Legal analysis: Which provident fund loan repayment method is the most cost-effective depends on personal assets and economic income. There are several methods of provident fund loan repayment: 1. Repayment of principal and interest in equal amounts. Equal principal and interest repayments mean that the total principal and interest that need to be repaid is evenly distributed to each month. 2. Equal principal repayment. Equal principal repayment means that the loan amount is evenly distributed to each month. The interest is the interest generated on the loan balance between the previous repayment date and the current repayment date. The principal that needs to be repaid each month remains unchanged, and the interest is decreasing. , so the total amount that needs to be repaid each month is decreasing. By using this method to repay, the burden will become smaller and smaller. Provident fund loans can be repaid in advance. Early repayment can pay a lot less interest than the original loan plan. There are no handling fees and liquidated damages for early repayment of provident fund loans.

Legal basis: "Housing Provident Fund Management Regulations"

Article 3 The housing provident fund paid by individual employees and the housing provident fund paid by the employee's unit for employees belong to the individual employee.

Article 24 If an employee has any of the following circumstances, he or she may withdraw the balance in the employee housing provident fund account: (1) Purchasing, constructing, renovating, or overhauling a self-occupied house; (2) Retirement , retired; (3) completely lost the ability to work and terminated the labor relationship with the unit; (4) settled abroad; (5) repaid the principal and interest of the house purchase loan; (6) the rent exceeded the prescribed proportion of family wage income. In accordance with the provisions of items (2), (3) and (4) of the preceding paragraph, when the employee housing provident fund is withdrawn, the employee housing provident fund account shall be canceled at the same time. If an employee dies or is declared dead, the employee's heirs or legatees can withdraw the balance in the employee's housing provident fund account; if there is no heir or legatee, the balance in the employee's housing provident fund account will be included in the appreciation income of the housing provident fund.

Article 25 If an employee withdraws the balance in the housing provident fund account, the employer shall verify it and issue a withdrawal certificate. Employees should apply to the Housing Provident Fund Management Center to withdraw housing provident funds with the withdrawal certificate. The Housing Provident Fund Management Center shall make a decision to approve or disallow the withdrawal within 3 days from the date of accepting the application, and notify the applicant; if the withdrawal is approved, the entrusted bank shall handle the payment procedures.