There are two ways to repay the loan with provident fund:

1. One-time repayment method: it means to withdraw the balance of the housing provident fund account from the entrusted bank once a year, repay the loan principal once, and recalculate the monthly repayment amount according to the remaining loan principal and repayment period after repayment. After one-time repayment, the monthly repayment needs to use the customer's own funds, not the money in the provident fund account.

2. Monthly repayment method: refers to the method of directly withdrawing the loan principal and interest of the current month from the customer's provident fund account every month. When the amount of the withdrawn provident fund is insufficient, the client shall make up the repayment amount in time. This way can not only offset the principal and interest of provident fund loans, but also offset the principal and interest of commercial loans.

It is worth mentioning that customers who choose a one-time repayment method cannot choose a monthly repayment method, but can only choose one of them. But if you want to change the repayment method in the future, customers only need to go to their own loan bank to change the repayment method.

Extended data:

Commercial loan loan application conditions

When applying for loans, Beijing urban residents with full capacity for civil conduct, nonlocal residents with the right of residence in Beijing, overseas and foreign citizens must meet the following conditions:

1, with legal residence status;

2. Have a stable occupation and income;

3, have the ability to repay the loan principal and interest on schedule;

4. There are assets recognized by the loan bank that can be mortgaged or pledged, or (and) there are guarantors who meet the prescribed conditions for their guarantee;

5, there is a contract or agreement to buy housing;

6. When applying for a loan, there is a deposit of not less than 30% of the funds required for house purchase in CCB. If the house payment has been paid in advance to the selling unit, the original and photocopy of the payment receipt are required;

7. Other conditions stipulated by the lending bank.

operation sequence/order

1. The borrower and the developer pay 30% of the house purchase price at the same time when signing the house purchase contract;

2. Submit relevant materials to the law firm for review;

3. The bank receives the Legal Opinion issued by the approved law firm, and signs a loan contract, mortgage contract and guarantee contract with the purchaser;

4. Handle mortgage registration, notarization of home insurance and contract according to relevant information, and issue loans.

5. The borrower repays the loan by equal repayment. For the outstanding loan principal, the borrower can repay it in one lump sum, and interest will still be charged in the current period of prepayment. No fines will be charged.

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