This morning, my mobile phone received a short message saying that I successfully applied for surrender during my hesitation. Why don't I refund the down payment?

Case: Mr. Zhao said that he bought a commercial house through mortgage loan, and now the developer has delivered the house, but many things promised at the beginning have not been realized. Despite many negotiations, the two sides have failed to reach an agreement. In the end, Mr. Wang couldn't bear it and insisted on checking out. However, the developer thinks that he has got a loan, and if he checks out, many things will be difficult to deal with. Mr. Zhao wants to know what to do with his loan if he wants to check out. What about the insurance for the house? There is no need to check out and mortgage. From a legal point of view, if there are legal conditions for the termination of the contract, the return of the house is actually the performance of the buyer's right to terminate the contract as a party to the contract, so it is absolutely possible. The relationship between the buyer and the loan bank is a loan contract, and the relationship between the buyer and the developer is a house sales contract. Although they have a school, they are two independent legal relationships, so there is no substantial obstacle to the buyer's right to terminate the contract. Property buyers borrow money from banks, relatives and friends, and their nature is the same. As creditors, banks or other institutions, individuals only have the right to ask the buyer to repay the money according to the contract, but they have no right to interfere with the buyer's right to cancel the contract. Therefore, as long as the purchaser has the right to cancel the contract according to law, no matter whether the purchaser obtains the mortgage loan or not, he has the right to cancel the purchase contract according to law. What should I do if I cancel the loan relationship and cancel the mortgage after checking out? Some property buyers have a vague understanding that they applied for a mortgage because they bought a house. Now they don't buy a house, so they don't have to repay the mortgage. This understanding is wrong. Because the loan relationship between the buyer and the bank is independent of the house sale relationship, canceling the house purchase contract does not mean canceling the loan contract at the same time. In other words, although buyers don't buy a house, their creditor-debtor relationship with the bank still exists, and this loan must be repaid. Due to the cancellation of the purchase contract, all the purchase money obtained by the developer from the purchaser should be returned to the purchaser. The bank mortgage loan applied by the buyer is also part of the purchase price and should be returned to the buyer together. Then, the buyer shall, in accordance with paragraph 5 of Article 32 of the General Rules for Loans, "If the borrower repays the loan in advance, it shall negotiate with the bank to return the remaining loan principal and interest (the part that has been repaid monthly) to the bank in advance." The actual refund should be divided into two parts, but in fact, this repayment method is theoretical and difficult to operate in practice, because the house purchased by the property buyers has been mortgaged to the bank. If the buyer does not return the money to the bank after receiving the money, the bank can exercise the mortgage right and auction or sell the house purchased by the mortgaged buyer. But at this time, the house is returned to the developer, and the disposal of the house will harm the interests of the developer. Therefore, the developer can only divide the refundable purchase money into two parts, of which the part that belongs to the down payment of the buyer is directly returned to the buyer, and the part that belongs to the loan from the bank is directly returned to the bank, and it is regarded that the buyer has repaid the money to the bank in advance. According to Article 30 of the Measures for the Administration of Personal Housing Loans of the People's Bank of China, the bank said: "After the mortgagor or pledger repays all the loans according to the contract, the mortgage or pledge is returned to the mortgagor or investor, and the loan contract is terminated." So as to receive repayment and terminate the loan contract. Article 52 of China's "Guarantee Law" stipulates: "The mortgage right coexists with the creditor's rights it guarantees. If the creditor's rights are eliminated, the mortgage right will also be eliminated." After the termination of the loan contract, the mortgage right will disappear, and the parties concerned shall go through the relevant procedures for canceling the mortgage registration. In judicial practice, if such disputes over house sales are resolved through litigation, according to Article 25 of the Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Laws in the Trial of Disputes over Commercial House Sales Contracts, the people's courts will usually add banks as a third party with independent claims to participate in the litigation, and the disputes over house sales contracts will be tried together with the disputes over bank mortgage loans. Banks can make independent claims. You can usually cancel the insurance when you check out. When buying a house by mortgage, buyers generally need to apply for insurance for the house they buy, and the beneficiary of insurance is the loan bank. The termination of the contract for selling houses will inevitably involve insurance issues. Because the legal relationship of insurance is another independent legal relationship besides the relationship of house purchase and loan, the insurance problem has its own characteristics. Article 14 of the Insurance Law of People's Republic of China (PRC) stipulates: "Unless otherwise stipulated in this Law or in the insurance contract, the applicant may terminate the insurance contract after the insurance contract is established." In other words, if the insurance contract signed by the buyer does not contain the words "no surrender", the buyer can cancel the insurance contract at the same time as canceling the purchase contract. Article 38 of the Insurance Law of People's Republic of China (PRC) stipulates: "Before the insurance liability begins, if the applicant requests to terminate the contract, he shall pay the handling fee to the insurer, and the insurer shall refund the insurance premium. After the commencement of insurance liability, if the applicant requests to terminate the contract, the insurer may collect the insurance premium from the commencement of insurance liability to the termination of the contract, and return the rest to the applicant.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.