The reference document on the fulfillment of the loan obligation is a special confirmation of the fact that the borrower has fully and adequately repaid the debts to the lender based on the previously drawn up agreement. The certificate is required regardless of the monetary value of the loan; an oral opinion from a manager or consultant is not enough in this case. The article will discuss what a loan closure certificate is in terms of appearance, what rules and details it contains, and how you can obtain it.

Why is this certificate necessary?

First of all, this document is relevant in the process of submitting it to other organizations in order to obtain another loan. In this case, it requires you to prove to their representatives the fact that you have no debt obligation to other creditors. Another aspect that requires the execution of this document is real estate transactions. In this situation, the certificate acts as evidence of the absence of encumbrances on the property.

After closing the loan, you must obtain a certificate

In Russian practice, situations often arise when information from one institution reaches other institutions extremely slowly, and is also lost along the way. And banks are no exception. They untimely submit or do not submit at all the necessary and up-to-date information about loans, and the bureaus forget or, due to queues, are unable to make the appropriate notes, although the obligation has long been fulfilled.

After full repayment of the loan by the borrower, the financial institution retains and secures the obligation to close the loan account and ensures the independent issuance of a certificate. But, as the practical side of the issue shows, the situation is somewhat different. In addition, an unclosed loan creates a huge likelihood of being rejected in the process of issuing new loans to the borrower, since an account created that has not been closed negatively affects the credit history as a whole.

Most often, such situations can be observed when the borrower repays the loan ahead of schedule. In this situation, there is a possibility of errors in settlement activities, when funds are not received into the account on time, and the financial institution charges interest on overdue debt, which may lead to its accumulation, of which the borrower is not even notified. To avoid such circumstances, a document confirming early repayment of the loan is required after it has been fully repaid.

Features of drawing up a certificate of account closure

In order for the certificate to be considered relevant and capable of providing an extensive list of information, it must contain certain data about the loan. Therefore, even if these aspects are not provided for within the “standard” form of the document, it is necessary to include the following materials:

• about the borrower, indicating the details of the identity card and SNILS;
• on the credit balance with a note on the date of formation, change of limit or closure;
• about the number value, type, starting limit amount.

You should also check that the document is executed on company letterhead and includes information about the name, details, employee, time of completion and submission. Since your new potential lender may find fault with each of these details, you need to make sure that all of these details are included in the agreement.

Structure of an account closure document

If we consider in detail the sample loan repayment certificate, it is worth noting that the documentation can be issued either on the basis of the bank’s form or as a special statement on the balance sheet. That is, there are no strict regulations and standards on this issue. But traditionally, it is issued according to standard form No. 10-040, which is referred to as confirmation of the absence of overdue debt on the loan.

The certificate is issued after the scheduled or early repayment of the loan

Regardless of the form in which the document is issued, it must necessarily include information on the closed loan, individual data of the borrower, signatures of officials and the stamp of the financial credit institution.

If the content is incorrect, the document will not have legal force.

Here are some basic information that must be present as part of this document about the absence of loan debt:

• the date of recieving;
• outgoing number value;
• Full name of the borrower;
• information from the identity card;
• legal details of the financial office;
• number value of the document (certificate and loan agreement);
• settlement account number;
• a type of loan product issued by a bank;
• interest rate indicator;
• monthly payment amount;
• monetary value of the obligation;
• contractual agreement status;
• signature and transcript of the official;
• print.

A document confirming the absence of debt on a loan is issued for presentation at the place where it is required.

History of loan obligations

One of the current ways to prove to a financial institution that this is how things are going with your accounts is to provide them with your own version of the credit report certificate. The fact is that you, being the direct subject of the loan history, can count on receiving the maximum amount of information. At the same time, the bank, even acting as your lender, will only receive a “truncated” version, since it will only be able to view information about the loan itself, but nothing more.

How to get it: step-by-step algorithm of actions

There are whole instructions regarding the rules and nuances of obtaining this document:

1. First, the client brings this fact to the attention of the bank in the form of a demand-application or verbal appeal. Since words in the business world do not have legal force, it is worth ensuring the submission of a written application, drawn up in any form or in the form that the organization itself proposes (Sberbank, for example, has its own developed type of document).
2. After this, you need to hand the document to the responsible employee and ask him to mark the fact that the application was accepted. This will act as additional evidence and evidence in any controversial situations.
3. If the financial office refuses to issue you this documentation, you should refer to Art. 408 of the Civil Code of the Russian Federation. If this does not bring the desired result, you can write a complaint to the Central Bank.

