This is a reminder call from China Minsheng Bank. It is recommended that you pay your debt as soon as possible to avoid any impact on your life.

After a credit card is overdue, the consequences will be different depending on the overdue time;

1. Overdue for 3-90 days

During this period, the bank will usually issue you a The text message reminds you that it is time to repay the loan. If you are overdue for a long time, you will be charged penalty interest.

If you are one to two months overdue, the bank will make a special collection call to urge you to repay the money as soon as possible. They will call you every few days, but at this time the attitude is still very gentle, just Mainly focus on reminders;

In terms of credit reporting, if the debt can be paid off within one month overdue, it will not be a big problem; if the debt is overdue for two consecutive months, there is still hope.

2. 90-180 days overdue

During this period, the bank will send you a collection letter and then call your relatives and friends (the contact you left when applying for a credit card person);

If your overdue amount is high, someone may come to your residence or place of work to collect the money. At this stage, the bank usually entrusts a third party to do it.

Overdue interest: It is the penalty interest caused by overdue loans. Specifically, it refers to the overdue penalty interest if the lender fails to repay the loan as stipulated in the contract.

The general operation is to add a penalty interest of 30-50% to the original loan interest rate. The specific algorithm depends on the different circumstances of each case.

Basic:

Notice of the People's Bank of China on Issues Concerning RMB Loan Interest Rates (Yinfa [2003] No. 251)

All branches and business management of the People's Bank of China Ministry of Finance, all policy banks, wholly state-owned commercial banks, and joint-stock commercial banks:

In order to steadily promote the market-oriented reform of interest rates and give full play to the regulatory role of interest rate leverage. The relevant matters regarding RMB loan interest rates and interest settlement are hereby notified as follows:

1. Regarding the issue of RMB loan interest calculation and interest settlement. The interest calculation and settlement methods for various RMB loans (excluding personal housing loans) shall be determined through negotiation between the borrower and the borrower.

2. Regarding the adjustment of loan interest rates during the contract period. The interest rate for medium- and long-term RMB loans has been changed from fixed one year to determined by both borrowers and lenders based on commercial principles. It can be adjusted monthly, quarterly, or annually during the contract period, or a fixed interest rate can be used.

The interest rates for loans with maturities of more than 5 years are determined independently by financial institutions with reference to the interest rates for loans with maturities of more than 5 years announced by the People's Bank of China.

3. Regarding the issue of penalty interest rates. The penalty interest rate for overdue loans (loans where the borrower fails to repay on the date stipulated in the contract) has been changed from the current rate of 2.1% per day to an additional 30-50% of the loan interest rate stated in the loan contract; If the borrower fails to use the loan for the purpose stipulated in the contract, the penalty interest rate will be changed from the current rate of 0.5% per day to an additional 50-100% on the loan interest rate stated in the loan contract.

For loans that are overdue or not used for the purpose stipulated in the contract, interest will be charged at a penalty interest rate from the date of overdue or the loan is not used for the purpose stipulated in the contract until the principal and interest are repaid. For interest that cannot be paid on time, compound interest will be calculated based on the penalty interest rate.