Today (65438+February 28th) morning, the central bank issued an announcement, announcing the official launch of the stock loan interest rate benchmark conversion scheme!
What is a stock loan? Many people don't understand, let's review:
1. On August 17 this year, the central bank issued an announcement and decided to reform and improve the formation mechanism of the quoted interest rate (LPR) in the loan market, which means that since then, new loans (except mortgages) of banks mainly refer to LPR, rather than the original benchmark interest rate.
2. On August 25th this year, the central bank issued a new mortgage policy. From August 8, 20 19, the new mortgage issued by commercial banks should also refer to LPR (LPR of the same period in the last month).
After the release of the above two new policies, nearly 90% of the new loans have been priced with reference to LPR. That is to say, 10% of the new loans and existing loans before the first two new policies have not been priced with reference to LPR. Some people have done statistics, involving more than 28 trillion personal loans.
The reason why the new mortgage and the existing mortgage were postponed to June 8 10 and today is that it involves a wide range and has a great impact, which is related to the money bags of many buyers.
So how is the new policy of stock mortgage conversion determined?
1. 1. From March 2020 1, financial institutions should negotiate with existing floating-rate loan customers on the conversion terms of the pricing benchmark, and convert the interest rate pricing method agreed in the original contract into LPR as the pricing benchmark (the bonus point can be negative), and the value of the bonus point will be fixed during the remaining period of the contract; It can also be converted into a fixed interest rate. (to be completed before August 3, 20201).
About stock mortgage:
2. The pricing benchmark of floating rate loans is converted into LPR. Except for commercial personal housing loans, the value-added amount shall be determined by both borrowers and borrowers through consultation. The value-added of commercial personal housing loans should be equal to the difference between the latest interest rate of the original contract and the corresponding term LPR issued in February 20 19. From the conversion point to the first re-pricing date after that point (excluding), the execution interest rate level shall be equal to the latest execution interest rate level of the original contract, that is, the sum of LPR and value-added during the corresponding period of 20 19. Thereafter, from the first repricing date, the interest rate level is recalculated on each interest rate repricing date, and is determined by the corresponding period LPR and added value of the latest month.
What do you mean? Let's sort it out:
1. The stock loan conversion period is from March 1 day, 2020 to August 3 1 day, 2020. In other words, during this period, the bank will discuss with you the change of the terms of the stock loan contract, and the new contract interest rate will be based on LPR. To put it bluntly, the key point of the contract is to determine a new interest rate pricing formula:
The old loan interest rate calculation formula is: benchmark loan interest rate ×( 1+ floating ratio).
What is new is: loan interest rate =LPR interest rate+bonus points.
2. Someone asked how to determine the interest rate before the new contract. If you and the bank agree to adopt a new pricing method on April 5, 2020, then the interest rate implemented before that is equal to the latest interest rate of the original contract. To put it bluntly, what is your current loan interest rate (including mortgage), then what is the interest rate before using the new formula (transition period)? Then use the new interest rate formula to calculate.
3. What is the formula for calculating the new interest rate of stock mortgage loan? There are two situations:
A. If it is a stock loan other than mortgage, such as personal consumption loan and enterprise loan, the loan interest rate =LPR interest rate+bonus points. As for the number of points to be added, it is decided by the bank and the lender through consultation, and the lender has certain initiative.
B, if it is a stock mortgage, the loan interest rate =LPR interest rate+plus point, but in order to regulate the property market, the plus point here is across the board, and the plus point is the difference between the latest execution interest rate level of the original contract and the corresponding term released by LPR in February 20 19, for example, the original contract interest rate is 5.3% and the LPR interest rate is 4.8%, so the plus point is 50 basis points (0.5).
This has two meanings. First, your real loan interest rate remains unchanged before and after the benchmark conversion of stock mortgage interest rate. Second, if the LPR interest rate is adjusted in the future, your loan interest rate will change accordingly, but the bonus of 50 basis points will remain unchanged.
Two, financial institutions and customers to negotiate the pricing benchmark conversion terms, you can re agree on the re-pricing period and re-pricing date, of which the minimum re-pricing period for commercial personal housing loans is one year.
