How to calculate the interest on prepayment? The borrower must notify the bank in advance when repaying the loan in advance, and the bank will make preparations in advance to calculate how much remaining loan the borrower should repay. In this way, the borrower can avoid paying unnecessary interest. When the borrower repays the loan in advance, he must also hold the original loan contract, the bank repayment savings card, the monthly repayment principal and interest table, his ID card and other materials (the provident fund loan is applied to the housing fund management department, and the bank commercial housing loan is applied to the loan bank), and the prepayment can be processed only after approval. At present, there are two ways of prepayment: one is partial prepayment, that is, the borrower repays part of the loan in advance during the repayment process, but some of the remaining house payment still needs to apply for a bank loan. In this case, the bank will generally require the borrower to inform the bank in advance for a certain period of time, and the bank will also require the borrower to repay the loan in advance. In order to strictly manage loans, lending institutions have set a minimum amount for prepayment of some loans, which is generally above 1 1,000-20,000 yuan, and the repayment must be made to the bank in units of 10,000 yuan. The other is full prepayment. That is, the borrower pays off the remaining loans in one lump sum after repaying part of the loans. In this case, the bank will not ask the borrower to repay in whole, as long as the remaining loan is repaid to the bank. How to calculate the interest on early repayment of loan If the borrower wants to apply for early repayment of part or all of the loan after repaying part of the loan, the bank will not charge interest on this part of the repaid funds. The borrower only needs to repay the principal of the remaining loan. According to reports, the loan repaid by the borrower includes two parts, one is the principal and the other is the interest. If the borrower repays the loan in equal amount (that is, the total amount of the loan repaid every month is the same), the interest on the borrower's repayment in the first year will increase due to the large loan principal and long service life. Moreover, because the monthly repayment amount of the loan is fixed, it will appear in the loan that starts to be repaid every month, and the interest share is more than the principal; With the decrease of loan amount and loan life, the monthly interest repaid by the borrower will inevitably decrease accordingly. -XX Sub-branch of China Industrial and Commercial Bank: I applied for a commercial housing mortgage loan of XX million yuan in your bank on XX, XX, with the loan term from XX to XX, XX, and the repayment method is equal principal and interest (or average capital).