The warning line of non-performing loan ratio of commercial banks is 2%, that is to say, it is equal to or greater than 2%, which touches the warning line.

According to the forecast, the average non-performing loan ratio of commercial banks in 20 19 years is within 1.9%, and there are still great risks in some areas. If the non-performing loan ratio can be stabilized or decreased, it will be of great help to the profitability of commercial banks.

Banks should reduce the non-performing loan ratio mainly by strengthening their own risk control ability and auditing.

definition

The non-performing loan ratio of financial institutions is one of the important indicators to evaluate the security of credit assets of financial institutions. The higher the non-performing loan ratio, the greater the proportion of loans that may not be recovered in the total loans; The low rate of non-performing loans means that the proportion of loans that financial institutions can't recover is smaller.

The calculation formula of NPL ratio is as follows: NPL ratio = (subprime loans, doubtful loans and loss loans)/various loans × 100%.

= loan provision ratio/provision coverage ratio × 100%.

Second, how to understand the loan risk mobility

Risk migration index is a dynamic index to measure the degree of credit risk change of commercial banks, which shows the ratio of asset quality change in the previous period to that in the current period. Risk migration indicators include normal loan mobility and non-performing loan mobility.

(1) Normal loan mobility

(2) Normal loan mobility

(3) the mobility of interest-related loans

(4) the mobility of subprime loans

(5) Suspicious loan mobility

Third, what is the mortgage rate?

mortgage rate

Mortgage rate, also known as "prepayment", is the ratio of the sum of mortgage principal and interest to the estimated value of collateral. Reasonable determination of mortgage interest rate is an important content of mortgage management. General banks should consider the following factors when determining the mortgage interest rate: (1) loan risk. Lenders' estimation of loan risk is inversely proportional to mortgage interest rate. The greater the risk, the lower the mortgage rate, the lower the risk and the higher the mortgage rate; (2) the borrower's reputation. Under normal circumstances, the mortgage interest rate should be lower for borrowers with poor asset strength, unreasonable structure and poor reputation. On the contrary, the mortgage interest rate can be higher; (3) Types of collateral. Because of the different types of collateral, the risks of possession and disposal are also different. According to the principle of risk compensation, the mortgage rate should be low for those collateral with high management risk and disposal risk, otherwise it can be set high; (4) loan term. The longer the loan term, the longer the mortgage term and the greater the risk during the mortgage period. So the mortgage interest rate is lower. The mortgage period is shorter, the risk is smaller and the mortgage rate can be higher.