Let's talk about one of the important themes of the loan -- "the bad record of the loan" and how to avoid it。

How to avoid a bad loan record

The poor credit record is part of our credit record and has a profound impact on our credit ratings. So you might want to know how to make sure your credit records are not bad. And how long will these records be eliminated

First of all, to avoid the creation of a poor credit record, it is essential that our finances be properly planned. Before borrowing, we should establish a realistic repayment plan and ensure that principal and interest are repaid within the scheduled time. If there is a need for late repayment, we must consult with the banks in a timely manner to shorten the period of deferred repayment。

Secondly, we must be cautious in choosing loans. The first consideration is to choose the credit institutions that are well-reputable; secondly, to choose the appropriate amount and duration of the loan against our financial and economic strength; and finally, to avoid over-borrowing and to meet the demand. It is important to know that most of the poor credit record is generated by delays in repayment。

So, how long will the bad loan record be eliminated

In the case of a poor record on the Central Bank ' s personal letter report, it is usually kept for five years after the misconduct or incident has ceased. This five-year period is calculated from the date of actual repayment rather than from the due date. In other words, after five years of repayment of the loan, the overdue record automatically disappears. Recalculations after another delay. During that period, we should maintain a good record of repayments in order to avoid new delays。