First of all, I want to return it. Bad debt means no interest and penalty interest. Your letter shows that the bad debt is 1000, so you only need to repay 1000. There is no new late payment fee and penalty interest, but you still have to pay back the amount you should pay, otherwise it will follow you all your life and become your bad mark forever, which will hinder you from applying for loans and handling cards in the future. Bad debt information will always be recorded in the personal credit report. When applying for credit cards and loans, banks and lending institutions accessing the central bank's credit information system usually inquire about customers' credit information. If it is found that customers have bad debts that have not been paid off, they will basically not grant cards or loans to customers.
Second, how to solve bad debts?
1. Bad debts caused by overdue credit cards
If the credit card has overdue bad debts, the borrower needs to repay it in full. After that, you can continue to use your credit card and keep paying back on time. Remember never to cancel, or it will be difficult to apply for a credit card in the future.
2. Failure to pay the annual fee leads to bad debts.
If it is a bad debt caused by the annual fee, it is recommended to contact the bank directly, especially if you don't know the payment of the annual fee, you can ask the bank to cancel the bad debt record in the credit report immediately.
It should be noted that if the annual fee generates bad debts without your knowledge, it can be exempted and which bank should be deleted. If the bank agrees to delete the operation, it usually takes one week at the earliest and one to two months at the latest.
Will the bad debts appear in the credit report after treatment?
Every bank handles it differently. When you close your account in a bank, some banks will update your credit record immediately, and even classify your bad debt record as an overdue account. But some banks are poor. Even if the account is cancelled, the bad debts will remain on the credit report, and it is useless for the bank to negotiate.
In addition, if the credit card with bad debt record is handled well, it is recommended to check the personal credit report one month later to verify whether there is a bad debt record. Credit investigation is very important to each of us. Let's do it and cherish it.
Is it really necessary to pay back the bad debts of the bank?
Bad debts need to be paid back. If the borrower can't repay, the bank will deduct it from the fund drawn according to a certain proportion of the loan as a reserve for writing off the loss of non-performing loans. Banks or finance companies lend money, and then customers' business is liquidated, which will lead to bad debts. However, when bad debts have been included in the income statement as expenses, but later recovered, they are also called income.
Bad debts, also known as bad debts and bad debts, are irrecoverable parts of accounts receivable. It belongs to the expense category and appears in the income statement. The reason for bad debts is that enterprises give customers credit facilities to sell goods, so bad debts are expenses incurred to create income.
Extended data:
I. Disposal of bad debts:
1, direct resale method. That is, when bad debts occur, the actual losses are directly written off from accounts receivable. When the state-owned enterprises in China have bad debt losses, they shall be charged in the non-operating expenses according to the regulations.
2. Allowance law. That is, the bad debt loss is estimated on schedule, converted into expenses, recorded in the allowance account, and bad debt reserve is accrued. When it actually happens, it will be offset by bad debt provision.
3, the extraction of bad debt reserves, generally there are three ways:
(1) sales percentage method, that is, according to past experience, estimate a percentage of the amount of goods sold on credit, and then multiply the amount of credit sold in each period by the percentage of bad debts for accrual.
(2) Aging analysis, that is, estimating bad debts according to the length of accounts receivable. Generally speaking, the longer the arrears, the greater the possibility of bad debts.
(3) The percentage method of accounts receivable balance, that is, estimating bad debts according to the percentage of accounts receivable balance, is the synthesis of the first two methods. With the development of market economy, the development of commercial credit and the diversification of commodity sales methods, accounting circles believe that China can also make provision for bad debts.
Two, the following circumstances can be identified as bad debts:
1. The borrower and guarantor are declared bankrupt, closed, dissolved or revoked according to law, and their legal person qualifications are terminated. Creditor's rights that cannot be recovered after financial enterprises recover from borrowers and guarantors.
2. According to the General Principles of Civil Law of People's Republic of China (PRC), after the borrower dies or is declared missing or dead, the financial enterprise shall pay off his property or inheritance according to law, and recover the creditor's rights that cannot be recovered from the guarantor.
3. Creditor's rights that cannot be recovered after the borrower suffers huge losses due to major natural disasters or accidents, fails to obtain insurance compensation, or is really unable to repay part or all of the debts after insurance compensation, and the financial enterprise has paid off its property and recovered from the guarantor.
