First of all, the bank and the lender have reached a loan agreement, and both parties need to agree to terminate the contract. As a business unit, banks need to consider their own interests.
Secondly, in many cases, commercial loans are guarantee contracts and conventional guarantee agreements signed by developers and banks. If you want to change to provident fund loans, you need to change the contract, which is more troublesome in legal procedures, and developers are not active in this regard.
Not all commercial loans to provident fund loans are cost-effective. Most people's commercial loans are repaid with equal principal and interest, and the monthly payment is mainly based on bank interest, and the principal is less. Therefore, if the lender wants to transfer the provident fund, it is necessary to compare the residual interest of commercial loans with the interest of provident fund loans to see if it is cost-effective. This conversion is suitable for lenders with large loan amount and long remaining years. Lenders should also consider the time and cost of this process. Generally speaking, the lender must first apply to the original commercial loan bank to transfer to the provident fund loan. After the bank agrees, he will go to the housing appraisal company designated by the provident fund management center to evaluate the house, and the appraisal fee is 5‰ of the total house price. In addition, he has to go through the formalities of re-mortgage of the house, and go to the provident fund management center, the original loan bank, the bank where the provident fund account is located, the appraisal company, the real estate management bureau and other departments. The procedures are cumbersome. If the appraised value of a house is 600,000 yuan, it will cost 4,000 yuan in the conversion process.