House-purchase loans are now the choice of most people, but do you know what steps need to be taken if you want to pay in advance? Let's figure out the detailed steps for early repayment。

What's the process of early repayment of the mortgage

First, you need to notify the bank in advance of your repayment plan, usually 10 working days to one month in advance. Next, the bank calculates the total amount you should pay, you go to the bank and pay the current month's interest. The bank sends your deed to a designated law firm, which processes all contracts for the cancellation of mortgages and registers with the property administration. After the formalities are completed, you can take back all the property deeds。

Then, don't forget to get your money back from insurance companies and tax authorities. Your personal housing loan housing insurance contract can be terminated early after the loan has been repaid. You can apply to the insurance company for a refund of the prepaid premium with an insurance policy and a certificate of early repayment of the loan。

Moreover, if you choose to pay in advance from the Provident Fund, you do not need to pay the default. It should be borne in mind, however, that an application should be submitted to the loan bank and the relevant material should be prepared in accordance with the bank ' s requirements, and the repayment process should be completed after approval。

It should be noted that there are two main ways to repay the mortgage: the equivalent principal and the equivalent principal. With respect to the principal, since the principal is increasing on a monthly basis, the share of interest is decreasing on a monthly basis, and if the repayment time is more than half, and in fact the bulk of the interest is already paid, early repayment is less than economical. In the case of the principal equivalent, half of the interest had already been paid when the repayment time was more than one third, and there was little point in early repayment。

IN ADDITION, WHILE WE CANNOT OPERATE DIRECTLY ON APP, AS WE DO ON INTERNET LOANS AND BANK LOANS, WE CAN CALL THE BANK HOTLINE TO MAKE AN APPOINTMENT, AND WHEN THE APPOINTMENT IS SUCCESSFUL, WE CAN GO TO THE INTERNET SITE TO PROCESS THE ADVANCE PAYMENT。

Finally, it was recalled that the question of whether there would be a breach of contract would be asked. Early repayment is a breach of contract, and many banks therefore charge a certain amount of default. Before early repayment, it was important to know the content of the loan contract or to ask bank staff to calculate whether it was cost-effective。