Is it appropriate to switch from bank loan to LPR model?

It is necessary for everyone to convert to LPR, because in the long run, the downward trend of interest rates is a trend.

At present, the newly issued loans have been priced with reference to LPR, but the existing floating rate loans are still priced based on the benchmark interest rate, which can not reflect the changes of market interest rate in time, which is not conducive to protecting the rights and interests of both borrowers and borrowers. Starting from March 3, 20201day, the pricing benchmark of existing floating interest rate loans will be converted into LPR, which will be completed in principle before August 3, 20201day.

3. What do you mean by fixed interest rate and floating interest rate?

Fixed and floating are two ways to determine the loan interest rate. When converting the loan pricing benchmark, choose a fixed interest rate, and the converted loan interest rate will be fixed during the remaining loan term. If you choose floating interest rate, the converted loan interest rate will be adjusted periodically with the change of LPR according to the repricing period and repricing date you choose.

4. What is the repricing cycle and repricing date?

The repricing period refers to the period during which the interest rate of floating rate loans is readjusted, and the repricing date refers to the date of repricing in each repricing period. For example, if the repricing period of my mortgage loan is 1 year and the repricing date is 65438+ 10/,the execution interest rate of my loan will be adjusted once a year at 65438+1 0/day.

5. What loans can be converted into LPR, and do they have to be converted?

Loans that meet the following conditions can be: loans have been issued, or contracts have been signed but loans have not been issued; Use the fixed interest rate issued by the central bank; Use floating interest rates; Not in the last pricing cycle; Do not belong to entrusted loans such as provident fund loans (for provident fund commercial portfolio loans, the part that meets the above conditions can be converted). Non-compulsory conversion, voluntary principle