Housing provident loans are released to provident contributors for buying, building, re-building, renovating homes, including commodity house, affordable house, price-and-area restricted house, and public house bought for private use.
A personal housing portfolio loan is a commercial loan released to the borrower to make up the shortfall in case the provident fund loan applied is not sufficient for paying the house price.
☆ Service Features
More favorable loan rate offered in provident fund loans for borrowers to reduce cost. Portfolio loans remove the restriction on the limit in pure provident fund loan so that enough funds are available to buy a house.
☆ Application Conditions
Applicant must comply with the regulations of the housing provident fund management department and the following:
(I) Registered permanent residence in a city/town or valid residence identify;
(II) Contribute to provident fund on time;
(III) Stable job and income, good credibility, ability to repay principal and interest of loan;
(IV) Legal contract, agreement or document for the buying or renovation of the house;
(V) Required self-funded amount above the minimum and only used for the down payment for the new (renovated) house;
(VI) Bank-recognized asset for mortgage or pledge, or (and) a corporate entity, economic entity or natural person as the guarantor.
Applicant of personal housing portfolio loan must meet the application conditions of personal housing mortgage loan and personal housing provident fund loan. One point, applicant (main borrower) in the portfolio loan must be the same person.
☆ Credit Line
Maximum limit is set differently by the local provident fund management center. Call your local center for details. Limit for portfolio loan is based on your monthly contribution to the provident fund. Apply for a commercial loan to cover the rest.
☆ Loan Term
Loan term is set differently by the local provident fund management center. Call your local center for details. Please be reminded that the terms of your provident loan and commercial loan in the portfolio loan must be identical.
☆ Loan Rate
Rate for provident fund loan follows the rate of personal housing provident fund loan.
In the portfolio loan, rate for commercial loan follows the ICBC rate for commercial loans on personal housing rate for housing provident fund loan follows the rate of personal housing provident fund loan.
Calculation of loan rate refers to the rules set for personal housing loan (new house).
☆ Repayment Options
Balloon payment for loan of 1-year (inclusive) term; Repayment options for loans of tenure longer than a year can be straight line repayment, reducing balance method or other repayment plans recognized by your local provident fund management center.
☆ Documents required
1. Valid identity document (ID card, permanent residence booklet, passport or other valid document to identify your residence status;
2. Housing provident fund A/C No. and personal seal of the borrower;
3. Legal contract, agreement or document for the buying, construction, re-building or renovation of the house;
4. Proof of the down payment or self-funding for the construction, rebuilding and renovation;
5. If husband and wife apply, the spouse's provident fund A/C No., ID card and copy, marriage certificate or other proof of the marital status;
6. Other documents required by the local provident fund management center and lending bank.
When applying for portfolio loan, you have to supply the documents required in commercial loan besides mentioned above. Details refer to "personal housing loan (new house)".
☆ Operation Guide
(I) Apply. Borrower submits a written application with the supporting documents. ICBC will forward to the housing provident fund management department;
(II) Approve. The housing provident fund management department check the application and approve;
(III) Sign contract. Once approved by the housing provident fund management department, ICBC will inform the borrower to sign loan contract and guarantee contract, register the mortgage and complete other required procedures;
(IV) Release loan. Borrower fills in the loan re-deposit voucher at ICBC. ICBC will deposit the loan to the borrower's account in ICBC as a lump sum or by installments, as agreed;
(V) Repay. Borrower repays the principal and interest of loan according to the repayment plan or option specified in the loan contract;
(VI) Amend contract. While the contract in force, changes on the loan term, repayment option or early repayment can be applied to ICBC or housing provident fund management department. Once approved, ICBC will proceed the amendment on behalf of the borrower;
(VII) Settle loan. Borrower gets the Proof of loan settlement issued by ICBC, collects the mortgage registration document back and cancels the record of mortgage at the original mortgage registry.
☆ Value-added Services
1. Provident fund for loan repayment
This is a value-added service jointly launched by ICBC and housing provident management centers in the country for borrowers to repay easily. Once you sign the agreement, your contributed provident fund can be drawn out (monthly, quarterly, yearly) to repay the provident loan or commercial loan under your name.
2. Provident fund co-branded card
A multi-function savings card jointly launched by ICBC and housing provident management centers in the country catered for housing provident fund participants. Besides all the functions of a debit card such as savings, settlement, spending or investment, the card comes with the unique functions on provident fund, such as checking contribution A/C, loan A/C or automatic scheduled transfer of provident fund to the savings A/C in the co-branded card.