Car loans are likely to be the preferred option when we need to buy a car or some other major consumption. However, as consumer attitudes continue to rise, many people still suffer from errors in car loan repayments. When extended, overdue or poor records occur, they have a significant impact on the credibility of individuals and often take years or longer to repair。

How long before the loan is due

First of all, we need to know what is a credit report and a letter-of-trust system. Credit reports are the core product of the country ' s clerical profession and document credit information and credit history of individuals or enterprises in accordance with certain formats and regulations. In turn, the system is led by the People ' s Bank of China, which collaborates in the construction of a comprehensive system of credit services through information collection, aggregation, verification and processing of clients of various financial institutions throughout the country。

When you buy a car and choose a car loan, the banks of this period scrutinize your credit and repayment capacity to the maximum extent possible to safeguard the interests of the bank. In the event of a delay, the bank will, within a specified time, add to the lender ' s credit records. In general, if one or two days are overdue, the letter will not be submitted but a fine will be charged. If the delay exceeds three days, the bank will notify the borrower. After a delay of seven days, the bank submits the overdue information to the letter service. So, how long before the letter is due? In the case of banks, over 30 days' delay would be uploaded into the letter-and-letter system, which would have a more significant impact on the credit assessment of individuals。

it should be noted that, although a few days of overdue letters will not be sent directly, the bank will record them in its client ' s personal credit system and, if cumulatively, even a few cases of precarious working conditions will be included in the report. the borrower is therefore advised to charge the loan account at least three days before the agreed repayment date, to ensure that the account balance is sufficient and to ensure that the loan record of the network is good。

Secondly, what are the consequences of the overdue letter? Overdue records are an important indicator in the credit records of the credit callers. Overdue records are considered to be non-compliance and constitute negative information that directly affects individual credit ratings. The bank examines your credit history, credit card repayment history, bond, etc. If you have a bad record, it will have a significant impact on your future loans, such as mortgages, credit cards, etc., which can easily lead to loans being rejected or at very high interest rates。

Finally, how is it possible to avoid delays in the posting of car loans? First, it is recommended that the application for a car loan be preceded by a careful reconciliation of its income and expenditure to ensure timely repayment. Second, it is proposed to create an automatic deduction function, which would be made approximately three days prior to the expiration of the monthly payment, to ensure that the account balance is adequate. In addition, in the event of a difficult repayment situation for the borrower, the bank may be consulted and an application for an extension of repayment may be submitted. Banks may be of some assistance, taking into account various factors. However, if the letter is submitted after the due date, it will be a clear “blank” in your credit record, which will have a significant negative impact on your credit rating for future loans, credit card applications。

In any case, first, the vehicle loan should be carefully chosen and the terms of the contract carefully read; secondly, the payment should be made on time so as to avoid delays; and lastly, a good credit record should be maintained, relying on a good credit rating to enhance the success of its financial application. Only a healthy loan habits and a good credit history can you obtain more long-term benefits in the financial market。