LPR refers to the average price excluding the highest and lowest prices before 9: 00 a.m. on the 20th of each month (every holiday), and the central interbank lending center is responsible for statistics and release.

The deadline for quotation is 9:30 am on the 20th of each month. Before the announcement of the new LPR interest rate, the bank's loan interest rate will fluctuate according to the latest LPR quotation.

The interest rate of mortgage loan LPR will be adjusted once a year, depending on the pricing date, so the adjustment of LPR interest rate will not change immediately. In general, banks will provide two options for repricing dates, one is 1 month 1 day every year, and the other is once a month to every day.

However, if the homeowner chooses a fixed interest rate, no matter how the LPR interest rate changes, it will be calculated according to the bank's standards. The bank's provident fund loan interest rate is 3.25%, and the annual interest rate of provident fund loans within five years is 2.75%, which has nothing to do with LPR, so no matter how the LPR interest rate is adjusted, it will not affect the mortgage interest rate.

Of course, it should also be noted that if the bank does not adjust the loan interest rate, then the bank will not change the interest rate. If the central bank makes corresponding adjustments, the new interest rate will be implemented next year.

LPR interest rate, also known as the benchmark interest rate of the central bank, is the benchmark interest rate for loans implemented by the central bank. Banks can only raise interest rates, not cut interest rates. The LPR interest rate is calculated by the joint quotation of 18 banks, excluding a highest point and a lowest point, and then using the average price.

LPR interest rate is determined by the process of market supply and demand equilibrium, which does not mean that interest rate will fall, but through marketization, interest rate can fall or rise.

LPR quotation banks must meet the requirements of macro-prudential policies, have established internal rate of return curve and internal transfer price system, and have strong independent pricing ability; Through the self-adjustment mechanism of market interest rate, we can evaluate the quotation quality of quotation banks, adjust the members of quotation banks regularly, monitor and manage the loan market interest rate and standardize it.