1, depending on the repayment method, the interest will vary greatly. Of course, if you want to reduce interest, you can choose to repay in advance, but banks also have provisions for prepayment. It is not that the earlier the repayment, the less interest.

2. Matching principal and interest repayment method, that is, the borrower repays the loan principal and interest with the same amount every month. In this way, the interest expense is the most in the initial repayment period, and the principal is relatively small. In the future, with the gradual reduction of monthly interest expenses, the returned principal will gradually increase.

3. Average capital repayment method, that is, the borrower repays the same amount of loan principal every month, and the interest decreases month by month with the principal, and the monthly repayment amount also decreases month by month.

When you have enough funds, you can choose to repay the loan in advance. The earlier the loan, the better, so the interest will be less. Don't repay the loan in advance within one year, so the interest will be higher. The sooner you repay the loan after one year, the more cost-effective it will be for you.

5. From the perspective of savings interest, general capital is appropriate. The sooner the loan is repaid, the better, but banks generally require repayment for one year before they can repay in advance.

6. Under the condition of the same loan time, the interest paid by the equal principal and interest repayment method is higher than that by the average capital repayment method. Therefore, if you plan to repay in advance, you'd better choose the average capital repayment method.

7. Repaying the loan in advance is mainly to reduce interest, especially in the first few years of the loan, the principal base is large and the interest is correspondingly high. Therefore, financial experts suggest that in the first few years of the loan, especially in the first five years, we must strive for more repayment, so as to reduce the principal base of the total loan and reduce the interest burden in the remaining loans. ''

8. In short, the most fundamental purpose of choosing to repay the loan in advance is to reduce the interest as much as possible. Therefore, it is necessary to calculate the time of prepayment. The earlier the repayment, the less interest. Try to pay off the loan during this period.