Let's talk about the PRGF. That's a question for everyone who gets a Provident Fund loan, if the balance of the bank account on the day the loan is repaid is insufficient, if it cannot be repaid in time, will it be withheld again? How does a Provident Fund loan usually work? Let's get to the bottom of this。

How do you deduct any of the balances that you'll have on that day

First, there is indeed a situation where there is a re-deduction due to insufficient balance at the Provident Fund repayment date. On the day of repayment, if you do not have enough money to service the debt, the Provident Fund system will try to make two deductions, in the morning and in the afternoon, respectively。

Second, the Provident Fund Centre already had a provision that, if the borrower's last repayment was normal, the Provident Fund system would try to withhold the payment again on the date of the contractual repayment. As long as this deduction is successful, it will not be considered overdue. But if another deduction fails, your loan status will become overdue on that date and interest will be calculated from that date on the basis of a minimum repayment。

In addition, the withdrawal time of the Provident Fund system has not been specified for the time being, but there is a pattern. If for several months your Provident Fund loans have been successfully withheld at the same time, the time of the future deduction will not be substantially different。

Then we'll look at how the Provident Fund is repaid. In fact, the method of repayment of the Provident Fund and the method of repayment of commercial loans are very similar, and it can be divided into cases of repayment of equivalent principal and repayment of equivalent principal. Equivalent principals, which averaged the principal of the loan to each month of repayment, reduced the monthly repayment amount, would initially be more stressful but, over time, much less stress later. Another way of repaying interest equivalents is to allocate the principal and interest of the loan equally to each month of repayment, so that the monthly amount is fixed and better suited to the income-stabilizing family. In the repayment process, the bank first deducts the amount of the accumulated funds that you have paid and then deducts the remaining arrears from your bank card, which effectively reduces your repayment pressure。

But what needs to be noted is that if you stop paying the Provident Fund, your Provident Fund loan will turn into a commercial loan. And you can't take credit rates。