The loan is to be repaid, not only the principal but also the interest. When making a loan, a loan contract will be signed, stipulating the repayment period, loan interest rate, repayment date and so on. If the borrower dies unexpectedly during the repayment process, does the loan still need to be repaid?

Do you need to repay the loan after death?

Need repayment. After a person dies, it doesn't mean that his loan disappears, and the loan contract he signed is still valid. After a person dies, who will repay his loan and how to repay it mainly depends on the type of loan he applied for and the assets he left behind.

1 Find a guarantor to repay the loan. When the borrower dies, the guarantor will bear the corresponding responsibilities, and the bank can ask the guarantor to repay.

If the heir is allowed to repay the loan, the heir has the obligation to help him pay off the loan. The law stipulates that the estate should pay off the taxes and debts that the decedent should pay according to law, and the payment of taxes and debts is limited to the actual value of the estate.

Auction the borrower's estate, and the bank will liquidate the borrower's assets before his life. This part of the assets is the inheritance. For example, the borrower has a house, a car and a deposit.

The other half will pay, and the debts left by the other half of the husband and wife after their death need to be paid by the other half who is alive.

5 auction collateral, such as bank loans, provides collateral, then banks will auction collateral to pay off debts.

After death, people usually ask their heirs to pay back. After all, most people who died left some legacy. Article 33 of the Inheritance Law stipulates that the inheritance of an estate shall pay off the taxes and debts that the decedent should pay according to law, and the payment of taxes and debts shall be limited to the actual value of the estate. The part exceeding the actual value of the estate shall be voluntarily repaid by the heir.

If both the debtor and the creditor are dead and both parties have heirs, the creditor's rights can be exercised by the representatives of the heirs, and the debt is limited to the debtor's estate. (If there is a guarantor, the guarantor can recover from the actual debtor after performing on his behalf).

After the death of the lender, if the lender fails to repay the loan on the repayment date, the bank will make a dunning for his family. If the lender is found dead, he will ask his successor to repay the debt. In short, all loans need to be repaid.