19 November 2018

Shanghai banks scrap first-home loan rate discount, paper says

Banks in Shanghai removed a 15 percent lending rate discount for first-home buyers even as the lending quota rose at the start of the year, the Shanghai Securities News reported Thursday, citing banking sources. The Shanghai branches of the big-four state-owned banks as well as joint-stock commercial banks are all lending to first-home buyers at the benchmark rate, the paper said. The move came as banks grappled with tighter liquidity and the failure of less profitable home loans to cover the costs of high-yield wealth management products, according to the report.

–Contact HKEJ at [email protected]



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