The original mortgage interest rate, the standard that banks implement (PBOC benchmark interest rate) floating or falling, is called fixed interest rate (also floating according to the change of PBOC benchmark interest rate). At the end of 20 19, the mortgage also began to implement the LPR interest rate.
(Bank market interest rate) Strengthen the fixed-point interest-bearing method. The calculation method of converting existing loans into LpR interest rate is as follows (if the original existing loans are fixed at the interest rate of 4.9%, it will be calculated on average in the current year):
Examples; The LpR interest rate (20 19 1220) is 4.8+0. 1 = 4.9%. The conversion shall take effect on the following year 1 month 1 day, or the corresponding loan issuance date. According to the latest LpR interest rate (updated on 20th of each month), the current LpR is 4.65 plus 0. 1 = 4.75%.
Pay attention to LPR interest rate conversion
It is very cost-effective to change the interest rate to LPR, and the LPR for five years or more released in June 2065438+09 is 4.8%. If the LPR is higher than 4.8% in the next five years, you can choose a fixed interest rate. Conversely, if it is judged that the future LPR is lower than 4.8%, you can choose LPR.
How to choose the interest rate depends on the borrower's own judgment, especially on the future interest rate trend. If the borrower thinks that LPR will decline in the future, it will be better to refer to LPR pricing instead; If you think LPR may rise in the future, it will be beneficial to switch to a fixed interest rate.