Under normal circumstances, as long as the borrower's loan is overdue, financial institutions have the right to sue the borrower.

However, because prosecution requires a relatively large amount of manpower, material and financial resources, most financial institutions will still choose to focus on collection.

Unless the borrower’s overdue amount is relatively large, for example, if the overdue amount exceeds 50,000 yuan, the borrower will definitely be prosecuted.

Judging from the real feedback from most users, the prosecution standards of various financial institutions are different.

Generally, if the overdue amount does not reach 3,000 yuan, the possibility of prosecution is very small.

If the overdue amount reaches 5,000 yuan, whether to sue depends on whether the borrower is local.

If the borrower is a borrower from another place and is overdue by 5,000 yuan, the financial institution will most likely not sue.

For example, if a borrower applies for a loan in Zhejiang, and the lending institution’s main operating location is Guangxi, many financial institutions will choose to give up the prosecution considering that they need to go to Zhejiang for prosecution.

In addition, if the debt is 5,000 yuan, it is not considered a large loan, and the lawsuit is generally a civil lawsuit.

The worst result of a civil lawsuit is that the borrower is enforced and all the property under his name is auctioned by the court.

The funds obtained from the auction are used to repay the loan. If there is not enough money after the auction, the borrower will be listed as a dishonest person subject to execution, and consumption and travel will be restricted to varying degrees.

Now is the era of credit. Once credit is stained, many things will be difficult to achieve. Online loans are the source of big data. Once the big data becomes chaotic, it will be classified as a high credit risk, thus affecting credit reporting and life restrictions. People who don't understand credit reporting and big data can check their credit data in "Sixi Data" to understand their credit data, loan records, risk status, etc. It is recommended that everyone pay attention to protecting their big data credit records.

Extended information:

What should I do if I am actually sued overdue?

If you are really sued after the deadline, don’t wait any longer. It is recommended to deal with it from the following two aspects.

1. Negotiated repayment

The borrower can proactively call the customer service number of the financial institution to apply for negotiated repayment.

Clearly express your willingness to repay and explain your current financial situation to customer service.

Then you can increase the loan interest rate appropriately to increase the probability of successful repayment negotiation.

2. Ask your family for help

If you are really sued, you must do your best to pay off the debt, confess to your family, and raise enough funds to negotiate.

Generally speaking, one-time repayment can reduce part of the overdue penalty interest. Some lax financial institutions may even only require the borrower to repay the principal and part of the interest.

Warm reminder.

The cost of being sued overdue shall be borne by the losing party. Since the suing party is usually a lending institution or bank, the litigation costs shall be borne by the borrower.

Therefore, after the borrower loses the lawsuit, in addition to paying the loan principal, interest and overdue interest, he will also need to pay litigation costs, which will increase the lender's repayment burden.