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What is a bank loan
Bank loans by banks in accordance with national policies to a certain degree of interest rates to finance loans to those in need of funds and the return of an agreed period of economic behavior.
Classification of bank loans
According to different criteria for the classification, bank loans with a variety of different types. Such as:
Different terms of payment can be divided into short-term loans, medium-term loans and long-term loans;
Different ways according to repay can be divided into demand loans, term loans and overdrafts;
Different purposes or objects by loans can be divided into commercial and industrial loans, agricultural loans, consumer loans, loans, securities brokers;
Loan guarantees under different conditions, can be divided into bill discount loans, mortgage notes, mortgage products, credit loans;
Different sizes according to loan amount can be divided into retail and wholesale loans and loans;
Different ways according to the agreed interest rate, can be divided into fixed-rate loans and floating rate loans, and so on.
Moreover, in different countries and different development stages of a country, divided up according to various standard types of loans also have differences. If the United States, mainly ordinary business loans loan limit, working capital loans, lines of credit commitments, such as several types of loans, while the British commercial and industrial loans to use more discounting of bills, credit accounts and overdraft accounts in the form.

Anglo-American countries, types of bank loans

(1) General lending limit and the backup loan commitments. General lending limit is a kind of informal agreement bound form of loans. Corporate demand for funds is based on the characteristics of seasonal and regular, with the Bank entered into an informal agreement, agreed to a bank within the specified period the maximum amount of business loans, and credit lines in this period, the Company may at any time to obtain bank loans. Enterprises must apply for credit lines to explain the recent financial situation of banks, banks and credit under the company's own operational requirements and the implementation of the agreement to decide whether credit. Standby loan commitment is more formal and legally binding contractual agreement, the loans. Enterprise and Bank entered into a formal loan agreement, banks are committed within a specified period and limit loans to businesses and to require the enterprises to pay commitment fees to banks.
(2) working capital loans and project loans. Working capital loans is based on the enterprise product cycle is long, more reserves of raw materials, capital and slow return of the characteristics of the progress to determine the term of the loan sales and the amount of the loan. Project loans are high risk and high cost of large construction projects targeted loans, which is characterized by large amounts of high-risk, high interest rates, with the rationality and feasibility of the project as the basis for determining loan or loan debt recovery cable for the project, rather than companies and enterprises. For large projects, usually by the combination of a number of banks in order to form a syndicate of banks or syndicated loans, in order to diversify risk.
(3) bill discount. Compared with the general loan discount notes, which characterized in:
① third parties. Bills discounted notes for the object is man-made object rather than the borrower;
② line of credit. Discounted amount of the loan only with the denomination bills, the discount rate and the duration of the remaining bills, without borrowing, the borrower financial condition and other factors;
③ funding modalities and duration of reflux. Bills discounted bills can be handled through the rediscount rediscount and advance recovery of funds;
④ risks and benefits. Bills discounted with more reliable assurance of liquidity and risk spreading mechanism, but lower than the general loan proceeds.
(4) credit accounts and overdraft accounts. Credit account is mainly used to arrange bank loans installments a convenient form. Overdraft account is to open a current account in the bank to provide loans to customers the convenience of the form.
[Edit this paragraph] types of bank loans in China
June 1996 issued by the Bank of China, "General Rules on Loans" in the loan are as follows:
(1) self-loans, entrusted loans and certain loans. Self-loans, the lender is a legitimate way of raising funds own the loans, the risk borne by the borrower by the lender to recover the principal and interest. Entrusted loans, is by government departments, enterprises, institutions and individual clients to fund the loan (the trustee) to determine the loan according to the principal object, purpose, amount, term, interest rates paid on behalf of, monitoring the use and to help recover the loan. The lender (the trustee) only charge a fee, do not take credit risk. Specific credit means loans by the State Council for approval and possible losses take appropriate remedial measures, instructed state-owned commercial bank loans.
(2) short-term loans, medium-term loans and long-term loans. Short-term loans, is the term of the loan within a year (including one year) loans. Medium-term loans, is the term of the loan in one year (excluding one year) to five (with five years) loans. Long-term loans, is the term of the loan in five years (excluding five years) than loans.
(3) credit loans, secured loans and bills discounted. Credit refers to the borrower's credit loans. Secured loans, is guaranteed loan, mortgage, pledge loans. Guaranteed loans are defined as the "Guarantee Law of The People's Republic of China" approach to the third provision of the guarantee has committed itself to the borrower can not repay loans, according to the agreed commitment to Yi Ban guarantee Zerenhuozhe release, joint and several liability loans. Mortgage loans, yes means the "PRC Security Law" approach to the provision of mortgage the borrower or a third person's property as collateral for loans Fafang. Pledge loans are defined as the "Guarantee Law of the PRC" means the provisions of the pledge by the borrower or a third person's personal property or property rights as the quality of the loans. Bills discounted, is the lender to the borrower to buy commercial paper outstanding payments of the loan.