IPR interest and the previous fixed monthly repayment, who is the best deal?

If you are talking about LPR (Loan Base Rate) generally refers to the interest rate of the loan market, the benchmark interest rate of the loan is adjusted and announced by the People's Bank of China from time to time, and the LPR is quoted by the Bank according to the loan interest rate executed by the Bank's best customers, and the interest rate calculated and published by the National Interbank Funding Center authorized by the People's Bank of China. Compared with the benchmark interest rate for loans, LPR is more market-oriented and can better reflect changes in market supply and demand.

If you choose to switch to LPR-based pricing, your strike rate will be calculated based on the latest LPR for the corresponding term on the next repricing date, and so on. If you choose a fixed interest rate, it will be based on the interest rate at the time of your conversion and will not change until your loan matures. If you think that there is a high probability that the future will enter a cycle of interest rate cuts and the LPR is generally declining, it is more advantageous to switch to the LPR as the pricing benchmark.

If you think that the LPR is likely to trend upwards in the future, it is more advantageous to switch to a fixed-rate loan.

If you have any financial needs, you can also handle it through the official channels of our bank. Ping An Bank has launched unsecured and unsecured credit loans, as well as mortgage loans and mortgage loans for houses and cars, different loan application conditions and requirements are different, whether the approval is successful is based on your comprehensive qualifications to evaluate, you can log in to Ping An Pocket Bank APP-Finance-Loans, learn more and try to apply.

As long as the economy continues to be sluggish and the country needs to revitalize the economy, it will be more cost-effective to choose LPR. Lending policies have been tightened and fixed interest rates are cost-effective.

Monthly repayment of loan principal, interest rate, monthly repayment of interest, monthly repayment of loan principal and interest total.

When the equal principal is repaid, the repayment amount is decreasing, and the equal principal and interest monthly repayment is fixed.

The vast majority of home buyers adopt the repayment method of equal principal and interest, and few people choose the repayment method of equal principal and interest. As everyone knows, under the conditions of the same loan amount, interest rate and loan term, the total interest of the "equal principal repayment method" is less than that of the "equal principal and interest repayment method". In particular, in the case of significant changes in the current interest rate, the total amount of interest paid by the equal principal repayment method should be significantly less than that of the equal principal and interest repayment method.

For example, Mr. Wang wants to buy a house of 700,000 yuan and take out a loan of 500,000 yuan. Under the same loan term, the increase in interest caused by the increase in interest rate for equal principal and interest repayment is significantly greater than the increase in interest caused by the increase in interest rate for equal principal repayment. For the same 10-year term, if the interest rate rises from to, the equal principal and interest repayment interest increases by 5,932 yuan, while the equal principal increase is 5,042 yuan, and the difference between the two reaches 890 yuan; The difference between the two for the 25-year period is 5,297 yuan.

Resources.

The difference between the so-called equal monthly payment and the decreasing monthly payment lies in the different ways in which interest is paid.

The premise of the equal monthly payment is that assuming that your loan is repaid according to the time signed with the bank, such as 20 years, the total interest amount for 20 years is divided by 240 months to get the interest to be repaid each month.

The decreasing monthly payment is the interest on the total loan you have to repay in the first month, and the interest on the remaining unpaid principal in the second month is the interest generated in 239 months by subtracting the principal repaid in the first month from the total number of loans. And so on later.

On the premise of paying off the loan in advance, the two ways are compared:

The total amount of interest generated by the first type is greater than that of the second type, however, the second type of repayment is much more stressful in the early stage, that is, in the previous years, and the monthly payment pressure is much greater.

If your current financial strength is not enough, I suggest you choose the first option, which can alleviate the short-term repayment pressure;

If you can afford to pay a huge amount of interest in the early stage of the regressive repayment, then the bank will take advantage of the regressive repayment method.

Loan of 1 million yuan, if it is a period of 30 years.

After three years of repayment, then 10% of the repayment is made, that is, about 100,000 yuan has been repaid, and there is a principal of 900,000 yuan.

1. Interest rate. The difference between monthly interest rate and annual interest rate is that it takes time. The conversion formula is also very simple, because they are not calculated with compound interest, therefore: monthly interest rate = annual interest rate 12

2. Repayment method: The difference between the so-called fixed principal and interest and the fixed principal lies in the different ways of paying interest.

