First, many banks still have liquidated damages for early loans, and the time limit stipulated by different banks is different. Of course, the specific requirements depend on what is written in the contract. To put it bluntly, the bank pays so much manpower, qualifications and energy to help you borrow money, just to reap the interest and income of your loan. But if you pay back the money in advance, they will naturally lose money or even work for nothing, and they will definitely collect liquidated damages.

Take the one-year period of many banks as an example:

1. ICBC: 5% of the prepayment amount will be charged for prepayment within one year; If the repayment is made in advance after one year, no penalty will be charged.

2. China Merchants Bank: If the prepayment is less than one year, interest will be charged for at least three months relative to the actual repayment amount; In case of prepayment after one year, at least 1 month interest shall be charged.

3. Agricultural Bank: If the loan is repaid in advance within one year, it will be charged according to the calculation formula of the monthly interest rate of the principal; If the repayment is made in advance after one year, no penalty will be charged.

4. Bank of China: If the prepayment is less than one year, the maximum penalty interest shall not exceed six months; If the repayment is made in advance after one year, no penalty will be charged.

5. Construction Bank: 3% of the prepayment amount will be charged for prepayment within one year; 2% for prepayment after one to two years; If repayment is made two to three years in advance,1%will be charged;

Liquidated damages are generally calculated according to the percentage of the outstanding balance at the time of prepayment (generally 2% to 5%); Or agree on interest for several months. However, the maximum liquidated damages are subject to contract or law. Therefore, the validity period of liquidated damages usually does not exceed 3 years (some are 5 years). After the expiration of the validity period, the penalty rate will be cancelled or gradually reduced.

Second, mortgage is the best and most conscientious loan we can borrow at present, and you can not pay it back unless you are really rich. If the loan is 1.2 million yuan, the monthly repayment cost is 7 102 yuan, which is 85,224 yuan a year, based on the interest of 5.88% for 30 years.

However, if the loan interest is 5.45%, it will be 6,775 yuan per month and 8 1300 yuan per year.

At present, most time deposits can earn more than 4% interest, and many private banks can get 5.45% interest, which means that if you put1.2000 yuan into bank deposits, you can also get a return of about 48,000 ~ 65,400 yuan.

After deducting the mortgage, the actual repayment amount is not high! !

Most importantly, when you have a good investment opportunity, such as stocks;

Or when you really need money badly, you need 500 thousand, 1 10 thousand;

It is very difficult for you to borrow a sum of more than 654.38+0 million yuan from others. After borrowing for 30 years, the interest only needs about 5.88%.

So from this perspective, the later the mortgage, the better.

Finally, I'll tell you a living example:

A long time ago, in 1989,

A man bought a suite in Shanghai at a sky-high price of 1500/㎡;

At that time, his monthly salary was 80 yuan.

Pay back 60 yuan's "huge sum" every month,

The loan will be paid off in 20 19 for 30 years.

20 18 years, he still has "huge sum" of 60 yuan every month!

You have to understand that with the passage of time, the repayment pressure will gradually decrease, but the funds you have now can enjoy the current purchasing power without the risk of depreciation. So you can borrow money, in full and for a long time.

Really can't resist the pressure, or 65438+ million, 200 thousand, to reduce the pressure, not much is needed.

Your situation cannot be judged, because the most important thing to measure whether the mortgage is repaid in advance is the interest rate of your mortgage. The following author expounds respectively:

1. Whether the mortgage is advanced depends on your mortgage interest rate. For example, your mortgage interest rate at that time was 4.45%, so it is not worthwhile for you to repay in advance now, because you can easily get a return on investment of more than 4.45% at present.

There is a price difference between the two, and the price difference is your income. If you repay the mortgage in advance, you will lose this part of your income.

If the mortgage interest rate you applied for at that time was 6.37%, then you need to repay in advance, because it is difficult for you to get more than 6.37% investment income, and the difference between the two is your loss.

Therefore, the core criterion of whether you repay the mortgage in advance is whether your return on investment is higher or lower than the interest rate of the mortgage. If the investment yield is high, it should be used for investment. If the mortgage interest rate is high, it should be repaid in advance.

However, everyone's investment ability is different and the rate of return is different. We only consider the most basic one, that is, the bank's wealth management income. This way, the return is safer and the security is higher.

