Interest before interest means that after the loan is issued, the interest is paid first and then the principal is paid according to the repayment agreement. Interest before capital is generally only used for bank mortgage loans, and there is no repayment method for credit loans. Generally, as long as borrowers have certain collateral, such as houses and cars, they can apply for loans with interest paid first and principal paid later in major commercial banks.
Matching principal and interest, average capital, principal before interest and interest before principal are the following four repayment methods:
1, the average capital refers to the equal repayment of principal in each period, because there are more principal in the early stage and less in the later stage, so there are more interests to be repaid in the early stage and less in the later stage. With the reduction of the principal owed, the interest to be repaid is gradually decreasing. This way of repayment, the pressure of early repayment is greater.
2. Matching principal and interest means adding the principal and interest of each period together to make the total amount repaid in each period equal. The principal paid in the early stage is less, and the principal paid in the later stage is more. The advantage of this repayment method is that the long-term repayment pressure remains unchanged, but the long-term unpaid principal generates more interest.
3. Compared with the first two methods, this repayment method has the least repayment pressure in the early stage, but the final repayment amount has increased sharply, so it is the most risky for financial institutions. For the repayer, the interest to be repaid is the most. Generally, there is interest first, then there is interest, which is suitable for working capital and short-term loans of enterprises.
4. "Principal before interest" means paying the principal first, and finally paying all the interest. Ordinary borrowers will not agree to use this method.
Can Ping An Bank pay interest first and then repay the loan?
Hello, the repayment method of car loan is equal monthly principal and interest. If you have applied, you can click on the link below to make an inquiry:
I'm going to be a automobile mortgage, and I won't mortgage my car. What should I pay attention to? Zaiwuyou automobile loan
When using a vehicle to make a loan, you need to be careful not to use the original vehicle certificate as collateral for the loan company. When signing a contract, you must pay attention to the clauses that violate the law. There are some clauses or provisions in the contract or agreement that do not possess the vehicle. Do the above, and you can be a automobile mortgage.
When handling the vehicle mortgage loan, the lender takes the vehicle as collateral and signs the vehicle mortgage contract, loan contract, power of attorney and other written materials with the lending institution. If the lending institution collects the driving license, insurance documents, original car purchase invoice and original ID card from the lender on the grounds of handling mortgage procedures or loan approval procedures, and fails to return them, it should pay attention to this situation.
Because under normal circumstances, the original should be held by yourself. If it is necessary to check the original and copy, a copy shall be collected. In particular, the vehicle mortgage contract deliberately contains clauses that violate the existing laws. It is stipulated in the contract that if the borrower breaches the contract and finds that the lending institution has the right to sell the vehicle in the loan and realize the mortgage right, we should also pay attention to this situation because it has no right to do so.
If the vehicle mortgage contract signed by the lending institution and the lender contains clauses that violate the law, and the practice of selling the mortgaged property according to the clauses has no legal basis and obviously harms the interests of the victim, and the clause is deliberately set to occupy the mortgaged property of the victim, it is not necessary to apply for a loan, because it has been suspected of fraud.
Because if some unequal or unreasonable contracts are signed, some lending institutions will drive the vehicle away without the lender's knowledge, and then redeem the vehicle with much more money than the loan afterwards, thus obtaining the price difference ranging from tens of thousands to hundreds of thousands of yuan. The profit-making intention is obvious, which exposes the purpose of illegal possession of the victim's property by lending institutions under the guise of signing a vehicle mortgage loan contract.
Extended data:
When many people see the word mortgage, they will think that they just put their cars in the lender's company. In fact, sometimes they don't have to drive. According to their qualifications, they can install GPS positioning system on the car, and the car is still in normal use, with little impact. Car mortgage is very fast in both processing speed and lending speed, and you can get the money on the same day.
It is also noted that the repayment method is flexible, with equal principal and interest, interest first and capital later, and repayment can be made in advance if conditions permit. Finally, we must choose a formal loan company and consider it comprehensively. Don't spend too much money, but really safeguard our legitimate rights and interests.
Is it legal for Yixin Automobile to make a loan first and then pay interest?
CreditEase Financial automobile mortgage must be formal and legal. CreditEase Finance is a formal platform that can be found and a formal company invested by JD.COM and Tencent. CreditEase Finance is an Internet financial service with relatively convenient operation, fast audit speed and good reputation. If you don't know, you can Baidu yourself.