in addition, if there is a guarantor, even if the lender dies, as a guarantor, it is also responsible for repayment.
1. How to deal with the loan owed by the debtor when he dies:
1. If the borrower's relatives or other third parties sign a joint repayment responsibility contract with the lending institution when applying for a loan, the lending institution will require the guarantor to perform the guarantee obligation, assume joint repayment responsibility and repay the remaining debts in case of the borrower's long-term arrears.
2. Without any third-party guarantee:
① If the borrower chooses the mortgage loan method, the overdue time will reach about half a year, and the lending institution will generally file a lawsuit for house auction with the court, and the auction proceeds will be used to pay off the debts in priority;
(2) If the family of the deceased repays the loan on their behalf, then after the loan is paid off in full, their family members can go through the formalities of deregistration of the house mortgage, and then keep the house.
3. However, if the borrower chooses unsecured loans at the beginning, and neither collateral nor third-party joint and several responsible persons are provided, it will be more difficult for the lending institution to recover the arrears, and it will generally be treated as bad debts.
second, after the death of the borrower, does his successor have the obligation to repay the usury interest he borrowed?
It is a tradition in China that the father owes the son back, but there is no law to do so now, so the father owes the son back. Besides, usury itself is not protected by law.
1. In China's Civil Law, there is no saying that a father's debt is repaid by his son, and personal rights and obligations belong to him and have nothing to do with others;
2. A person's rights and obligations come into being with the life of the party concerned, and end with the end of the life of the party concerned. That is to say, people die and debts die. When a person dies, all his rights will end, and so will his obligations, including debts owed to others.
3. Regarding whether to repay the loan from the credit union, it is necessary to distinguish whether this debt belongs to your father's personal debt or your family's debt. If it is your father's personal debt, then you are not obligated to repay it; However, if your father has property, it will be repaid by your father's property; If the property has been inherited by the heir, then the heir should repay the debt. However, it is specially stated that if the property is insufficient to repay the debt share, then the successor will repay the debt as much as he inherits, and the insufficient part will not be repaid, that is to say, the debt still belongs to your father himself;
article 33 of the inheritance law: when inheriting an estate, the taxes and debts that the decedent should pay according to law shall be paid, and the payment of taxes and debts shall be limited to the actual value of his estate. If the part exceeds the actual value of the estate, the heir will voluntarily repay it. If the heir renounces his inheritance, he may not be liable for the taxes and debts that the decedent should pay according to law.
4. In reality, many children help their parents to repay their debts, which puzzles many friends. In fact, they made a mistake. It's not the parents' personal debt. This kind of explanation is that if the debt is used for household expenses, then it is classified as household debt. For family debts, every member of the family has joint and several repayment obligations, so family debts should still be paid.
3. Do you need to pay back the loan owed to the bank after the death of the loan party?
after the death of the loan party, the bank will continue to recover the loan owed to the bank according to the actual situation:
1. Guaranteed
The bank will recover the loan from its guarantor or guarantee institution.
2. There is no guarantee
The estate under the name of the deceased is used for compensation or its legal heir fulfills the repayment obligation.
3. No guarantee and no inheritance
If there is no inheritance in the name of the deceased, the loan is usually treated as a bad debt by the bank.
The relevant provisions of the Inheritance Law:
Article 33 An inheritance shall pay off the taxes and debts that the decedent should pay according to law, and the payment of taxes and debts shall be limited to the actual value of his inheritance. If the part exceeds the actual value of the estate, the heir will voluntarily repay it.
if the heir abandons the inheritance, he may not be liable for the taxes and debts that the decedent should pay according to law.
The above is about how to deal with the loan owed by the debtor when he dies and related issues. I hope these information and steps are clear enough.