What are the risks compared with provident fund discount loans?

China Bank Provident Fund Discounted Loan:

1. Provident Fund Discounted Loan is a provident fund loan business cooperation between Guangzhou Housing Provident Fund Management Center and Bank of China, which provides a more convenient and flexible provident fund loan channel for the general public. It uses China Bank credit funds to issue individual housing provident fund discounted loans, and borrowers pay monthly interest according to the bank commercial housing loan interest rate. Guangzhou Housing Provident Fund Management Center subsidizes the interest difference between the commercial housing loan interest rate and the provident fund loan interest rate for borrowers.

2. The commercial loan of 8, yuan originally planned to be made in China Bank can enjoy a discount of 87% interest rate. According to the latest interest rate announced by the People's Bank of China, that is, the annual interest rate is 4.263%, and the monthly repayment amount is 4,958 yuan. Now, you can apply for a discount loan from the provident fund, and the monthly discount will be made in the provident fund center. In fact, you only need to repay 4,537 yuan per month, with a monthly interest of about 421 yuan less, and the total amount will be * *

3. If you apply for provident fund discount loan, you can choose the nearest branch of Bank of China and submit relevant information application according to the requirements of provident fund loan. After the bank accepts the loan, it submits the information to the provident fund center for approval. After the approval of the provident fund center, it will approve the commercial loan in the banking system. Generally, if the information is complete, the approval process will take about 13 working days. Please consult the personnel of the loan bank in detail for the specific procedures.

the above contents are for your reference. please refer to the actual business regulations.

What are the disadvantages of buying a house with provident fund loans

1. Housing provident fund loans: For residents who have already paid the housing provident fund. When buying a house with a loan. Housing provident fund low-interest loans should be preferred. Housing provident fund loans have the nature of policy subsidies. The loan interest rate is very low. Not only is it lower than the loan interest rate of commercial banks (only half of the mortgage interest rate of commercial banks), but it is also lower than the deposit interest rate of commercial banks in the same period. There is a spread between the mortgage interest rate of housing provident fund and the bank deposit interest rate. Meanwhile. Housing provident fund loans in the mortgage and insurance and other related procedures when the charges are halved. 2. Personal housing commercial loans: The above two loan methods are limited to employees who have paid the housing provident fund. There are many restrictions. People who have not paid the housing provident fund have no chance to apply for loans. But you can apply for a personal housing guarantee loan from a commercial bank. That is, bank mortgage loans. As long as the balance of your deposit in the loan bank accounts for not less than 3% of the amount of funds needed to buy a house, and use it as the down payment for buying a house. And there are assets recognized by the loan bank as collateral or pledge. Or a unit or individual with sufficient compensation capacity as a guarantor who repays the principal and interest of the loan and bears joint liability. Then you can apply for a bank mortgage loan. 3. Individual housing portfolio loans: provident fund loans that can be issued by the housing provident fund management center. The maximum amount is generally 1,-29, yuan. If the purchase price exceeds this limit. The insufficient part should apply to the bank for commercial housing loans. These two kinds of loans are collectively called portfolio loans. This business can be handled by the real estate credit department of a bank. The interest rate of portfolio loan is moderate. The loan amount is large. Therefore, it is more selected by lenders. Personal housing entrusted loan (provident fund loan) is the most cost-effective. Personal housing loans (commercial loans) have the heaviest interest burden. Handling housing provident fund loans should follow the following procedures: (1) The borrower needs to submit a written application to the Municipal Housing Provident Fund Management Center to apply for housing provident fund loans. Fill in the housing provident fund loan application form and provide relevant information truthfully. (two) the city housing provident fund management center is responsible for the borrower qualification. Guarantor qualification. After the loan amount and loan term are reviewed and the contract is filled in and agreed. The Borrower signs relevant contracts or agreements with the Center. And according to the provisions of the people's Bank of China for insurance. (three) after the loan procedures are completed. City housing provident fund management center issued a loan approval notice to the bank. After the bank receives the loan notice, it goes through the formalities of loan payment

Advantages and disadvantages of discount loan

There are three differences between loan and discount loan:

1. Their meanings are different:

1. The meaning of loan: loan is a form of credit activity in which banks or other financial institutions lend monetary funds at a certain interest rate and must return them. Loans in a broad sense refer to loans, discounts, overdrafts and other lending funds.

2. the meaning of discount loan: discount loan refers to a special bank loan used for specified purposes and subsidized by the state or banks.

2. The roles of the two are different:

1. The role of loans: Banks can release the concentrated monetary and monetary funds through loans, which can meet the needs of social expansion and reproduction for supplementary funds and promote economic development. At the same time, banks can also obtain interest income from loans and increase their own accumulation.

2. the function of discount loan: discount loan is a kind of preferential loan to encourage the construction of a certain cause or project. The loan interest can be full subsidy or partial subsidy. Generally speaking, the principle of who arranges and subsidizes the spread of loans is implemented. Discounted loans arranged by the state are subsidized by the central government; The low-interest loans agreed by the People's Bank of China shall be subsidized by the People's Bank of China; The professional banks are responsible for the low-interest loans.

Third, the application processes of the two are different:

1. The application process of the loan:

(1) Acceptance. The handling personnel introduce the application conditions, term, interest rate, guarantee, repayment method, handling procedures, default treatment and various expenses that the borrower needs to bear to the customers, and conduct a preliminary examination of the borrower's loan conditions, qualifications and application materials.

(2) investigation. According to the relevant regulations, investigators take reasonable measures to investigate the authenticity of the materials submitted by customers and evaluate the applicant's repayment ability and willingness.

(3) approval. According to the credit rating, mortgage, pledge and guarantee of the customer, the authorized approver finally approves and determines the comprehensive credit line and the validity period of the line.

(4) distribution. After implementing the loan conditions. According to the demand for funds, customers can apply to the bank for the line of spending at any time.

(5) Post-loan management. The lending bank shall, in accordance with the relevant provisions of loan management, supervise and inspect the income status of the borrower and the guarantor, the use of the loan, the change of the value of the mortgaged property and the performance status, and the inspection results shall be recorded in writing and filed. The guarantor or borrower shall be supervised in the form of guarantee or credit, and the borrower and guarantor shall be required to provide assistance.

(6) loan recovery. According to the repayment plan and repayment date agreed by the borrower and the borrower in the contract, the lending bank will deduct it from the agreed repayment account. The borrower can also repay the loan at the business outlet of the lending bank.

2. Application process of discount loan:

(1) Voluntary application. Eligible applicants shall submit a written application to the grassroots employment platform of their registered permanent residence or business location (some of them may directly submit to the local human resources and social security department or guarantee institution), and submit relevant materials, certificates or relevant certificates.

(2) review recommendations. The human resources and social security departments conduct qualification examination, and those who pass the examination are recommended to guarantee institutions. A guarantee institution refers to a guarantee institution entrusted to operate a guarantee fund according to relevant regulations.

(3) Commitment guarantee. The guarantee institution shall review the project of the applicant in accordance with the relevant provisions, and handle the guarantee procedures for those who meet the requirements.

(4) granting loans. The loan applicant promised by the guarantee institution shall sign the contract and issue the loan after being examined and approved by the handling bank in accordance with relevant regulations. The handling bank refers to all kinds of financial institutions at all levels that have signed cooperation agreements with guarantee institutions to carry out small-sum secured loan business.