I. Credit loans
Credit loan refers to the loan issued by the borrower's reputation, and the borrower does not need to provide guarantee. Its characteristic is that the debtor can get a loan only by his own reputation without providing collateral or third-party guarantee, and the borrower's credit degree is used as repayment guarantee. For a long time, this kind of credit loan has been the main loan method for banks in China.
According to the description in the General Principles of Loans, a credit loan refers to a loan that is not guaranteed and is only issued according to the credit status of the borrower. When granting credit loans, lenders must strictly examine and evaluate borrowers to confirm their credit status and repayment ability.
The original "General Principles of Loans" even stipulated that "credit loans should be strictly controlled and secured loans should be actively promoted". Due to the high risk of credit loans, in order to reduce the risk, most financial institutions generally need to conduct a detailed investigation on the economic benefits, management level and development prospects of borrowers.
Second, the factors affecting credit reporting
The main factors that may affect the personal credit risk score are: repayment in loans overdue, failure to repay according to the agreed time limit and repayment amount after credit card overdraft, or too many loan accounts and credit cards.
Credit loans and credit cards issued by banks are all connected to the central bank's credit information system, and inquiry records will be left when applying. For example, when applying for a loan, the loan approval record will be displayed in the credit inquiry record, and the credit card approval record will be displayed when handling a credit card.
In addition, some people provide guarantees for others to run credit business, and banks need to examine the qualifications of these people, such as whether the credit is overdue and whether the personal debt ratio is high. Once inquired, they will leave a record of the guarantee qualification review on the credit.
Whether it is credit card approval record, loan approval record or guarantee qualification examination record, these unified records are called hard inquiry records, which are one of the key records for handling credit business and can indirectly reflect the applicant's financial stress.
If there are too many such records in a short time, the inquiry institution will think that the applicant is short of funds and needs to apply for credit card turnover urgently, and then doubt his application motivation, such as whether he intends to raise the card by loan, raise the card by loan, raise the card by card, etc., and then refuse to apply.
Credit loans have no effect if they are not overdue. Personal credit records are kept in the credit information system of the People's Bank of China. You can try to log on to the website of Credit Information Center of China People's Bank to check the credit report. ② At present, personal credit reports are also inquired through our counter and professional edition (no charge for the time being).