and benchmark interest rates can be realized.
3. Long credit period: the credit period can be up to five years, and you can continue to apply after the expiration.
4. Long term of a single loan: the longest maturity date of a single loan can reach 30 years.
Four, the advantages and disadvantages of bank loans
Subjectivity of law: the advantage of bank loans is safety and low interest, but at the same time, bank loans have higher requirements for borrowers. Conditions for banks to apply for loans: 1. A natural person aged 20-55 with full capacity for civil conduct; Have a local permanent residence or long-term residence certificate and a fixed residence. 2. Have a stable and legal income source, have the ability to repay the principal and interest of the loan on schedule, and the annual household income of the borrower is more than 20,000 yuan; The credit rating assessed or recognized by China Construction Bank is BBB or above. 3. It has a good reputation in the personal credit information system of the People's Bank of China and has no bad credit record. 4. Individual housing loan/provident fund loan quality customers must meet the relevant conditions at the same time; 5. Paying high-quality provident fund to customers must meet relevant conditions at the same time; 6. There has never been any record of personal loan default or other default in CCB. 7. Other loan conditions required by the bank.