1. Generally speaking, the provident fund is divided into two repayment methods: principal amount and principal amount.

Under the condition of constant loan interest rate, the repayment method in average capital will save more interest than the repayment method of equal principal and interest.

As a welfare housing loan, the provident fund loan policy has not changed.

Not only can you make a down payment of 20%, but you can also enjoy a provident fund interest rate of 3.87%, which is lower than 30%.

Therefore, choosing average capital as provident fund loan will save more interest.

2. There are two ways to repay the loan with the balance of the provident fund account. One way is "annual repayment", and the loan principal is directly offset by the account balance in April or September every year.

The other is "monthly payment", in which the balance in the account is used to repay the repayment amount of the current month (the principal and interest are paid together).

Most people think that it is more cost-effective to write off the principal in one year, thus saving more loan interest.

In fact, last year's snapping up may be really uneconomical.

3. The specific loan of the provident fund loan is cost-effective for several years, depending on your own actual situation, such as the type of house or the age of the borrower.

If inflation is considered, under normal circumstances, it is recommended to choose 30 years.

If you apply for too many times and are worried that your big data will lead to the failure of car loans and mortgages in the future, you can check your big data in Puxincha, which provides accurate information for debtors, people who apply for too many online loans, loan users and platform risk control personnel. You can quickly query all kinds of big data, such as arrears records, loan applications, credit reports, etc. , so that you can better understand your credit status.

Extended data:

Can I withdraw the provident fund by repaying the mortgage in advance?

It is possible to withdraw the housing provident fund by repaying the mortgage in advance.

Repaying the principal and interest of the housing loan itself is one of the conditions for withdrawing the provident fund. If you withdraw the provident fund to repay the mortgage in advance and use the provident fund to repay the loan, you can choose to withdraw the balance of the provident fund account at one time to repay the loan principal (monthly withdrawal means offsetting the loan principal and interest on a monthly basis).

After paying off the mortgage in advance with your own money, you can also apply for provident fund.

As long as it meets the conditions for withdrawal of provident fund.

For example, buying, building, rebuilding or overhauling one's own house, without tenants paying rent, and applications from families with financial difficulties can all be used to subsidize families.

Just note that if you use the housing provident fund to apply for provident fund loans and buy the first suite, you can't apply for provident fund loans again until you have paid off all the provident fund loans under your name.

And if you have bought two suites with provident fund loans, you can't apply for provident fund loans regardless of whether the loans are paid off or not.