The old loan interest rate calculation formula is: loan benchmark interest rate ×( 1+ floating ratio), but after the adjustment of the loan benchmark interest rate, your loan interest rate will be adjusted according to the new formula in June of the following year (this takes into account that in June of 2020, 65438+ 10) The calculation of new interest rate for the new scheme is June 65438+1 October1,and commercial banks and property buyers can discuss it.
In addition, the minimum repricing period of mortgage loans is one year. To put it bluntly, the mortgage interest rate should remain unchanged for a minimum of one year, which can be two years or three years. My personal suggestion is that it is best to choose one year, and I will explain the reasons below.
Three. If the existing floating interest rate loan is converted into a fixed interest rate, the converted interest rate level shall be determined by the borrower and the borrower through consultation, and the converted commercial personal housing loan interest rate level shall be equal to the latest interest rate level of the original contract.
Your loan interest rate can be converted into a fixed interest rate, but I don't recommend it, because I wrote in the book Housing Loan, Fixed Interest Rate or Floating Interest Rate on February 24th, 65438. The article explains: No matter which country or economy, the long-term interest rate is low.
Why do long-term interest rates fall?
1, because our money is paper money, or just a number in the bank, how much we want to print is entirely in the hands of the monetary authorities.
Every country wants proper inflation, not deflation. Inflation means making money cheaper, while deflation means making money more expensive. The advantage of inflation is to increase people's cost of holding money, let them take the initiative to consume, and at the same time reduce the difficulty for enterprises to obtain funds, let them dare to invest, and finally stimulate economic growth.
At present, the benchmark interest rate for one-year deposits in China is 1.5%, the market quoted interest rate (LPR) for 1 year loans is 4. 15%, and the five-year loans are 4.8%, which is still at a high level among major economies, and it is a high probability event to continue to decline in the future.
Second, the choice of repricing cycle is the same. If your tenure is too long, then your lock-in period is even longer. When the interest rate is lowered, your interest rate will remain at a high level and cannot be lowered.
Finally, let's look forward to it: in 2020, the central bank is likely to reduce RRR and cut interest rates. RRR cuts interest rates by investing funds to reduce the cost of bank funds, while reducing interest rates by MLF. Considering that the new LPR interest rate is:
New LPR=MLF interest rate+comprehensive bank cost (capital cost, operating cost)
The downward adjustment of LPR in the future is a high probability event, that is, your actual loan interest rate (including mortgage interest rate) will go down.
Source: Xiaobai reads finance and economics
What is the stock floating rate loan that has been done in the last repricing cycle? Why can't we exchange?
There are two places to understand this sentence:
One is the "repricing cycle". According to the regulations, the interest rate will fluctuate once a year according to the latest quotation of LPR, and the annual re-pricing date is 1+0. To put it bluntly, it is changed once a year and remains unchanged. Now the transition period is still the original interest rate.
The second is the floating interest rate loan on stock, which is an upfront loan before the implementation of the LPR document in June 20 19. Floating rate loans, you should know, are different from fixed provident fund loans. This part belongs to commercial loans, floating on the basis of the original benchmark interest rate. The long-term benchmark interest rate of mortgage is 4.9%, but in fact we are all around 5.88%, which is 20% higher. Of course, there are also some people who take care of poor households.
As an old resident, you are less than one year away from the end of the year. Anyway, the interest rate will remain unchanged for one year, so don't join in the fun.
What does it mean for ICBC to turn the benchmark of deposit and loan interest rates into a weight-price cycle?
If you refer to the repricing cycle of personal stock loan pricing benchmark conversion, the details are as follows: you can use mobile banking or smart cabinet to round up.
The repricing cycle agreed in the original contract (i.e. 1 year) will remain unchanged by default when the machine is converted to the pricing benchmark. ICBC will support other repricing cycles such as 2 years, 3 years, 4 years and 5 years in the future, but you can only select one repricing cycle when you are processing the pricing benchmark. If you want to change another re-pricing cycle, please make an appointment with the loan service bank to handle it offline. If the original contract repricing cycle of your personal consumption loan is quarterly, monthly or daily, you can change the repricing cycle to annual change or change it according to the original contract repricing cycle.
(Answer time: March 26th, 202 1. In case of business changes, please refer to the actual situation. )