1. Will you be sued if you pay an overdue credit card?
If you pay an overdue credit card every month, you may or may not be sued. The main thing is It still depends on how much you owe. If the amount owed is too high, you will be sued.
Generally, when a cardholder's credit card is overdue for more than three months, the card-issuing bank has the right to sue. But this does not mean that as soon as the cardholder's credit card is overdue for more than three months, the card-issuing bank will immediately file a lawsuit in court.
In fact, in real life, banks will not sue easily. After all, the litigation process will consume a lot of material, human and financial resources. The bank mainly reminds the cardholder to repay the loan as soon as possible through text messages and phone calls.
Unless the cardholder's overdue circumstances are serious, such as the overdue time is too long (three in a row and six in a row), the amount of debt owed is also large, and the bank has ignored multiple reminders during the overdue period, The bank couldn't even contact anyone. In this case, the bank is likely to sue and use legal channels to get the cardholder to repay the loan.
2. What are the consequences of owing a credit card?
1. From the overdue date, penalty interest will be calculated at a daily interest rate of 0.05% every day until the customer repays all the debt. Until clear. The longer the overdue period, the more penalty interest will be generated, and the customer's repayment pressure will become greater and greater.
2. Overdue situations will be reported by the bank to the central bank's credit reporting system, leaving a bad record in the customer's personal credit report, thus causing damage to the customer's personal credit. And if you continue to default on repayment, I am afraid that serious bad information such as "three in a row and six in a row" will appear on your credit report.
3. The credit card is likely to be reduced by risk control, or even have its limit frozen, resulting in customers being unable to use the card for consumption in the future.
4. Due to the damaged credit, it is estimated that customers will be hindered in applying for new credit cards or loan businesses in the future. After all, whether it is credit card or loan approval, the handling bank (loan institution/platform) will Check the customer's credit report. Once there is a problem with the credit, they will naturally refuse to approve the card or loan.
If you pay off some overdue credit cards, you may be sued. If you owe a credit card, the overdue situation will not be recorded in the credit reporting system. Canceling a credit card account will not affect the cardholder's personal credit report. Credit cards that have not been used for a long time need to be canceled. There are two cancellation methods. One is to go to the bank's business hall with your credit card and ID card to complete the procedures, and the other is to Do it online and cancel your credit card.
If the credit card is overdue for more than 3 months and the bank fails to pay more than 2 times of collection, the cardholder will be sued. If the cardholder repays the minimum repayment amount of the current period, then the cardholder's personal credit record will be flawed. In addition to this, cardholders also need to pay overdue penalty interest, calculated at 50,000 per day.