After this, a certificate of debt repayment will be issued to you without any problems.

Sample loan repayment certificate

How much do the services cost?

As surprising and strange as it may sound, the document is not 100% free. There are no strict legislative standards regarding this issue. Banks, based on their own judgment and understanding, set their own price, and this service is provided on a paid basis. But Alfa Bank and Raiffeisenbank are exceptions. And usually, the worse the economic situation in our country, the higher the cost of this document, and the free service is not provided at all.

As the practical side of the issue shows, the cost of this document can start from 50 rubles and end at 1,500 rubles. It turns out that for such an insignificant service the price range is colossally huge. Accordingly, all sorts of fly-by-night companies that do not have a name or details are joining this market, offering to resolve all issues with certificates for “ridiculous” money.

Sample document

Using the example of the financial organization VTB24 and other private commercial structures, you can familiarize yourself with an approximate sample of a certificate of no debt.

“With this certificate, VTB states that (full name of the citizen), date of birth, passport (series and number), and the Bank entered into a loan agreement No. (number, date), in connection with this, an account No. (account number) was created for the borrower. and a loan was issued in the amount (the exact amount in rubles or foreign currency) for a period (the period of validity of the obligation). As of (current date), all obligations of the borrower to the Bank have been fulfilled in full. There is no debt on the finance provided.

Thus, the certificate is an important document in the process of obtaining a loan.

Practice shows that many borrowers sometimes face a very unpleasant situation, namely: having repaid the loan in full, a person, due to unknown circumstances, finds himself among the defaulters. Experts say that this happens due to incorrect closure of the main contract and ignoring measures to obtain a certificate of full repayment of the loan, which will not be difficult to obtain.

Full early closure of the loan

Sometimes, as soon as a person makes the last payment on a loan, due to joyful emotions, he does not pay attention to certain minor nuances. But it is they who will subsequently turn into large debts that will need to be paid off. Do not forget that some types of loans work on an annuity repayment scheme. This means that the accrued interest, as well as the principal amount owed, is broken down into equal monthly installments.

In practice, the amount of the last payment, as a rule, differs from previous transfers. Moreover, different companies have the right, if specified in the contract, to calculate an additional commission, for example, for insurance in a separate payment. Naturally, if the borrower is in no hurry to spend time carefully studying balances and payment schedules, he may simply forget about the need to pay additional amounts of money.

By obtaining a certificate of full repayment of the loan, unpleasant situations will not happen in the future, and the borrower will know what other amounts of debt, as well as penalties and fines, are due to him.

In order to avoid all sorts of surprises in the event of a complete closure of the loan, it is worth following a simple but useful algorithm of actions. So:

• Before paying the last tranche, contact the financial institution’s specialists and ask for a detailed statement regarding your credit account;
• Make sure that the payment schedules you carry out are similar to the schedules specified in the agreement;
• If all the numbers are beating, deposit the balance of the loan amount into the bank's cash desk;
• Notify your operator that you want to close your existing credit account, after which the specialist will provide a corresponding application form;
• If the paper is filled out correctly, confirmation of account closure will be issued no later than 7-10 business days.

Rules for closing a cash loan or credit card

Certificate of loan repayment

In order for the borrower to be able to confirm the fulfillment of his obligations to the financial institution, he needs to receive a certificate of loan repayment. In essence, this is an official document aimed at ensuring the protection of a person in the event of disputes regarding an already repaid loan. We regret to note the fact that the vast majority of citizens do not know about the document we are considering and almost never demand it after fulfilling the full scope of obligations specified in the loan agreement.

If you decide to spend a little precious time and get a certificate confirming the repayment of the loan, you will do the right thing. The paper is the basis that the credit history bureau will necessarily remove you from the list of debtors.

If the borrower has connected any additional services, then payment for them is made until the debt is actually paid to the bank or credit institution. Remember that even a penny debt can turn into a substantial amount that needs to be paid off.