2. Is the prepayment of mortgage related to the mortgage method? It doesn't matter. No matter the repayment method of equal principal and interest or average capital, the result is the same. The bank's mortgage interest is calculated according to your remaining principal. As long as your interest rate is the same, the time value of the two mortgage methods is the same.

Equal principal and interest are different from the absolute amount of interest generated by average capital because the amount of principal repaid in each period is different, that is, the total length of time you spend on the principal is different. Under the principal-interest matching method, interest is mainly paid in the early stage and principal is mainly paid in the later stage, so the total interest is more.

However, the average capital method repays the principal more in the early stage, and the "total time" for using the principal is less, so the interest is less. But as long as the interest rate is the same, it is the same.

3. Is it related to the time to repay the mortgage in advance?

No, it is the same to repay the loan one year in advance as it is to repay the loan five years in advance (generally, the bank will not collect the liquidated damages until one year after repayment, and it needs to collect the liquidated damages within one year).

Summary: whether to repay the mortgage in advance is only related to your return on investment and mortgage interest rate.

Not only is it not cost-effective, but it is also unwise to choose to repay in advance at this time!

Compared with other loans, mortgage is the most cost-effective loan that ordinary people can borrow from banks at present. Why prepay?

The mortgage interest rate is relatively low and the term is still long. I would like to ask, in addition to mortgage, what other loan interest rates are around 5.45%, and the longest term is 30 years! With such a high cost performance, it is unwise to repay in advance unless necessary!

It's easy to repay the mortgage in advance. If you need money in the future, it will not be so easy to apply for a loan from a bank at such a low interest rate.

The mortgage interest rate seems to be high, but the interest is not much. Early repayment is not suitable for mortgage 1.2 million, 30 years. According to the benchmark floating interest rate of 20%(5.88%), the monthly repayment is 7 102 yuan, and the total interest is1356,800 yuan.

It seems quite a lot, but if the interest is averaged, the annual interest expense is only: 1.3568 million ÷30 years = 45,000 yuan, and the annual cost is about: 45,000 ÷ 1.2 million = 3.7%, which is not high!

It is more cost-effective to invest this part of the funds in financial management than to repay in advance. If you repay 600,000 yuan in advance after one year, other conditions remain unchanged. Through calculation, if the repayment period remains unchanged, you can save about 645,700 yuan in interest.

Obviously, this part of the funds is used for investment and wealth management, which is far more cost-effective than repaying the mortgage in advance!

In addition, in this case, you only have to repay in advance one year, and many banks need to charge extra liquidated damages (the specific standard is subject to the contract), which is even more uneconomical!

In short, mortgage is the most suitable loan for ordinary people as far as we know. If the monthly pressure is not great, there is absolutely no need to repay in advance! With this money, it is better to manage money reasonably, which is more appropriate! Loan 120w30 years. Is it worthwhile to repay 60w immediately after one year? Tell you straight away: it's definitely not cost-effective.

The reasons are as follows.

First, the mortgage of 1.2 million is very cost-effective and important. I often say to my friends, cherish the first home loan and cherish your various mortgages. Why?

Mortgage is the only low-interest, large and long-term loan that China people can borrow in their life.

(1) Low interest rate

The mortgage interest rate is generally low, which is about 4.9% according to the current benchmark loan interest rate. The average person's mortgage is around this benchmark. Some people borrow money to buy a house when the interest rate is relatively loose, and the interest rate may be discounted. Some people buy it when the house is regulated, and the interest rate may rise by 10-20%, but the highest is about 6%.

Judging from the national implementation standards, except for overseas, most cities in the country have risen; Among them, Suzhou, Wuhan, Nanning and other regions have the highest relative benchmark interest rates, and the first home loan interest rate has risen by more than 20% on average.

The lowest first home loan interest rates in Shanghai, Xiamen, Tianjin and Shenzhen are mostly around 5%; The highest Suzhou, Wuhan, Nanning and other regions are less than 6%.

Why is the interest low? Compared with private loans, our mortgage interest rate is really too low. Private loans with a monthly interest rate of 10% or more abound. Or some internet loans, the daily interest rate is three ten thousandths, and the annualized interest rate exceeds11%; But some credit cards are installment loans with a monthly interest rate of 0.7%. It seems that the annualized interest rate is only 8.4%. In fact, according to IRR, the annualized interest rate exceeds 65,438+06%. In contrast, mortgage interest is the most cost-effective.

