In this case, there is no need to repay the debt, because this debt already involves elements of routine loans and loan sharking.
Under normal circumstances, if the annualized comprehensive interest of a loan product exceeds 24, the borrower can choose not to repay the additional interest. If the annualized comprehensive interest rate of a product exceeds 36, the product can be characterized as a loan shark, and such behavior is also illegal. Because of this, borrowers must strictly calculate their loan interest and not be deceived by such routine loans. To advise everyone not to apply for online loans online, let alone go to offline loan agencies to apply for offline loans, we must learn to protect our legitimate rights and interests.
1. What is going on?
A man from Chongqing has retired and makes a living as a motorcycle racer. In 2019, this man borrowed 20,000 yuan from an offline institution, but only received 14,000 yuan in the end. Because he had no way to repay the debt in time, he listened to the loan intermediary's recommendation and turned to apply for a loan from another loan company. With interest compounding, this man's loan was rolled over from 20,000 yuan to 700,000 yuan.
2. This situation is already a routine loan.
After the reporter learned about this man’s situation, the reporter immediately thought of routine loans. Because this man himself has no legal awareness, let alone a sound financial concept, he cannot make ends meet. After this man got caught in a routine loan, he sold his house and store, but still had no way to pay off the loan.
3. The man does not need to repay this debt.
The reason is actually very simple, because this man’s loan itself was irregular, and the annual interest rate far exceeded the normal loan level. The man can choose to refuse to repay the debt, or even report the lending institution to the industrial and commercial department. This so-called lending institution itself is irregular, and men need to take up legal weapons to protect their legitimate rights and interests!