The loan cycle is the time from the date of signing the loan contract to the full repayment of the loan principal and interest. The length of the loan cycle is determined by the type of loan. The loan period of capital construction investment loan includes two stages: construction period and repayment period. The construction period refers to the time from the start of construction to the completion and production of the loan project. It includes four stages: preparation before construction, building installation, debugging and trial production. The calculation of construction period shall be based on the time determined in the scheme and preliminary design. Repayment period refers to the time from production to full repayment of loan principal and interest. It is based on the comparison between the funds that can be used to repay the principal and interest and the loan amount that should be repaid every year after the loan project is completed and put into production.

loan

A loan contract is a contract in which the borrower borrows money from the lender, repays the loan at maturity and pays interest. Among them, the party that borrows money from the other party is called the borrower, and the party that borrows money is called the lender. According to different lenders, loan contracts can be divided into financial institution loan contracts and natural person loan contracts, both of which are typical property ownership transfer contracts.

It is forbidden to deduct interest first in a loan contract. The so-called withholding interest means that the lender deducts some interest from the principal in advance when issuing the loan. The problem of withholding interest first is to deduct some interest in advance when paying the principal, so that the borrower can't get the full loan amount from the beginning. For example, the loan is 6,543,800 yuan, and the agreed monthly interest rate is 20,000 yuan. When paying the principal, only 880,000 yuan was paid, and the remaining 6,543,800 yuan+0.2 million yuan was deducted in advance as interest for six months, so the actual loan amount used by the borrower was 880,000 yuan.

If the parties agree to deduct interest first, it is legally invalid. The method is to determine the loan principal and calculate the interest according to the actual loan amount. For example, the lender deducts the loan interest of 6,543,800 yuan and actually pays 880,000 yuan, then the principal is calculated according to 880,000 yuan, and the monthly interest is divided into two parts, which is 6,543,800 yuan+0.76 million yuan.