What Is a High-Risk Personal Loan?

Personal loan, also known as retail loan business, has become an important loan business after decades of development. Personal loans refer to loans in local and foreign currencies issued by banks or other financial institutions to qualified natural persons for personal consumption, production and operation. When a lender makes a personal home loan, the borrower must provide a guarantee. If the borrower cannot repay the principal and interest of the loan at maturity, the lender has the right to dispose of its collateral or pledge, or the guarantor shall bear joint and several liabilities for repayment of principal and interest.

personal loan

Personal loans (referred to as "personal loans"), also known as retail loans, were developed in Western countries after the Second World War. After decades of development, they have become an important loan business. Post-war western

1. Repay the loan in equal monthly amounts in accordance with the signed payment contract. Customers should take the initiative to purchase a house before their monthly repayment date as stipulated in the loan contract

I. "Insufficient qualification" is the most beautiful excuse for banks

Many people who refuse to apply for a loan will feel that happiness is always so full and reality is always so backbone. In fact, there are many reasons for the failure of the loan. It may be that the bank credit commissioner does not know the industry of the loan applicant. It may be that the bank's credit limit is full when applying for a loan. . But no matter what the circumstances of the loan failure, the answers you often get are: personal qualifications are not enough, collateral does not meet, no guarantee, etc. Therefore, do nt think that a rejected loan application is a cup. In many cases, you may find a few different banks to apply or even apply a few times, often with different results.

2. There is no loan here, own loan office

Applying for a loan is actually the same as volunteering for the college entrance examination. The loss of a school does not mean that all schools have closed the door to you. In the same way, a loan failure at a bank does not mean that the bank has closed the door to you, because a bank has many branches, and this one rejects you, not necessarily other branches will also reject you; one bank rejects you , Does not mean that other banks will also reject you; one financial institution rejects you, and other financial institutions may accept you.

Find the real cause of loan failure

According to statistics, a small and medium-sized enterprise must reach more than 10 banks on average to be successful in financing. What individuals need to pay attention to when applying for a loan is that if there are multiple banks pointing out the common problem of your loan refusal, then this may be the real reason for your loan failure. You need to make up for this problem in time to allow future contact with Trust in bank contacts.

The first personal loan industry survey in China's history

On May 5, 1992, Shanghai, China issued the first

1. Apply for a loan amount within your means. When applying for personal loans, borrowers should make correct judgments on their economic strength and repayment ability, and at the same time make correct and objective predictions of their future income and expenditure.

2. To choose a good loan bank.

Third, we must choose the most suitable repayment method. There are two methods of repayment: one is equal repayment, and the other is equal principal repayment. The advantage of the equal repayment method is that the borrower can accurately grasp the monthly repayment amount and arrange the household income and expenditure in a planned manner. The equal principal repayment method is more suitable for individuals who have strong repayment ability in the early stage of repayment and want to return a larger amount in the early stage of repayment to reduce interest expenses.

Fourth, the information provided to the bank must be true.

Fifth, the accuracy of providing my residential address and the address provided by the borrower to the bank can facilitate the contact between the bank and the bank, and can receive the repayment notice sent by the bank on time every month. When the People's Bank of China adjusts the loan interest rate, you will receive the interest rate adjustment notice from the bank at the beginning of the year. In addition, the borrower is particularly reminded that when you move to a new home, you must inform the loan bank of the new contact address and contact information in a timely manner.

6. Repayment on time every month to avoid penalty interest. For borrowers, they must pay attention to whether there is sufficient funds on their repayment account before the repayment date agreed each month to prevent the bank from being fined for interest due to default due to their own negligence. As a result, funds were lost, and at the same time, bad credit records were left in the bank.

Interim Measures for the Management of Personal Loans

The first is to regulate the personal loan business behavior of banking financial institutions, strengthen the prudent management and management of personal loan business, and promote the healthy development of personal loan business. Laws and regulations to formulate these measures.

Article 2 Banking financial institutions (hereinafter referred to as lenders) established within the People's Republic of China with the approval of the China Banking Regulatory Commission shall conduct personal loan business in accordance with these Measures.

Article 3 The term "personal loans" as mentioned in these Measures refers to loans in local and foreign currencies issued by lenders to qualified natural persons for personal consumption, production and operation.

Article 4 Personal loans shall follow the principles of compliance with laws and regulations, prudent management, equality and willingness, fairness and integrity.

Article 5 Lenders shall establish an effective whole-process management mechanism for personal loans, formulate a loan management system and operating procedures for each loan type, clarify the corresponding loan objects and scope, implement differential risk management, and establish assessments and questions for various operating links of loans Responsibility mechanism.

Article 6 Lenders shall establish a personal loan risk limit management system based on regions, varieties, customer groups, and other dimensions.

Article 7 The use of personal loans shall comply with laws and regulations and relevant national policies. Lenders shall not issue personal loans without specified purposes. Lenders should strengthen the management of loan fund payments and effectively guard against personal loan business risks.

Article 8 The term and interest rate of personal loans shall comply with relevant state regulations.

Article 9 The lender shall establish a reasonable income debt repayment ratio control mechanism for the borrower, and reasonably determine the amount and term of the loan, and control the repayment amount of each period of the borrower, in combination with the borrower's income, liabilities, expenditures, loan use, and guarantee conditions No more than its repayment ability.

Article 10 The China Banking Regulatory Commission shall supervise and manage personal loan business in accordance with these Measures.