Legal analysis: it is not illegal for a bank loan to stipulate liquidated damages. Both parties may agree that if the borrower fails to repay the loan at maturity, it needs to pay a certain amount of liquidated damages to the bank. If the borrower delays the performance of the agreed liquidated damages, the defaulting party shall also perform the debt after paying the liquidated damages.

Legal basis: Article 585 of the Civil Code of People's Republic of China (PRC), the parties may agree that one party shall pay a certain amount of liquidated damages to the other party in case of breach of contract, and may also agree on the calculation method of damages for breach of contract.

If the agreed liquidated damages are lower than the losses caused, the people's court or arbitration institution may increase them at the request of the parties; If the agreed liquidated damages are excessively higher than the losses caused, the people's court or arbitration institution may appropriately reduce them at the request of the parties.

If the party concerned pays the liquidated damages due to delay in performance, the breaching party shall also perform the debt after paying the liquidated damages.