This was officially launched on January 1, 2005. We learned from the most advanced foreign housing loan repayment experience and set it up. We feel that this repayment method is the most advanced repayment method in China and is also a relatively common method internationally. The most important feature is the issue of freedom. We only set a minimum repayment amount. This minimum is the lowest loan risk we consider. This is lower than the average monthly repayment amount. Above this minimum repayment amount, individuals can pay as they please. Adjust the monthly repayment amount. If the individual’s income is higher this month, he can repay more this month. If the income and expenditure situation is low, he can also reduce this amount. So the fundamental meaning is that individuals can determine the repayment amount every month based on their own income and expenditure. It is a repayment method with no fixed monthly amount. The amount of other domestic loans is basically fixed. For free repayment, we set up a personal phone call system. We personally have an account and password, and we can easily handle it by dialing the customer service number 96155.

Since individuals can adjust the repayment amount at will, free repayment currently covers all other forms of personal housing loans in the country. You can adjust it to equal principal and interest repayments.

If you repay it this way, how will the interest be calculated? Won't it look a bit messy?

To calculate interest, you can go to the front desk to get a monthly statement. The simple method we adopt is to repay the interest first and then the principal. This is basically the principle.

I just talked about the minimum limit. How is this minimum limit calculated?

This formula is very complicated. We consider a minimum risk, such as the depreciation of housing, etc. This will happen. If the minimum repayment amount is not designed, the people will not repay a penny in the past 30 years. If they pay back all at once, if they cannot afford it, our risk will be greater.

Can we understand that with free repayment, he will have a higher proportion of early repayment?

In fact, if you use free repayment, there is no concept of early repayment. In the past, if you wanted to repay a loan in advance, you needed the bank to submit an application one month in advance and other procedures. But with free repayment, the monthly repayment amount is not fixed. Just make a phone call and set it up. And when I personally make free repayments, I would like to remind you because we have set a minimum repayment amount. It is best for ordinary people to set it reasonably according to their family income and expenditure. If someone has a habit of setting a minimum limit, he will always repay according to this minimum limit. This will cause you to accumulate a large amount of credit in the last period, which has an impact on the individual. I would like to take this opportunity to remind those home buyers who apply for free repayment to set their own loan according to their family income and expenditure. It is best not to repay the minimum amount for a long time. In this way, you will have less up front, and the entire interest burden will also increase.

This is the minimum limit, is there a maximum limit?

No, it is only available during loan review. There is no such setting during loan repayment, as long as it is not more than the remaining loan.

When some provident fund loans are used, they may go through the assessment center and the approval center, which may have some fees. Some applicants want to do it by themselves. Can they do it by themselves?

Comprehensively speaking, the fees involved include evaluation fees, guarantee fees, and agency fees. Depending on the situation, some of these fees need to be collected, and some do not. We charge loan interest in accordance with national regulations. These other fees are not collected by our center. Personal loans require a guarantee, and you need to pay a guarantee service fee. If you can take out a mortgage guarantee, you may not need to pay a guarantee service fee. The same is true for evaluation. At present, we need to evaluate both commercial houses and second-hand houses. On the one hand, we evaluate the legality of the purchase and sale procedures, whether there has been a mortgage in advance, the nature of the house, etc. However, affordable housing does not need to be assessed, so if it needs to be assessed, you have to pay the assessment fee, and if it does not need to be assessed, you don’t have to pay it. As for the agency agencies, ordinary people can choose by themselves. If you choose, these agencies will have to choose some fees.

If I am a home buyer, what is the provident fund withdrawal cycle?

That’s right, I’m in charge of loans, and the state has regulations on provident funds. We have specific regulations, and there are some differences in the time interval for this extraction.

Most people who use provident fund loans to buy houses are off-plan houses. Can I apply for an existing house?

You can apply. The nature of provident fund loans is much wider than the original scope. As long as the house is legally sold according to national policies, you can apply for provident fund loans, but banks may have some restrictions. As for the existing house you mentioned, as long as it is sold legally, you can apply for a provident fund loan. We have launched a new policy this year for housing provident fund loans for existing homes. Because the previous provident fund loans for existing houses were more complicated for ordinary people to apply for than for off-plan houses. We mainly consider the control of loan risks, because as everyone knows, existing houses are not subject to pre-sale registration according to the regulations of the real estate management department, which poses some risks to our loans. We have some control measures, such as the developer signing an agreement and conducting a series of controls before we issue the loan. This year, in order to further simplify the procedures, we have launched a new policy. At present, we can control risks internally, that is, through other online methods. Compared with ordinary people, when they apply for provident fund loans for existing houses, they do not have to sign with developers. What an agreement? The procedures for handling this existing house are the same as those for off-plan houses, and the procedures are greatly simplified.

If the housing provident fund has been distributed, what matters do you, as the provident fund management center, need to remind me to pay attention to?

When we go through the procedures, we will give our relevant promotional brochures and operation manuals to the borrowers. After the loan is completed, it is best for everyone to read this manual. Especially free repayments, including balance checks, can be done over the phone. Now we find that many people do not know how to operate, so they end up paying the lowest amount without making reasonable adjustments, which will be detrimental to their repayment risks and interest in the future. Therefore, the first suggestion is that you read our operation manual to know how to operate and repay in the future.

