Announcing the early maturity of the loan is only a way for the lender to remedy his rights when the circumstances agreed in the contract appear, and it is also a right claim to accelerate the maturity of the loan. According to Article 203 of the Contract Law, "If the borrower fails to use the loan according to the agreed purpose, the lender may stop issuing the loan, recover the loan in advance or terminate the contract." Article 167 of the Contract Law stipulates, "If the installment payment amount that the buyer fails to pay the due price reaches one fifth of the total price, the seller may require the buyer to pay the full price or terminate the contract. If the seller terminates the contract, it may require the buyer to pay the royalties of the subject matter. " It is not one of the ways to terminate the contract to announce the early maturity of the loan.

Legal effect of the notice of early maturity of the loan: 1. It is the lender's right to declare the loan due in advance and claim to terminate the contract. 2. The lender has the right to announce the early maturity of the loan when the borrower breaches the contract, that is to say, as long as the borrower breaches the contract fundamentally, the lender can claim to terminate the contract and ask the borrower to repay in advance, but this kind of early repayment is not an obligation stipulated in the contract, but an obligation that the law forces the borrower to perform at the request of the lender, or it can announce the early maturity of the loan according to the contract and ask the borrower to repay in advance according to the contract, which is contractual freedom.