(2) the amount is large.

The standard of mortgage is about 70% of the assessed value of the house as the upper limit, and the loan can only be made based on the mortgage of the house.

For most ordinary people, it is not easy to get such a large sum of bank money. Let's think of other ways. In the absence of mortgage, it is basically difficult to borrow a lot of money.

(3) Long term

We often hear a saying that compound interest is the rose of time.

In the long run, housing loans will help us buy a house in advance, enlarge our assets and resist the impact of inflation.

We used to hear the nursery rhyme "I found a penny by the roadside", but now "I found a dollar by the roadside", which has increased by a hundredfold.

For loans, it is very cost-effective in the long run. Think about it, who is more valuable, you a million years ago or you now? If you change it into a loan, you can get 6.5438+0 million yuan when you buy a house ten years later. After 654.38+00 years, do you still think it is more than 654.38+0 million yuan?

Second, the current 600,000 yuan is actually more useful. If you have 600 thousand in your hand, you have many uses besides paying off the mortgage.

1, used for house decoration and home appliance purchase.

2, used for emergency. People are dying, and when an accident comes, if 600 thousand is in hand, it can save lives.

300,000 yuan is used for investment and wealth management. If 600,000 yuan is properly allocated, you can get a return higher than the mortgage interest rate.

What's more, if you choose to repay in advance, you may be charged a lot of liquidated damages by the bank. Why bother?

I think whether to prepay depends entirely on my own situation, including my financial situation and my financial management ability. On this basis, I will consider whether it is cost-effective.

From the perspective of financial management, it is not cost-effective to repay in advance immediately after one year of supply. First, the interest expense in the first year accounts for the most.

Regardless of the repayment method of equal principal and interest or average capital, most of the repayment in the first year is mortgage interest, and the principal has not decreased much. For example, the mortgage of1.20,000 yuan will rise by 10% according to the benchmark interest rate, and it needs to pay more than 6700 yuan per month, and the annual expenditure is about 80,000 yuan, of which only1.50 million yuan belongs to the principal, and the remaining 65,000 yuan is interest. In the average capital, the interest expense in the first year is not much different from the matching principal and interest. However, due to the high repayment amount in the early stage, the principal will be repaid about 40 thousand a year. Therefore, if you have enough money, it is better to increase the down payment and pay less interest. As for the liquidated damages for early repayment, although different banks have different regulations, many of them will not be collected after one year. If there is, this is another expense.

Second, mortgage is cheaper than other loans.

From the perspective of capital use cost, the annualized interest rate of benchmark interest rate 4.9% floating 10% is 5.39%, which is relatively low among the interest rates of all bank loan products at present. If the planned advance payment of 600,000 yuan is not repaid first, it is equivalent to continuing to use this 600,000 yuan at a cost of 5.39%. If it is repaid, 600,000 yuan will be needed for turnover or investment later, so it will be reused. The probability of its interest rate is much higher than 5.39%. This perspective should be based on two premises, one is the demand for capital use, and the other is the ability to invest and manage money, and to be a Qian Shengqian.

Inflation devalues the currency.

With the development of social economy, inflation will persist for a long time, and money will become less and less valuable. Devaluation with other people's money and devaluation with your own money are two different concepts. If this 600,000 yuan is not paid in advance, it is equivalent to owing 600,000 yuan to the bank. This debt did not increase with inflation because of the increase of M2. Instead, the 600,000 yuan held by the bank can continuously seek appreciation through investment and wealth management.

If you don't want to make it so complicated and uncertain about the future, or if you are rich and don't care about the comparison, there is nothing to say in advance. The so-called cost-effective is based on the calculation of interests. People with sufficient funds already have a good way to make money, and they don't need to calculate the financial benefits of these hundreds of thousands. It may be unacceptable to those who pursue simplicity. Moreover, different people have different views on the future. If you feel uncertain about the future, it is difficult to restrain your future use of funds, or you can't guarantee the income. It doesn't hurt to be simple. Paying back the money in advance is equivalent to reducing your pressure, and you can make money in your old way.

