Loan is a word that everyone will come into contact with as an adult. Everyone will have some troubles in life or work. We may need to make loans to some relevant departments. In order to deal with the current trouble. Today, I will take you to know about the loan interest rate.

When it comes to loans, there must be interest rates. Some people work at an intermediate interest rate. Therefore, it is very helpful to understand its knowledge for our future loans.

The loan interest rate is the interest charged by banks and other financial institutions to borrowers. It was born for the benefit of institutions when loans were issued. Loan interest rates can be divided into three categories. One is the loan interest rate of the central bank to commercial banks. Another is the loan interest rate of commercial banks to lenders. The last is the lending rate for people in the same industry. There is a hierarchical relationship among the three.

We already know the classification of loans. We should also understand the factors that affect bank loan interest rates. (1) Cost factors of banks. All economic activities must be compared with costs and benefits. There are two types of bank costs. One is the borrowing cost minus the prepayment of interest on borrowed funds. The other is the additional cost minus the normal business expenses. (2) Average profit rate. Interest is the bank's re-division of profits. Interest must be less than profit margin. The average profit margin is the highest point of interest. The average profit margin cannot exceed the interest rate. (3) Supply and demand of borrowing money. If the supply exceeds the demand, the interest rate on the loan will drop. If the supply is less than the demand, the interest rate on the loan will rise. In addition, other factors should be considered in judging the loan interest rate. Such as price changes, returns on securities and political factors.

For everyone, personal loan interest rates include three categories. The first is short-term loans. When the loan is less than six months old, the personal loan interest rate is 5.85%. If it is more than six months but less than one year, the personal loan interest rate is 6.31%. The second is medium and long-term loans. The personal loan interest rate for more than one year and less than three years is 6.4%. The interest rate for less than five years and more than three years is 6.65%. The third is long-term loans. It refers to personal loans for more than five years. This personal interest rate is 6.8%.

Finally, I would like to explain the conditions of personal loans. The first is personal credit investigation. On the credit reporting platform, there will be relevant credit reporting records for everyone. If you have bad conditions, your loan may be rejected. The second is personal work certificate. You need to show the bank that you have the ability to repay the loan. If you don't have a job, you can mortgage your house and some of your own shops. The third is that you must not have bad behavior. Banks generally shut out people who have committed bad behavior.

Therefore, everyone should pay attention to their own behavior in life. As well as learning relevant knowledge. Be a person with knowledge and morality.