Can I ask for early repayment when the IOU is not due?

Under normal circumstances, creditors can't claim early repayment before the repayment time agreed in the IOU. When the parties conclude a loan contract, the borrower shall repay the loan within the agreed time limit. If the borrower is expected to default, the creditor may require the borrower to repay in advance before the repayment period.

Legal analysis

In the IOU or loan contract, both parties have a clear agreement on the repayment period, which should be fulfilled according to the agreed time limit. In the case that the agreed repayment period is not reached, the creditor cannot require the borrower to repay at any time or in advance. If the creditor requests early repayment, the borrower may voluntarily make early repayment. If the loan is repaid in advance, the interest shall be calculated according to the actual loan term. If the borrower does not agree to prepay, it may refuse the creditor's request. If the repayment period is not clearly stipulated in the receipt or contract, the creditor may demand the borrower to repay the debt at any time according to law. If the borrower violates the loan agreement, or has the intention of violating the contract, it means that he will not repay the debt. At this time, the creditor can recover in advance. Before the repayment period, the creditor has evidence to prove that the debtor has transferred its own assets and emigrated. When the contract expires. The creditor may require the debtor to repay the outstanding debt in advance after mastering the exact evidence.

legal ground

People's Republic of China (PRC) Civil Code

Article 675 The borrower shall repay the loan within the agreed time limit. If the term of the loan is not agreed or clearly agreed, and cannot be determined according to the provisions of Article 510 of this Law, the borrower may return it at any time; The lender may urge the borrower to return it within a reasonable period of time.

Article 676 If the borrower fails to repay the loan within the agreed time limit, it shall pay the overdue interest in accordance with the agreement or the relevant provisions of the state.

Article 677 Where the borrower repays the loan in advance, unless otherwise agreed by the parties, the interest shall be calculated according to the actual loan period.