In life, sometimes you will receive a call like "Do you have any money needs recently?" We offer loans here with a one-half interest rate. "Many people may not understand, what does one point two mean? How to calculate interest in points?
To explain to you, the renminbi is divided into yuan, horn, cents, and centimeters. Here the monthly interest rate is one and a half, written as 0.015, generally refers to the monthly interest rate, and the conversion percentage is 1.5%.
Here is a formula:
a*n*24/(n+1) = annualised percentage rate (* this symbol represents the multiplication sign).
A is the monthly rate and n is the monthly rate, and n is the monthly borrowing.
Today, let's calculate it with the borrowing, flowering, and white strips that are common in our lives.
First, the ants borrow
Ma Yun's Alipay's Ant Borrowing, which calculates interest on a daily basis, has an interest rate between 0.015% and 0.06%. Generally at 0.04%.
There are two repayment methods: equal principal and interest, first interest and later principal.
1. The equal amount of principal and interest is the repayment of the principal and interest in the same amount every month, and the main interest is repaid in the early stage and the principal is mainly repaid in the later stage.
2. Interest first and then principal, only need to return the interest every month in the early period, and the last period will pay off the principal and the interest of the last period at one time.
Directly using the monthly interest rate *12, or the daily interest rate *365, you can calculate the annualized interest rate.
For example, if my borrowing daily interest rate is 1.5/10,000, then the annualised percentage rate is 0.015% * 365 = 5.47%. The daily interest rate is 4/10,000, and the annualised percentage rate (APR) is 0.04% * 365 = 14.6%.
Second, the ant flower
Another product of Ma Yun's umbrella, Ant Huabei, the rate is changed, there is no interest, and it is calculated as an installment fee.
1. The handling fee for 3 months is 2.5% of the total amount.
2. The handling fee for 6 months is 4.5% of the total amount.
3. The handling fee for 9 months is 6.5% of the total amount.
4. The handling fee for 12 months is 8.8% of the total amount.
It can be seen that the longer the time, the higher the handling fee.
To paraphrase the formula a*n*24/(n+1), the annualised percentage rate (APR) is 15% for borrowing for 3 months; 15.4% for borrowing for 6 months, and 16.2% for borrowing for one year.
Third, Jingdong white strip
JD.com also has a borrowing product, called JD White Strip, and the interest is calculated at a monthly rate. Regardless of how many months you borrow, the money you have to pay back each month and the handling fee are the same.
The monthly rate of JD White Strip is 0.5%-1.2% (month), and we take 0.6% as an example and convert it into interest rates according to the formula.
To apply the formula: monthly rate * number of installments * 24 / (number of installments + 1)
Borrow for 3 months, the annualized percentage rate is 0.6% * 3 * 24 / (3 + 1) = 10.8%;
Borrowing for 12 months, the annualised percentage rate is 0.6%*12*24/(12+1)=13.28%;
Borrow for 24 months, the annualised percentage rate is 0.6% * 24 * 24 / (24 + 1) = 13.82%
It can be seen that in the case of the same rate for a single period, the longer the borrowing time, the higher the real interest rate.
It can be seen that in fact, borrowing, spending, white stripe, the actual annualized interest rate is still relatively high, try to strive for preferential interest rates, if the interest rate is higher, please pay attention to the time, it is best not to borrow too long, so as not to cost too high.
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