Does the reduction of lpr interest rate have an impact on people who have borrowed money?
This should be ruled out by exclusion, first judging from the loan type. If the loan type is mortgage and the house is bought by provident fund loan, since LPR is not the benchmark of loan interest rate pricing, the reduction of LPR has no effect. If it is a commercial loan, but the fixed interest rate is chosen, it will not be affected by the reduction of LPR interest rate.
Only pure commercial loans for buying houses and pure commercial loans in portfolio loans are based on LPR interest rate, which will be affected by the reduction of LPR interest rate, but further analysis should be made in combination with the time of LPR interest rate reduction. In other words, look at the time when the LPR interest rate will be lowered and how long it will be before the mortgage repricing date.
1. If next month is the repricing date of the mortgage interest rate after the LPR interest rate is lowered, the mortgage interest rate that has already been handled will refer to the lowered LPR interest rate to set the new mortgage interest rate for the past year, because the mortgage interest rate is based on the latest LPR interest rate in the same period.
2. If the LPR interest rate is lowered, there is still a long time before the mortgage repricing date, and the mortgage interest rate already issued will not be affected. After all, even if the new mortgage interest rate is to be implemented, it is necessary to evaluate the LPR interest rate for the same period one month before the pricing date.
The above is "Does the reduction of lpr interest rate have an impact on those who have borrowed?" I hope it will help everyone.