Bad debt is a term in the economic field, which means that accounts receivable have passed the repayment period and cannot be recovered after collection, which may become bad debts for a long time. Bad debts are caused by the failure to settle accounts in time, and also refer to the property that cannot be recovered because the other party does not return it.
1, general bad debts. Generally speaking, the main reason for bad debts is overdue repayment. Take credit cards as an example. If the cardholder fails to repay the loan within the billing date stipulated by the bank, it is overdue for more than 3 months. Due to various circumstances, the bank failed to contact the debtor for collection, which led to the inability to recover the bill, which made the bill enter a long-term sluggish state and resulted in bad debts. Platform lending beyond the repayment period and platform collection period will also generate bad debts.
2 Pay more bad debts, mainly because there is deposit in the credit card, but the credit card has been stopped for a long time, which is a special case of bad debts. Suppose the credit card owes 999 yuan and the repayment is 1 000 yuan, there will be a difference of 1 yuan. Due to this difference, transactions between banks and individuals cannot be completed normally, which will lead to overpayment and bad debts.
3, the annual fee is a bad debt, and the annual fee formed by bad debts is easier to understand. The main reason is that when the credit card consumption does not meet the bank's annual fee exemption standard, the annual fee bill appears on the credit card, but the user has not found that the bill has not been paid off for a long time, resulting in bad debts.
4, the existence of bad debts is much more serious than overdue, a bad debt is equivalent to "n times" overdue. If a bill is considered as a bad debt of a bank, the bank will not take the initiative to appeal for repayment. At the same time, the financial business between you and the bank will be closed, and all financial business with the bank will be rejected in the future.
At the same time, bad debts will be recorded in your credit report for 5 years, during which all credit card and loan businesses can't apply. If you don't take the initiative to eliminate bad debts and pay them off, bad debts will accompany you all your life.
6. When repaying bad debts, only the principal needs to be repaid, and bad debts themselves do not generate interest, so there is no need to calculate interest and repayment to repay, which is also convenient for banks to cancel their accounts.
7. Bad debts are something that everyone needs to pay special attention to, because once bad debts appear, they will be very serious. If you go to the bank to handle the bad debt business, you should also check the personal credit report one month later to confirm whether the bad debt record has been resolved. Everyone should also try to avoid bad debts in their lives, repay on time, and check personal credit information regularly to ensure that there are no bad debts.