With a loan of 1 million yuan, you can repay 5307 in the first month, of which 4083 is interest, and you are still burdened with huge debts. In the last month, I also paid back 5307, the interest was only 2 1.58, and the principal was paid off.

There is a big misunderstanding here. In particular, the prepayment of the equal principal and interest method is mostly interest. It can even be said that only a small part of the money you pay each month is the principal, and the rest is the interest, but most of the later repayments are the principal with little interest.

Therefore, many people misunderstand that the equal principal and interest method is being exploited in the early stage, so they tend to repay in advance and do what they can. There is a wrong theory that the earlier the equal principal and interest method is used, the better. If you haven't repaid in advance in the first three to five years, then don't repay, because you have already repaid all the interest, and it is not worthwhile to repay in advance in the future, giving people the illusion that prepayment sucks blood. This erroneous theory is widely circulated and can be seen everywhere on Baidu.

For example, if the loan is 100W, the accumulated debt service in 30 years is close to 19 100000, and he will calculate it for you. If you repay 10W in advance every year for the first three years, your final total debt service is only 1620000! The interest you paid suddenly changed from 9 1 10,000 to 600,000, saving 300,000.