1. Failure to repay the car loan has a great impact on my credit information, and may even lead to black households who can't take the bus later, let alone loans. Generally speaking, if the loan is not repaid, the lender has the right to sue the auction of the unpaid vehicle, but now that the vehicle can't be found, it may directly sue for fraudulent loans, with serious consequences, so the car loan should not happen as much as possible.
2. Legal basis: Article 676th of the Civil Code of People's Republic of China (PRC).
If the borrower fails to repay the loan within the agreed time limit, it shall pay overdue interest in accordance with the agreement or relevant state regulations.
Second, what are the consequences of car loan default?
1, penalty interest;
If the car loan is not repaid on time, the lending institution will first collect it by SMS or telephone, and the penalty interest will be calculated for overdue repayment. Each lending institution has different interest-bearing methods. Relatively speaking, the penalty interest of banks is lower than that of other lending institutions.
2. Personal credit information has a bad record;
If the repayment is overdue, there must be a bad record in the personal credit report, and you will definitely not get the loan in the future. A bad credit record will affect all my loans.
3. Unable to enjoy preferential loans;
Many people only know that their credit records are bad when they apply for a loan when they buy a house, so the result must be that the loan is rejected and they have to bear the penalty interest brought by the overdue mortgage.
4. Lending institutions sue;
If the loan is not repaid for more than three months, and the result is sued by the lending institution, this situation is very serious, and the court will freeze the property (including bank cards and fixed assets) according to law.
5, the court enforced.
After compulsory execution by the court, after deducting the loan principal, interest and penalty interest, all the litigation expenses incurred shall be borne by me. If I refuse to carry it out, I will be punished by law.