How to notify the debtor when the creditor's rights are transferred

1. If the creditor of the contract assigns its creditor's rights, it shall notify the debtor. Once the notice of creditor's rights transfer reaches the debtor, the consequences of creditor's rights transfer will occur. If the creditor fails to notify the debtor of the assignment of the creditor's rights, the assignment shall have no legal effect on the debtor.

2. The notice of assignment of creditor's rights shall take legal effect when it reaches the debtor. Arrival means that the creditor's rights are transferred to the debtor in a certain way, such as written notice to the debtor's residence or oral notice to the debtor. The law does not stipulate the form of notification, and it is appropriate for the creditor to inform the debtor of the fact that the creditor's rights are transferred in any form. If the notice of assignment of creditor's rights is not delivered to the debtor for reasons other than the debtor, it will not have effect on the debtor.

3. The notice of assignment of creditor's rights shall be made before the debtor performs the debt according to the original agreement. If the notice reaches the debtor later than the actual performance of the debtor, it is not legally binding on the debtor. The obligor's failure to fulfill the contract does not affect the binding force of the notice on the obligor. However, if the debtor's performance meets the agreed time, but other aspects of performance do not meet the provisions of the contract or the law, the notice of creditor's rights transfer has no legal effect on the debtor.

4. Inform the other party of the direct consequences of the assignment of creditor's rights, even if the assignment agreement is legally binding on the debtor. Upon notification, the debtor shall undertake the obligation to perform the debt to the assignee of the creditor's rights in accordance with the agreement on the assignment of the creditor's rights, and the debtor shall not perform the debt to the original creditor again.

5. After the notice of assignment of creditor's rights is served on the debtor, it becomes legally effective, and the creditor may not revoke it again. Only when the debtor agrees to the creditor's cancellation notice will the creditor's right transfer agreement lose its validity.

Tips: The above explanations are for reference only.

Reply time: February 2022-14. Please refer to the latest business changes announced by Ping An Bank in official website.