Before 1980, because agricultural production organizations were collective, farmers were only members of the collective and were only responsible for productive labor. As for the production team, it was the captain's responsibility to farm and buy agricultural materials, which was also the responsibility of the captain at that time. When a production team needs production funds, it applies for a loan in the commune credit cooperative, and the production team sells public grain and repays the loan.

That is to say, before 1980, individual farmers will not lend, nor do they need loans. Even if they do, there are no rules and regulations, and credit cooperatives will not lend money to individuals.

Bank loans overdue doesn't pay back:

(1) In case of default interest, 50% interest will be charged.

Credit loans overdue, the lender will first collect the loan, remind the borrower to repay, and the interest rate will rise as a daily penalty.

(2) Having a bad credit record, which will affect future loans and handling credit cards.

Every day after you are overdue, your name will appear in the internal system of the bank at the same time, and then the president and risk control will see it. After the deadline, the credit report will inevitably leave a bad record. Once you leave, it may last for three to seven years. If you want to borrow from other banks in the future, you may not be able to apply easily because of bad credit.