The issuance of loans must be qualified by banks, and the Provident Fund is not a financial institution. If it is not qualified to issue loans, it must entrust a bank to issue them; the Provident Fund is responsible for reviewing the qualifications of the lender, and the bank is responsible for the loan. Distribution and recycling. The provident fund center collects interest on loans and other value-added income as management expenses, as well as pays employees interest on provident fund deposits, bank fees, etc. Since loans are risky, risk reserves must also be withdrawn from the value-added income in a prescribed proportion.

In order to issue provident fund loans, banks must first sign a "Housing Provident Fund Loan Business Entrustment Agreement" with the Provident Fund Management Center. Only after obtaining the right to undertake provident fund loans can they accept entrustment to handle provident fund personal housing loan business. After approving the loan, the Provident Fund Management Center will issue an "Entrusted Loan Notice" to the entrusted bank, and at the same time transfer the entrusted loan fund to the bank's housing entrusted loan fund account. The bank signs a contract with the borrower based on the "Entrusted Loan Notice" and handles mortgage procedures and loan transfer procedures. After disbursing the loan, the undertaking bank will provide a receipt to the customer and submit relevant loan information to the Provident Fund Management Center.