The borrower most often comes to the decision to terminate the loan agreement when he loses the opportunity to pay money (leaves his job or is seriously ill). According to the rules, this can be done after full repayment of the debt. Is it possible to terminate the loan agreement with the bank ahead of schedule? Yes, but it’s very difficult to do.
Options
If the borrower has fulfilled all its obligations, then the document is deemed to be fulfilled, and it is not necessary to terminate it. The Law on the Protection of Consumer Rights provides another interesting feature. Within two weeks after receiving a loan, you can return it by paying a symbolic interest. This clause does not require prior coordination with a credit institution. Another thing is if the money is not fully paid. How to terminate a loan agreement with a bank in such a situation? The first option - by agreement of the parties, the second - through the court.
Grounds
It’s impossible to simply refuse to fulfill obligations under a civil contract. The borrower must have an insurmountable circumstance, about which he did not know at the time of signing the documents. Loss of income is not such, because the client can and should look for another job. And if he was reduced the amount of the salary, then you should ask for a debt restructuring or take a loan to cover a loan in another institution.
How to terminate a credit agreement with a bank by law?
According to Art. 821 of the Civil Code of the Russian Federation, the borrower may refuse a loan before receiving it. After that, the institution has the right to demand payment of the full amount of the debt, taking into account the fee. How to terminate the contract unilaterally? Experts emphasize that the following circumstances are provided for in the Civil Code of the Russian Federation:
1. In case of violation of the terms of the agreement by the bank (Article 450).
2. The onset of circumstances that the borrower could not foresee.
3. The onset of other circumstances specified in the document. This may be a loss of collateral, delay in payments, etc. In this case, the bank may require payment of the entire loan amount, taking into account interest and fines.
On practice
Is it possible to terminate a loan agreement with a bank if a person is seriously ill or has received a disability group and now cannot work? Yes, because he could not know about this in advance. The second option is if the credit institution has amended the contract without approval. The document is concluded on a contractual basis and signed by representatives of the parties. Therefore, all changes must also be agreed in advance. But very often financial institutions change the interest rate without agreement with the client. How to terminate a loan agreement with a bank in this case? File a lawsuit. Another good reason may be the untimely provision of money or the issuance of funds in part.
Where to begin?
Can a bank terminate a loan agreement? Yes, for example, if the borrower does not return the money within the time specified in the document (most often 30 days). Failure to fulfill obligations is the main reason for referring a case to court. A separate paragraph in the document stipulates the liability of the debtor in case of untimely return of funds. Then he must pay a fine or fine.
How to terminate a loan agreement with a bank? It is necessary to write a statement to the financial institution, in which to officially declare your desire and indicate the reasons. In practice, the bank will either leave such papers without an official response, or immediately refuse, or offer unacceptable conditions. If a client already has large amounts of fines, it makes sense to wait until the bank submits a statement of claim. He can do this for 3 years. In this case, the institution will demand payment of interest and penalties for the entire period.
How to terminate the contract unilaterally?
Independently go to court. But if the only reason is the insolvency of the borrower, the judge will take the side of the financial institution. You can try to resolve the issue peacefully and agree on a loan restructuring. But lending institutions rarely compromise. What should the debtor do in such a situation? Lawyers advise not to pay under the contract at all, to wait until the bank sues. Then write a statement to reduce the amount of interest (penalties for late payments can be very significant). After that, the court should explain to the court the reasons for default and ask for a reduction in the penalty. The body of the loan and interest will still have to pay. But you can minimize the extra costs. If the decision is made in favor of the bank, two new applications should be filed: on the postponement of the execution of the decision and on the installment payment plan.
Arbitrage practice
Banks act as plaintiffs in such cases. And the only reason for non-repayment of the loan from debtors is the lack of a source of income. Therefore, the court takes the side of the financial institution. But there are a few exceptions to the rule.
1. If the bank terminates the loan agreement unilaterally, this does not give it the right to recognize the previously paid amounts as unjust enrichment (Article 313 of the Civil Code of the Russian Federation). The borrower may assign the performance of obligations to a third party only if the agreement does not indicate that he is obliged to repay the debts in person. In such a situation, the bank cannot make a claim that the obligations were not fully fulfilled.
2. The increase in interest unilaterally, in case of violation of the terms of payment of debt, is unlawful on the part of the financial institution. The court may reduce these amounts based on the statement of the defendant.
3. Bank refusal to fulfill obligations. Even in this situation, the borrower must repay the loan amount, pay interest on it and accrued interest. But the penalty may be limited by the date of the official notification to the borrower. Already received funds cannot be considered unjust enrichment, since relations under the loan agreement have not ceased. That is, after the termination of the contract through the court, the bank can recover from the borrower the amount of debt and interest accrued until the date of the decision.
4. Art. 310 of the Civil Code of the Russian Federation and Art. 29 of the “Banking Law” stipulates that the financial institution may unilaterally change the terms of the agreement, if this is provided for in the document. But changes will be considered legitimate if they are consistent with the principles of good faith. For example, if, after increasing the interest rate, the payment amount exceeds 40% of the borrower's monthly income, the court may recognize such changes as unacceptable.