What are interest-free loans and types of interest-free loans

According to relevant policies and regulations, some bank loans do not charge interest or have very low interest rates, which are so-called "interest-free loans" . There are three types of interest-free loans: personal credit loans, real estate mortgage loans and college student entrepreneurial loans.

_What is an interest-free loan?

"Attracting deposits and loans" is the bank's profit model, and the interest collected from issuing loans is one of the bank's profit income. Therefore, generally speaking, bank loans charge a certain amount of interest. However, according to relevant policies and regulations, some bank loans do not charge interest or have very low interest rates, which are so-called "interest-free loans."

_Types of interest-free loans

There are three types of interest-free loans: personal credit loans, real estate mortgage loans and college student entrepreneurship loans.

1. Personal credit loan

Personal credit loan is a form of loan that is only based on the credit qualification of the lender and does not require collateral or guarantor. To apply for a personal credit loan, banks generally require the borrower to have a stable job and a fixed residence; there are no bad records in the personal credit report; and the borrower's average monthly income is generally not less than 3,000 yuan.

With these qualifications, you can apply for a personal credit loan from the bank where you started the credit loan. After being approved by the bank, you can usually apply for a credit loan of 5-15 times your monthly income.

2. Real estate mortgage loan

Real estate mortgage loan is also a mainstream personal loan method. The expected annualized interest rate of real estate mortgage loan is generally the benchmark expected annualized interest rate. For borrowers, The resulting loan repayment pressure is less. To apply for a real estate mortgage loan, it is generally required that the age of the house is within 20 years, the house has strong liquidity, and the amount of the real estate mortgage loan does not exceed 70% of the appraised value of the property. In this way, after submitting relevant information and passing the bank review, you can apply for a real estate mortgage loan with a lower expected annual interest rate.

3. Entrepreneurship loans for college students

Although the groups targeted at personal loans have certain requirements, many regions have supportive policies for entrepreneurship loans for college students, which are common. There are loan subsidies or interest-free loans. Under normal circumstances, applying for a college student entrepreneurship loan requires that you be a college student or a college student who has graduated within two years; have a college degree or above; and be over 18 years old.

Relatively speaking, the application conditions for college student loans among personal loans are relatively loose. When submitting materials, you must submit your student ID, transcripts, statements and other information to the bank. After approval, you can obtain the loan. .

In fact, bank interest-free loans are not truly interest-free but have very low interest rates. This is mainly in response to national policies, especially for college students' entrepreneurial loans. Other companies that use the name of interest-free loans generally use interest-free loans as a cover, so don’t trust them gullibly.

What are the interest-free loans?

Types of interest-free loans

1. Policy type. For example, loans from places of origin or loans from companies that qualify for government support.

2. Interest-free car loan. This is relatively common. Many car loans are provided when a vehicle is purchased, usually with an interest-free period of one or two years.

3. Credit card loan. According to relevant regulations, credit card loans have a maximum interest-free period of 58 days. If you use a credit card loan to purchase a car or home decoration in installments, you can enjoy interest-free discounts

What are the requirements for an interest-free loan

1. Chinese nationals aged 18-45 who have full capacity for civil conduct.

2. The address is stable and it is best to have a household registration in this city.

3. Have a good credit record, have a stable job income, and be able to repay on time.

These are the three most basic conditions for interest-free loans. The conditions will vary depending on the type of interest-free loan and will change with local policy changes.

Interest-free loans are a form of credit activity in which banks or other financial institutions lend monetary funds at a certain interest rate and must be returned. The interest rate is free of charge under agreed conditions or by the bank, or by the government or related parties. The corresponding institution pays the bill.

One of the tricks of interest-free loans is that they are claimed to be interest-free, but they actually collect interest in the name of charging service fees, handling fees, and benefit fees. In the end, the annualized interest rate is likely to be higher than the loan. Several times! If you trust a loan from an unknown source, you are likely to pay a greater price.

Furthermore, interest-free loans claim to be easy to process and fast to disburse, but it is very likely that your personal information will be sold later. Just imagine the ID number, address, and family income information you submitted when filling in the information. It is very likely to be exposed to others, and what is even more frightening is that you may need to take a photo of your ID card or record a video. Once this personal information is betrayed by an unscrupulous organization, you will face terrible unknown dangers.

