Editor: Peter Source: Financial Management Reviewer Date: 2017-09-11
Summary:
September 5th was the day of my bank credit card statement, and there was an outstanding balance of more than 20,000 yuan. Today, I received a call from the customer service of the credit card center and recommended their credit card installment service to me.
During the whole communication process, the customer service always emphasized to me that the credit card installment is very cheap, 20,000 yuan is divided into 6 installments, and the handling fee is 50% off for me, and the handling fee for each installment is only 80 yuan.
So I opened the APP page and took a look at the installment fee.
On the surface, it is very tempting, is there wood? I was also very moved, but I have a habit of measuring all kinds of data, so I opened the Excel sheet, and after the calculation, I found that the other party had a "stolen concept" error. Why do you say that?
Next, I made an assumption: the principal of the loan is 20,000 yuan, divided into 12 installments, that is, the borrowing time is one year to calculate the cost. The principal of each period is 1666.66 yuan, and the handling fee for each period is 70 yuan.
According to the other party, the annualized rate is only 4.2%. But in fact, the actual fee rate of credit cards is far more than that. Because, I have not been using the loan limit of 20,000 yuan, but decreased month by month, with a monthly decrease rate of 1666.66 yuan.
According to this calculation, the average monthly capital occupation is about 10,833.33 yuan, and the actual handling fee rate for 12 installments is 840/10,833.33, and the result is 7.75%. And the customer service secretly changed the concept and only told us the standard annualized rate on the surface.
The current demand deposit rate is 0.35%, while the benchmark one-year deposit rate is only 1.5%. According to the annualized rate of 7.75%, the bank's handling fee is 22 times the current interest rate and 5.2 times the one-year time deposit benchmark interest rate.
So the actual situation, is that what I just said? We can also calculate in the most primitive way.
Suppose, I have borrowed a sum of 20,000 yuan from the bank. The interest rate is based on the latest bank loan basic interest rate regulations, and the interest rate will not be increased. The one-year bank loan interest is calculated at 4.35%, and the same principal is still used in each period ( That is, the same amount of principal), we will find that when looking for a bank loan, in addition to the interest of the first installment of 67.68 yuan, with the reduction of the total principal repayment, the interest of each installment also decreases accordingly, while the credit card installment fee is every period is the same. At this time, the credit card installment fee is 436.41 yuan more than the bank's loan interest, nearly double.
So is it because of a special relationship with the number of installments?
In response to this problem, I took the shortest and longest instalments available for credit card instalments for verification.
The following is the case of 3 installments. Under the same other conditions, at this time, we can find that the difference in fees is even greater. The handling fee of credit card installments is 372 yuan higher than the repayment interest of bank loans.
Seeing this, you may think that the installment time is not long enough?
In response to this question, I also used the same method for comparison. As a result, the credit card installment fee is 196.46 yuan higher than the bank's loan fee.
It can be seen that, regardless of the length of the installment, the actual cost of the credit card installment is still much higher than the bank's loan interest.
It seems that when you want credit card installments, you must keep your eyes open. Calculate the cost of the installment carefully. When handling the credit card installment, you must handle it carefully. You can ask a professional to do the calculation before processing, so that you can maximize the operation of the funds.
Original: https://www.rong360.com/gl/2017/09/11/142459.html