1, telephone reservation

If you need to repay in advance, call the bank's customer service hotline to make an appointment in advance, and then wait for the bank's notice. At the same time, carefully check the bank's prepayment requirements and pay attention to whether it is necessary to prepare prepayment penalty.

Step 2 fill out the application form

After receiving the notice from the bank, go to the outlet to get the application form and fill it out. At the same time, prepare the required materials, identity cards, loan contracts, etc., and submit them to the bank for approval.

3. Go through the repayment procedures

After the bank has passed the examination, you will be informed by phone, and then you will go to the bank with the relevant documents to go through the formalities of prepayment.

Step 4 pay in advance

After the formalities are completed, go to the bank counter to repay the money, and some banks can directly transfer the money to the card. You can consult the bank staff for specific methods.

Is it cost-effective to prepay?

Whether it is cost-effective to repay the loan in advance depends mainly on your needs and has a great relationship with the loan interest rate.

1. From the perspective of interests.

Suppose the loan 1 year * * * needs to repay the interest 1000 yuan. If you repay the loan six months in advance, you only need to repay 500 yuan interest, which is definitely cost-effective compared with the previous loan of 1000 yuan.

2. From the perspective of interest rate.

If you have 500,000 cash and 500,000 outstanding loans, then whether you choose to repay the loan in advance at this time will be calculated according to their interest rates.

Assuming that you can generate interest income from 500,000 to 30,000 through financial management, the loan only needs 20,000 interest expenses every year, so it is definitely not cost-effective to repay the loan in advance.

For example, the interest rate of provident fund loans is 3.25%, and now the yield of many wealth management products is above 4%, and some can even reach 5% on a regular basis, so there is no need to repay the loan in advance.

Of course, the premise of all this is that you can obtain stable and safe income through financial management without delaying the normal repayment plan.

Matters needing attention in handling loans:

1. If you are going to apply for a loan to buy a house, you must determine your personal economic strength in advance, and whether there will be great pressure after the loan. Under the correct circumstances, after buying a house with a loan, the monthly payment that an individual needs to repay cannot be greater than 1/2 of his monthly salary, otherwise it will increase the economic burden, which is not conducive to normal home life.

2. Buy commercial housing to choose the most affordable loan method to maximize personal interests. So when you go to the bank to apply for a loan to buy a house, you can ask the service staff if there are any more favorable policies, and then choose the one with the lowest interest rate and convenient and simple handling process to save the lender's time.

Pay special attention to the choice of repayment method, and it is best to choose the one that will not cause too much pressure. If you choose equal repayment, then you can determine the monthly payment you need in your future life. General capital, on the other hand, is suitable for people with strong economic strength and needs less interest.