Having bad debt makes it difficult for many customers to get loans from financial institutions. So how to buy a phone on installments through bad debt in this case? Please see the article on the content summarized by Banktop in detail below.

What is bad debt?

Bad debt refers to customers who, when borrowing money at banks and financial companies, fail to pay on time or leave their debts too long, difficult to collect, etc., who do not complete the loan as committed. of the loan contract.

Information about these customers will be saved on the system of Vietnam's national credit information center (CIC) and will be classified into bad debt group from group 1 to 5 depending on the level.

When borrowing at other financial institutions, customers with bad debt will also be limited or even not allowed to borrow when they have bad credit scores stored on CIC.

What causes bad debt?

There may be many reasons that no one wants to get themselves into bad debt, affecting the loan later. And here are some common reasons why customers have bad debts at financial and banking units:

Inability to repay the loan

This may be the most common reason, customers borrow money with a loan limit that exceeds their personal financial ability. This leads to late payment and additional penalty fees that make it impossible for you to pay the loan.

In addition, due to the impact of external factors such as job loss, business losses, epidemics, etc., this has a significant impact on monthly revenue and finance for business customers, purchase.

High interest rate

When borrowing money at financial companies, interest rates are always higher than loans at banks, but because of urgent need or bad debt, customers are forced to borrow to solve personal problems. This leads to high interest rates, customers can not pay the loan, if the loan term is long, the interest rate you have to bear is higher.

Borrow for friends and relatives

With close relationships such as relatives and friends, it often happens that personal information is borrowed for loans. But sometimes, customers using personal information to help relatives borrow money at financial companies accidentally shoulder the responsibility if the borrower fails to pay the money on time.

At this time, the person who bears all the consequences is the person in the name of the loan and accidentally if not paying the customer will also be involved in bad debt and constantly be bothered from the unit about rushing to pay the loan.

Can bad debt buy a phone on installment?

Buying a phone on installment is a form of customer who only needs to pay a small amount first, then the remaining amount when borrowing will be divided and paid periodically every month at the unit. The procedure for making an application to buy an installment phone is quite simple and does not require personal collateral.

Regarding the problem of bad debt, can I buy a phone on installment or not? The answer is yes, but in which case you are in a bad debt group.

With bad debt groups 1 and 2, when customers pay and complete the loan, they can apply for an installment loan to buy a phone.

With bad debt group from group 3 and above, it is almost not supported to buy installments from financial companies.

Where to buy installment phones to browse bad debt?

Only customer groups belonging to bad debt groups 1 and 2 can be eligible to buy installment phones at financial companies. And the financial companies that support customers to buy installment phones through bad debt you can refer to are:

Mcredit Financial Company: Support customers with bad debt group 1 when they want to buy installment phones.

Home Credit and Fe Credit finance companies: Support customers to buy installment phones with bad debt groups 1 and 2, with the condition that when taking out a loan, the customer has to pay in full with the previous loan.

HD SaiSon Financial Company: Support bad debt customers to buy installment phones with the condition that they have to prove a stable monthly income when making loan applications.

Instructions to check bad debt before buying installment phones

To let the financial unit, the bank as well as the customers themselves know if they have bad debts or not. When a customer makes a loan application, it will take a period of time for the lender to check and verify customer information and check the credit history for bad debt or not.

So, one of the quick ways to check if you have bad debt is to download the bank's app. When you register for an account to conduct a test loan, your application will be sent and checked. When you receive the results, you will know if you are in the bad debt group or not.

Can relatives with bad debt buy installment phones?

It is not possible for you to ask a relative to make an application to buy a phone in installments for you or ask a relative with a bad credit score to apply for an installment loan. Because of loans at banks, financial companies have copies of household registration books for comparison.

For bad debt groups 3,4,5, when asking relatives to borrow for them will also not be accepted because the information about the household registration book of the customer belonging to that bad debt group has been saved on the CIC system.

Conclusion

The article on Banktop has compiled to help you have the most complete information about Buy a phone on installments through even bad debt Which unit is supported, which bad debt group is supported, etc. Hope this will be useful information you are looking for and can choose the right unit when taking loan to buy a phone. .

The article was edited by: Banktop.vn