4. Although the borrower and guarantor have not been declared bankrupt, closed, dissolved or revoked according to law, they have completely stopped their business activities, their business licenses have been cancelled or revoked by the administrative department for industry and commerce at or above the county level according to law, and the financial enterprise has not recovered the creditor's rights after claiming compensation from the borrower and guarantor.
5. The borrower and guarantor have not been declared bankrupt, closed down, dissolved or revoked according to law, but their business activities have completely stopped or their whereabouts are unknown, they have not gone through industrial and commercial registration, or they have not participated in the annual industrial and commercial inspection for more than two consecutive years, and the financial enterprise has not recovered the creditor's rights after recovering the borrower and guarantor.
6. The borrower violates the criminal law and is punished according to law, and his property is not enough to repay the borrowed debt, and there are no other debtors, and the financial enterprise really cannot recover the creditor's rights after the recovery.
7. Due to the inability of the borrower and guarantor to repay the due debts, the financial enterprise resorted to the law, and the borrower and guarantor were enforced by the court, and both borrowers and guarantors had no property to enforce. After the termination, termination or suspension of execution by the court, the financial enterprise is still unable to recover its creditor's rights.
8. After the court takes legal action against the borrower and the guarantor, due to the disqualification or disappearance of the borrower and the guarantor, etc., the court rejects the prosecution or orders to exempt (or partially exempt) the debtor from liability; Or the creditor's rights that cannot be recovered by the financial enterprise due to the loss or loss of the limitation of action of the loan contract, guarantee contract and other rights, and the court will not accept or support them.
9. Creditor's rights that can't be recovered due to the above reasons of 1 to 8, and the financial enterprise has obtained debt-paying assets according to law, and the debt-paying amount is less than the loan principal and interest difference.
10. When an advance payment occurs in opening a letter of credit, handling an acceptance bill, opening a letter of guarantee, etc. If the applicant of the letter of credit and the guarantor can't repay the advance payment due to the above reasons 1 to 9, the financial enterprise can't recover the advance payment after recovering it.
1 1. The foreign investment of a financial enterprise that enjoys the right to invest according to national laws and regulations, and the legal person qualification is terminated due to the bankruptcy, closure, dissolution or revocation of the invested enterprise according to law, and the equity that the financial enterprise cannot recover after liquidation and recovery.
12. After a financial enterprise is approved to dispose of its creditor's rights or equity by market means such as package sale, public auction and transfer, the difference between the sale and transfer price and the book value can be recognized as bad debts.
Is there no need to pay back the credit card when it becomes a bad debt? Don't think too well!
Bad credit cards are often overdue for too long, resulting from the failure of bank collection. Once bad debts are formed, the consequences will be very serious. It is impossible to handle credit cards and loans, and it may never be eliminated, so some card friends are even more reluctant to repay. So, can credit cards really become bad debts that are not repaid? Let's have a look.
Is there no need to pay back the credit card when it becomes a bad debt?
This is definitely impossible. As long as your credit card is overdue and bad debts are formed, you must pay it back.
Unless the amount owed does not exceed 10 yuan, the bank can ignore it according to the bank tolerance regulations. After all, the money owed to the credit card is the money owed to the bank, and the bank's money is the country's money. Besides, it's natural to pay back the debt, and the bank won't let you go so easily if you don't pay back the money.
What will happen if credit cards become bad debts?
As mentioned earlier, the consequences of credit cards becoming bad debts are very serious. The first thing to bear is the impact on credit reporting, and the bad debts of credit cards will be recorded in the credit reporting. In this way, there is basically no hope for you to apply for bank credit cards and bank loans in the future. No bank will lend you money without repayment.
In addition, credit card bad debts will generate high liquidated damages and interest, and will not stop the growth of interest because of the formation of bad debts. The longer the overdue period, the greater the interest will roll.
What's more, if the principal owed by the credit card exceeds 50,000 yuan, and the credit card is not returned for more than 3 months after being collected twice by the issuing bank, it will be considered as a malicious overdraft of the credit card, which constitutes a crime of credit card fraud, and it will be criminally responsible, sentenced and fined. If the court still refuses to repay the loan after the judgment, it will be listed as the person who has lost his trust and will also implicate his family.
To sum up, it is absolutely impossible for a credit card to become a bad debt and want to pay it back. After all, bank money is not so easy to earn.