Core Viewpoint - The article discusses new regulations and existing laws regarding debt repayment, highlighting five types of debts that may not need to be repaid, emphasizing the importance of documentation in lending and borrowing situations [1][6]. Summary by Sections Legal Framework - The Civil Code specifies that the statute of limitations for ordinary loans is three years, starting from the day the lender becomes aware of the borrower's failure to repay [3]. - If no formal action is taken within three years, a lawsuit is likely to be dismissed [3]. Documentation Importance - Oral agreements without written records are insufficient for proving loans, as illustrated by a case where a borrower lost money due to lack of documentation [5]. - Legal recognition is based on evidence, not personal relationships, stressing the need for written agreements even among family members [6]. Interest Rate Regulations - Private lending has a legal interest rate cap set at four times the one-year LPR at the time the contract is established, which is currently 12% annually based on a 3% LPR [7]. - For example, on a loan of 100,000, the maximum interest that can be charged in a year is 12,000, and any excess can be reclaimed [8]. Debt Relief Options - New personal bankruptcy systems allow for debt forgiveness under certain circumstances, such as business failure or unexpected hardships, but come with restrictions on high consumption for about three years [10][11]. - The concept of "unjust enrichment" also has a three-year statute of limitations, meaning if a bank mistakenly deposits money, it cannot claim it back after three years [12]. Guidelines for Lenders - To protect their investments, lenders should: 1. Always write a loan agreement detailing the amount, interest rate, and repayment schedule, signed by both parties [13]. 2. Keep all records of debt collection efforts, as these can interrupt the statute of limitations [14]. 3. Avoid cash transactions, using bank transfers or digital payments with clear loan references instead [15]. 4. Require collateral for large loans to add an extra layer of security [16]. Conclusion - The article concludes that while the principle of repaying debts is important, adhering to legal documentation and regulations is crucial to avoid disputes [17].