Generally speaking, whether prepayment is cost-effective depends on your own situation. From the perspective of investment and financial management, it seems that it is not very cost-effective to repay 600,000 yuan in advance after one year, but it is not cost-effective for those who have sufficient funds or don't like investment and financial management and want to relieve the pressure in the future, because cost-effectiveness not only means benefits.

30-year loan 1.2 million, depending on your definition of "cost performance". Undoubtedly, prepayment can save a lot of interest. The interest and principal of a 30-year real estate commercial loan are similar, that is, you have to pay back about 2.4 million every 30 years!

But if you repay in advance, you will lose the opportunity cost, which is the value you can create by spending this 600 thousand yuan elsewhere!

According to the mortgage interest rate of 5.5%, if you can beat this interest rate, you don't need to repay in advance at all. What if you lose? For example, your annual income is only 4.5%, and you are not in a hurry to repay. You may save interest if you repay the loan immediately, but once you need the money, it is difficult for you to get such a low loan interest rate. Because your house is mortgaged, the interest rate is so low. If you apply for a loan for other reasons, that's another matter.

Why should I pay back the money I borrowed in advance? Another way of thinking may untie your heart more directly: you borrowed 1 yuan from the bank and returned it to the bank 2 yuan 30 years later. Do you think this is a good deal?

Tell me about my own mortgage. The total loan amount is only 6 1 000 yuan, and the monthly loan repayment is 3,500 yuan. I won't pay it back in advance anyway! The current 3500 yuan may seem quite a lot, but money will depreciate over time!

Welcome everyone to express their views!

Whether it is cost-effective or not needs to be considered according to your actual situation.

The first point: If there is a penalty one year in advance (some banks have three years or more), you need to do an actuarial calculation according to the interest rate. We assume that there will be no punishment after one year, and the punishment will be ignored.

The second point: do you need to withdraw the provident fund if you have a mortgage? If so, you should calculate whether the remaining monthly payment after you prepay 600,000 yuan can cover your extractable provident fund.

The third point: if you want to repay 600,000 yuan in advance, have you set aside a family emergency fund, which is usually 3 to 65,438+02 months of the total monthly expenditure of the family?

If all the above conditions are acceptable, that means your 600,000 yuan is spare money. Let's see your 600 thousand. What will you do if you don't return it in advance?

If you are risk-averse, you just want to deposit in the bank and dare not make other venture capital at all. It just depends on which is higher, your deposit interest rate or your mortgage interest rate. If you save money, you usually deposit a large deposit certificate. You should go to an unknown small bank with a deposit of less than 500 thousand. In this case, if the deposit interest rate is high, don't pay it back in advance. If the mortgage interest rate is high, it must be repaid in advance.

If you are the kind of person who is willing to take chances, such as buying funds, buying stocks, buying a second house or doing business, etc. In this case, you have to see if there are other loans with cheaper interest rates in your city. Many people on the Internet say that the mortgage interest rate is the lowest, but in fact, some cities have operating loans that are even lower than the mortgage interest rate. If there is no company, the renovation loans in some cities are also lower than the mortgage interest rate by about 6%. You have to go to the local area to implement these specific conditions. If there are loans with lower interest rates, you can repay the mortgage in advance to use these loans with lower interest rates.

Repay 600,000 yuan in advance after 5 months, with a penalty interest of about 7,000 yuan. I have a loan of 2.6 million yuan, with a monthly payment of about 18500. The main money is put in the bank for financial management, one day 1 more. I think it's useless. I paid my monthly payment and it became 14000 yuan. The main reason is that I don't have investment channels. Last year, there were private loans, and the income ranged from 1 to 1.5. Money is too hard to get. I'm still my relative. Simply repay part of the loan in advance. If the landlord has a safe investment channel, don't repay in advance, because the interest is really cheap and there is no place to find it.

120w loan is 7000 yuan per month for 30 years. I feel too much interest and too much pressure in the future. The bank can only repay the loan in advance one year later, 60w in advance one year later, and the monthly payment is more than 3,000 yuan. Is this cost-effective? Please ask experienced experts to answer.

Whether it is economical or not depends on how much income this money can generate in your hands. If the rate of return is greater than the loan interest rate, it is not economical in advance, otherwise it will be economical.