Prepayment is generally divided into two ways: partial prepayment and full prepayment.

According to the different repayment methods, the borrower can choose to reduce the term or amount. It is understood that at present, most banks can provide five ways to repay loans in advance for customers to choose from.

First, all loans are repaid in advance, that is, customers pay off all remaining loans at one time. (There is no need to repay the interest, but it will not be refunded if it is paid)

Second, a part of the loan will be repaid in advance, and the monthly repayment amount of the remaining loan will remain unchanged, thus shortening the repayment cycle. (save more interest)

Third, repay some loans in advance, reduce the monthly repayment amount of the remaining loans, and keep the repayment period unchanged. (Reduce the monthly payment burden, but less than the second type)

Fourth, repay some loans in advance, reduce the monthly repayment amount of the remaining loans and shorten the repayment cycle. (save more interest)

Fifth, the remaining loans keep the total principal unchanged and only shorten the repayment period. (The monthly payment increases and the interest decreases, but it is relatively uneconomical.) Financial experts suggest that the principal should be reduced as much as possible to shorten the loan period and pay less interest.

Extended data:

Repayment method:

(1) Equal principal and interest repayment method: equal repayment every month, the sum of loan principal and interest. Most banks have adopted this method for housing provident fund loans and commercial personal housing loans. So the monthly repayment amount is the same;

(2) average capital repayment method: that is, the borrower distributes the loan amount to each period (month) evenly throughout the repayment period and pays off the loan interest from the previous trading day to the repayment date. In this way, the monthly repayment amount decreases month by month;

(3) Paying interest and principal on a monthly basis: that is, the borrower repays the loan principal in one lump sum on the loan maturity date (applicable to loans with a term of less than one year (including one year)), and the loan bears interest on a daily basis and the interest is repaid on a monthly basis;

(4) Repay part of the loan in advance: that is, the borrower can repay part of the loan amount in advance when applying to the bank, which is generally an integer multiple of 65,438+0,000 or 65,438+0,000. After repayment, the lending bank will issue a new repayment plan, and the repayment amount and repayment period will change, but the repayment method will remain unchanged, and the new repayment period shall not exceed the original loan period.

(5) prepayment of all loans: that is, the borrower can repay all the loan amount in advance when applying to the bank, and the loan bank will terminate the borrower's loan at this time after repayment and handle the corresponding cancellation procedures.

(6) Pay back as you borrow: interest is calculated on a daily basis after borrowing, and interest is calculated on a daily basis. You can pay the money in one lump sum at any time without any penalty.

The main accounting treatment of loans:

1. Loans issued by enterprises shall be debited to the subject (principal) according to the contract principal of the loan, and credited to the subjects such as "deposit absorption" and "deposit with the central bank" according to the actual amount paid. If there is any difference, it should be debited or credited to this account (interest adjustment).

On the balance sheet date, unpaid interest receivable shall be calculated and determined according to the contract principal and contract interest rate of the loan, and interest income shall be calculated and determined according to the amortized cost and actual interest rate of the loan.

Credit "interest income" subject, according to the difference, debit or credit this subject (interest adjustment). If the contract interest rate is not much different from the actual interest rate, you can also use the contract interest rate to calculate and determine the interest income.

2. On the balance sheet date, if it is determined that the loan is impaired, the "asset impairment loss" account will be debited and the "loan loss reserve" account will be credited according to the amount to be written down.

At the same time, the balance of this account (principal and interest adjustment) should be transferred to this account (impairment), debited to this account (impairment) and credited to this account (principal and interest adjustment).

On the balance sheet date, the interest income shall be calculated and determined according to the amortized cost of the loan and the actual interest rate, and the account of "loan loss reserve" shall be debited and the account of "interest income" shall be credited.

At the same time, the interest receivable amount calculated and determined according to the contract principal and the contract interest rate is registered off the table. When recovering impaired loans, the subjects such as "absorbing deposits" and "depositing funds in the central bank" should be debited according to the actual amount received.

Debit the "loan loss reserve" account according to the relevant loan loss reserve balance, credit the account (impaired) according to the relevant loan balance, and credit the "asset impairment loss" account according to the difference.

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