The invention discloses a method for reducing intermodulation interference and a signal receiver used by the same to inhibit intermodulation distortion resulting from intermodulation noise generated by a radio frequency signal passing through a down-conversion circuit. The method comprises the following steps: measuring intermediate frequency signal power output by the radio frequency signal at anoutput terminal after being processed by the down-conversion circuit; measuring intermodulation noise power within intermediate frequency signal frequency range at the output terminal, and defining aratio of the intermediate frequency signal power to the intermodulation noise power as the minimum signal to noise ratio; and reducing signal power between the output terminal and the down-conversioncircuit and increasing radio frequency signal power before the down-conversion circuit to maintain the signal to noise ratio of the output terminal not less than the minimum signal to noise ratio when the signal to noise ratio measured at the output terminal is less than the minimum signal to noise ratio. An intermediate frequency amplifier following the down-conversion circuit is removed or thesignal power thereof is reduced, and an radio frequency amplifier is additionally arranged before the down-conversion circuit or the signal power thereof is increased so as to inhibit intermodulationdistortion generated by the radio frequency signal passing through the down-conversion circuit.