On the morning of October 12th, Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, China Construction Bank, Bank of Communications, and Postal Savings Bank of China announced a batch adjustment of existing individual housing loan interest rates.All six major banks will conduct a batch adjustment of existing individual housing loan interest rates starting from October 25th.<h2>Scope</h2>Taking China Construction Bank as an example, the scope of this batch adjustment includes commercial individual housing loans that were issued before October 25, 2024 (excluding this date) and contracts that have been signed but not yet issued (including first-time, second-time, and subsequent individual housing loans, as well as the commercial part of provident fund combination loans). Loans meeting the following conditions can be included in this batch adjustment:(1) Loans with interest rates based on the Loan Prime Rate (LPR) as the pricing benchmark with a floating rate method, and with an agreed interest rate level higher than -30 basis points (BP) above the LPR, can be included in this batch adjustment.(2) Loans priced based on the benchmark interest rate or fixed interest rate method, and with an interest rate level higher than the LPR-30BP published in the last month, must apply to China Construction Bank for conversion to a floating rate loan based on the LPR pricing benchmark (&#34;fixed to floating&#34;) by October 23, 2024 (inclusive) to be included in this batch adjustment.In addition, the following loans are not included in this batch adjustment: personal commercial property loans (including mixed-use properties), provident fund individual housing loans; loans with an interest rate level not exceeding -30BP above the LPR; loans still priced based on the benchmark interest rate on October 25, 2024, fixed-rate loans.<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/d062566c-0654-4ed3-88bc-ffad7d81924c.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/d062566c-0654-4ed3-88bc-ffad7d81924c.png"/><h2>Online Operations or Inquiries</h2>Taking China Construction Bank as an example, floating rate loans that can be included in this batch adjustment do not require borrowers to apply. They will be uniformly adjusted on October 25, 2024, to fully meet the convenience needs of customers for interest rate adjustments.For loans priced based on the benchmark interest rate or fixed interest rate loans that can be included in this batch adjustment, customers must actively apply to China Construction Bank for the &#34;fixed to floating&#34; service by October 23, 2024 (inclusive), convert to a floating rate loan, and China Construction Bank will conduct this batch adjustment according to the rules for floating rate loans.Starting from October 12, 2024 (inclusive), customers applying for the &#34;fixed to floating&#34; service can log in to CCB Mobile Banking, CCB Smart Personal Loan WeChat Mini Program, and other online channels, click on the &#34;Apply for Floating Rate Conversion&#34; function in the &#34;Existing Housing Loan Rate Adjustment&#34; section, follow the system prompts for self-service processing, or contact the loan processing institution for assistanceOn October 12, 2024 (inclusive), existing housing loan customers in Beijing, Shanghai, and Shenzhen can log in to China Construction Bank (CCB) mobile banking and the CCB Smart Personal Loan WeChat mini program to use the &#34;Existing Housing Loan Interest Rate Adjustment&#34; function to check if their loan qualifies as a first-time home loan. If the current loan already meets the conditions for a first-time home loan but the customer has doubts about CCB's classification as &#34;non-first-time&#34;, the customer should click on &#34;Apply to Convert to First-time Home Loan&#34; before October 23, 2024 (inclusive) and upload relevant supporting documents for the loan processing institution to review. If the review confirms that the loan meets the conditions for a first-time home loan, CCB will adjust the interest rate accordingly.<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/1c2327c5-1f12-4326-b653-c2bb217d282f.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/1c2327c5-1f12-4326-b653-c2bb217d282f.png"/><h2>&#34;Fixed to Floating&#34; and Conversion from Second Home to First Home Can Continue to be Applied for</h2>For customers whose loans are included in this batch adjustment but do not agree with the adjustment, they can contact the loan processing institution before October 23, 2024 (inclusive) to submit a written application expressing their disagreement with the adjustment.The CCB announcement also states that there will be no charges for this round of existing housing loan interest rate adjustments. The bank has not authorized any institution or individual outside official channels to handle this process. Customers are advised to beware of various forms of fraudulent activities to safeguard their property and information security.Starting from October 25, 2024 (inclusive), customers can check the results of this batch adjustment through the &#34;Existing Housing Loan Interest Rate Adjustment&#34; function on CCB mobile banking and the CCB Smart Personal Loan WeChat mini program.From October 25, 2024, CCB will send SMS notifications to customers who have completed this round of interest rate adjustments to inform them of the results.After October 25, 2024 (inclusive), customers can continue to apply for &#34;Fixed to Floating&#34; and conversion from second home to first home through the above channels. If they meet the adjustment criteria, the new interest rate will take effect from the adjustment date and will not be retroactively applied.This batch adjustment will be implemented by changing the agreed interest rate level in the contract or by replacing new loans.For further inquiries, customers can refer to the &#34;Existing Housing Loan Interest Rate Adjustment&#34; customer Q&amp;A on the relevant bank's WeChat official account, call customer service for consultation, or contact their loan processing institution.<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/59fb7d17-c203-4c2e-9ea3-2ddad7a99107.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/59fb7d17-c203-4c2e-9ea3-2ddad7a99107.png"/>

Starting from October 25th, ICBC, ABC, Bank of China, CCB, Bank of Communications, and Postal Savings Bank of China will collectively adjust the interest rates of existing individual housing loans. Eligible loans will be included in this adjustment, and customers can inquire about relevant information online or through loan handling banks. Ineligible loan types include personal commercial property loans and fixed-rate loans, among others

- On October 12, major Chinese banks announced a batch adjustment of existing personal housing loan interest rates, effective from October 25.  
- The adjustment applies to loans issued before October 25, 2024, with specific conditions for floating and fixed-rate loans, while excluding certain types of loans.  
- Customers can apply for rate adjustments through online channels, and the process will not incur any fees, with results communicated via SMS starting October 25.

Wallstreetcn

Bank Of Communications

BANKCOMM

Bank Of China

Starting from October 25th, the six major banks have adjusted the detailed rules for disclosing the adjustment of existing housing loan interest rates