Credit is an important indicator to measure a person's credit status, which directly affects our opportunities for loans, credit cards, renting, work, etc. If we don't pay attention to repayment and overdue too many times, we may be included in the credit blacklist, causing serious consequences. So, how long will it be on the credit blacklist if it is overdue? How to avoid being on the credit blacklist? This article will answer these questions for you.
1. What is a credit blacklist?
The credit blacklist refers to those borrowers whose loans are overdue for many times and have been overdue for a very long time, and their credit records will be marked as "black accounts", which will seriously affect personal credit. Generally speaking, if we exceed the limit for more than the number of overdue times, our credit report will also turn black, and it will be defined by the banking system as a central bank credit black account.
According to the regulations of the Credit Information Center of the People's Bank of China, overdue people are divided into four categories, one is forgetting the repayment time, not paying off the loan on time and overdue, and the other is knowing that it is overdue but does not care about nothing, has been allowed to be overdue, or because there is some kind of problem at home or work ** turnover can not be opened and overdue, the last is malicious overdue, remember the repayment date also has funds to repay, but is the type that does not want to repay.
Arrears are graded every 30 days, and the central bank's credit information center uses 6 levels to quantify the severity of overdue, which is then reflected in your personal credit report. For example, 1-30 days overdue, mark 1; 60 days overdue mark2; 90 days overdue mark3; And so on 180 days overdue, mark 6.
Generally, the continuous overdue time is more than 90 days, and the number of overdue times has accumulated more than 6 times, if the number of overdue times exceeds this limit, most banks will pull you into the blacklist, and we will not be able to handle any bank loans.
2. What are the consequences of being on the credit blacklist?
The consequences of being on the credit blacklist are very serious, and it will bring a lot of trouble and difficulties to our life, work, finances, etc. Specifically, the credit blacklist will have the following impacts:
Credit card or loan applications are denied. If the credit is seriously overdue and the bank is put on the "lending blacklist", it is basically out of contact with credit cards and loans. So, you still have to cherish your feathers.
The loan interest rate is high and the amount is discounted. After becoming a black household, there are still some people who can get loans through some channels, but it is an indisputable fact that the loan interest rate will be higher than ordinary people, and the loan amount will be greatly discounted, which is quite not cost-effective for people with financing needs.
Included in the list of judgment defaulters. If the court does not repay the loan after the judgment, it will be included in the "blacklist of dishonest judgment debtors", and personal travel will be affected. For example, you won't be able to take planes, high-speed rail, accommodation, etc.; To make matters worse, children will not be able to attend key schools; There will be more penalties in the future, and it can be said that life will be difficult to move an inch.
Affect work and study. After becoming a black household, it will have a certain impact on your work, because some jobs will refuse to recruit people with bad credit status; If the child is the guarantor of the parent's loan, the parent's bad credit record will directly affect the child's loan approval. Once the parents become judgment defaulters, it will cause their children to join the party and the civil service examination and fail to pass the political examination, and may also fail to pass the entrance examination of some private schools.
3. How to avoid being on the credit blacklist?
The harm of being on the credit blacklist is obvious, so we should try to avoid this situation. Specifically, we can do a good job of prevention from the following aspects:
Arrange your own loan plan reasonably, do not use loans to support loans, and do not affect your family and children. Before applying for a loan, you should reasonably assess your debt level according to your income and repayment ability, and do not blindly be greedy to avoid borrowing more than you can afford.
Make your payments on time and don't fall behind on them. Repayment is the basic obligation of our borrowing and the embodiment of our credit. We need to get into the habit of repaying on time and not default on it because we forget or deliberately. If you encounter special circumstances and are unable to repay the loan on time, you should communicate with the lending institution in time to seek an extension or reduction, and do not ignore it.
Pay attention to your credit records and correct mistakes in a timely manner. We should check our credit records regularly to see if there is any overdue or wrong information, and if so, we should contact the lending institution or credit information center in time to apply for correction to avoid affecting our credit score.
Improve your credit rating and enjoy preferential interest rates. Credit rating is an important indicator of our creditworthiness, and it affects the interest rate and amount of loans we apply for. We need to improve our credit rating through good credit behaviors, such as repaying on time, not overdrafting, and not applying for loans frequently, so as to enjoy lower interest rates and higher limits.
Fourth, summary
The credit blacklist refers to those borrowers whose loans are overdue for many times and have been overdue for a very long time, and their credit records will be marked as "black accounts", which will seriously affect personal credit. Generally speaking, there are four categories of people who are overdue, and the arrears are delinquent every 30 days as a level, and the central bank credit information center uses 6 levels to quantify the severity of overdue. Generally, if the overdue time exceeds 90 days in a row, and the number of overdue times reaches more than 6 times, it will be on the credit blacklist.
The consequences of being on the credit blacklist are very serious, and it will bring a lot of trouble and difficulties to our life, work, finances, etc. Specifically, being on the credit blacklist will affect our chances of applying for credit cards and loans, increase loan interest rates, reduce loan amounts, and may even be included in the list of dishonest judgment defaulters, affecting travel, work, study, etc.
In order to avoid being on the credit blacklist, we must arrange our loan plan reasonably, do not use loans to support loans, and do not affect family members and children; Repay the loan on time, do not default, and communicate with the lending institution in a timely manner if you encounter special circumstances; Pay attention to your credit records and correct mistakes in a timely manner. Improve your credit rating and enjoy preferential interest rates.
Credit is our credit card, but also our social responsibility, we must cherish their credit, do not let themselves become a black household, otherwise there will be endless troubles. I hope this article can be helpful to you, if you have any questions or suggestions, please leave a comment. Thank you!