New Delhi, July 9 -- With the advancement in technology, these days, personal loans are available easily at the click of a button. In many cases, you don't even need to approach banks for a personal loan. Banks themselves reach out to you with pre-approved personal loans. While personal loans are available easily, borrowers must use them responsibly and repay them on time. Defaulting on a personal loan repayment can lead to severe consequences. In this article, we will understand what happens when a borrower defaults on a personal loan repayment.

Defaulting on a personal loan repayment can lead to financial, legal, and psychological consequences. Let us understand them in detail.

Late payment charges: Most banks collect the personal loa...