Failure to repay overdue loans will have the following adverse consequences:
1, resulting in penalty interest. Whether it is a bank loan or an online loan, when the borrower is overdue, the lending institution will charge the borrower an overdue fee. Usually, the overdue rate is much higher than the normal loan interest rate, and lending institutions may also charge overdue fines. The longer the overdue time, the more overdue expenses will be incurred.
2. Have a bad credit record. Bank loans are collected at meetings, and now many online lending platforms are also connected to the central bank's credit information system. Once the user is overdue, the platform will upload its overdue records to the central bank for credit investigation. If personal credit records produce bad records, the later credit business will also be affected.
3. Charge by the lending institution. Usually, after the borrower's overdue behavior, the lending institution will take certain collection measures for the borrower, and various collection calls will have a certain impact on the borrower's life.
4. You can't enjoy preferential loans or even apply for loans. If it is overdue, personal credit will leave a bad record, which will have a certain impact on the borrower's later loan business. Usually, it is more difficult for people with tainted personal credit to apply for loans. Even if you can apply for a loan, the loan interest rate given by the lending institution is usually higher than that of users with good credit records.
5. Being sued by a lending institution. After loans overdue, if the borrower fails to repay the arrears for a long time, the lending institution can sue the overdue users and recover the arrears through legal channels. Therefore, if loans overdue fails to repay the loan, the borrower is likely to be sued.
6. Pull into the blacklist. Lao Lai, who deliberately delays his debts and refuses to repay them, may be included in the list of people who have lost their trust. Once blacklisted, not only is it hopeless to apply for a loan later, but the consumption of flying, high-speed rail and accommodation will be affected, and it will also have an impact on children's attendance at key schools.
It can be seen that the consequences of overdue repayment are very serious for borrowers, so after handling credit business, everyone must pay attention to fulfilling repayment obligations on time to avoid unnecessary troubles.