Your personal contact with bank specialists will help eliminate such unforeseen situations, providing confirmation that the entire loan amount has been repaid.

When may it be required

After you close the loan, it is quite likely that you will need to contact another financial institution for a new amount of borrowed funds. It may happen that you will be refused money. The motivation for such a position will lie in the data of the bookkeeping register, where you are listed as a debtor. Providing a certificate confirming the absence of debt is an excellent argument that cannot be argued with.

Bank employees do not always transmit information about clients to the CI bureau in a timely manner, so when contacting another financial institution, there is a risk of being refused the required amount. Complete the required document using the template approved by the developers and send it to the employees of the selected bank, or directly to the BKI.

Sample loan repayment certificate

As soon as you get rid of the debt burden and fulfill the full list of debt obligations, each borrower receives the legal right to demand from bank employees a receipt in the established form confirming the absence of claims by the creditor.

This rule for obtaining a certificate is enshrined in current legislation, so they cannot refuse you it.

It should also be noted that there are no specific deadlines within which the financial institution is obliged to provide the applicant with the necessary document. There is also no single document form, so specialists involved in the preparation of certificates may well refer to any internal rules and regulations established by the credit institution.

As soon as you decide to get a certificate indicating the repayment of a previously taken out loan, you can use the usual, standard sample, which will not be particularly difficult to find. For example, Sberbank has long had a document version available to everyone. So, here are just the most basic requirements for the certificate sample:

• It is important to indicate the full name of the financial company that provided you with the loan funds;
• All passport details of the borrower, including number, date of issue, place of issue, as well as information on permanent registration at the place of residence;
• You will need to provide all important information about the loan. This may be the contract number, its date, validity period, as well as some conditions;
• In the certificate, it is important to include text that includes clear information that a particular person has no debt on loans, and creditors do not have and will not have any further claims under the completed agreement;
• All this is supported by the original signature of the bank representative, as well as the seal of the banking institution that issued the loan money.

Deadlines for receiving the document from Sberbank

A loan closure certificate is issued upon the borrower’s first request - this is a fact. But it is worth remembering that the document can be requested not only immediately after repaying the debt, but also to apply for it later. There are no restrictions on the statute of limitations for certificates. Experts say that it is best for the borrower to order confirmation of loan repayment as soon as the last payment is made.

For example, Sberbank employees are ready to submit such a document in a short time, namely from 3 to 10 calendar days. If there are reasons to think that the specialists are delaying the provision of the certificate on purpose, only the court can oblige them to hurry up.

In the event that a month passes after registering the application and you are not given confirmation of the closure of the loan, these actions can be considered as a deliberate violation of the rules and delay in the fulfillment of certain banking obligations. In all cases, the court takes the side of the plaintiff and obliges, by its decision, to provide the appropriate receipt within the prescribed period.

Is there a fee for a loan closure certificate?

This issue is also not fully resolved. Usually, a document confirming full repayment of a list of loan obligations is issued absolutely free of charge. However, the same Sberbank, as well as the no less reputable financial institution VTB 24, provide such a service for a fee. It is recommended to find out in advance how much you will have to pay for the confirmation you need and be prepared for certain financial expenses.

There are usually no problems with obtaining a certificate. Another thing is how much you have to pay for it. Statistics show that medium and small banks charge no more than 200 rubles for the service. Major financial players submit the document free of charge.

Conclusion

Remember that a certificate of full repayment of the loan, properly executed, is a reinforced concrete guarantee in the event of claims being made to the financial company that provided the issuance of the loan funds. Since there are many cases where a new debt appears after the last payment has been made, we strongly recommend that you protect yourself in advance and take the receipt we are considering.

A loan closure certificate is one of the most important documents that every payer must have. It confirms the absence of debt to the bank. If it is present, it will be difficult for the creditor to make any claims against the former client.

What is a loan closure certificate?

Let's figure out in order why this document is needed, what it looks like and how to get it from a number of banks, for example, Sberbank, VTB 24, Alfa-Bank, etc.

What is it for?

Once you repay the loan (early or on time), the loan agreement is terminated.

A loan closure certificate is documentary evidence that the debt has actually been repaid and the bank no longer has claims against you as a creditor.

For example, if you took out a loan at Pochta-Bank, then immediately after repaying the debt you must obtain a certificate of closure of the loan from Pochta-Bank.

