Loan is a form of credit activity in which banks or other financial institutions lend monetary funds according to certain interest rates and must be returned. Loans in a broad sense refer to the general term for lending funds such as loans, discounts, and overdrafts. Banks invest their concentrated currency and monetary funds through loans, which can meet the society's need for supplementary funds to expand reproduction and promote economic development; at the same time, banks can also obtain loan interest income and increase their own accumulation.

When you took the loan from the bank leisurely, you did not make a repayment plan, failed to repay the loan on time, or you were unable to repay the loan, or you did not want to repay it. What will happen?

1. Personal credit is affected. It will be difficult for you to get a loan in the future! For example: if you usually use a credit card and forget to repay or default on it, your credit will have problems. In the future, when you buy a house or a car, the bank will not easily lend you money or increase the interest rate. Nothing to say about this.

2. Penalty you with interest. Penalty interest refers to the overdue interest caused by the borrower's failure to repay within the bank's specified time; the bank will calculate interest on the overdue portion of the unpaid loan on a daily basis.

3. After a while, the bank will call you, or someone will come to communicate with you, "Brother, is it time to repay the loan?".

4. If you don’t repay it, the bank will auction your collateral. After the auction, the loan principal, loan interest, overdue interest and penalty interest, legal fees, and other related expenses will be paid off.

So the loan the bank will lend you will be much lower than the market value of your collateral. If you don’t repay it, there are ways to punish you!

If you provide false information or If you provide false information, the bank will sue you for fraud.

The "Criminal Law Amendment (6)" creates new crimes. Article 175-1 of the Criminal Law, “Whoever obtains loans, bill acceptances, letters of credit, letters of guarantee, etc. from banks or other financial institutions by deceptive means, causing heavy losses to banks or other financial institutions or other serious circumstances, shall be sentenced to fixed-term imprisonment of not more than three years. Or criminal detention, and shall also be fined or shall be fined alone; those who cause particularly heavy losses to banks or other financial institutions or have other particularly serious circumstances shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years, and shall also be fined.”