Legal analysis: there is no penalty for prepayment of provident fund loans. The repayment method of provident fund is free repayment, and there will be no liquidated damages for early repayment. There are usually two ways to repay the provident fund loan in advance, one is to repay the loan in advance, and the other is to pay it off in one lump sum.

Legal basis: Civil Code of People's Republic of China (PRC).

Article 667 A loan contract is a contract in which the borrower borrows money from the lender, repays it at maturity and pays interest.

Article 680 It is forbidden to lend at high interest, and the loan interest rate shall not violate the relevant provisions of the state. If there is no agreement on the payment of interest in the loan contract, it shall be deemed that there is no interest. If the loan contract does not specify the method of interest payment, and the parties cannot reach a supplementary agreement, the interest shall be determined according to the local or the parties' trading methods, trading habits, market interest rates and other factors; Loans between natural persons are regarded as having no interest.