Perhaps the desire to get even with debts as soon as possible to pay off loans and repay to everyone. Borrowers who make monthly payments that exceed planned or close the loan before the deadline, usually have the same goals, which are to reduce their overpayment and get rid of the status of the so-called debtor. How simple is the procedure for partial early repayment of a loan today, and does it allow to significantly reduce loan costs? We will tell about this, and at the same time about the technical side of this process in more detail below.
Partial Repayment Types
With this nature of repayment, the period or amount of the monthly payment may change. In most banks, only partial repayment with a reduction in transfers is possible (we are talking about Sberbank, Renaissance Credit, Probusiness Bank, Home Credit, Sovetsky Bank and so on). In this case, customers receive new payment schedules, where the terms remain the same.
In case of partial repayment with a shorter period, the amount of the partial prepayment loan is used to pay for the last credit months. Early payments pay off their main debts, and interest is written off (for example, this is what happens at the Leto Bank). In both situations, customers benefit. And the larger the amount, the better for the borrower.
What you should pay attention to?
The client of the bank, who decided to repay the loan in installments, must necessarily specify the following points:
- Do I need to write a statement with a banking organization? If necessary, then how many days before the cancellation, this must be done.
- What types of repayment are available in the bank?
- How to change the size of a monthly payment or loan terms?
- How can I verify that the operation of partial early repayment of a loan at the bank is completed?
Required documents
To get rid of a loan ahead of time, a client will need a passport and papers concluded with a banking organization (agreement, insurance, etc.). As part of the partial early repayment, the loan agreement does not change. A documented loan can only change in the payment schedule. Upon maturity with a reduction in transfers, customers are issued a new scheme. As for the reduction of the period, in this situation, the loan will simply close earlier than the terms specified in the document.
Partial repayment features
Often, with early repayment, customers intend to pay off not only a certain amount of debt, but also the amount of additional services from the bank used. Disputes mainly arise against the background of insurance recounts. Many banks calculate this amount when signing a loan agreement. That is, even when customers close the loan in a month, they pay the policy for the entire period specified in the agreement (this happens in HomeCredit and Renaissance Credit).
Commissions
In this regard, as part of the design of the service, it is worthwhile to clarify which commissions and what are charged. That is, when insurance is charged monthly on the amount of the base debt, then such a service will be recalculated with partial repayment.
Procedure
Most banking organizations approve the following scheme for early repayment of part of the loan:
- At least one month before the planned date for the return of financial resources, borrowers visit the branch of the bank in which their loan was issued and draw up a notice of their intention, while indicating the expected amount of payment in it.
- As a rule, to get an answer you need to call the manager. In most banking organizations, “tacit consent” can be obtained immediately, but sometimes it takes to wait up to five days.
- Financiers call the deadline by which payment must be made. Usually it is about the date of making the planned mandatory payment. A person does not have to come to the bank specifically on that day. You can deposit funds into the account in advance, however, the schedule will be recounted on the day that is set for the scheduled transfer.
- Against the background of a partial refund, after the day that is set for the payment, the client must go to the branch of the financial institution to receive a modified payment schedule.
- As part of a full refund, the borrower must go to the office, and then receive a written notice that his loan agreement has been closed (usually a bank issues a letter that is issued on a company sheet with a seal and a signature from the head of the territorial unit).
It is important to note that a notification is required at least in order to feel confident that the banking institution has no more complaints and that there is no outstanding debt (in the case of full repayment), which will be further charged interest and interest. Also, such letters may be required in case of obtaining a loan in another organization and in the event of a dispute with a credit client history. Credit organizations may simply forget to provide information to the BKI that the client had previously partially or fully closed his loan.
Partial repayment alternative methods
The scheme described above is the most common. But there are other variations, for example:
- Some banks may recalculate schedules on any day, in connection with this, you can repay the loan ahead of schedule at any time convenient for the client.
- Modified schedules may be issued prior to the time of payment, but will come into force after an early partial payment of the debt.
- In some lending institutions, the prepayment process is as simplified as possible. The client can, without notifying the bank, independently, for example, using Internet banking, deposit to the account an amount that exceeds the planned transfer, and then re-print the formed payment scheme. In this case, with full early repayment, it is still recommended to contact the department and receive a letter on the closure of the loan.
