Now many units have purchased housing provident fund for their employees. For employees, buying a house by loan is the preferred payment method. Employees who deposit provident fund will choose provident fund loans when applying for loans. It is a well-known fact that the interest rate of provident fund loans is low. However, the amount of provident fund purchased by some units is low, or the working years of employees are not long, which will lead to a big difference between the amount of money in the provident fund account and the amount of loans. Therefore, they can only choose portfolio loans. What are the precautions for buying a portfolio loan?

1. Make full use of provident fund loans.

When applying for portfolio loans, buyers should make full use of provident fund loans, extend the loan term as much as possible, and shorten the commercial loan term to a great extent, so as to reduce the monthly repayment amount and save the loan cost. Only provident fund depositors can apply for portfolio loans.

The so-called portfolio loan is also the loan mode of commercial loan and provident fund loan, so in order to apply for this loan, the borrower must pay the provident fund in full and on time at the place where the house is to be purchased, and the provident fund account is still in the normal payment state.

2. Determine the loan amount

① The maximum loanable amount of portfolio loans is determined by two aspects, namely, the maximum amount of provident fund loans and the maximum amount of commercial loans. The lower of the two is the final loanable amount of the portfolio loan.

(2) When applying for portfolio loans, once the amount of provident fund loans is determined, it cannot be changed. Therefore, loan applicants and spouses need to check the maximum loan amount in the provident fund management center and determine the final loan amount according to their own situation.

3. Choose the repayment method that suits you.

For borrowers who apply for portfolio loans, when signing a loan contract with a bank, they should first understand these repayment methods and determine the repayment method that suits them, because once the repayment method is agreed in the contract, it is generally not allowed to change during the whole loan period.

4. Commercial loans should be paid off before the repayment period.

Borrowers who apply for portfolio loans should give priority to commercial loans if they want to repay before the repayment deadline, because the loan interest rate of commercial loans in portfolio loans is higher than that of provident fund loans. If the commercial loan is paid off first, the borrower can save a lot of mortgage interest.

I believe that everyone has a certain understanding of the precautions for purchasing portfolio loans. Some developers don't support the combination loan method, because the loan time is long and the bank audit is more troublesome. Therefore, property buyers should consult clearly before applying for portfolio loans, and make appropriate choices according to their own economic conditions and repayment ability.