First, the interest rate of provident fund loans is much lower than that of commercial loans. The interest rate of provident fund loans is much lower than that of commercial loans, which is why many people choose provident fund loans although it is troublesome and takes a long time to apply for them. The interest rate of provident fund loans is only over 3, while that of commercial loans is 4.99, and even some commercial banks will rise by a certain percentage, so this difference is very obvious.
Second, there are restrictions on the amount of provident fund loans. It is precisely because the interest rate of provident fund loans is relatively low that many people are willing to apply for provident fund loans. Provident fund loans also have disadvantages. If one person applies, the maximum amount can only be 400,000 yuan. If both husband and wife apply, two people can only apply for 600,000 yuan at most, which may be enough for the average house price, but taking my house price in Zhengzhou as an example, it is a drop in the bucket, so I can only choose a more expensive commercial loan.
Three, the provident fund loan approval and lending time. The approval of provident fund loans is faster. Under normal circumstances, it takes about seven working days to pass the materials after submission, but the loan of the provident fund guarantee company can not be released until the new real estate license is issued. The production of new real estate license needs a process, plus the bank's process, so the whole process takes about one to three months to get the loan.