1. Understand the advantages of provident fund loans.
Provident fund loans refer to housing provident fund loans. Its advantage lies in the low interest rate, which can reach 3.25%, far lower than commercial loans. Moreover, there are government subsidies, which can reduce the burden on lenders.
2. Meet the application conditions for provident fund loans.
To apply for provident fund loans, you need to meet certain conditions. First, the applicant must be a citizen with a record of paying the housing provident fund. Secondly, the record of the applicant's payment of housing provident fund must meet certain standards, and the applicant's credit record must be good.
3. Prepare the materials needed to apply for provident fund loans.
To apply for provident fund loans, you need to prepare some materials, including ID cards, household registration books, housing provident fund deposit records, credit reports, loan application forms, etc.
4. Apply for a loan from the bank
After collecting all the materials, you can apply for a loan from the bank. The bank will examine whether to approve the loan according to the applicant's qualifications and materials. If it agrees, it can sign a loan contract and start repayment.
5. Converting commercial loans into provident fund loans.
If the applicant already has a commercial loan, the commercial loan can be converted into a provident fund loan through loan conversion. The process of loan conversion requires the applicant to provide certain materials, which will be reviewed by the bank. If approved, commercial loans can be converted into provident fund loans.
Second, on the mortgage from commercial loans to provident fund loans.
Before changing mortgage loans from commercial loans to provident fund loans, applicants need to know some precautions to avoid unnecessary troubles.
1. Understand the cost of loan conversion.
The process of loan conversion needs to pay a certain fee, including handling fee and evaluation fee. Applicants need to know the specific amount of these fees to avoid unnecessary losses.
2. Know the time of loan conversion
The process of loan conversion takes a certain amount of time, usually 1-2 months. Applicants need to know the time of loan conversion in order to better arrange the repayment time.
3. Understand the risks of loan conversion
There are also some risks in the process of lending. If the applicant's qualification does not meet the requirements or the loan application is rejected, the loan conversion fails. Therefore, the applicant needs to know the risk of loan conversion in order to better control the risk.
Three. conclusion
As can be seen from the above introduction, it is a complicated process to change mortgage from commercial loan to provident fund loan. Applicants need to understand the advantages of provident fund loans, meet the application conditions of provident fund loans, prepare the materials needed to apply for provident fund loans, apply for loans from banks, and convert commercial loans into provident fund loans. In addition, the applicant also needs to know the cost, time and risk of loan conversion in order to better control the process of loan conversion.