What is it for? There are several reasons:

• information about the last payment has not yet been received by the BKI, and you urgently need a loan from another bank - show a certificate that you have repaid your obligations, then the likelihood of approval will be higher;
• Incorrect information was submitted to the BKI or the staff of the bureau itself got something wrong - the certificate will help restore your credit rating;
• you repaid the debt, but for some reason the bank did not take this into account (most often by mistake).

It also happens that when repaying a loan, banks charge a commission, or some amount is spent on paying for the maintenance of the account. As a result, a debt is formed, the credit account is actually not closed - and one “fine” day the bank issues a debt to the borrower.

Therefore, in order to prevent such circumstances from arising, immediately after repaying the loan, you must obtain a certificate of closure of the loan. This will be insurance in case they try to make any claims against you.

Even if the bank charges some additional payments on the loan, after receiving the certificate you will be able to defend yourself against its claims in court.

It should be noted that in accordance with Article 408 of the Civil Code, the creditor (i.e. the bank) is obliged to issue such a certificate to the client after he has formally fulfilled all obligations to pay the debt.

According to the law, you can request this document at any time, even several years after the loan has been repaid. For example, you took out a loan from Tinkoff Bank and repaid it in 2015. But we decided to play it safe, and in 2019 we decided to order a loan closure certificate from Tinkoff. The bank is obliged to issue it to you.

It is important to understand that the certificate is not a document certifying that payments have been made. The role of receipts in the transfer of funds is played by payment orders, cash orders, etc. Using a certificate, you cannot, for example, confirm your expenses with the tax service or court. It only serves as confirmation that the debt to the bank has been repaid.

What a certificate looks like - sample

Each bank has its own sample of a loan closure certificate; there is no single standard. It is recommended to look at the bank’s documentation on the institution’s website - as a rule, samples of various documents are posted there.

But it is not necessary to understand what a loan closure certificate looks like; the main thing is to know what information is indicated on it.

In accordance with the Civil Code of the Russian Federation, it must contain:

• outgoing reference number;
• Date of preparation;
• loan amount and repayment date;
• loan agreement number;
• borrower's last name;
• signature of the employee who issued the certificate;
• seal of a banking organization.

Sometimes they also indicate the details of the bank account from which funds were debited to pay the loan. A payment schedule may also be included.

How to order a loan closure certificate

The borrower should not have any difficulties in obtaining a loan closure certificate. In general, the procedure for issuing reference documentation is established by the regulations of the bank itself. Therefore, in some places you will be able to get a certificate on the same day, but in others you will have to wait about a week.

For example, a certificate of closing a loan from Sberbank is issued immediately, immediately after the last payment is made, but at the user’s request. If you apply later, the application will be processed within 7 working days.

But you will have to order a certificate from Tinkoff separately through the online account interface; consideration of the application will take about a day, and then a few more days will be spent on delivery.

In general, the procedure for ordering a loan closure certificate looks like this:

• you make the last payment and make sure that it has been received into the account;
• contact the bank;
• report that you have repaid the debt and fill out an application to obtain a certificate of closure of the loan (for some banks, an oral order is sufficient);
• pay the required amount (if the service is paid);
• wait until the certificate is prepared (as already mentioned, the time frame varies - from a few minutes to a week or even a month);
• pick up the finished document.

In addition to Sberbank, Probusinessbank, Alfa-Bank, and VTB issue certificates every day. In UBRD, according to the regulations, the issuance is carried out within up to 3 working days, in Raiffeisenbank you will have to wait 5-7 days.

Cost of receiving the service

In a number of banks you can get a loan closure certificate for free. For example, a certificate on closing a loan from Alfa-Bank or Raiffeisenbank is prepared without additional payments. You can order it literally any day. But it will take from 5 to 7 days to prepare.

Pay attention to whether the contract specifies how and under what conditions loan closure certificates are issued. For example, at Probusinessbank the document is issued free of charge within a month after the debt is repaid, then you will have to pay 500 rubles for it. Thus, ordering a loan closure certificate from VTB 24 will also be free, but within 28 days. The issuance period, alas, is “rubbery”. According to the regulations - a whole month.

