Lending Rate Pricing Model Of Rural Credit Cooperatives Discussion

At present, the interest rate pricing of rural credit cooperatives generally take referencerate plus point mode, this mode does not consider the operating costs of the rural creditcooperatives, the target profit margin, the level of tax burden and competitive factors, the riskadd a little too simple, making it difficult scientific and rational quantify the potential risks ofcredit, practice the "human interest rate, interest rate floating" one size fits all "and" floatingto top is more prevalent. With the accelerated process of marketization of interest rates, ruralcredit cooperatives, the existing interest rate pricing model is not only restricted the "threerural" economic development, has become a bottleneck in the development of rural creditcooperatives. For this reason, it is particularly urgent to build a scientific and rational ruralcredit cooperatives pricing model.In this article, the author first lending rate pricing theories and methods are reviewed,and the use of methods of analysis and comparison of the advantages and disadvantages ofthe common foreign interest rate pricing model, followed by interest rate pricing process ofChina’s commercial banks are currently facing issues a comprehensive analysis, and thencarry out a detailed analysis of the background, current situation and problems of rural creditcooperatives lending rate pricing, found that fewer factors to be considered in the pricingmodel of rural credit cooperatives,, operating costs, target profit margin, the tax burden oninterest rates the impact, through a reasonable set of restrictions, reflects the loan businesscompetitive factors and loan customers of the banking institutions in the same area in thecontext of market-oriented interest rate differential pricing factors. The last empirical resultsshow that rural credit cooperatives built loan interest rate pricing model to determine thelending rates in line with theoretical expectations, the effective interest rate of the rural creditcooperatives also have a certain proximity.