Getting a loan from a bank to get rid of financial obligations is a good idea, but risky. If the borrower has problems with payment, he may become a debtor. Long delays lead to huge fines and penalties, seizure of accounts and possible loss of property. But Russia has a limitation period for loan agreements. He is 3 years old. After the expiration of the limitation period, the bank does not have the right to present claims against the debtor. Therefore, many borrowers want to know the answer to the question: if you do not pay a loan for 3 years, what will happen?
The concept of limitation
Many borrowers want to take out a loan and not pay on it, but by law this is possible in exceptional cases. One of these is the expiration of the limitation period under the loan agreement.
Relations between the lender and the borrower are regulated by the Civil Code of the Russian Federation. In Art. 196 of the Civil Code of the Russian Federation, the limitation period is specified in relation to the debtor, after which the bank is not entitled to submit claims for the return of the debt. The term is 3 years.
How is the statute of limitations calculated?
According to Art. 196 of the Civil Code of the Russian Federation, the claims of the creditor against the debtor cease with the expiration of the limitation period. But you can’t just stop paying debt on loans if the client does not understand the features of the procedure. Asking the question: “I don’t pay a loan for 3 years, has my statute of limitations expired?”, Payers want to be in the know when loan obligations end.
One of the important points is the correct calculation of the limitation period. Some customers mistakenly assume that it starts from the moment of conclusion of the loan agreement. This is a wrong judgment.
According to the legislation, the date of the report is the last day the payer fulfills his obligations, after which he ceased to fulfill the requirements of the loan agreement. This is the date of the last loan payment.
Debt relief
One of the ways to write off debts on loans is the expiration of the limitation period. But for exemption from financial obligations it is necessary that the following conditions are met:
- The creditor did not make claims for the payment of debt within 3 years from the date of the last payment.
- Under the consumer loan agreement, no administrative proceedings were initiated against the borrower.
- The client did not consciously hide from duties.
- The borrower did not hide his income and has problems with money.
- Obligations under a client’s loan agreement were not transferred to third parties, such as a collection agency.
- The payer did not receive any notifications of the need to pay contributions under the consumer loan agreement.
The main requirement that a borrower can hope to write off debts on a loan after 3 years is the absence of reminders from the bank. If after 3 years from the date of the last payment the creditor did not demand to pay under the contract, the limitation period for the loan shall be considered expired. In this case, the borrower has the right to count on canceling the balance of the debt with accrued fines and penalties for a three-year non-payment period.
Consequences of default on a loan account
Lawyers do not recommend counting on the fact that the bank will forget about the payer's debt for a period of 3 years. Chances to write off debts under Art. 196 of the Civil Code of the Russian Federation account for less than 0.04%. In addition, failure to fulfill financial obligations to the bank can be regarded as fraud, and this entails criminal punishment (Article 159 of the Criminal Code of the Russian Federation).
If the client (due to financial problems) decided not to pay under the contract for 3 years, counting on writing off a loan after a period, he should be aware of the negative consequences.
If the loan does not pay 3 years, what will happen?
- Hopelessly ruined credit history. The borrower may forget about the possibility of obtaining borrowed funds even in microfinance organizations.
- The bank may require early repayment of the debt. Obligations can be applied to debtors who have delayed payments for 3 months or more.
- All accounts of the borrower will be seized. The client will not be able to use debit cards and deposits until he repays the debts.
- A bank may transfer contractual obligations to a collection agency. Collectors are less loyal to debtors, and conflicts with them can have unpleasant consequences for the payer's reputation.
- Attraction to payment of relatives of the debtor.
- Criminal proceedings may be instituted against the client. If it is proved that the borrower consciously avoids paying a loan in the amount of more than 500 thousand rubles, prosecutors can take it for a fraudster.
Holding family members of the debtor accountable
Customers who become debtors risk not only their own reputation. If you do not pay a loan for 3 years, what will happen to their relatives?
Firstly, the spouse of the debtor is unlikely to be able to obtain approval of the mortgage, as the bank will definitely pay attention to the credit history of the debtor.
Secondly, collection agencies, to which banks transfer rights under credit agreements in 78% of cases, often require a return from all family members. Regular unpleasant calls, notifications and meetings with collectors are only a small part of the negative consequences that a long-term debt of one of the family members entails.
