Generally speaking, the monthly mortgage payment can be repaid in advance. For early repayment, you can choose to pay off the entire loan in advance, or you can choose to repay part of the loan in advance. In some cities, housing prices are high and loan amounts are large. Few people can repay them all at once, so most people choose to pay off their loans partially in advance.

Among the two methods of partial repayment, the former can save more interest than the latter. However, some banks default to the second method, which is the one with higher interest. The reason for this is Because house buyers pay less interest, it means that the bank receives less income. The higher interest rate can guarantee the bank's income. Of course, there are differences in policies between banks, and there will be differences in specific implementation.

Notes on early repayment

1. It is not necessary to repay the provident fund first. For provident fund loans, do you have to pay off the provident fund loan first before you can apply for early repayment of a commercial loan? Industry insiders said that only the money in the provident fund account must be used to pay off the provident fund loan first. If it is other self-owned funds, you can decide whether to use it first to repay commercial loans or to offset provident fund loans based on personal preferences and needs.

2. Mortgage cancellation. Bankers pointed out that because many lenders are indifferent to mortgage rights, they often forget to go to the property rights department to cancel the mortgage after early repayment. In this way, although the loan is paid off, the house is still registered with the property rights department, which will bring trouble to future housing transactions. To cause unnecessary trouble.

3. Pay attention to bank regulations. Most banks have requirements for early repayment. Some banks require at least one year of repayment before you can apply for early repayment, but some banks say you can apply for early repayment at any time. Therefore, home buyers should pay attention to the specific regulations of the bank where they apply for loans.

4. If the home buyer’s loan has entered the middle of the repayment stage, most of the monthly payment is the principal, and early repayment has little meaning. If the home buyer is not very rich, you can There is no rush to repay the loan early. Especially in the later stages of repayment, there is no need to use concentrated funds to repay. This not only disrupts financial management plans, but also goes against the effective use of funds.