“The interest rate for Alipay loans is not very high. Why are there still people who have suffered a lot from online loans?” Today it is on Zhihu hot search again, so what is the reason?
First of all, these are two questions.
Let’s talk about the conclusion first:
The interest rate of Alipay loan is not very high?
Answer: Compared with Internet credit, the interest rate of Alipay loan is not high.
Why are there still people who have been hurt by online loans? Answer:
1. Not everyone is qualified to open a loan.
2. The desire is endless and the repayment ability is limited. The more you borrow, the more you borrow, and finally you fall into the vortex of using loans to support loans.
3. There are many online loan platforms. If you are not careful, you will fall into the trap of routine loans and loan sharks.
1. The interest calculation method of Alipay’s Borrowing
The interest on Borrowing is charged on a daily basis after the loan is borrowed. There is no charge. The daily interest rate range of Borrowing is 0.015-0.06, because The comprehensive evaluation of each account is different, so the interest rates are also different.
I did the math and found out that it would be repaid in 12 equal installments of principal and interest.
The daily interest rate for 30,000 yuan is approximately 10.95 per year;
The daily interest rate for 40,000 yuan is approximately 14.6 per year;
The daily interest rate for 50,000 yuan is approximately 14.6 per year. , the annual interest rate is approximately 18.25;
The daily interest rate of RMB 6,000 is approximately the annual interest rate 21.9.
The daily interest rate that Jiebei generally gives us is around 40,000, so the annual interest rate is 14.6. Compared with those platforms with 50,000 or more, this rate is indeed more conscientious. However, compared with bank mortgage loan rates of less than 10%, the interest rate of borrowing money is still relatively high. But borrowing it is convenient after all.
2. Why are there still people who have been hurt by online loans?
1. There are thresholds for borrowing money.
Although borrowing money is easy to use, not everyone has a quota.
First of all, Alipay decides whether to grant the quota after a comprehensive evaluation based on some user data.
Secondly, even if some people have a quota, it may not be high. Many users only have a quota of one or two thousand yuan.
Therefore, if you need money urgently, the user is either not qualified, or the quota is simply not enough, so you can only go to other platforms.
2. The desire is endless, and the more you borrow, the more you borrow, and finally you fall into the vortex of using loans to support loans.
I want more and more, but I don’t have an accurate understanding of my repayment ability.
I borrowed multiple online loans, demolished one wall to pay for the other, and the interest accumulated like a snowball. It's actually fine at first, but once something happens and they are unable to repay the loan, the borrower will start to "pay the loan to support the loan", and then the interest will compound, and it will become a "bloody" state.
3. Falling into the trap of routine loans and loan sharking.
There are many illegal lending platforms on the Internet. These platforms will publish advertisements containing false information such as "no mortgage, no guarantee, no interest", and carefully design "routines" to attract users to borrow money. Increase false debt. If a borrower is in urgent need of money, it is easy to fall into the trap of routine loans.
The following is a real case:
The victim An borrowed 62,000 yuan. Because he was unable to repay the money, the victim was taken to a hotel and detained for two nights, and was forced to sign an IOU of 136,000 yuan using verbal threats. Then, the creditor sued the court to demand An to repay 136,000 yuan.
Previously, the head of the Criminal Investigation Bureau of the Ministry of Public Security revealed the five major tricks of "routine loans":
01 Forging the illusion of private lending
Criminal suspects often use They promote themselves to the outside world in the name of small loan companies, investment companies, consulting companies, guarantee companies, online lending platforms, etc., using low interest rates, no collateral, no guarantees, fast lending, etc. as bait, and solicit through the Internet, phone calls, text messages, small advertisements and other channels. business, attracting victims to borrow money, sign false loan contracts, and package them into ordinary private lending relationships, and then use various names such as "increased binding force", "liquidated damages", "deposits" and "industry rules" to defraud the victims into signing Various legal documents that are obviously unfair, such as false loan contracts, mortgage loan contracts, or power of attorney for the sale of real estate or vehicles, some even require the victim to go through notarization procedures.
02 Create traces of capital flow
After the criminal suspect transferred the inflated loan amount to the victim's account, evidence was formed that "the flow of funds in the account is consistent with the loan contract", and then used Rapid review fees, information certification fees, account management fees, risk control service fees, intermediary fees, etc. are charged in name or in disguise to collect high amounts of "head interest", and all or part of the amount transferred to the victim's account is recovered, and the victim actually All you get is the remaining money.
03 Deliberately creating or arbitrarily determining breach of contract
The criminal suspect deliberately creates or arbitrarily determines breach of contract by deliberately losing contact on the repayment date, not answering the phone, and the borrower is also burdened with other usurious loans. If it is determined that the victim has breached the contract, not only will all the previous repayments be cleared, but all the inflated debts will also be required to be repaid. Inflated debt is often several times, or even dozens of times, higher than the principal.
04 Maliciously increase the amount of the loan
When the victim is unable to repay, the criminal suspect arranges for designated affiliated companies, affiliated personnel, or himself to act, through deception or even coercion. The victim signed a new loan contract with a larger amount and inflated the amount to "settlement the account" and "repay the loan with a loan", increasing the debt amount step by step.
The victim drank poison to quench his thirst under pressure. It seemed that he had solved his urgent need, but in fact he fell into the abyss of debt that he could not repay.
05 Use both soft and hard tactics to seize property
When the debt barrier reaches a certain amount, the criminal suspect will use "soft violence" to infringe on the legitimate rights and interests of the victim by himself or hire idle people from society, thereby creating Interfering with the normal life of the victim and his close relatives to exert pressure; or using false contracts, IOUs, bank transfer records and other evidence to file civil lawsuits and claim so-called "legitimate claims" to the court, thereby achieving the purpose of misappropriating the victim's property .
3. How to calculate the actual interest rate
In order to solve the confusion of converting various borrowing interest rates, we can use EXCEL’s magic formula IRR.
Different repayment methods occupy the principal for different periods of time, so when converted into an "actual interest rate" calculated based on the payment of principal and interest upon maturity within one year. The time cost of principal needs to be calculated. The IRR function is a tool that helps us compare the time cost of funds.
It doesn’t matter if you don’t understand the definition of the IRR function. We only need to know that it can help us calculate the actual interest rate of borrowing money and be able to use it to calculate it.
The use of the IRR function is actually very simple. Let me demonstrate: A borrows 10,000 yuan and repays it in 12 installments, each installment is 894 yuan. So what is the actual annualized interest rate?
1. The fixed time unit is month, and the total borrowing is 10,000. The monthly cash flow is -894 yuan.
2. After listing the repayment amount of each period, directly use the IRR formula to calculate the monthly interest rate.
3. The formula for converting monthly interest rate into annual interest rate is = monthly interest rate * 12. Enter the formula to calculate the actual annual interest rate. The annual interest rate of 13.18 is not low either.
Generally, before taking a loan, you can use the IRR formula to calculate the actual interest rate of various loans.
If you find it troublesome, you can also use the loan comparison tool "You Money to Spend" to compare prices.
As long as you enter the installment number and rate, you can quickly calculate the total cost. By comparing it with what you have money to spend, you can know which product is more economical.