What impact does the rising non-performing loan ratio of commercial banks have on the financial market?

1. What impact does the rising non-performing loan ratio of commercial banks have on the financial market?

commercial loan

Have legal residence status;

Having the ability to repay the loan principal and interest on schedule;

Having a mortgage or pledge, or (and) having a guarantor who meets the prescribed conditions as its guarantee;

There is a contract or agreement for the purchase of housing;

When applying for a loan, there is no less than 30% deposit in CCB. If yes, the original and photocopy of the payment receipt are required;

Other conditions stipulated by the lending bank.

Second, the impact of the rising non-performing loan ratio of commercial banks on commercial banks

The light person's profitability declines, and the heavy person may go bankrupt.

Third, the negative impact of high non-performing loan ratio.

The impact of non-performing loans, banks are highly liquid enterprises, non-performing loans will increase the debt burden of banks, increase the ability of banks to absorb deposits, reduce operational efficiency, and lead to financial problems of banks. The high rate of non-performing loans is the biggest harm to banks' ability to support the economy.