In most banks, issuing a certificate will cost 150-350 rubles. Some allow you to pay extra and receive a certificate within a day. For example, at Zenit Bank the standard cost of a certificate is 50 rubles, for instant issue - 150 rubles.

Conclusion

Thus, for the payer, the loan closure certificate is a document that is strongly recommended to be obtained in order to avoid unnecessary payments and negotiations with the bank regarding the debt. It will serve as a guarantee that you have fully fulfilled your obligations and do not owe the bank anything. The certificate will be useful both for correcting your credit history and for submitting it to court. Each bank sets its own procedure for issuing a document, the timing and cost of the service.

Having paid off the loan in full, the borrower receives only a receipt for payment of the last installment. If you have all the documents for depositing funds to repay the loan, you can simply calculate the payment amount and compare it with the contractual obligations. However, there are a number of features in which the amount of debt in the final settlement differs from the amount specified in the agreement.

To eliminate the occurrence of controversial situations, the borrower can exercise his right defined in Art. 408 of the Civil Code of the Russian Federation. It defines the right of the borrower to demand from the lender a document confirming the fact of full fulfillment of the obligation. You can get a certificate from the bank where the loan was taken out.

When you need help

The borrower, having deposited the required amount of money into the account, is often sure that the debt has been repaid, but this is not always the case. There may be several reasons for the formation of an outstanding loan balance to the bank:

1. In cases where debt repayment occurs through terminals, transfers through other banks or payment systems, funds may arrive within several days, therefore there is a difference in the amounts for the final settlement.
2. Often, in addition to directly repaying the loan body and interest, The bank charges fees for transferring funds. Then there may not be enough money to pay off the debt for the final payment, the loan becomes overdue, and penalties and fines are charged.
3. Additional services may be added to the credit card: SMS service, receipt of statements, maintenance service, etc.. Fees for this service are written off automatically, which the borrower can simply forget about, but the credit card account will continue to work, interest and late fees will be charged. It may be necessary to provide a written refusal to re-issue a new credit card, the costs of which are also covered by the loan.
4. If you repay a loan early, there may be nuances regarding the timing of funds crediting in repayment of debt.
5. Due to the inattention of bank employees and technical failures in the software, cases of small amounts of debt remaining when repaid in the final settlement are not uncommon.

These facts entail not only additional monetary costs, but also a damaged credit history, which even a respectable borrower will take a long time to improve. A loan closure certificate becomes necessary in the following cases:

• to ensure that the borrower does not owe anything to this credit institution;
• in case of disputes with the bank or appeal to the judicial authorities, the document will serve as evidence on the part of the borrower;
• if you need to quickly obtain the next loan from another financial institution, when information about debt repayment has not yet been received from the BKI.

Registration procedure

In each bank, the process of obtaining a certificate may take place differently. Some credit institutions require a written request to provide a document; more often, it is issued upon the verbal request of the borrower.

The processing time is also different: some banks issue certificates on the day of application (OTP Bank), others within a week from the date of written application (Sberbank, VTB 24). The maximum period is two months. Tariffs for document production can be set from 100 to 600 rubles. In Alfa Bank, Sovcombank, this service is provided free of charge.

A written application for a certificate is drawn up in any form indicating the full name. borrower, loan agreement number, date of the last payment to repay the debt and date of presentation. In the request, you can make a reference to legislative documents: the Civil Code of the Russian Federation, instructions of the Central Bank of the Russian Federation No. 153-I dated May 30, 2014, Law “On the Protection of Consumer Rights” Art. 8, 10. The certificate is endorsed personally by the borrower with full name deciphered.

What the application looks like:

The borrower has the right to request a certificate of loan repayment at any time; the deadline for its submission is not specified by law. However, some credit institutions impose restrictions on the free provision of certificates. Thus, some banks provide the document free of charge within a month after repayment of the debt, and after the expiration of the period, the cost of the service will be about 300-500 rubles. There are separate tariffs for urgent service; Zenit Bank charges 50 rubles for urgent production of a certificate.

Unscrupulous banks may delay the provision of a certificate or even refuse to write it. In this case, the borrower can issue a written request for the submission of the document in two copies and give the authorized employee his copy of the document against signature, ensuring that the request is entered into the incoming correspondence journal and a number is assigned to the request.

