First, the borrower applies for a loan and submits relevant loan information.

Secondly, wait for the loan institution to conduct audit and inspection, and investigate and evaluate the loan information provided by the borrower.

Then, the lending institution also needs to judge the repayment ability and credit status of the borrower according to his personal qualifications, so as to determine the loan amount and loan term of the borrower.

Furthermore, if the borrower is approved, the lending institution can issue loans at any time according to the borrower's needs.

Finally, the borrower needs to repay in full and on time according to the time agreed in the contract.

Therefore, before applying for a small loan, the borrower should first understand the process and conditions of handling a small loan in detail, so as to make preparations in advance and save the loan time.

The repayment methods of personal loans in banks include interest before principal, equal principal and interest repayment, equal principal repayment, equal progressive repayment, equal progressive repayment and combination repayment. To choose the best repayment method, factors such as repayment interest rate, loan term, guarantee method and loan amount should be considered comprehensively.

1, interest takes precedence. This method, also known as the final settlement method, means that the borrower pays off the loan principal and interest on the loan maturity date and repays the interest every month. Generally applicable to loans with a term of 1 year (inclusive).

Case: The loan amount is 654.38 million, the term is 1 year, and the annual interest rate is 10%. Interest before this method: the interest is1* *10000 yuan, and the repayment amount of each installment is:

2. Equal principal and interest repayment method

Refers to the average monthly repayment of loan principal and interest during the loan period.

The calculation formula is: monthly repayment amount = monthly interest rate ×( 1+ monthly interest rate) number of repayment periods /( 1+ monthly interest rate) number of repayment periods-1X loan principal.

In case of prepayment due to interest rate adjustment, the repayment amount of each installment shall be calculated according to the adjustment formula of outstanding loan balance and remaining repayment periods.

3. The average capital repayment method refers to the equal repayment of the loan principal every month during the loan period, and the loan interest decreases with the principal month by month. It is characterized by regular and fixed repayment of principal and monthly payment, and the monthly loan balance is reduced.

The calculation formula is: monthly repayment amount = loan principal/repayment period+(loan principal-accumulated repayment amount of loan principal) × monthly interest rate.

4. Equal-ratio progressive repayment method: the borrower repays the loan with a certain proportion of progressive amount (installment amount) in each time period, in which the amount returned in each time period includes the interest and principal due in that time period, and repays it in installments according to the repayment interval, and pays off all the principal and interest before the loan deadline. Usually, the ratio is controlled between 0 and (+/- 100)%, and the principal or interest in any repayment plan shall not be less than zero after calculation. It can be divided into equal-ratio increasing repayment method and equal-ratio decreasing repayment method, and the former can be selected when the expected future income increases to reduce the trouble of early repayment; In anticipation of future income decline, you can choose the latter to reduce interest expenses.

5. The equal progressive repayment method is similar to the equal progressive repayment method, except that the "fixed proportion" of the agreed repayment in each time period is changed to "fixed amount". Divided into equal increasing repayment method and equal decreasing repayment method: customers with increased income can take measures such as increasing progressive amount and shortening interval to reduce interest burden; Customers with declining income levels can take measures such as reducing the progressive amount and expanding the progressive range to reduce the repayment pressure.

6. The combined repayment method is a repayment method that repays the loan principal in installments and calculates the interest according to the actual occupation time of funds. That is, according to the borrower's future income and expenditure, all the loan principal is divided into several repayment stages in proportion, and then the repayment period of each stage is determined. During the repayment period, it is agreed that the monthly repayment amount of the principal to be repaid in each installment shall be calculated in the form of equal principal and interest within the specified period, and the unpaid principal shall bear interest on a monthly basis, and the sum of the two parts forms the monthly repayment amount.

loan for purchasing house

When buying a house with an equal principal and interest loan, the formula for calculating the monthly repayment amount is:

[loan principal × monthly interest rate ×( 1+ monthly interest rate) repayment months ]=[( 1+ monthly interest rate) repayment months-1]

Calculation principle: from the beginning of monthly contribution, the bank collects the interest of the remaining principal first, and then the principal; The proportion of interest in monthly payment decreases with the decrease of residual principal, and the proportion of principal in monthly payment increases with the increase, but the total monthly payment remains unchanged.

Interest rate calculation

When buying a house with an average capital loan, the calculation formula of monthly repayment amount is: monthly repayment amount = monthly principal+monthly principal and interest; Monthly principal = principal/repayment months; Monthly principal and interest = (principal-total accumulated repayment) x monthly interest rate

Calculation principle of average capital interest rate: the amount of principal returned every month is always the same, and interest will decrease with the decrease of remaining principal.