The People’s Bank of China announced on the 7th that starting from May 8th, the interest rate of individual housing provident fund loans will be reduced by 0.25 percentage points. The interest rate for the first set of housing with a term of more than 5 years will be reduced from 2.85% to 2.6%, and the interest rates of other terms will be adjusted simultaneously.

How much money can be saved after the reduction of the provident fund interest rate? According to China News Network, for a provident fund loan with a loan principal of 1 million, a term of 30 years, and equal principal and interest, the monthly payment before the policy was 4,136 yuan, and after the adjustment it was 4,003 yuan, a reduction of 133 yuan; the total repayment amount (principal + interest) changed from 1.49 million to 1.44 million, directly reducing the cost by 50,000 yuan.