Is there really no interest-free loan? In fact, there are still some. Government-subsidized student loans, business loans, agricultural loans, etc. are all interest-free loans. They do not require interest because they are supported by policies. However, these loans are targeted at specific groups of people, such as student loans. The application targets are only limited to college students with difficult family conditions, and the lender also needs to meet the requirements stipulated by the state.

Does the bank offer interest-free loans?

Yes.

Basic conditions for applying for an interest-free loan:

Proof of identity and business location: Loan applicants must have legal and valid proof of identity and proof of legal residence in the location of the lending bank, as well as a permanent residence or place of business. The proof of fixed residence can be a real estate certificate (the real estate certificate in the name of the parents is also acceptable), and the proof of business place should hold a business license issued by the industrial and commercial administration authority and a business license for related industries, indicating that it is engaged in normal production and business activities.

Proof of funds: The loan applicant’s investment project requires that he or she already has a certain amount of own funds. This is an important condition for banks to consider whether to lend money, because the amount of a business loan generally does not exceed 70% of the total working capital required by the lender for normal production and operation activities, as well as the purchase (installation or repair) of small equipment and franchise chain operations. .

Settlement account: Loan applicants must open a settlement account at the bank where the loan is taken, and business income must be settled through the bank. Moreover, the purpose of the loan complies with relevant national laws and the Bank's credit policy regulations, and is not allowed to be used for other speculative investment projects such as equity interests.

Loan guarantee: Loan applicants need to provide certain guarantees, including real estate mortgage, deposit certificate pledge and third-party guarantee. In addition, they should provide some of their own credit status, repayment ability and loan investment aspects as much as possible. Provide the information to the bank, which will increase the credibility of the loan and facilitate the smooth obtaining of the loan.

Interest-free loan "zero interest rate" is a loan contract reached between a bank and an individual or organization through mutual trust.

Loan target:

General international Private commercial banks grant interest-free loans.

Including bank loans for consumer weddings, shopping or further education.

They all charge about 1 handling fee, which is an income of the bank

At least Offset the administrative fees, and then the bank will add a credit card or wedding photography or various memberships or open a transaction account according to the requirements when it comes to interest-free loans. This is a great way to expand your customer base. There may be some or many future business opportunities, and they may even be rewarded for their performance in the competition.

There is a clear division of labor between various departments for small guaranteed loans. Applications are accepted by the labor department, then go to the guarantee agency for guarantee confirmation, and finally go to the bank to apply for a loan. "If entrepreneurs want to apply, they can go to the local labor department for consultation. At present, whether the individual will pay the interest first and then receive financial subsidies, or the government will prepay the interest, the relevant plan has not yet been determined, but the financial interest subsidy is certain.

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Is it true that bank interest-free loans are true? How to apply for interest-free loans?

Is bank interest-free loans true? How to apply for interest-free loans?

Are bank interest-free loans true?

There are many types of bank loans. You can choose housing loans to buy a house, car loans to buy a car, and repair belts for decoration. All bank loans will be charged. The interest rate is higher than the central bank’s benchmark interest rate. The current benchmark interest rate is 4.35 for one year.

Are there any bank loans that do not charge interest? Are interest-free loans true?

There are indeed interest-free loans, but they are for farmers and need to meet the following conditions:

1. The loan project is a national support project. Farmers must start a business, carry out planting, breeding, infrastructure construction, etc. In line with national support projects, you can apply for interest-free loans from banks to develop these projects. Generally, the interest will be subsidized by the state.

2. The lender is for starting a business, but the economic conditions are insufficient and there is not enough money to guarantee the project. For the development of the loan project, the loan must be used in the related industry after being disbursed.

3. The lender has the ability to repay the loan. When applying for a loan, the bank will assess whether the loan project is feasible. Whether the loan will be repaid within the agreed time.

4. The lender has good credit. Even if it is a loan to a farmer, the lender's credit report will be checked. If there is a record of overdue loan repayment on the credit report, the loan will not be repaid. The success rate is also very low.

How to apply for an interest-free loan?

Interest-free loans are generally processed at local rural commercial banks. You can go to the bank counter directly for consultation before borrowing. Nowadays, the services of rural commercial banks are relatively good. If you meet the loan conditions, the staff will directly help you complete the loan.

