1. What is the concept of basis point in interest rate cut? Deposit benchmark interest rate and deposit reserve...

1 basis point = one hundredth of 1%. For example, an interest rate cut of 50 One basis point means an interest rate cut of 0.5%. The benchmark interest rate for deposits and loans: The People's Bank of China refers to commercial banks and other financial institutions as the ratio of the amount of interest to the amount deposited or loaned within a certain period, that is, the benchmark interest rate, also known as the legal interest rate deposit reserve. It refers to the funds that financial institutions prepare with the central bank to ensure the needs of customers to withdraw deposits and liquidate funds. The ratio of deposit reserves required by the central bank to its total deposits is the deposit reserve ratio. By adjusting the deposit reserve ratio, the central bank can affect the credit expansion capabilities of financial institutions, thereby indirectly regulating the money supply. For example, if the deposit reserve ratio is 7%, it means that for every 1 million yuan in deposits that a financial institution absorbs, it must deposit 70,000 yuan in deposit reserves to the central bank, and the funds used to issue loans will be 930,000 yuan. If the deposit reserve ratio is raised to 7.5%, the loanable funds of financial institutions will be reduced to 925,000 yuan.

2. What does commercial loan base point mean?

The mortgage base point is an indispensable factor in calculating mortgage interest after the country adjusts the mortgage interest rate. The current mortgage interest rate is calculated using the LPR interest rate mortgage base point model. The mortgage base point remains unchanged after the mortgage user and the bank determine it. After that, the mortgage interest rate will change with the change of the LPR interest rate. 100 basis points is 1%. . : 1. What factors does the bank mortgage loan limit depend on: (1) The borrower's repayment ability: mainly refers to the borrower's monthly income, because the monthly income most intuitively reflects the borrower's loan repayment ability. The ratio between the loan limit and monthly income The relationship between can be referred to the following formula: monthly income ≥ monthly mortgage payment X2. (2) House age: When a bank issues a loan, it will check the age of the loaned house. The usual requirement is 20-25 years. Some are more relaxed and require 30 years. The more stringent ones are only 15 or 10 years. If the house is older, The loan limit for second-hand houses may be reduced, or the loan may be rejected altogether when faced with strict banks. It can be said that the younger the house is, the easier it is to obtain a loan, and the limit is higher than that of older houses. (3) Personal credit report: Personal credit report can be said to be one of the important criteria for banks to consider borrowers. Good credit report is a prerequisite for obtaining preferential interest rates and loans. Some banks will examine the borrower’s credit card credit record within 2 years. And loan credit records within 5 years, some banks will look at credit records over a longer period, and the requirements will be different. Serious bad credit records that are overdue three times in a row and six times in total may cause the loan to be rejected. (4) Support ability: Some banks will also examine the borrower's medical insurance, pension insurance, accident insurance, housing provident fund, etc. payment status, because these can reflect the borrower's repayment ability from the side, among which the most important ones are It's medical insurance and pension insurance. 2. How to calculate the loan basis point? The basis point is 0.01%, which is one hundredth of one percentage point. Nowadays, newly issued commercial personal housing loans are formed based on the LPR of the corresponding period in the last month as the pricing basis and plus points (the plus points can be negative values ??and are fixed during the contract period). The central bank announcement mentioned that the interest rate for the first set of commercial personal housing loans should not be lower than the LPR of the corresponding period, and the interest rate of the second set of commercial personal housing loans should not be lower than the LPR of the corresponding period plus 60 basis points.

4. What does the commercial loan interest rate plus basis points mean?

The interest rate plus base points for commercial loans for home purchases is because the interest rate pricing method for commercial personal housing loans stipulated in the central bank's announcement itself is based on the LPR of the corresponding period as the pricing base plus points.