Can a second-home commercial loan be converted into a provident fund loan?

A second-home commercial loan can be converted into a provident fund loan, provided that the first home has not applied for a provident fund loan, or it is the first one to apply for a provident fund loan. The provident fund loan has long been settled. Since the second house can apply for a provident fund loan, it is natural to accept the transfer of business to public. However, when the second house is transferred from the developer to a public company, the loan interest will be 1.1 times the benchmark interest rate of the personal provident fund loan.

Consumers' second home becomes a provident fund loan. Even if the interest rate rises, the annual interest rate after the increase will still be less than the annual interest rate of commercial loans. Therefore, it is still cost-effective for consumers to convert the second home into a public company. What conditions must be met for a commercial loan to be converted into a provident fund loan?

1. The loan applicant must make normal full deposits for more than six months in accordance with the regulations. The loan applicant must be consistent with the original commercial loan The lenders are the same person.

2. The original residential loan is a purely profit-making loan (no constituent loan), the loan repayment status is normal and the loan has been repaid for more than one year, and the credit report is good. The combination loan cannot be applied for this business and cannot be turned into a composed loan.

3. The commercial and residential building purchased by the loan applicant should be a complete set of housing in a well-established residential community in Chaohu City. Under normal circumstances, it should be a house in a residential community (the property certificate is marked as a residential community), and the property has been registered. Apply for the certificate (no rights to real estate are objectionable), the land ownership is clear and there is no objection, and the loan applicant’s property rights ratio cannot be less than 50 years;

4. The loan applicant lives in this city and has civil acts Ability, good credit standing, stable financial income and the ability to repay loan interest; the monthly repayment limit cannot exceed 50 yuan of the monthly income of the family;

5. The applicant’s original commercial loan must be settled in advance (After repayment, the original commercial loan financial institution will issue a "Letter of Authorization for Cancellation of Other Real Estate Housing Warrants");

6. There cannot be two residential provident fund loans before the "business-to-public transfer", and There are no other outstanding loans. What is the difference between commercial loans and provident fund loans?

1. The annual interest rates of loans are different: the interest rate of provident fund loans for 5 years and above is 3.25, and the total interest generated is low. The loan interest rate for commercial loans without discounts is 4.9, and the total loan interest of the loan is very high.

2. The loan amounts are different: the provident fund loan credit limit is limited by the deposit period and balance of the housing provident fund. In addition, the current policy also clarifies the maximum loan credit limit of the provident fund; business The loan credit limit of the loan is higher than the provident fund loan credit card limit.

3. The prerequisites for loans are different: Commercial loans require good personal credit, no bad credit record, and the ability to repay. To choose a provident fund loan, you also need to have a good credit report. There are also regulations, which is that in the first 6 months from the date of the loan, the individual's provident fund must be paid in full and continuously.

4. The speed of the loan process is different: the commercial loan process is relatively simple. After the commercial loan is processed by the bank, the loan can be issued quickly. The provident fund loan process is complicated. You must first go to the Housing Fund Management Center to apply. The center will review the loan and start applying for it. From application to loan distribution, it takes a long time.

5. Own funds are different: The funds of the Housing Provident Fund Management Center come from the provident funds deposited by employees themselves and their affiliated units. It can be simply interpreted as "everyone does his best and uses it for the people." Commercial loans require real estate as collateral to obtain a one-time loan from a bank or other financial institution.