Repayment of Loans in Advance(1)

Early repayment is the portion of the amount paid by the borrower in excess of the monthly debt service. Early payments that do not fully pay off a mortgage are referred to as partial advance payments. Early repayment simply during the agreed period is prohibited through contractual arrangements, which is called the lock-up period. The lock-up period ranges from 2 to 10 years. After the lock-up period, early repayment protection is usually followed by other ways, such as early repayment penalty points or a yield maintenance fee.

Early repayment includes the early repayment of all, early partial repayment and the loan term unchanged, early partial repayment at the same time shorten the loan term three conditions. The loan bank can only accept applications from the borrower's early repayment from the second month of the personal loan. Early repayments can save interest expense, but there are four categories of buyers who are not suitable for early repayment.

Repayment procedures

Procedure

1. All advance repayment: after the loan bank reviews the relevant materials correctly, for all advance repayment procedures.

2. Partial repayment in advance and the term of the loan remain unchanged: the loan bank instructs the borrower to fill out the relevant agreement. If the original loan guarantee method is mortgage and insurance and the mortgage registration has not yet been processed, but also with the original policy, iidentity card and related agreements to the city center designated insurance company for the reduction of insurance procedures, the final agreement signed by the loan bank in a timely manner to the corresponding sub-center.

3. If the original loan guarantee method selects the mortgage and insurance and the mortgage registration has been completed, and the borrower who chooses the non-mortgage plus insurance, applies for the advance partial repayment and shortens the loan term: the loan bank guides the borrower to fill out the relevant agreement, and the conclusion of the agreement shall be sent to the corresponding sub-center by the loan bank in a timely manner.

4. The original loan guarantee method to choose mortgage and insurance is still in the insurance period, and the mortgage registration has not been completed: the borrower applies for advance partial repayment and shortens the loan term, can be directly to the guarantee center.

Repayment procedures

According to bank regulations, customers who repay their loans in advance are required to submit a written application one week to one month in advance and agree on a repayment date. Then, according to the agreed date, carry the ID card, the loan contract signed with the bank to fill out the loan repayment application form and early repayment agreement, and in accordance with the requirements of the bank, the need to repay the loan to your account withholding the principal and interest, automatically withheld by the bank.

Banks do not have a limit on the number of loans they repay in advance, and they can pay them off in full at once, or they can partially repay the loan. Only the starting point of each loan repayment of the bank provisions vary, some provisions are 10,000 yuan or 10,000 yuan multiple, some banks provide for more than a thousand yuan can be partially repayed in advance.