Abstract: Hall sensors sensitivity drift as temperature vibrates limits its applications in magnetic measurement field. Common temperature compensation techniques mainly offset drift caused by first order temperature variation and simultaneously neglect error caused by second order temperature variation. In this paper, a circuit design is proposed adopting temperature transducer output signal to offset temperature drift through closed-loop feedback. Temperature transducer output signal multiplied by final output signal from signal processing circuit is sent to input port of signal processing circuit. This is distinguished from universal method of adding temperature transducer output signal with input signal of Hall element and then sending it to input port of signal processing circuit .Theoretical analysis and simulation certify that error caused by temperature drift can be eliminated entirely through equalizing feedback factor K to thermal drift factor of Hall element. Therefore, by thermal drift compensation method of closed-loop feedback, first order and second order temperature variations can be compensated through adjusting feedback coefficient. And this method can be applied to other transducers concerning thermal drift.