What is the rate of overdue liquidated damages for bank loans?

An overdue loan will incur liquidated damages, and the lender must also pay the overdue loan liquidated damages when repaying the debt. However, many friends have not noticed the provisions on liquidated damages in the loan contract. When the loan is overdue by accident, the overdue loan liquidated damages will increase the repayment pressure of the lender.

Different lending institutions have different regulations on overdue loan penalties. Generally, 30%-50% is added to the loan interest rate as overdue penalty. For example: A customer borrows 20,000 yuan from a bank. The loan term is one month and the daily interest rate is 0.06%. If the loan is overdue for 3 days, the bank stipulates that the overdue loan penalty is 50% plus the original loan interest rate. Then, you need to pay overdue loan interest: 20000*[0.06%*(1+50%)]*3. The loan is overdue and defaults. The fee is: 20000*[0.06%*50%]

However, some lending institutions specify in the loan contract that the penalty for overdue loans is the percentage of the unpaid debt. According to the editor’s understanding, many small loan companies The required liquidated damages are very high, and some overdue liquidated damages are as high as 30% of the unpaid amount, which puts great pressure on lenders to repay.

Some lending institutions use overdue penalty interest and overdue loan penalty at the same time. The overdue penalty is about 5% of the principal and interest payable in the month, and the overdue penalty and interest are calculated separately. All in all, the money the lender has to pay due to overdue payments is much more than the normal repayment. What is the penalty for bank loan defaults?

1. Regarding the amount of liquidated damages.

If there is a contract, it is stipulated in the contract. The amount of liquidated damages is usually determined based on the amount stipulated in the contract and is paid by the defaulting party to the non-defaulting party. Therefore, you must have signed a loan contract when you took out the loan. , the amount of liquidated damages to be paid should be stipulated under the breach of contract liability clause in the contract. You only need to pay the liquidated damages to the other party according to the amount stipulated in the loan contract at that time and bear the liability for breach of contract.

The relevant legal basis is as follows:

Article 114, paragraph 1, of the "Contract Law" stipulates that when one party breaches the contract, it shall pay a certain amount of liquidated damages to the other party based on the circumstances of the breach. You can also agree on the calculation method for the amount of compensation for losses due to breach of contract.

2. Regarding the upper limit of liquidated damages.

The law stipulates that liquidated damages shall not exceed 30% of the contract amount. If the amount of liquidated damages stipulated in your loan contract does not exceed 30% of the loan amount, which is 150,000, then you should Pay as promised. If the amount of liquidated damages exceeds 150,000, you do not need to pay the excess because it has exceeded the legal limit, and the agreement for the excess is illegal and invalid.

The relevant legal basis is as follows:

According to the provisions of Article 29 of the Interpretation 2 of the Contract Law, if the liquidated damages agreed by the parties exceed 30% of the loss caused, , in accordance with Article 114 of the Contract Law, the parties may request the people's court or arbitration institution to appropriately reduce the amount.

Extended information

A simple and popular understanding of a loan is borrowing money that requires interest.

Loan is a form of credit activity in which banks or other financial institutions lend monetary funds according to certain interest rates and must be returned. Loans in a broad sense refer to the general term for lending funds such as loans, discounts, and overdrafts. Banks invest their concentrated currency and monetary funds through loans, which can meet the society's need for supplementary funds to expand reproduction and promote economic development. At the same time, banks can also obtain loan interest income and increase their own accumulation. How to calculate the penalty for early repayment of a Bank of China mortgage loan

The calculation of the penalty for early repayment of a Bank of China mortgage loan:

1. If the loan is repaid in advance within one year of the Bank of China loan, Liquidated damages will be charged up to six months' interest on the loan;

2. If the loan has been repaid in advance at the Bank of China for more than one year, no liquidated damages will be charged. The specific collection of liquidated damages shall be subject to the regulations of the local Bank of China. For details, please contact Bank of China’s official customer service: 95566.

Extended information:

1. Personal commercial housing loan application information:

(1) Loan application form;

(2) ) Legally valid identity certification materials;

(3) Proof of economic income recognized by the lender;

(4) Proof that the down payment for the purchased commercial house has been paid;

(5) Relevant documents authorizing the lender to query the People’s Bank of China personal credit system and recording the query results;

(6) Legal and valid house purchase contract or agreement;

(7) Other documents or information required by the lender.

2. Loan repayment

The method of repaying the principal and interest of the loan can be the one-time principal and interest repayment method, the equal principal and interest repayment method or the equal principal repayment method. After the borrower submits a written application for early repayment to the lender, with the lender's consent, the borrower can partially repay the loan principal in advance or settle the entire loan principal and interest in advance. How to calculate the penalty for early repayment of loans at major banks?

The calculation regulations for penalty for early repayment of loans by major banks are as follows: If a China Merchants Bank loan is repaid in advance within one year, the charge will be no less than the actual repayment amount for three months. interest. If the loan is repaid in advance after one year, an interest rate of not less than one month's actual repayment amount will be charged. If a CCB loan is repaid in advance within one year, 3% of the prepayment amount will be charged. If the loan is repaid in advance between one and two years, 2% of the prepayment amount will be charged. If the loan is repaid in advance between two and three years, 1% of the prepayment amount will be charged. Agricultural Bank of China: Early repayment of a loan less than one year will be charged based on the principal multiplied by the monthly interest rate. The monthly interest rate is the loan interest rate divided by 12 months minus the number of repayment months. If the loan is repaid early after one year, as long as there is no previous record of early repayment, no penalty will be charged. If you have already taken early repayment and apply again after one year, no penalty will be charged. If the loan is repaid in advance within one year, ICBC will charge 5% of the early repayment amount as liquidated damages. If the loan is repaid early after one year, no penalty will be charged. If a Bank of China loan is repaid in advance within one year, it will charge an interest penalty of no more than six months (calculated based on the loan interest rate on the date of early repayment). If the loan is repaid early after one year, no penalty will be charged. Bank of Communications' partial early repayment regulations stipulate that the minimum loan repayment amount cannot be less than 6 times the monthly repayment amount, and the maximum cannot exceed 35% of the monthly repayment amount. Partial prepayment loans can be repaid free of charge once a year. All early repayers are required to pay liquidated damages, which is 1% of the current repayment amount. However, the specific repayment amount must be implemented in accordance with the contract. If the loan is repaid in advance within one year, China Guangfa Bank will charge two months' interest as penalty. No penalty will be charged for early repayment after one year of the loan. If the loan is repaid in advance within one year, China Everbright Bank will charge 3% to 6% interest as liquidated damages, and the specific provisions shall be implemented in accordance with the contract. No penalty will be charged for early repayment after one year of the loan. Shanghai Pudong Development Bank charges different interest rates of 1.5% or 3% for early repayment of loans within one year. Some do not charge liquidated damages. The amount stipulated in the contract is charged. No penalty will be charged for early repayment after one year of the loan. Shenzhen Development Bank Generally speaking, you can apply for early repayment after the repayment exceeds two years. The specific situation must be based on the stipulations in the contract at that time. If the loan is repaid in advance within two years, the liquidated damages agreed when signing the contract will be paid. If there is no agreement, it will not be charged.