Legal subjectivity:

1. Is it a breach of contract to sign a contract without a loan?

Whether the loan breaks the contract after signing the contract shall be determined according to the contract signed by both parties. If the effective time is specified in the default clause, refusing to continue borrowing after the signing of the loan contract is a breach of contract and should be implemented in accordance with the default clause. If the effective time of the contract is specified after the loan is issued, the contract can be terminated before this time.

civil law

Article 578 If the party who is expected to bear the liability for breach of contract clearly expresses or shows by his own behavior that he will not perform the contractual obligations, the other party may demand that he bear the liability for breach of contract before the expiration of the performance period.

Article 580 Where one party fails to perform the non-monetary debt or the performance of the non-monetary debt is not in conformity with the agreement, the other party may request performance, except in any of the following circumstances:

(a) It is legally or practically impossible to perform;

(2) The subject matter of the debt is not suitable for compulsory performance or the cost of performance is too high;

(3) The creditor fails to request performance within a reasonable time limit.

In case of one of the exceptional circumstances specified in the preceding paragraph, the purpose of the contract cannot be achieved, the parties or the arbitration institution may request to terminate the rights and obligations of the contract, but the liability for breach of contract shall not be affected.

2. What are the terms of the loan?

Generally speaking, to apply for a bank loan, you need to meet the following conditions:

(1) The borrower provides legal identification.

(2) The borrower himself has full capacity for civil conduct.

(3) The borrower is over 18 years old.

(4) The borrower has no bad overdue and a good credit record.

(5) The borrower has sufficient repayment ability.

(6) The borrower has a stable income and occupation. In addition, if the loan type is not a credit loan, the borrower generally needs a loan guarantee recognized by the bank.

Is the housing contract with incomplete documents protected by law?

According to the provisions of the Civil Law, if the developer's five certificates are incomplete, the validity of the contract depends on the specific circumstances. If it is a true expression of will and does not violate the mandatory provisions of the law and public order and good customs, it will have legal effect.

People's Republic of China (PRC) Civil Code

Article 143 A civil juristic act that meets the following conditions is valid:

(1) The actor has corresponding capacity for civil conduct;

(2) the meaning is true;

(three) does not violate the mandatory provisions of laws and administrative regulations, and does not violate public order and good customs.

Legal objectivity:

Article 502 of the Civil Code of People's Republic of China (PRC) * * * A contract established in accordance with the law shall take effect upon its establishment, except as otherwise provided by law or agreed by the parties. In accordance with the provisions of laws and administrative regulations, if the contract should go through the approval procedures, such provisions shall prevail. If the failure to go through the formalities such as approval affects the effectiveness of the contract, it will not affect the performance of the obligation clauses such as approval and the effectiveness of relevant clauses in the contract. If the party that should go through the formalities for approval fails to perform its obligations, the other party may require it to bear the responsibility for violating its obligations. The modification, assignment and dissolution of a contract shall be subject to the provisions of laws and administrative regulations, and the provisions of the preceding paragraph shall apply and shall be subject to approval.

Do I have to pay liquidated damages if I don't want to borrow after signing the loan contract?

If you don't want to borrow money after signing the loan contract, it is a breach of contract and you have to pay liquidated damages.

Legal analysis

According to the relevant laws and regulations, if you don't want to borrow in the middle of the loan, if you haven't signed a loan contract, it's not a breach of contract if you don't want to borrow at this time. The loan contract has been signed, and it is a breach of contract if you don't want to borrow it. The user must pay a certain penalty to terminate the loan contract. Users must consider whether they need a loan before applying for a loan, and try not to cancel the application during the loan period. In addition, after the signing of the loan contract, if the lending institution fails to lend money, it belongs to the default of the lending institution, and the loan contract is automatically terminated at this time, which is not considered as the default of the user. The amount of liquidated damages can be set as a specific amount or as a method for calculating liquidated damages (loss compensation), but no matter which method is adopted, it should be determined according to the breach of contract. If the agreed liquidated damages are lower than the losses caused, and the parties request an increase, the increased liquidated damages shall not exceed the actual losses. The standard of excess loss is more than 30% of the loss, so in order to enhance the deterrent effect of the liquidated damages clause, the amount of liquidated damages can be appropriately increased according to the breach of contract. If the bank loan has been approved, notify the bank to go through the loan signing procedures, sign a formal loan contract, and the bank will also issue a loan receipt. In this case, if the loan has been made, it is necessary to follow the contract. If only the bank loan is approved, the loan signing formalities are not handled, and the bank does not issue a loan receipt, then the loan will not be generated. There is no penalty. Therefore, it is necessary to pay liquidated damages for giving up the loan after signing the loan contract.

legal ground

Article 585 of the General Principles of the Civil Law of People's Republic of China (PRC) * * * The parties may agree that if one party breaches the contract, it shall pay a certain amount of liquidated damages to the other party, or they may agree on the calculation method of damages for breach of contract. If the agreed liquidated damages are lower than the losses caused, the people or the arbitration institution may increase them at the request of the parties; If the agreed liquidated damages are excessively higher than the losses caused, the people or the arbitration institution may appropriately reduce them at the request of the parties. If the parties concerned pay liquidated damages for delayed performance, the breaching party shall also perform the debt after paying the liquidated damages.

How much is the loan penalty?

1, about the amount of liquidated damages.

If there is a contract, the amount of liquidated damages shall be determined according to the contract, and generally the amount agreed in the contract shall prevail. Therefore, when you borrow money, you must have signed a loan contract, and there should be an agreement on the amount of liquidated damages under the liability clause in the contract. You can pay liquidated damages to the other party according to the amount agreed in the loan contract at that time and bear the liability for breach of contract.

The relevant legal basis is as follows:

Clause 1 14 of the Contract Law stipulates that the parties may agree that one party shall pay a certain amount of liquidated damages to the other party according to the situation of breach of contract, or may agree on the calculation method of the compensation amount for losses caused by breach of contract.

2. About the upper limit of liquidated damages.

The law stipulates that the liquidated damages shall not exceed 30% of the contract amount. If the liquidated damages agreed in your loan contract do not exceed 30% of the loan amount, that is, 1.5 million, then you should pay as promised when you breach the contract. If the liquidated damages exceed 1.5 million, then you don't need to pay the excess, because it has exceeded the legal limit, and the excess is illegal and invalid.

The relevant legal basis is as follows:

According to Article 29 of Interpretation II of the Contract Law, if the liquidated damages agreed by the parties exceed 30% of the losses caused, the parties may request the people or the arbitration institution to reduce them appropriately according to the provisions of Article 114 of the Contract Law.

Extended data

The simple and popular understanding of loan is to borrow money with interest.

Loan is a form of credit activity in which banks or other financial institutions lend monetary funds at a certain interest rate and must return them. Loans in a broad sense refer to loans, discounts, overdrafts and other borrowing funds. Banks put concentrated money and monetary funds out through loans, which can meet the needs of social expansion and reproduction and promote economic development. At the same time, banks can also obtain loan interest income and increase their own accumulation.