If individual commercial loans are to be converted into provident fund loans, the conditions for converting commercial loans into provident fund loans need to be met. The conditions for transferring commercial loans to provident fund loans mainly include:
1. The continuous repayment of personal commercial loans exceeds 1 year.
2. The individual provident fund has been continuously deposited for more than 1 year.
3. Houses that are transferred to provident fund loans are required to have been registered in the local currency center and have formal and legal residential development projects.
4. Individuals need to obtain the consent of the original commercial loan bank to convert commercial loans into provident fund loans.
Therefore, when buying a house with a loan, if the borrower chooses a commercial loan first, it can also be converted into a provident fund loan under certain conditions. However, the conditions for commercial loans to provident fund loans are generally better, and the conditions required by different places will be somewhat different. Before handling commercial loans and provident fund loans, consult clearly before deciding whether to handle them.
Provident fund loans refer to loans enjoyed by employees who pay housing provident fund. According to national regulations, all employees who have paid housing provident fund can apply for individual housing provident fund loans according to the relevant provisions of provident fund loans. Provident fund loans refer to individual housing provident fund loans, which are issued by local housing provident fund management centers. With the housing provident fund paid by employees who apply for provident fund loans, commercial banks are entrusted to provide mortgage loans to housing provident fund depositors who purchase, build, renovate or overhaul their own houses and retired employees who pay housing provident fund during their working life. According to the regulations, employees who have paid housing provident fund for a certain number of years or more (the number of years varies from city to city, such as 12 months or more in Changsha) can apply for provident fund loans when the funds for purchasing, building, renovating or overhauling their own houses are insufficient.