Chinanews client, Beijing, June 21 (Reporter Li Jinlei) The deposit interest rate ushered in an important adjustment.
There is a new way to determine the deposit interest rate ceiling
On June 21, the market interest rate pricing self-regulatory mechanism optimized the method of determining the self-regulatory upper limit of deposit interest rates. The self-regulatory upper limit of deposit interest rates, which was originally formed by a certain multiple of the deposit benchmark interest rate, was changed to be determined by adding a certain basis point to the deposit benchmark interest rate.
In other words, "base interest rate × multiple" has been changed to "base interest rate + base point".
It used to be multiplication, but now it is addition.
Data map of the People's Bank of China.
Photo by Li Huisi issued by China News Agency
In October 2015, the People's Bank of China released administrative controls on deposit interest rates, and financial institutions can independently determine the actual deposit interest rate based on the benchmark deposit interest rate.
The benchmark deposit interest rate has not been adjusted since October 2015. For example, the benchmark interest rate for one-year time deposits is 1.75% and the benchmark interest rate for 3-year time deposits is 2.75%.
Judging from the actual listed interest rates of banks, the time deposit interest rates of large state-owned commercial banks are mostly around 1.3 times the benchmark deposit interest rate.
Data map: Bank cash counter at work.
Photo by Ai Qinglong
Why should it be changed?
This is because the
upper limit of the interest rate determined by the multiples of the benchmark deposit interest rate has a significant leverage effect.
The market interest rate pricing self-discipline mechanism pointed out that due to the high benchmark interest rate for long-term deposits, the execution interest rate is also significantly higher, which distorts the term structure of deposits.
In particular, individual financial institutions take advantage of the problem of high long-term deposit interest rates to absorb long-term deposits through a variety of non-standard so-called "innovative" products.
In order to stabilize deposit sources, other banks passively raise deposit interest rates to attract deposits, pushing up the overall cost of liabilities, and the problem of bad banks pricing in the deposit market is not conducive to orderly competition in the deposit market.
Therefore, the reason for this change is to maintain the order of competition in the deposit market and avoid problems such as disorderly competition.
Data map.
Zhang Yunshe
What has changed in interest rates?
After the implementation of the new self-regulatory ceiling on deposit interest rates, the self-regulatory ceiling on deposit interest rates has "increased and decreased." The self-regulatory ceiling
on short-term time deposits and large deposit certificates within half a year has increased, and the self-regulatory ceiling on long-term interest rates over one year The drop.
The market interest rate pricing self-regulatory mechanism stated that, at the same time, financial institutions can still negotiate with depositors to determine the actual implementation interest rate of deposits within the self-regulation ceiling, and the actual implementation interest rate of deposits may not necessarily change significantly.
At present, the deposit interest rate pricing of various financial institutions is generally stable, and relevant adjustments are proceeding in an orderly manner.
Dong Ximiao, chief researcher of China Merchants Finance, told a reporter from Chinanews.com that the preliminary judgment is that it is unlikely that various banks will adjust interest rates for demand deposits and time deposits within one year, but for time deposits with a maturity of more than one year, Interest rates will probably be adjusted appropriately.
On June 21, Bank of China issued an announcement on the sale of the second phase of personal large-denomination certificates of deposit for 2021.
Fixed deposit rates over one year may be lowered
In layman's terms, the interest rate of deposits with a maturity of more than one year may be lowered, and the interest on hand is not as much as before.
The reporter noticed that the Bank of China issued the second phase of 2021 personal large deposit certificates on June 21. The 1-year annualized interest rate is 2.10%, the 2-year annualized interest rate is 2.70%, and the 3-year annualized interest rate is 3.35%. The interest rates of the first batch of personal certificates of deposit issued on January 6 have all declined. For example, the 3-year annualized interest rate was as high as 3.9875% at that time.
It is precisely because the long-term deposit interest rate may fall, so people rush to buy large deposit certificates before the interest rate adjustments, and "bank large deposit certificates were snapped up" has also recently been on the hot search.
The reporter logged into the ICBC mobile app on the 21st and found that its 3-year large deposit certificate interest rate was 3.35%, the 2-year large deposit certificate interest rate was 2.7%, and the one-year deposit certificate was 2.1%. Products with higher interest rates have disappeared.
On June 21, ICBC app large deposit certificate interest rate.
How big is the impact?
The market interest rate pricing self-regulatory mechanism stated that after the implementation of the new plan,
financial institutions will not need to substantially adjust deposit interest rates for all maturities, and the proportion of deposits over one year is also small. Generally speaking, it will have little impact on financial institutions and depositors.
At the same time, the new plan eliminates the leverage effect, and the spread between long-term and short-term deposit rates will be narrowed, which will help guide bank deposits to return to a reasonable maturity structure.
According to Dong Ximiao's analysis, the financial management department hopes to promote the compliant and rational development of deposit business by guiding the downside of medium and long-term deposit interest rates, maintain a sound competitive order in the deposit market, thereby reducing the cost of bank liabilities and further pushing banks to reduce the actual financing costs of the real economy.
At the same time, it helps to restrain the irrational competition behavior of small and medium banks and large bank branches for deposits, overcome the “scale complex” and “speed impulse” of debt business, enhance the robustness and sustainability of development, and better prevent financial risks, Maintain financial stability.
At the same time, Dong Ximiao believes that the New Deal is not intended to stimulate the stock market, but it has a positive effect on the stock market.
After all, interest rates on medium and long-term deposits have fallen.
In Taiyuan, Shanxi, bank staff are counting currency.
Zhang Yunshe
How do individuals respond?
Since 2020, the financial management department has called berth interest-bearing deposit products and strengthened the regulation of structured deposits and Internet deposits. The purpose is to maintain the order of competition in the deposit market and prevent the increase in the cost of bank liabilities.
In 2021, the financial management department issued regulations on cash management wealth management products, and the yield of cash management wealth management products is also expected to decline.
Dong Ximiao pointed out that for individuals, if there are more medium and long-term deposits and cash management wealth management products in asset allocation, the yield may decline.
He suggested that the relationship between risk and return should be balanced. If you want to get higher returns, you must bear higher risks, and if you don't want to take higher risks, you should accept lower returns.
In addition, savings government bonds are expected to receive more attention.
The data shows that the three-year interest rate of the savings government bonds issued on May 10 is 3.8%, and the five-year annual interest rate is 3.97%.
(Finish)