These actions are necessary in order to obtain further opportunities to complain to the Central Bank or file documents in court against the creditor.

Help form

There is no officially approved sample document; each credit institution develops its own form. Mandatory requirements for the certificate are:

1. The certificate must contain the date of discharge and as of what date the information is presented.
2. The document must contain the full name of the credit institution, payment and postal details, and contact information.
3. The certificate must contain a reference to the number and date of the loan agreement, full name. borrower, loan amount under the agreement.
4. The wording of the text must clearly imply the fact of full repayment of the debt. For example, “there is no debt as of “..”...2017.”
5. Signature of an authorized employee and bank seal.

The document may be provided on the lender’s letterhead, but the organization’s seal may be missing. If the certificate is submitted on a regular form, printing is required.

Certificate of account closure at VTB24 bank

A sample loan repayment certificate can be found on the Internet or requested from employees of the credit institution.

Certificate of loan closure:

The borrower may not indicate a request to close the loan account, since it is closed automatically after the debt is repaid. The exception is credit cards. For them, it is necessary that the certificate contains information about closing the account, otherwise the card may be reissued automatically at the expense of the borrower's credit funds, and interest and penalties will continue to accrue on it if the debt is not repaid on time. The document can be handed over personally to the borrower or sent by mail to the specified details.

Certificate of account closure in Rosbank

Who can get a certificate

The certificate can be obtained by persons who participated in the loan transaction and are interested in it. It can be:

1. Borrower under a loan agreement. If there were co-borrowers in the agreement, then any of them can request the document.
2. Guarantor. He is jointly and severally liable with the borrower for repaying the debt, therefore he has the right to request a certificate of repayment of obligations, regardless of whether this document was presented to the borrower.
3. The mortgagor, if property belonging to a third party was pledged. The mortgagor must be confident in the removal of the encumbrance under the pledge agreement, therefore he has the right to request a certificate and original documents for the property, if they are in the bank.

It is necessary to control debt repayment when receiving a loan secured by real estate in order to remove the encumbrance from it in a timely manner. Otherwise, any transactions with property will be impossible. This process can take up to 30 days, so it is better to prepare the necessary documents in a timely manner, including obtaining a certificate of complete closure of the debt.

Certificate of early repayment of loan, features

If the borrower decides to repay the debt early, he usually checks with bank employees about the balance of the debt as of the current date and deposits funds. This may be the reason for the occurrence of outstanding debt and its placement in arrears. Each credit institution has its own requirements for early loan repayment, which must be taken into account when receiving a certificate:

1. The loan agreement may impose a moratorium on early repayment for a certain period, i.e., no matter how much money the borrower deposits into his account, the loan will be repaid according to schedule. Accordingly, you will have to pay interest for using the loan. A certificate of no debt can be obtained only after the end of the moratorium and the operation to repay the debt.
2. The loan agreement may contain a clause stating that early repayment is possible only on the due date of the next payment, i.e. no matter when the borrower deposits money into the account, the loan will be written off only on the date determined by the repayment schedule, and, accordingly, will be accrued interest. In this case, a certificate of loan repayment can be received no earlier than the day specified in the schedule under the loan agreement.
3. The agreement may provide for a clause on early repayment of the loan only after a written application from the borrower. Therefore, simply depositing money into the account will not be enough. When the due date arrives, the debt will be automatically written off in the amount provided for in the repayment schedule. Accordingly, before requesting a certificate of early repayment of the loan, you must write an application for early repayment of the debt.
4. If you repay your car loan early, the certificate will save you money on insurance car, life and health of the borrower.

To be completely sure about terminating your credit relationship with the bank, you can adhere to the following recommendations:

1. Keep all checks and receipts for partial repayment of the debt until it is fully repaid and you receive a certificate of loan repayment.
2. It is necessary to understand that depositing funds into the account and repaying the debt are two different dates that may coincide or may diverge even by months.
3. It is necessary to request a certificate immediately after repaying the loan in order to eliminate the occurrence of controversial situations and misunderstandings.
4. When repaying a loan early, it is necessary not only to find out the balance of the debt as of the current date, but to clarify the day when the debt will be written off and request a certificate as of that date.
5. The statute of limitations for collecting accounts payable is 3 years, so this is how long it is necessary to keep documents under the loan agreement, including a document on the complete termination of obligations to the bank.

