Consequences of Non-repayment of the Loan

Non-repayment of the Loan – Consequences

No repayment of the loan is not without consequences and you can not expect that the loan company will not seek to recover your debts. Thus, there are more and more questions: what can a loan company do in relation to such a debtor? Usually, information about the consequences is included in the loan agreement sent to the customer by traditional mail or electronic mail. Transferring money to the indicated account is tantamount to concluding a contract, although within 14 days it can be terminated if it is not a renewable loan agreement. This loan is usually brought home, e.g. by courier, in paper form. Clarification at


  • notifications from the loan company – such notifications are nothing more than a request for payment. They are also called prompts and can be sent in several ways: by SMS messages, e-mails, voice messages or registered letters via traditional mail. Prompts are not a poor paper, but a severe punishment, because they are paid and their costs are borne by the client, which makes his commitment grow. What’s more, it often does not end with one monit but a few, which increases the sum. There are companies that can send up to 20 reminders within 60 days of the loan repayment. Their costs vary but most often they do not go below PLN 30, which increases the borrower’s debt.
  • penalty interest – the law does not preclude punishing unreliable partners who disregard the terms of the contract and payment terms. Loan companies have the right to calculate penal interest, although they can not be more than four times the NBP loan rate. It follows that interest can not exceed 10% per annum. They are added for each day of default.
  • debt collection – the loan company has the right to transfer debt collection activities to an external company. Her task will be to recover the money for the client. The costs related to debt collection are borne by the client, who delays payments, and they are different, depending on the debt collection company.
  • court proceedings – the loan company also has the right to refer the case to court and enforce its rights before the administration of justice. It is connected with the initiation of the bailiff’s procedure. As in previous cases, the costs related to the case are covered by the borrower who has debts. Sometimes, in addition to the basic charges, the debtor is also obliged to cover travel costs when the case is pending in the court that is the closest to the loan company.
  • extension of the loan – it may be convenient for the client, but also associated with additional costs. Shifting the loan repayment period by 7, 14, 30 days can cost a lot, but the final amount depends on the loan company and must be paid by the borrower in advance, without delay.
  • Entering into the databases – a borrower who does not pay the loan and ignores the payment requests may be entered into one of the databases of the economic information bureau. It contains data on borrowers and their credit history, both good and bad. Entering the database is a big problem when applying for new loans, and even when you want to buy something in installments.


Such consequences are expected by people who do not pay off quick loans as well as other loans taken out.

Loan companies have many partners who do not meet their obligations and will certainly use all available funds to get the money back.

All the above-mentioned consequences, ways to recover the company’s receivables, result in increasing the total amount that the customer has to pay back. This means that previously a small debt, in 2 months can grow up to 100%. To avoid this, it is better to pay your payday on time and not get involved in financial unpleasantness.

At the same time, it is worth remembering that taking a new minute when you already have one is not the best solution because it threatens with a dangerous credit loop.

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