Everyone in life had a situation when they urgently needed money. The purpose of this urgency is different. Someone is not enough to buy a new gadget, and someone is looking for money to feed a child. The means to achieve the goals are the same for everyone and depend on opportunities. They can be earned if there is no urgency. You can borrow from friends or take a loan from a bank. People get credit cards or take loans because, on the moral side, it’s easier. No need to blush in front of relatives or friends asking for money. But there is another side. A close person is able to wait for the return of debt, if you explain the difficult situation. It is difficult to agree with banks and microfinance organizations. Consider the causes of debt and ways to resolve the conflict with creditors. What happens if you take a loan and not pay?
What is a loan?
This definition includes the method of exchanging money between the borrower and the lender. The loan is a certain amount of money that the borrower takes from the lender. It is returned in the same form in which it was taken (in cash) taking into account urgent interest. An option is also possible on the security of property. When dealing with property, sometimes the collateral becomes the purpose of the loan. For example, a mortgage or car loan. Or existing property of the borrower. Both movable and immovable.
Occurrence of debt
In the contract, which is drawn up between the lender and the borrower, the loan term, amount and interest rate are certainly indicated. For a decent organization, a payment schedule with calculations is included in the package of documents. They indicate the total amount of the cumulative total for payment, taking into account the term and interest. Amounts including early repayment are also indicated, depending on the term for premature termination of the contract. The loan agreement shall indicate all fines and penalties that will be imposed on the debtor in case of delay in the period of loan repayment. Usually there is a period without fines, it ranges from one to seven days. The methods of debt repayment are indicated taking into account the timing of receipt of payments, depending on the method of payment. Large organizations have ways to defer payments. One of these methods is the so-called credit vacation. This service is provided by banks to borrowers in an unforeseen situation. Those who can not pay a monthly payment.
If the borrower ignores the payment schedule, allows payments later than the interest-free period, and also completely stops paying the loan or does not use the credit vacation in order to return to the payment schedule, a debt is formed. From the moment of the first delay in fines, the borrower transfers to the status of a debtor. Employees of the bank begin to act further.
What will the bank do?
Initially, while the delay is short, the bank prefers to act independently. The debtor receives messages demanding to pay off the debt. Periodically, bank employees make calls to the borrower's phone number. The first goal of such calls will be to remind the person of his delay. If the borrower values credit history, it is in his interests to pay off the debt as soon as possible. Do not wait for further actions of the bank and do not completely ruin the credit history.
"What to do, I have not been paying a loan for several months?" - For many, this is a psychologically critical situation. Even the most honest borrowers with excellent long-term credit history have difficult life situations. Condemning them in this case is the last thing.
What if there is nothing to pay loans?
The answer to this question implies two views on the solution to the problem.
1. The borrower values credit history, he is an honest and decent person and is going to pay off the debt, but later. Now he has nothing to pay. Dismissed from work and have not yet found a new one, he got sick. Perhaps something bad happened in the family, mobilization of all funds was needed. In general, there was a sharp decrease in the amount of free cash to pay debt. As time passes and the situation changes in a positive direction, the borrower is ready to fully repay the debt.
2. The borrower deliberately refuses to pay the debt. Improvement of the financial situation is not planned (in case of obtaining a non-working disability group, for example) or it is simply a fraudster. Perhaps the occurrence of debt is not the fault of the borrower. This type of debt, as a rule, borrowers refuse to pay. “I took a loan for a friend and don’t pay. What will happen?" - One of the most common questions from debtors.
Lender Action Scheme
What will happen if you do not pay loans? How will the lender behave?
1. Attempts to resolve the issue on their own. On this he will spend an average of 1-2 months. During this period, the debtor will be harassed by bank employees. They patiently and politely (in self-respecting organizations) will remind people of duty. For each call, calculate the amount remaining for repayment and warn about the consequences. If the debtor does not respond to calls, funds are not received to the account, then, under the agreement, the bank has the right to transfer the case to the collection agency.
2. The case is transferred to the collectors. What is important: under an agency agreement. This means that the creditor will continue to be the owner of the debt. The collection agency will act as bank employees and arrange psychological terror for the borrower. This period can last up to three years after the date of debt formation and periodically renewed. Moreover, the agencies can change, the case can be transferred to the same agency several times.
