Can I use the provident fund to handle small loans?
Provident fund is called individual housing provident fund, so we can see that strictly speaking, provident fund can only apply for individual housing loans. If the borrower wants to apply for a loan such as a car loan with the provident fund, it will definitely be rejected by the bank.
However, with the continuous development of society, borrowers can also apply for decoration loans and credit loans with the provident fund.
Provident fund credit loan is a kind of credit loan, which means that users who deposit a certain amount of housing provident fund can get hundreds of thousands of loans from banks with the record of provident fund deposit, without property mortgage and guarantee. Provident fund credit loans can generally only be used for personal consumption, such as decoration and tourism.
If you want to apply for a provident fund credit loan, you must meet these conditions: have a proper job, have a stable source of income (the monthly salary income must be above 1 1,000 yuan), and have the ability to repay the loan principal and interest on time; The borrower's unit must be an enterprise and institution recognized by the bank and having a good cooperative relationship with the bank, and the bank needs to pay wages on its behalf; Pay the provident fund regularly every month.
The maximum amount for applying for provident fund credit loan is 10- 20 times of personal annual account deposit, and some banks even exceed 20 times. Assuming that the borrower's monthly income is 654.38 million yuan, the monthly salary of personal provident fund is 12%, that is, 1200 yuan, and the annual deposit amount is 14400 yuan, apply for provident fund credit loan, and the loan amount is between 142000-288000 yuan.