First, the borrower must repay the principal and interest of the loan regularly for six months before proposing to repay part or all of the loan in advance for the first time.

Second, in order to strictly manage loans, lending institutions set a minimum amount for the prepayment of some loans, which generally requires an integer of more than 654.38+00,000 yuan.

3. Borrowers generally need to notify the lending institution 15 days in advance to repay the loan in advance, and must submit a written application to the lending institution with the original loan contract, bank repayment savings card, monthly repayment statement of principal and interest, my ID card and other materials (for provident fund loans, apply to the housing fund management department, and for commercial housing loans from banks, apply to the lending bank), which will be approved by them.

4. The bank agrees to repay the interest principal of the current month and deposit the remaining amount into the repayment account.

5. After the loan is paid off, the institution will issue a loan settlement certificate, and surrender to the insurance company with the original certificate, insurance policy and invoice.

Extended data:

Not suitable for early repayment.

1, enjoy interest rate concessions.

Some property buyers enjoyed a 7-8.5 discount when signing the loan contract, but they are in the channel of interest rate reduction because they have already enjoyed a lower discount. If the central bank has not introduced the policy of interest rate reduction in recent years, the interest it bears now is still relatively cost-effective.

2. The repayment amount has exceeded one third.

The repayment amount has exceeded one third, especially when the repayment amount is equal to the principal. Because the repayment of equal principal is to divide the total loan amount into the cost equally, and calculate the repayment interest according to the remaining principal.

Generally speaking, the later this repayment method is, the less principal needs to be repaid and the less interest will be generated. In this case, when the repayment amount has exceeded one-third of the total amount, it means that the borrower has paid half of the interest, and most of the interest to be paid later is the principal, so the interest level has little effect.

Baidu encyclopedia-repaying loans in advance