The fixed principal and interest is calculated based on your full principal to calculate the average interest paid for the entire loan cycle to the month plus the monthly principal as the repayment amount, so the monthly repayment amount is the same, assuming that the 100,000 yuan loan for 10 years, the total interest in 10 years is 120,000 yuan, then the monthly interest is 1,000 yuan, plus the principal of 1,666 yuan, and the monthly payment is 2,666 yuan.

A fixed principal amount is a type of decreasing repayment. The principal amount is the same every month, but the interest is calculated based on the remaining principal amount each month. As a result, the monthly repayment amount will be smaller and smaller.

3. There are many ways to get out of the provident fund, because you have a house, so the most practical way is to withdraw from the decoration and apply directly to the provident fund administration for decoration withdrawal.

If you take out a loan of $10,000, you need to repay $11,000 with interest at the end of the year. Thank you for adopting.

The general interest rate is the interest rate that does not enjoy any preferential conditions. Preferential interest rates refer to preferential interest rate policies formulated for certain departments, industries and individuals.

According to the different requirements of the banking business, it is divided into deposit interest rate and loan interest rate.

The deposit interest rate is the ratio of the interest earned on deposits with financial institutions to the principal. The loan interest rate is the ratio of the interest paid on a loan from a financial institution to the principal.

According to the supply and demand relationship with the market interest rate, it is divided into fixed interest rate and floating interest rate.

According to the change relationship between interest rates, it is divided into benchmark interest rate and arbitrage interest rate.

The benchmark interest rate is the interest rate that plays a decisive role under the condition of the coexistence of multiple interest rates, and China is the interest rate of the People's Bank of China on commercial bank loans.

Lump sum deposit is a common method adopted by ordinary residents, taking the calculation of the interest rate of lump sum deposit as an example.

The balance of the lump sum deposit is increasing day by day, so we cannot simply use the method of calculating the interest of the lump sum deposit, but can only use the simple interest annuity method to calculate, the formula is as follows:

sn =a(1+r)+a(1+2r)+…a(1+nr)

na+1/2 n(n+1)ar

Among them, A represents the principal deposited in each period, and Sn is the sum of principal and interest after N periods, and Sn can also be called the final value of simple interest annuity. In the above equation, na is the total amount of principal saved, and 1 2 n(n ten1)ar is the total amount of interest earned.

Usually, the lump sum deposit is made once a month, and the deposit amount is the same each time, so for the sake of convenience, we can make the deposit period constant as follows:

If the shelf life is 1 year, then d = 1 2 n (n ten 1) = 1 2 12 (12 + 1) = 78

Similarly, if the deposit period is 2 years, then the constant can be calculated from the above equation d=300, and if the deposit period is 3 years, the constant is d=666.

In this way, we have: 1 2 n(n ten 1) ar=dar, that is, the interest on the fractional deposit.

For example, you deposit $1,000 per month. The deposit period is 1 year, and the monthly interest rate of the deposit is the current one-year one-year zero deposit and withdrawal monthly interest rate implemented from October 29 of the year), then the annual interest at maturity is: 1000 78 yuan).

If the depositor withdraws overdue, then the interest on the balance at maturity on the number of days of expiration will be calculated according to the interest rate of the current account.

There is another way to calculate the interest on the lump sum deposit, which is the fixed interest calculation method.

The so-called fixed interest calculation method is to use the accumulation method to calculate the interest of each yuan into a fixed interest, and then multiply the fixed interest per yuan by the balance at maturity to obtain the interest amount.

Fixed interest per dollar =1 2 n(n+1)nar na=1 2(n ten1)r

If so, the monthly interest rate of the current one-year lump sum deposit is. Then, we can calculate the fixed interest per dollar as: 1 2 (12+1).

You deposit 1000 yuan per month, and this maturity balance is: 1000 12 = 12000 (yuan).

The interest is: 12,000 yuan).

After deducting the 20% interest tax, you will actually get interest dollars. (Note: Interest accrued after October 9, 2008 is no longer subject to interest tax).

According to your description, you should choose to repay the loan in equal amounts, with a 7% discount interest rate.

1. Your 100,000 yuan, depending on the purpose, if it is spare money, there is no investment channel, and it is useless, then take it to repay the loan in advance, you can save some interest.

