What will happen to loans overdue?
1. The bank collects the arrears and sues you.
According to the loan contract and guarantee contract, the loan bank will bring a lawsuit to the court, and the court will take measures such as property preservation, including freezing the deposits in all bank accounts of you and the loan guarantor (your bank account, including the funds in online virtual trading accounts such as Alipay, mobile payment and WeChat payment in your name, also belongs to the property of the person subjected to execution. If you can't repay in time, all your online payment platform accounts will be frozen and your pledged property will be seized.
After the judgment is made, the property will be enforced according to law (deducting deposits, auctioning collateral, etc.). ) to repay the bank's loan losses. Specifically, it includes: loan principal, loan interest, overdue interest, penalty interest, and all litigation costs arising therefrom, and related expenses incurred when disposing of pledged property.
2. Credit will be greatly affected.
(1) If the borrower is a company, your company will be recorded in the national bank credit information system, and loans in the name of individuals will also be recorded as overdue loans in the national personal credit information system. If the lending bank doesn't erase your records, you may not be able to get loans from all banks in the future.
(2) A natural person whose debtor is listed in the list of people who have been executed for breach of trust by people's courts at all levels in China will be punished by credit, and may not be the legal representative, director, supervisor or senior manager of any company nationwide. In addition, the debtor's vehicle is not allowed to get on the high-speed, and traveling to buy air tickets will block the high-speed rail.