1. How to calculate credit card loan interest in advance?

If you pay it back in advance, you generally don't need interest.

There are two kinds, one is partial prepayment and the other is full prepayment.

Full prepayment refers to one-time settlement of credit card principal and interest. After all prepayment, the interest shall be calculated from the date when the principal and interest of the bank are paid off, and shall be paid off later.

Partial prepayment means that only a part of the loan principal and interest is repaid, and the remaining principal and interest are not settled. The remaining loan interest is still subject to the loan interest rate agreed in the original loan contract.

There are two repayment methods to choose from for the part of the outstanding loan balance repaid in advance. One is to shorten the repayment cycle, and the monthly payment is inconvenient; Second, the repayment period remains unchanged, reducing the monthly payment. In contrast, the first one can save more interest.

Some banks will charge a certain fee for prepayment. Industrial Bank needs to charge 2-3 months' interest as handling fee, while Agricultural Bank, Bank of China and Bank of Communications charge one month's interest. Among them, the Agricultural Bank of China will charge one month's interest for prepayment within three years, and will not charge it after three years. Shanghai Pudong Development Bank said that if repayment is made two years in advance, a handling fee of 3% of the repayment amount will be charged, and no handling fee will be charged after two years.

In addition, it should be noted that most banks require repayment for at least one year before applying for early repayment. If buyers want to apply for early repayment, they should pay attention to the relevant requirements in the loan contract, otherwise they may have to pay a certain penalty.

Two. Procedures for banks to repay loan interest in advance:

1. Repayment in full in advance: after the loan bank verifies that the relevant materials are correct, it will go through the formalities of prepayment in full.

2. Early repayment with the same loan term: the loan bank instructs the borrower to fill in the relevant agreement. If the original loan guarantee method is mortgage insurance and mortgage registration has not been done, you need to go to the insurance company designated by the city center to go through the formalities of reducing the insured amount with the original policy, your ID card and relevant agreements, and the final agreement should be sent to the corresponding sub-center by the loan bank in time.

3. If mortgage insurance is selected as the original loan guarantee method and the mortgage registration has been completed, the borrower who chooses non-mortgage insurance applies for partial repayment in advance and shortens the loan period: the loan bank instructs the borrower to fill in the relevant agreement, and the signed agreement is sent to the corresponding sub-center in time by the loan bank.

4. The mortgage insurance chosen as the original loan guarantee method is still within the insurance period, and the mortgage registration has not yet been handled: the borrower can apply for partial repayment in advance and shorten the loan period, and can directly handle it at the guarantee center.

If you repay in advance, there is no interest. Generally speaking, credit card prepayment is also divided into two parts, one part is full repayment, in this case, the interest is calculated to the day of full repayment. If it is only the returned part, then only the interest needs to be calculated.