1. First, go to the bank to find the staff and fill out the interest-free loan application form;

2. Submit the documents required for the loan, project certificates, personal documents and other information;

3. After receiving the information, the bank will verify the authenticity of the information, and the interest-free loan will conduct an on-site inspection of the feasibility of the project;

4. After the bank approves the application, it will contact the lender to sign a loan contract;

5. Finally, the bank will grant the loan.

The bank’s interest-free loan period is generally One year, the loan will be paid off in one lump sum after one year of use, and will not be repaid in monthly installments. If the harvest is received in advance, early repayment is supported and no other bank charges will be charged. Is the loan real? What are the application conditions?

Is the bank interest-free loan real? What are the application conditions?

As we all know, loan interest needs to be paid. But in life, we often see advertisements for interest-free loans, which are very attractive to users who need loans.

But when people face this type of loan. They may also have doubts. After all, there is no such thing as pie in the sky, so are bank interest-free loans true?

Banks have interest-free loan products. For example, Postal Bank has launched interest-free loans. product.

However, everyone needs to note that the so-called "interest-free" loan does not really have no loan interest, but this part of the interest is subsidized by the local government or the state. For the borrower himself, this amount There is no need to pay interest on the loan.

In other words, interest-free loans are a policy welfare loan project. Not all banks have interest-free loan products. Although Postal Bank has launched interest-free loan products, it is not Interest-free loans are available at postal banks in all regions.

This interest-free loan project is determined by local government policies. If you want to apply for an interest-free loan, you can go to the local postal bank and labor bureau to inquire whether there is an interest-free loan policy.

Usually, interest-free loans are welfare loans established by the state to encourage college students, veterans, farmers or laid-off workers to start their own businesses, so not everyone can apply for interest-free loans. Usually The following conditions need to be met to apply for an interest-free loan:

1. The borrower must be between 18 and 60 years old and have full civil capacity;

2. The borrower must be in The borrower has a permanent residence address or a fixed business location in the place where the loan is borrowed;

3. The borrower has a stable source of income and has the ability to repay the principal and interest of the loan;

4. The borrower’s personal credit status Good, interest-free loans usually require a guarantor, and the guarantor also needs to have a good credit record;

5. Interest-free loans have restrictions on the use of the loan, and must be used for planting, breeding, and self-help Entrepreneurship and other projects that are conducive to social and economic development;

6. In addition, the bank may have other loan requirements, and the borrower must also meet them.

Are there any bank loans that do not require interest?

Yes.

An interest-free loan is a form of credit activity in which banks or other financial institutions issue monetary funds at a certain interest rate and must be repaid. The interest rate is charged free of charge by the bank according to agreed conditions, or paid by the government or corresponding institutions. We all know that an interest-free loan is a loan given to you by the bank. You do not need to pay any interest, you only need to repay the principal. So, how can you get a loan without paying a penny in interest? What are the common interest-free loans provided by banks?

1. Student loans

Students from the place of origin The loans are targeted at children from poor families who are eager to study. While the students are in college, interest is not paid on student loans (except for commercial student loans). After graduation, the borrower will pay loan interest at the basic interest rate in September of the year of graduation.

2. Policy loan, a solution to the curve

Anyone who buys insurance can apply for a loan through the policy, and then pay the transfer from the insurance company through a credit card. You can obtain funds from the insurance company. You can also use the interest-free period of your credit card to make interest-free purchases. This is the safest way and pays almost no interest.

3. Entrepreneurship Loans

Entrepreneurship loans refer to individuals who have certain production and operation capabilities or are engaged in production and operation, and are issued after the bank approves and effectively guarantees their application for entrepreneurship or the funds needed to start a business. special loan.

For Huabai, JD.com IOU, Meituan monthly payment and other products, if you choose to return the consumption amount in full when repaying, you can enjoy interest-free discounts. For users who apply for a cash loan, the loan funds can be withdrawn to a bank card. At this time, the loan is not interest-free, and the user must repay the interest according to the page display. If users want to apply for interest-free loans, they can try to open products such as Huabei, IOU, and Meituan Monthly Payment. However, if they need a cash loan, there is no interest-free cash loan.

Information expansion

Interest-free loans, that is, government fiscal discount loans, refer to qualified borrowers who go to designated banks to apply for loans without paying interest and only need to repay the principal of the loan. The interest on these loans is paid by local government finance.

This is the end of the introduction about whether there is an interest-free loan and what conditions are required for an interest-free loan. Have you found the information you need?