The interest rate price war has started, and many banks have taken advantage of the "Double 11" to promote consumer loans

Send red envelopes, send phone bills, and send coupons to attract customers with low interest rates

A number of banks have taken advantage of the "Double 11" promotional consumer loans

During the "Double 11" period, consumer loans became the main battlefield of the "dark war" of banks. The author's investigation found that the annualized interest rate of consumer loans of many banks basically started at 3%, and at the same time, various interest rate promotions and price wars were launched, and the interest rate after the preferential treatment of individual banks was reduced to 3% through the distribution of red envelopes, interest rate coupons, and lucky draws.

A number of industry insiders said that at present, consumer loans are an important starting point for banks to boost loan growth, and they have become a battleground for soldiers. Some banks have taken the "Double 11" campaign as an opportunity to strengthen cooperation with e-commerce platforms on the one hand, and better promote consumer loans on the other hand.

Experts remind that for consumers, while enjoying the convenience of consumption, they should fully consider their financial situation, avoid excessive debt, and apply through formal channels. For institutions, they can focus on strengthening the innovation of consumer loan products for new citizens to help upgrade consumption.

"Double 11" started an interest rate price war

"Mobile banking customers can get an instant discount of up to 1,1111 yuan after completing 50 cent payment." "Bind a credit card for the first time and get a WeChat instant discount of 200 yuan." "If you spend more than 80 yuan and use your official card to settle the bill, you can enjoy a discount of 11 yuan." With the start of the "Double 11" promotion war on e-commerce platforms, the marketing war of financial institutions has also become white-hot. The author sees that around the "Double <>", many banks in Guangdong have increased their preferential efforts in terms of full payment reduction and installment payment.

But in this year's "Double 11", the focus of bank marketing is on consumer loans. The author saw in the circle of friends that a customer manager of Shaoguan Rural Commercial Bank actively promoted the "Easy Loan" series of loan products: "We have prepared ultra-low interest rates for the 'Double 11' shopping festival, so that you can save more while enjoying shopping." It is understood that the bank's "consumer loan" provides a loan amount of up to 100 million yuan, and the bank can complete the approval within 24 hours at the earliest after the customer provides information.

Guangzhou Rural Commercial Bank launched the "cash installment to help you pay" activity, the bank launched a maximum amount of 5,24 yuan, the longest can be divided into 0 installments, the monthly interest rate is as low as 275.5% of the cash installment, during the activity period invited customers can enjoy 7% to <>% discount interest rate according to the number of periods and comprehensive credit status.

Large state-owned banks have also "entered the war", using low interest rates as a weapon to attract customers. From October 10 to November 15, the Bank of China will start at an interest rate of 11.30%. Bank of Communications' Huimin Loan, the minimum annual interest rate for high-quality unit customers can reach 3.5%. The minimum interest rate of the Agricultural Bank of China's online quick loan can reach 3.3%. CCB offers loans with an annualized interest rate as low as 3.45% for high-quality customers, and customers who participate in the application will also have the opportunity to receive gifts such as phone bills and red envelopes.

With the start of the "price war" of consumer loans, loan interest rates have fallen again and again. During the "Double 11" period, customers of the bank who have passed the credit approval of "Pudong Flash Loan" and completed the credit signing will have the opportunity to receive a one-year 3% annualized interest rate (simple interest) coupon.

Consumer loans and credit cards played an active role in boosting consumption. Dong Ximiao, chief researcher of Zhaolian Financial and part-time researcher of the Institute of Financial Research of Fudan University, believes that the bank's reduction of personal consumption loan interest rates can not only directly reduce the cost of consumer credit for consumers, reduce consumers' interest expenses in the field of consumption, but also help further stimulate consumers' willingness and ability to expand consumption, thereby further helping to boost consumption and expand domestic demand.

Consumer loans have become the starting point for profit growth

Why are banks vigorously promoting consumer loans during 11.11? Dong Ximiao believes that as an important part of the bank's retail business assets, the importance of consumer loans is constantly highlighted. "'Double <>' is a traditional e-commerce shopping festival, and some banks can take advantage of the marketing opportunity to strengthen cooperation with e-commerce platforms on the one hand, and better promote consumer loans on the other hand."

