The loan interest rate is relatively low. Under normal circumstances, the interest rate of policy loans will rise slightly on the basis of the bank's six-month loan interest rate, about 5%-6%, and the interest rate is relatively low. Wechat micro-loans that can borrow money quickly and simply, according to differentiated pricing, have a daily interest rate of 0.02%-0.05% and an annualized interest rate of 7.2%- 18.25%.

1. Policy loan refers to a loan method in which the insured mortgages the policy he holds to the insurance company and obtains funds according to a certain proportion of the cash value of the policy. The guarantee of the insurance agreement is not affected during the policy loan process, and the policy is still valid. Simply put, it is similar to mortgage and car loan, but the collateral has become an insurance policy. Not all insurance policies can be used for loans, but they can be used for mortgages. They must be valuable policies. How do I know the value of the insurance policy? It depends on the "cash value" in the insurance contract

Generally speaking, only life insurance, annuity insurance, endowment insurance and critical illness insurance with savings nature can apply for policy loans. Some consumer term life insurance can also apply for policy loans, but the cash value is generally not high. Other insurance policies, such as short-term insurance, premium exemption, investment-linked insurance, automatic prepayment or claim settlement, are not allowed to apply for policy loans. The biggest advantage of policy loan is that it does not affect our protection while borrowing money.

In addition, policy loans also have some characteristics:

(1) The lending speed is fast. The speed of applying for policy loans is relatively fast, from a few hours to a few days.

(2) The procedures are relatively simple and the required materials are relatively few. Under normal circumstances, the insured only needs to bring the insurance policy, valid identity certificate and written application statement of the insured, and agree to the loan in person. Some can even operate by themselves, for example, the co-branded cards of insurance companies and banks are handled on self-service machines, or on the insurance company's APP.

(3) The repayment method is relatively loose. The repayment method of the insured is very loose. You can repay the interest first and then the principal, or you can repay the principal and interest in one lump sum at maturity.

(4) The loan amount depends on the cash value. Document No.2065438+2006 No.76 of the China Insurance Regulatory Commission clearly stipulates that the loan ratio of a policy shall not be higher than 80% of the cash value or account value of the policy.