Loan default
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In Kenya V 4.0.2
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Loan default refers to the borrower’s failure to perform repayment in accordance with the obligations stipulated in the loan contract, which leads to the failure of the loan financial institution to recover the loan principal and interest on time. Loan default will have a serious credit impact on borrowers, and may also cause asset losses and legal disputes of lending financial institutions. Therefore, the borrower should strictly abide by the loan contract, repay in full and on time, and avoid loan default.