3. If the borrower does not succumb and does not pay off the debt, enforcement measures begin. The bank goes to court. The borrower receives a summons according to which he must attend a hearing of the world court. If the borrower decided to check what would happen if he did not pay the loans, and did not appear in court, the decision is automatically made in favor of the plaintiff. And the case goes to enforcement proceedings. This process takes an average of 1-2 months before the appearance of the writ of execution.
4. The creditor organization transfers the writ of execution to the bailiffs, the search for the debtor's money begins. All available bank accounts are blocked. If there are deposits, money will be written off from them in the payment of debt. The same applies to free cash placed in the debtor's open accounts. In case of shortage, the remaining amount will be deducted from wages. At a time, they can withhold no more than 50% of official income.
If the debtor does not have official wages, the bailiffs have the right to describe the property. Subject to description: vehicles, valuables, household appliances, fur coats, antiques. You can familiarize yourself with the list on the bailiffs website.
Work with employees of the creditor organization
Let us consider in more detail what will happen if you do not pay loans at the first stage of the lender’s actions and how to act correctly.
• If you decide to pay the debt later, but do not delay. The dialogue with the creditor needs to be maintained. Pick up the phone as often as possible. Kindly talk with the staff of the creditor organization. Perhaps they will meet and offer options for debt restructuring or on-lending. So you can avoid penalties or minimize losses.
• If the payment is delayed for a long time (1-2 years), but it will be obligatory. In this case, it makes sense at first to talk with the lender's employees. Ask about restructuring or deferral options. If there is a good reason, the bank may make concessions. For this, it is necessary to provide documents confirming the force majeure situation (sick leave, disability certificate and others). If the loan was insured, it is possible to write off the debt for an insured event and not pay the loan (disability I, II group). If there is no good reason for the bank, it is better not to contact the employees of the creditor organization. In the future, when it comes to court, it will be possible to write off the debt due to exceeding the limitation period. This period is 3 years from the date of the borrower's last contact with the organization’s employees. A contact is considered as a personal visit to the bank, as well as a telephone conversation or a proven fact of receiving a written notice.
• If a decision is made to never pay loans at all. The scheme is this: do not communicate with the lender, pull the time until a three-year period.
In reality, banks, of course, are aware of the statute of limitations and are not dragging it out to court until this time. But there are also omissions. The bank may “forget” the debtor if the amount of debt is small (up to 50,000 rubles) or the bank itself was not a creditor under the agreement from the very beginning. In the latter case, it refers to the closure of the original creditor organization. The order of the financial system is such that the obligations of customers to the creditor pass into the ownership of the receiving organization. In the process of transferring documents, they may be lost or the bureaucratic system will delay the transfer process. So the bank itself delays the term of the right to claim debt. This can be used. Particularly “lucky” were those borrowers whose creditor organization was liquidated, but no successor was appointed. Then the debts of the bank are written off. But this happens extremely rarely.
How to communicate with collectors?
The employees of these organizations are trained in psycho-emotional pressure on the debtor. There is information that during a conversation some of them have the opportunity to read with the help of technical devices which phrases of a manipulative nature act best on the interlocutor. The collector's task is to squeeze a debt out of a person by hook or by crook. It is desirable in full. What will happen if you do not pay loans?
• Through collectors, it is possible to reduce the amount of the final payment. Often they themselves call to voice the "special offer." The amount of the final payment is reduced by an average of 20%. If you want to pay the debt and forget about the loan, you can use this.
• If it is not possible to pay in full the amount that collectors are talking about, voice it to them. And end the conversation. The purpose of the collector is to squeeze money out of the borrower. And to achieve this goal all means are good, their premium depends on it. They go to blackmail, threats, inappropriate sarcasm and humiliation of the debtor. They can call the numbers of acquaintances, friends, their home phone number, and follow them on social networks.
It is important to get together and not get soggy. Because this stage is the most difficult morally. Close and not so people who are not always friendly and able to support morally learn about debt. Few people can openly declare: “I do not pay loans to MFIs” and do not hear criticism.
