1. Credit records are damaged: overdue credit records will be recorded in personal credit reports and become an important indicator for banks, financial institutions and other lending institutions to evaluate personal credit status. Overdue records will have a negative impact on credit scores, making it more difficult to apply for financial products such as loans and credit cards in the future.
2. Interest and liquidated damages: overdue repayment will generate high interest and liquidated damages. According to different contracts, the daily interest rate of the overdue amount may be very high. If it cannot be repaid in time, interest and liquidated damages will continue to accumulate, eventually increasing the repayment amount.
3. Risk of legal disputes: Overdue repayment may lead creditors to pursue the debtor's repayment responsibility by legal means. Creditors may bring a lawsuit to the court to claim the overdue principal, interest and liquidated damages. If the judgment is unfavorable, the debtor's personal property may be sealed up, frozen or enforced.
4. collection and threat: creditors may recover overdue loans by harassing, threatening or entrusting a collection company by phone. This collection process may bring great psychological pressure and interference to the debtor, and even affect personal life and work.
Therefore, it is very important to avoid small loans overdue. Before applying for a loan, you should carefully evaluate your repayment ability and make a reasonable repayment plan. In order to better manage personal credit, we should also pay attention to personal credit at ordinary times and don't blindly apply for loans. You can get a big data report in "Puxincha" and clearly know your situation in online lending big data. The database cooperates with more than 2, online lending platforms, and the queried data is relatively accurate and complete.