If the fact of fraud on the part of the borrower (which implies the institution of a criminal case) is proved, his family may not only lose peace, but also lose the trust and respect of friends.
Legal advice
If you experience the first financial problems, it is recommended to contact specialists who are competent in economic matters. They will help to make the right decision in order to avoid negative consequences and the status of "eternal debtor".
What do lawyers advise clients who cannot pay the loan? After examining the situation of the borrower, they help to decide how it is not legal to pay a loan to a bank or reduce the amount of contributions. There are several ways to do this:
- apply to the bank for a change in the loan agreement;
- if there are errors in the documents, file a lawsuit against the creditor;
- to attract co-borrowers or guarantors for payment (if they are indicated in the contract);
- take out credit insurance;
- plead bankrupt.
Amendment of a loan agreement with a bank
It is very risky to expect a bank to forget about paying a debt for 3 years. There are more affordable ways to write off debt on loans. One of the most affordable options is to contact the bank managers.
The loan department specialist should be told in detail, which led to financial difficulties. A visit to the bank means that the borrower is interested in maintaining his good reputation as a client and is ready to fulfill obligations at least partially.
To the question: "If you do not pay a loan for 3 years, what will happen?" - Banking specialists are unlikely to answer the borrower. Therefore, managers should not be informed of their intention to evade payments.
To improve the terms of the loan agreement, you should bring along your passport, loan documents and a certificate of income. After considering the application, the bank may decide:
- write off part of the interest that was accrued after the financial difficulties of the client;
- restructure loan. The term of the loan agreement will be increased, but the payment will become much less;
- refinance an existing loan at a lower percentage.
Filing a lawsuit against a credit institution
Not all loan agreements are drafted in accordance with legal requirements. An experienced lawyer on economic issues may find errors in the bank’s documents, and this is an occasion to appeal the accrual of interest or cancel the contract.
The network has information about whether banks write off credit debts in the presence of errors in the loan agreement. 6% of clients managed to win the lawsuit and write off the debt in full. Most of those who won in court (97%) borrowed funds from microfinance organizations. The chances that a major financial institution, such as Sberbank or Sovcombank, will make mistakes in the consumer loan agreement are practically nil.
The client can go to court if the bank does not fulfill the loan obligations, for example, does not notify of the need to make payments 2-3 days before the due date or credits the funds late. In this case, the court can take the side of the debtor and write off part of the debt, having seized the money from the bank. The loan debt and statute of limitations in this situation will not affect the course of the trial.
Attracting payment to others
If co-borrowers or guarantors are indicated in the loan agreement, they can take upon themselves payment obligations. In the absence of actions to repay the debt by the title borrower in 98% of cases, the bank contacts the other members of the agreement to return the borrowed funds.
Evasion of payment by the guarantor or co-borrowers can also entail negative consequences. Can they write off a loan with a statute of limitations in relation to them? Yes, because by law everyone who is involved in a loan agreement can use debt cancellation.
But the exemption from payment of the loan by guarantors or co-borrowers will arise only after the main borrower is declared legally incompetent or bankrupt, and also when the conditions of limitation are met (no reminder from the bank within 3 years from the date of the last payment).
Debt collection by an insurance company
If the client has insurance, he can legally save himself from debt. In case of loss of work, if this was included in the list of risks, the insurance company will pay the loan for the client. Implied involuntary departure from work, for example, as a result of a reduction.
To take advantage of the right, the borrower must immediately after the end of the employment contract submit documents to the bank that confirm its financial position. The bank will transfer the claims to the authorized company, and the insurer of the borrower will pay the loan.
Bankruptcy Procedure
Not all borrowers with financial problems seek to declare themselves bankrupt. But everyone is interested in the answer to the question: what are the consequences for non-payment of a loan? “I haven’t been paying a loan for 3 years,” they say, and many choose this method to legally get rid of obligations.
Bankruptcy is an increasingly popular option to write off credit debts. It can be used by customers of banks that do not pay under contracts for at least 3 consecutive months with a total debt of 500 thousand rubles (minimum). The advantage is the full write-off of residual debt on loans after the sale of the property of the borrower.
Those who have nothing to lose seek to declare themselves bankrupt: the procedure involves the sale of customer property for the payment of debts. If the property is not enough to fully repay the loan, the bank is forced to forgive the debt.