Amount calculation
It is known that in the framework of a differentiated method of repayment, early repayment of a loan is always beneficial, since interest is charged on the balance of the debt. With annuities, the situation is somewhat different. Many borrowers erroneously assume that early repayment is beneficial only at the beginning of the agreement.
It is believed that in the end only the “body” is actually paid, and the principal amount of interest is repaid in the first months (in other words, you will not succeed in saving). In fact, this is not the case. In fact, with the annuity method of cancellation, the main interest is paid directly in the first half of the contract term. True, speaking of a consumer loan issued in the amount of up to half a million rubles and for a period of up to sixty months, it makes sense to pay the debt even two or six months earlier than the specified period. It is worth illustrating this with an example where the calculation of partial prepayment is made through a loan calculator.
Example
Suppose a citizen issued a loan of three hundred thousand rubles at thirty percent per annum for a period of forty-eight months. His annuity planned payment will be 10 802 rubles. After forty-two months, he decides to pay off all his debt ahead of schedule. By this time, the “balance” of the loan will amount to 59,498 rubles; in this case, 5,312 rubles will be saved on interest.
In the event that, under the same conditions, the partial early repayment of a loan is calculated according to a differentiated scheme, then the balance after forty-two months will be 37,500 rubles, and the actual debt savings at this time will be 3,282 rubles. In order to calculate the payment schedule and interest for specific conditions, it is best to use a special calculator. As you can see, having repaid the debt six months ahead of schedule, contrary to popular belief, customers can save more with the annuity scheme.
Thus, you can make sure that early full, exactly, as well as partial early repayment, is always beneficial. Even despite the fact that financial organizations are trying in every possible way to complicate this procedure. By accumulating funds and not sparing their time, customers can significantly reduce the overpayment on their loans. In addition, getting rid of the unpleasant status of the debtor is always fruitfully reflected in the person, because financial freedom is an important aspect that must not be forgotten.
Partially early repayment of a loan at Sberbank
Such a strategy in this organization is carried out without prior notice, at the office directly on the current date by application, which contains the amount and account from which the funds will be transferred. The minimum loan share required for partial early repayment at Sberbank is usually unlimited.
The due date for the early repayment application can be on any day (that is, it doesn’t matter whether he is working, holiday, holiday, etc.). At the same time, interest is paid for the actual period of use of the money. It is worth noting that early repayment is possible, among other things, in the Sberbank Online system. This bank does not charge a fee for such repayment.
Partial prepayment of a loan at VTB
First of all, you need to put on the account the amount that the client wishes to deposit ahead of schedule. If you make an early partial cancellation on the day of the monthly payment, the money placed should be enough for the planned elimination of debt. Against the background of a partial refund on another day, a payment must also be made on the next date according to the scheme.
VTB account replenishment methods
There are many ways to replenish an account, for example:
- Via an ATM and VTB 24 payment terminal in cash or by credit card.
- Through the electronic system "VTB online."
- By transfer from another bank.
- Through the cashier.
- Using a service called the Golden Crown.
It is worth paying attention to the fact that when depositing funds by the last three methods, including through a cash desk in a bank branch, a certain commission will be charged from clients. You must also take into account the timing of the transfer of material assets.
Among other things, it is required to warn the banking organization in advance of the intention to make an increased payment for partial prepayment. In VTB, this can be done through the VTB Online system or, if you leave a request, by calling the customer service. You can leave a statement to clients at any date, however, if a person wants to make such a repayment on the day of payment according to his schedule, then you must submit an application no less than a day before debiting.
This type of application is not accepted at this bank on the day the loan is issued, as well as on the date of monthly payment according to the schedule, in addition, from the first to the third of January. Immediately prior to processing the application, it is necessary to pay off fully overdue debts, if any.
In the event that the client does not fulfill these requirements, then the amount that exceeds the obligatory main payment will not be debited and will remain in the account until the next month. There are no restrictions on early repayment of cash in this financial institution: the minimum amount is not limited, there is no moratorium. Commissions with penalties are not provided. After an early partial repayment of the loan, this bank will reduce the amount of the obligatory transfer, or will shorten the loan payment period according to what the client will choose as part of filling out the relevant application.