Second, the following three situations should not be repaid in advance.
1, enjoy a discount of 30% to 8.5% when signing a loan contract. As we have enjoyed a lower discount rate, we are now in the channel of interest rate reduction. If the central bank doesn't cut interest rates during the year, even if the latest interest rate is implemented at 65438+ 10/in June next year, the interest rate will only be lower than that in the previous period.
2. Buyers whose repayment period of equal principal has expired 1/3. Since the average capital divides the total loan amount into half the cost, the repayment interest is calculated according to the remaining principal. In other words, the later this repayment method is, the less the remaining principal will be, so the less interest will be generated. In this case, when the repayment period exceeds 1/3, the borrower has repaid nearly half of the interest, and the later repayment is more of the principal, and the interest level has little influence on the repayment amount.
3. Buyers whose debt service has reached the middle stage. Matching principal and interest repayment will add up the total principal and interest of the mortgage loan, and then distribute it evenly every month. The monthly loan interest is calculated according to the remaining loan principal at the beginning of the month and settled monthly. In other words, the proportion of principal in the monthly repayment amount increases month by month, and the proportion of interest decreases month by month. By the middle of repayment, most of the interest has been paid off, so it is of little significance to repay the loan in advance.
Three. Precautions for prepayment of mortgage loan
1. Allow banks to repay loans in advance at different times.
Most banks require at least one year in advance to apply for prepayment, but some banks have indicated that they can apply for prepayment at any time. Among the state-owned banks, China Bank and China Construction Bank need to repay their loans for one year before they can apply for early repayment, while ICBC needs to repay their loans six months in advance. In addition, it takes one year for banks such as China Merchants Bank and Bank of Communications to apply for prepayment, while Huaxia Bank indicated that it can apply for repayment at any time.
2. The interest adjustment cycle of each bank is different.
The mortgage term is generally more than 10 years. During this period, it is inevitable for the central bank to adjust interest rates, and the time for banks to adjust interest rates is also different. China banks such as China Industrial and Commercial Bank, China Agricultural Bank and China Construction Bank. Generally, every year from June 65438+1 October1,it will be adjusted to new repayment interest according to the latest central bank benchmark interest rate.
Foreign banks generally choose to make adjustments in the current month or quarter. Citibank will implement the new interest rate at the beginning of the next quarter, while HSBC will implement the new interest rate on the same day.
For families with mortgages, it is obviously more cost-effective to adjust as soon as possible if they are in the channel of interest rate reduction; If it is in the interest rate hike cycle, the later the adjustment, the more cost-effective.
Don't forget to cancel the mortgage registration after "paying off the mortgage"
No matter whether the loan is repaid within the contract period or in advance, citizens should not forget to cancel the mortgage registration after the loan repayment is completed.
Depending on who owns the title certificate, there are several procedures to get the title certificate back after repaying the loan. The simplest case is that the original title certificate has been mortgaged in the bank. If this is the case, the buyer will get a repayment voucher after paying off the loan or paying off the loan in advance, and the bank will also return the original property certificate and the original sales contract to the buyer. In this way, property buyers can get back their real estate license, which has nothing to do with the bank.
However, due to the different operating regulations of different branches of banks, some branches only need to register the mortgage, and buyers can hold their own real estate licenses with mortgage registration marks. That is, before the loan is paid off, get the real estate license in advance, and other items on the real estate license will indicate the current situation of the house. If this is the case, after the buyer repays the loan, in addition to repeating the above steps, he must also go through the formalities of canceling the mortgage registration. After the buyer and the bank complete the settlement procedures, they will go to the Housing Authority to cancel the mortgage registration, that is, they can stamp the cancellation seal in other columns of the real estate license.
Fourth, it is suitable for people who repay in advance.
1, people who don't want to be in debt and don't want to bear too much pressure in life.
2. People who just bought a house and are in the early stage of repayment. Because the loan repayment has just started, the principal base is large and the interest is correspondingly high. If you have idle funds on hand and have no good investment direction, it is also a good choice to repay the loan in advance.
I hope to use the house as a financing tool and get more loans from the bank. In recent years, house prices have risen rapidly, and the evaluation value of some houses has risen a lot compared with the initial purchase. If the mortgage is paid off, you can usually get a larger credit line by borrowing from the bank with the mortgage.
: 1. Repayment in full in advance: After the loan bank verifies that the relevant materials are correct, it will go through the formalities of prepayment in full.
2. Partial prepayment and unchanged loan term: the loan bank instructs the borrower to fill in relevant agreements. If the original loan guarantee method is mortgage plus insurance and mortgage registration has not been handled, the original insurance policy, my ID card and relevant agreements shall be used to go through the formalities of insurance reduction at the insurance company designated by the city center, and the final agreement shall be sent to the corresponding sub-centers by the loan bank in time.
3. If the original loan guarantee method is mortgage plus insurance and the mortgage registration has been completed, and the borrower who chooses non-mortgage plus insurance applies for partial repayment in advance and shortens the loan term: the loan bank instructs the borrower to fill in the relevant agreement, and the signed agreement is sent to the corresponding sub-center by the loan bank in time.
4. The original loan guarantee method is mortgage plus insurance, which is still within the insurance period, and the mortgage registration has not been completed: the borrower applies for partial repayment in advance and shortens the loan period.