Loan companies are non-financial institutions with private capital participation. It is a company registered by shareholders. Its main business is to issue loans, but it is not allowed to absorb public deposits. The lending limit is set according to the registered capital. Bank loan is a credit fund business issued by banks.
1, the difference is mainly in the variety of loans, the risk tolerance is more enterprising, and of course the interest return is higher.
2. As a supplement to bank loans, the source of funds is also social funds, but it is different from the deposits absorbed by banks from the society.
3. The cost of capital is higher than that of banks.
At present, there are not many laws and regulations to guide and protect this emerging industry. In practice, loans and capital absorption are prone to illegal acts!
What is the difference between a lending institution and a bank? Come and have a look!
Banks have always been everyone's first choice with low interest and high quota. But relatively speaking, the bank threshold is high, and not everyone can apply. Therefore, for these customers who do not meet the requirements of banks but are in urgent need of money, many private lending institutions have emerged. Then someone asked, what is the difference between a lending institution and a bank? Let's talk about it briefly.
What is the difference between a lending institution and a bank?
1. line: in terms of credit loans, the line of banks is generally higher than that of private institutions. But this is not absolute, mainly depends on the applicant's comprehensive qualifications.
2. Interest: Bank interest is low, with an average monthly interest rate of about 4%-1. Loan 1 10,000 yuan, with monthly interest of 4% and monthly interest 10000 yuan; The monthly interest rate of general lending institutions is around 1-2. Taking the loan of 65,438+00,000 and the monthly interest rate of 65,438+0 as an example, the monthly interest is 65,438+00,000 yuan.
3. Fees: There are no other fees for bank loans except interest; But some lending institutions are not very compliant. In addition to interest, there are some production costs, such as guarantee fees, accommodation fees, information management fees, etc. Everyone should pay attention to accounting clearly when applying.
4. Repayment: Both bank loans and institutional loans need to be repaid on time. If it is overdue, the bank will inform me and my contacts by SMS, and those who are overdue may be punished; However, lending institutions will increase the collection efforts, and the means are not legal enough.
Note: The above "lending institutions" refer to private institutions.
The above is about "What's the difference between a lending institution and a bank?" The answer, I hope to help everyone.
What is a company? What's the difference between them and banks?
A company is a limited liability company or a joint stock limited company invested and established by natural persons, enterprise legal persons and other social organizations, which does not absorb public deposits and operate businesses.
The difference between banks is:
1, suitable for different people:
Compared with banks, the company is more convenient and quick, which is suitable for the capital needs of small and medium-sized enterprises and individual industrial and commercial households.
2. Differences in liquidated damages:
The company's customers can easily repay or refinance loans within a predetermined limit without paying liquidated damages! This is the best choice for customers who often need extra cash and customers who need flexible repayment and cash withdrawal at any time.
Bank overdue payment penalty refers to the penalty agreed by both parties to pay to the other party when one party fails to fulfill its payment obligations on time.
3. Different loan interest rates:
The benchmark for setting loan interest rate of microfinance companies: determined independently according to market principles; Upper limit-let go, but not more than 4 times the bank loan interest rate in the same period; Lower limit-0.9 times the benchmark loan interest rate announced by the People's Bank of China.
Bank loan interest rate refers to the ratio of interest amount to principal amount during the loan period. The interest rate in China is managed by the People's Bank of China. The bank loan interest rate refers to the benchmark interest rate set by the People's Bank of China, and the actual contract interest rate can fluctuate within a certain range on the basis of the benchmark interest rate.