Xue Hongyan, vice president of Xingtu Financial Research Institute, believes that since the beginning of this year, the demand for loans in the real sector has been weak, and the banking industry is generally facing the problem of scarcity of high-quality assets. "During the 'Double 11' period, banks will provide subsidies in the form of consumer loans in the payment process, which is close to the real consumption scene, and the asset quality is more controllable."

Consumer loans are a new source of profit growth for banks. According to the data of the third quarterly report, as of the end of September, the balance of personal consumption loans of China Merchants Bank was 9.2980 billion yuan, an increase of 95.47%. The balance of personal consumption loans of China Construction Bank was 4.3886 billion yuan, an increase of 1051.4000 billion yuan from the beginning of the year. At the release of the third quarterly results, Hu Changmiao, secretary of the board of directors of China Construction Bank, said that the bank's consumer credit is expected to exceed 45 billion yuan this year, achieving a growth rate of more than <>%.

"Since the beginning of this year, the real estate market has been relatively weak, and some banks hope to make up for the decline in personal housing loans by issuing consumer loans, so as to maintain revenue and net profit." Dong Ximiao said.

"With the return of the domestic economy to normalcy and the recovery of consumption, banks are actively developing consumer loan business to expand profit margins." Zhou Maohua, an analyst at the financial market department of Everbright Bank, analyzed.

The downward trend of consumer loan interest rates is driven by fierce competition on the one hand, and the transmission of the decline in macro interest rates on the other hand. Zhou Maohua said that the current competition in the consumer finance industry is fierce, and some banks hope to gain a competitive advantage through preferential prices.

Xue Hongyan believes that the internal differentiation of the consumer finance industry has intensified, and in the three-legged consumer finance market, banks still occupy an absolute advantage, while consumer finance companies compete differently by sinking customer groups and embracing scenarios, while microfinance companies are slowly falling behind due to narrow capital replenishment channels. "With the rising status of consumer loans, it is worth investing more resources in banks."

In recent years, China's deposit interest rate has been on a downward trend, and at the same time, the People's Bank of China has also lowered the policy interest rate several times and implemented two RRR cuts. "The cost of funds for banks has dropped significantly, and banks have the ability and space to reduce the interest rate on consumer loans." Dong Ximiao said.

Experts advise individuals to spend rationally

The loan repayment expenditure should not exceed half of the income

The author's investigation found that it is not easy to apply for a low-interest consumer loan as low as 3%. At present, banks will review the borrower's personal credit information, social security, provident fund, bank statement and occupation based on the data model. A customer manager of the Guangzhou High-tech Branch of China Merchants Bank told the author: "Everyone has a different loan amount, and customers need to download the APP to test the loan amount and interest rate. ”

Relationship managers at many banks also said that at present, banks use a whitelist system in the form of invitations, so that high-quality customers can get lower interest rate pricing. A customer manager of the Guangzhou Hi-Tech Branch of the Bank of Communications bluntly said that only qualified designated customers will show coupons when they take out loans.

With the increase in demand for consumer finance, there is a broad space for the development of consumer finance. According to data from the People's Bank of China, at the end of the third quarter, the balance of household consumption loans (excluding personal housing loans) in domestic and foreign currencies was 19.31 trillion yuan, a year-on-year increase of 13%, and the growth rate was 8.9 percentage points higher than that at the end of the previous year, which is the third consecutive quarter of growth rate of non-housing consumer credit.

Zhou Maohua suggested that consumers should fully consider their own financial situation and avoid over-indebtedness while enjoying the convenience of consumption. At the same time, consumers should apply for consumer loans through formal institutional channels, fully understand the details of the contract, and clarify the constraints, interest, amount, and repayment methods of consumer loans, so as to achieve rational consumption.

Dong Ximiao suggested: "Young consumers should control their personal debts at a reasonable level, and should not blindly borrow, repay cards with cards, and repay loans with loans. Generally speaking, an individual's monthly loan repayment expenditure should not exceed half of the family income, and it is best to control it within 1/3. ”

Xue Hongyan said: "Banking institutions can focus on strengthening the innovation of consumer loan products for new citizens, help new citizens better integrate into the city, help consumption upgrading, and find a new blue ocean for consumer loan business through differentiated development." ”

Nanfang Daily reporter Li Hualian intern Wang Wei

Co-ordinator: Chen Ying