2. If you don't want to pay it back to the bank immediately, and want to save some interest, you can choose to wait for the principal repayment method, so that the monthly repayment will increase compared to your current repayment amount, but the principal will be more every month, and the future interest will be less and less with the decrease of the principal. You can go to the bank to print the repayment statement and see how much of the monthly repayment amount you are waiting for the principal to be repaid, how much is the principal and how much is the interest (the former is very small, and the latter is huge).

It's better to pay it back in advance, and calculate less interest, although only a little, because the 10w you repay in advance will not be calculated according to the principal.

The longer you put off the repayment date, the more cost-effective it is.

Really want a house. Just go and pay it back! It really is.

In general, it is not recommended to repay the loan early, if you have to repay it, then choose the same amount of principal.

Early repayment is recommended to choose the same amount of principal.

There are two types of repayment under the current bank policy: equal principal and interest and equal principal.

1.Equal principal and interest means that the sum of principal and interest repaid each month remains unchanged.

2.The equal principal amount means that the principal is repaid every month and the interest will gradually decrease, because the total amount owed is decreasing every month, so the interest decreases every month.

If the early repayment is recommended, the equal principal repayment method will have the same principal in each repayment amount throughout the repayment period, and the interest repaid will decrease month by month; The total principal and interest decreases month by month. This repayment method has a high pressure of early repayment and is suitable for people with higher income or want to repay in advance.

The principal amount in each repayment amount is different in each installment of the equal principal and interest repayment method, and the amount of repayment in the previous period is smaller, and the total principal and interest are equal every month. Due to the relatively slow repayment of the principal and the longer time it takes to occupy funds, the total interest of the repayment method is higher than that of the equal principal repayment method of the same period.

Therefore, if the financial ability allows, it is recommended to choose the same amount of principal for early repayment.

Prepayment depends on the situation, but in fact, not everyone is suitable for prepayment, and sometimes it is only a loss to pay early.

1. The return on investment is higher than the loan interest rate

For example, Ms. Liu bought a property and applied for a commercial loan of 600,000 yuan with a loan term of 20 years. When signing the loan contract, I specially consulted the bank to enjoy a preferential interest rate of 20%. In order to buy a house, he took out most of the family's savings, and had to repay the mortgage of more than 3,600 yuan every month, and the interest was nearly 270,000 yuan.

Therefore, when signing the loan contract, if the customer enjoys a discount interest rate of 7% (that is, the loan interest rate is the same, the required repayment interest is relatively low, and the loan can not be repaid in advance.) The average yield of the bank's wealth management products is the first trend, if the loan enjoys a 7% discount interest rate or a provident fund loan, it is lower than the interest rate of most bank wealth management products.

This means that if you have money, you will not repay the loan first, but use it to do a simple bank management, and the interest you get will not only pay off the monthly loan, but also make money.

2. The repayment period of equal principal has not expired 1 3

The equal principal amount is the repayment interest calculated based on the remaining principal by dividing the total loan amount into equal cost. In other words, the later this repayment method, the less principal is left, and therefore the less interest is generated. The equal principal repayment period has not been exceeded.

1 3, the main repayment is interest, you can consider early repayment less interest.

3. Equal principal and interest repayment of more than half

Equal principal and interest repayment adds up the total principal amount of the mortgage loan and spreads it evenly over the middle of each month. Although the sum of the monthly principal and interest is constant, the ratio of principal and interest is variable. In other words, the proportion of principal in the monthly repayment amount of equal principal and interest increases month by month, and the interest decreases month by month.

By the middle of the repayment, most of the interest has already been repaid, so there is little point in prepaying the loan.

Notes:

1. Most banks require repayment for at least one year before applying for early repayment, but some banks say that they can apply for early repayment at any time. In state-owned banks, Bank of China and CCB need to repay the loan for one year before they can apply for early repayment, and ICBC needs half a year to repay the loan in advance.

2. The term of the mortgage is more than 10 years, and in this cycle, it is inevitable that the central bank will adjust the interest, and the time for each bank to adjust the interest rate is also inconsistent. For mortgage lenders, if they are in the interest rate cut channel, it is obvious that the sooner the adjustment is more cost-effective, and if it is in the week of the interest rate hike cycle, the later the adjustment is more cost-effective.

People's Daily Online - Is it cost-effective to repay the mortgage early? There is a knack for mortgage repayments.