Second, after the loan is disbursed, the bank will notify the individual, such as receiving loan materials. If there are any questions, they should contact the corresponding bank.

Third, when repaying, everyone must be familiar with the free repayment business and make reasonable adjustments, including what I just mentioned, do not always repay the minimum amount. At the same time, if you have any questions, you can call our customer service law at 96155 and contact us at any time. If you may have some unclear balances, you can call us and we can provide high-quality services to the majority of lenders.

If a retired person wants to apply for a housing provident fund loan, can he?

Yes.

How to apply?

In fact, the most important issue is the provident fund’s reverse deduction of income and provident fund qualifications. For retired employees, according to the national provident fund management, once they retire, they will have no provident fund. The provident fund is part of their salary. If they retire, according to national regulations, the original provident fund can be withdrawn, and the new provident fund will be gone. This is stipulated by national policy, so retired employees can still apply for provident fund loans from us, as long as they prove that they have indeed participated in the housing provident fund system before retirement. If he is qualified to take out a loan, and if there is no inverse deduction of income, we will also need to issue an income certificate from the employer to prove his repayment ability.

The provident fund loan application process

You only need to go through it twice: the first time is to apply; the second time is to interview

There are also a large number of young people who choose housing provident fund Taking out a loan to buy a home? How do I apply? What are the general steps?

There are roughly the following items. One is that you are paying the provident fund normally and have been paying it for more than a year. This can generally be achieved. The other is for individuals to legally purchase a house, provide corresponding identity certificates and loan materials, provide corresponding guarantees, and cooperate with us in the corresponding review procedures. Everyone can go to our website. Once an individual meets the qualifications, as I just said, you only need to run twice, the first time is to apply. You can call 96155 to inquire about what you need to bring. Or call our center at 67690494. Ask what information you need to bring, and you can just bring it. You will be notified when to come for the second time. In fact, the second time is after the loan review is completed. The contract that the individual needs to sign is also automatically printed through our input into the system. The individual only needs to bring the information and sign the contract in person.

I don’t think you need to know more about it in detail. We will tell you everything. As long as you make a call in advance and bring all the information when you come here for the first time.

If a home buyer is enjoying the housing provident fund, or is preparing to use the housing provident fund for a loan, for example, if he has a dispute with his employer, what are his rights protection channels?

There are probably several aspects. When you apply for a provident fund loan, as long as you meet our requirements and have the ability to repay, there should be no issue with your employer. In terms of the loan procedure itself, we do not need the involvement of the employer. His provident fund is paid to our management center, and we can check it directly on the system without any certificate from the unit. Applying for a loan by an individual is a personal matter and has nothing to do with the company. It is just an employment relationship with the company during normal work hours. If you find any obstacles or problems in handling, you can call 96155 for consultation. Now the problem is bigger, because after all, the interest rate of provident fund loans is relatively low, and the biggest obstacle when everyone applies is the developer. In this case, it greatly affects the individual's right to enjoy the low interest rate of the housing provident fund. In fact, the individual suffers a loss, and it is not in line with the principle of overall social benefit. In this case, individuals can report the problem to the relevant departments on the one hand. We have also seen this problem this year. Our center is also reporting or discussing research with relevant departments. If you encounter such problems, you can also report it to relevant departments.

Second, everyone should realize that applying for a provident fund loan is their right, and developers have no reason to refuse. Whether it is a provident fund loan or a bank commercial loan, it is the same money in the hands of the developer, and there is no difference. Moreover, the fact is that the speed of providing provident fund loan processing does not pose a problem for developers to collect payment, as I have just said. What this developer did is wrong, and it is the same for him. Therefore, individuals need to make it clear to developers, and developers should also support individuals in choosing any type of loan.

Third, the housing provident fund system and housing provident fund loans are also an institutional arrangement of the country. Although developers’ buying and selling of houses is a market behavior, you cannot make changes to the country’s institutional arrangements because of this market behavior. Some unsupported practices also harm the interests of the people. Another thing I think is that this situation among developers has something to do with some objective circumstances. As we all know, the real estate market in Beijing is now dominated by developers. I do not accept provident fund loans. If you insist on using provident fund loans, then you don’t have to buy my house. The developer believes that this is market behavior and no one can control it. In fact, it hinders the implementation of the national system.

A loan of RMB 600,000 and a provident fund repayment in 30 years will pay RMB 200,000 less in interest than a commercial loan.

One is that I hope everyone can understand the objective situation and carefully consider the conditions before buying a house and taking out a loan. After understanding the situation clearly, you can then calculate which method is suitable, what method you should take to buy a house, and what method you should take to obtain a loan. Everyone has relevant understanding of the relevant situation. Another thing is that everyone should try their best to protect their rights and interests. After all, a provident fund loan, for example, is 600,000 for 30 years. When the interest is calculated, compared with a commercial loan, it is 200,000. Our Provident Fund Management Center, as an organization entrusted by the government to manage provident funds, has always regarded solving the housing needs of middle and low-income people as our main task. We must put the interests of the majority of netizens first.