The central bank suddenly cut interest rates! Will your deposit interest go down? How much can you save on your mortgage?

Urgent notice! The central bank has unexpectedly lowered interest rates today! Various structural tool rates dropped by 0.25 percentage points, with the one-year refinancing rate now at 1.25%!

Those saving money or repaying mortgages, take note! Will your deposit interest decrease? How much can you save on your mortgage? Let's break it down in plain language!

First, clarify: The central bank had already signaled a rate cut and reserve requirement reduction in 2026—this move aims to lower financing costs for small and medium enterprises and tech innovation sectors, stabilizing the economy—no need to panic!

Quick answers to the key questions affecting your wallet:

Deposit rates: Likely to 'drop short-term, rise long-term'!

Short-term deposits (within 1 year, e.g., 3-month, 6-month) may drop further—some smaller banks have already reduced their 3-month rate to 0.95%;

But 3-year and 5-year fixed deposits may increase (e.g., a rural bank in Henan raised its 3-year rate to 1.73%), and large-denomination certificates of deposit remain attractive (1%-2%). Focus on these two types when saving!

Mortgage holders: You can save money! Some people are already benefiting!

Housing fund loans: Reduced by 0.25 percentage points starting January 1—first-home loans over 5 years now at 2.6%! For a 500,000 loan over 20 years, you save over 61 per month, more than 700 annually;

Commercial loans: Pay attention to your repricing date! Those repriced on January 1 now enjoy an LPR of 3.5%—a 1 million loan over 30 years saves 19,000 in total interest. Prudent borrowers, keep an eye on this!