Card issuing bank’s measures for disposal of overdue assets

1. Bank overdue treatment methods

1. Failure to repay in time within 1 month - penalty interest

2. Bank text message warning within 1-3 months

3. For more than 3 months, the bank will use phone calls to remind people to come to collect money.

4. For 6 months, the bank will make a representation to the court, and the court will summon the borrower to the borrower’s home and auction the collateral. Used to pay off debts.

2. Will you go to jail if you default on your bank loan?

Under normal circumstances, you will not go to jail if you cannot repay your bank loan.

After the loan matures, within a period of time, the bank will notify the borrower to repay the loan through advance calls. If the borrower still fails to repay the money, the bank will send someone to negotiate and resolve the issue.

But if you committed fraud during the loan period, that may not necessarily be the case.

Give an example

Lao Wang wanted to borrow 1 million from a bank to invest in a project, but he had no job and no collateral, so he made up the loan materials and later made business loans. I lost all my money and had no money left to pay to the bank. Later, after verification by the bank, the loan materials submitted by Lao Wang were all fictitious, so Lao Wang was prosecuted in court. The court sentenced Lao Wang to fraudulently obtaining loans and was sentenced to 7 years in prison.

Here are two knowledge points:

1. Being unable to repay the bank loan is just a civil dispute and will not go to jail.

If the bank sues to the court and the debtor fails to fulfill the court judgment after the court judgment, the bank can apply to the court for enforcement.

However, if the debtor has the ability to perform the judgment but refuses to perform it, in serious cases, it will constitute the crime of refusing to perform the judgment. If it is indeed difficult to perform, the court will also extend the time for performance.

Legal provisions: Article 313 of the "Criminal Law" stipulates that the crime of refusing to execute a judgment or ruling is a crime of refusing to execute a judgment or ruling made by a people's court against someone who is capable of executing it and refuses to execute it. If the circumstances are serious, he or she shall be sentenced to not more than three years in prison. Imprisonment, short-term detention or fine.

2. Providing false information and supporting documents when taking out a loan may be suspected of loan fraud and will lead to imprisonment.

The crime of obtaining loans by fraud refers to the act of obtaining loans from banks or other financial institutions by deceptive means, causing heavy losses to banks or other financial institutions, or having other serious circumstances.

The statutory penalty for this crime is: fixed-term imprisonment of not more than three years or criminal detention, and a fine or a fine alone; if a particularly heavy loss is caused to a bank or other financial institution or there are other particularly serious circumstances, the penalty is three years. to fixed-term imprisonment of not less than 10 years but not more than seven years, and shall also be fined.

So don’t be too naive if you think you will go to jail if you don’t pay back the money you owe the bank, but don’t be too lucky if you think you won’t go to jail if you owe the bank money! It is natural to pay back debts! All debts will be paid off. Only then can one be light-weighted.