What were the consumer loan interest rates for various banks in 2012? Since July 7, 2011, the People's Bank of China (PBOC) has increased the benchmark annual loan interest rate as follows:
I. Short-term loans
Up to six months (including six months): 6.10%
Six months to one year (including one year): 6.56%
II. Medium- and long-term loans
One to three years (including three years): 6.65%
Three to five years (including five years): 6.90%
Over five years: 7.05%
The benchmark loan interest rates for all banks are the same, as they are stipulated by the PBOC. However, the actual loan interest rate, including financing, may not necessarily be executed at the benchmark rate, as banks can adjust the interest rate on their own. The consumer loan interest rate could possibly be higher than the benchmark rate. Regarding the interest rate, it depends on two factors: one is the situation of the bank (for example, whether the bank's loan quota is tight), and the other is the borrower's conditions, such as repayment ability and credit status, etc. The better the borrower's qualifications, the slightly lower the interest rate might be.