What Is a Private Finance Initiative?

In the broad sense, personal financing refers to an economic behavior in which funds flow between holders to make up for vacancies. This is a two-way interaction process of funds including the integration of funds (source of funds) and withdrawal (utilization of funds).

Personal financing

Personal financing is mainly before and during the business. When a feasible business plan has been formed and is ready to be put into action, it is found that the funds are insufficient. If this funding is available, the business can start immediately. For example, if you open a small-scale laundry near a residential area, you need 40,000 yuan, but you only have 20,000 yuan in your hand, and the gap is 20,000 yuan. This requires financing. If you run a small store and find that a certain type of product will be selling in this area in the near future, you plan to buy it. However, since the funds are fully occupied by existing commodities,

Broadly speaking, in order to build a new project or acquire an existing project, or to carry out an existing project

Corporate financing refers to the starting point of the company's production and operation status and the use of funds. According to the needs of the company's future operations and development strategies, it uses certain channels and methods to use internal accumulation or raise funds from the investors and creditors of the company Kind of

The first is the IMF, which means

Banks also have to "lending more than three"

According to the regulations of the financial supervision department, each bank can increase or decrease the loan interest rate within a certain range when issuing commercial loans. For example, the loan interest rate of many local banks can rise by 30%. In fact, going to a bank loan is the same as shopping in the market. Pick and choose. You can choose good and cheap products when you shop around. Relatively speaking, the loan interest rate of state-owned commercial banks is lower, but the procedures are stricter. If your loan procedures are complete, in order to save financing costs, you can use a personal "inquiry and bidding" approach to the loan interest rates of banks Compare other extra charges and choose a low cost bank for mortgage, pledge or secured loan. In addition, different repayment methods and regulations will change how much it costs, so you should be as familiar with the bank's loan business as possible, so that you can solve it well in any situation.

Establish a good credit history

The personal credit reporting system is simply to provide personal credit records in the form of credit reports. You may find it difficult to leave without your ID card. In a society where the personal credit system is fully open, you will find it difficult without another "ID card". This "ID card" is your personal "credit record". If your credit history is poor, it will be difficult to get involved in financing and dealing with banks.

Therefore, a good credit history should be maintained. Once the credit history is established, it is necessary to repay the principal and interest on time, and arrears and non-payment of loans will be reflected in the credit history, which will adversely affect personal credit. In addition, you should also be concerned about your credit history. Due to some frequently occurring errors, such as input errors, information errors in credit reports are inevitable. Therefore, you should regularly inquire and carefully check the contents of your credit history, timely find and correct wrong information, and avoid yourself being adversely affected. If you find an error in your personal credit record, you should contact the credit reporting agency that provided the credit report as soon as possible.

Careful choice of reasonable loan term

Bank loans are generally divided into short-term loans and medium- and long-term loans. The longer the loan term, the higher the interest rate. If the time required for the use of personal funds is not too long, you should try to choose short-term loans. For example, if you intend to apply for a two-year loan, you can get one loan a year, which can save interest expenses.

In addition, personal financing should also pay attention to the trend of interest rates. If the trend of interest rates rises, you should rush to apply for loans before raising interest rates; if the trend of interest rates tends to decline, you should suspend the application of loans when the demand for funds is not urgent, and wait until the interest rate is reduced Apply at the right time.

Use good policies to enjoy low-interest government treatment

Personal loan is a new business launched by banks in recent years. Individuals who have certain production and operation capabilities or have been engaged in production and operation activities can apply for special business loans to banks that start this business because of the need to start or re-start a business. The term of a business loan is generally one year and the longest is no more than three years. According to relevant regulations, the interest rate of a business loan must not fluctuate upwards, and it can be lowered by 20% at the same rate as prescribed by the bank. You can also enjoy 60% of the government's discounted interest; in some areas, the government provides a full discount for the low-profit start-ups such as domestic service, health care, and elderly care services.

Repayment of loans in advance improves the efficiency of fund use

In the course of starting a business, if operating funds become idle due to increased efficiency, repayment of loans, low-season operations, and reduced investment, you can apply to the loan bank for changes to the loan method and duration until some or all of the loans are repaid in advance. After the loan is changed or repaid, the bank will actually charge interest according to the time and amount of the loan, thereby reducing the interest burden on the lender and improving the efficiency of fund use.