The answer to the question “Do I need to get a loan repayment certificate?” unequivocally - yes. This will save the borrower from additional costs, save nerves and time to clarify relations with the bank, and will not spoil the credit history.

Certificate of full repayment of the loan

Credit history reflects the borrower's responsibility

Finding someone who doesn't have a credit history is quite difficult. Some took out goods on credit, while others already have microcredit experience behind them. Thanks to this, when a client applies for another loan, it is possible to check it.

The CI determines the solvency of the applicant and the degree of responsibility of the borrower for the obligations assumed. The decision to issue a loan directly depends on the experience of communicating with credit institutions, which include commercial banks and microfinance companies.

Having taken out a loan, having started a new stage of your credit history, there is a need to finish it correctly after full payment. This is expressed in taking a document such as loan repayment certificate at the credit institution where the loan was issued.

What does credit history have to do with it?

• The fact is that banks are in no hurry to submit a report on the fulfillment of the borrower’s loan obligations to the BKI. But as soon as they present you with a certificate, they immediately send a report, since this is their legal obligation.

How is a document on full repayment of the loan prepared?

A sample loan repayment certificate must be presented to the client for comparison with the document provided to him. By law, the employee himself is obliged to issue a certificate of repayment to the former borrower immediately after the last payment on the loan, but in real life this often does not happen.

Bank employees, on the contrary, convince clients of the uselessness of such a document. By doing this they are breaking the law. A certificate of full repayment of the loan must be received by each client. This legal right of the borrower.

To issue a document, you first need to write an application. The time frame for receiving a certificate is different for all banks, as well as the presence of additional conditions, for example, a fee for the urgency of drawing up the document. If the issuance of this document is refused, the client has the right to go to court.

The certificate must include all the details, these include:

• date of issue;
• availability of document number;
• date of the last loan payment;
• amount of credit;
• bank seal;
• signature of a bank employee who has the right to certify such documents.

Can they refuse to issue a loan repayment certificate?

Some credit organizations refuse to issue such certificates under any pretext. The financial institution may be held liable for this.

If the fact of a deliberate violation is proven, then the bank will have to pay a hefty fine. But due to the inattention of borrowers and lack of knowledge of their own rights, such precedents do not happen so often.

Having fulfilled your obligations to the lender, do not be lazy to get a loan closure certificate

To the question of whether it is necessary to obtain a loan repayment certificate, there can only be a positive answer, since otherwise big problems may arise, such as:

1. A small unpaid amount (1 ruble, even 1 kopeck), which the client may not know about, will grow into a debt of impressive size in a few years. The borrower will have to pay it.
2. Fraud is also possible, due to the fact that copies of the client’s documents remain in the bank, and if there is a pre-approved application, the dishonest employee only has to forge a signature. My non-involvement in obtaining a loan the client will have to prove it in court.
3. A loan that is not closed may well become an obstacle to obtaining another loan.
4. Incorrect execution, done intentionally, will nullify the legal force of the document. A certificate of loan repayment, a sample of which a bank employee must show to the client, is issued to the borrower.

• Until you have a certificate of full repayment of the debt, you may be refused new loans.
• Moreover, it is recommended to pause before making a new request, since the data in the database can be updated within 5-10 business days.

Documentary confirmation of the absence of debt under the loan agreement

A clause requiring the receipt of documentary evidence of loan closure is included in the loan agreement. Regardless of whether the agreement is short-term or long-term. But, unfortunately, this point is rarely paid attention to, considering it unnecessary. This is a big mistake.

Until a certificate of repayment of the loan is received in full, the loan is considered active (in most cases).

Therefore, it is necessary, immediately after the end of loan payments, to write a statement demanding that a commercial bank or credit institution issue a document confirming receipt of the entire amount of the principal debt plus the due interest. The document must clearly state that the lender has no claims against the borrower.

• The request can be made by regular mail or electronically (if the lender supports online management).
• Never ask for confirmation over the phone. In case of conflict situations, you will not have any evidence; you can only talk on the phone about the weather...

The certificate and payment receipt must be kept. So that in the event of unlawful claims on the part of the creditor, there is evidence that everything was done in accordance with the agreement and the borrower no longer owes anything.