There are basic rules for communicating with collectors. Ask them for documents on the basis of which they apply. Usually this is where the whole conversation ends. You are not obliged to give explanations to someone who is unclear by telephone about your financial affairs. Ask for an agency or assignment agreement and only after that agree to continue the conversation in a constructive manner.
Employees of a collection agency may continue to threaten and be rude instead of providing an answer about the availability and transfer of documents. If so, hang up. For this profession, it is characteristic to cross the line and violate the personal boundaries of a person in the process of communication. Their task is to bring the debtor to emotions so that he can get money from anywhere. Their wages depend on this.
Assignment agreement
This is an assignment agreement. So the lender gets rid of the debts of borrowers who are assigned the status of bad. What will happen if you do not pay loans after repurchase by collectors? The contract was sold to a collection agency, and now the debtor is obliged to pay the debt to them. As a rule, the maximum interest on the debt is imposed in order to get the greatest benefit. After all, debt is redeemed for 5-10% of its value. It is important to remember that the maximum amount of interest that can be legally claimed from the debtor is 200% of the initial loan. That is, for a debt of 5,000 rubles, they can demand a maximum of 15,000 for repayment. The actions of the collectors are regulated by the law of January 1, 2018 (FZ-230). This law has given relief to many people. According to the main provisions, the debtor is assigned a curator from the collection agency, who contacts him at the strictly agreed time no more than twice a week. Calls can only be made during business hours and only at the numbers indicated by the borrower. Naturally, there can be no question of any threats and measures of physical coercion. Collection agencies that allow themselves such actions, themselves fall under the article and huge fines.
Court
What if there is nothing to pay the loans and the lender referred the case to court?
There comes a time when the phone goes silent. Sooner to rejoice, most likely, the creditor organization submitted the documents to the court. The Magistrates Court sends a summons to the address of the borrower. If he is not at the meeting, the decision is made automatically - the bailiffs continue to act. If the debtor comes to court and pursues the goal of not paying loans, the main task is to waste time. For a good reason (your own malaise, illness of loved ones, etc.) you can postpone the meeting several times. Such a postponement of a court decision can drag on for years.
If a court decision is made without a borrower, you can appeal it within 10 days from the date of the decision. The next process will be appointed in a civil court, where the debtor will already be able to defend himself. It will require the mobilization of all forces. It is difficult to prove your financial insolvency, but if there are good reasons, it is possible. At a minimum, debt penalty can be reduced or enforcement proceedings can be postponed.
Bailiffs
When it comes to the bailiffs, the first thing they do is arrest the accounts of the debtor. It is important to remember that if there is nothing to pay loans, then the arrest will not affect in the absence of wages and official payments on the card. If the family has minor children or the debtor is a beneficiary - benefits, children's money is not subject to arrest. To limit the actions of the bailiffs, it is necessary to contact the person who conducts the case and transfer to him documents confirming the nature of the money received in the account.
If there are no accounts that are subject to arrest, bailiffs have the right to seize the debtor's property. If there is no property and there is nothing to pay loans - that's all. The process ends, the accounts remain blocked, restrict travel abroad.
Bankruptcy
Since October 1, 2015, another loophole has appeared for debtors, which allows not to pay loans legally. The borrower may declare bankruptcy. The procedure is quite complicated and imposes a lot of restrictions on a person. Its description can be found in FZ-127. So, the debtor is relieved of all payment obligations and he is relieved of liability.
Finally
Puzzled by the question of whether it is possible not to pay a loan, make sure that such an opportunity does not exist. Without a valid reason, this is not possible. The lender will find a way to extend the debt on its own or with the help of collectors and bailiffs. If there is nothing to pay loans in MFIs - re-borrow money from a larger organization. This measure will protect from the consequences of dishonest actions of the lender's employees.
Even if borrowers do not pay under a loan agreement for a good reason, the lender will help them nerves and can make life difficult. Therefore, do not let things go by themselves, conduct a dialogue with the creditor, no need to hide. So there is the opportunity to avoid some unexpected consequences and save your nerves, while maintaining relationships with loved ones.