Collecting debt in Thailand? Care to share some war stories?

 

I have a friend who puts his head in the sand. Now he is being sued by i. the finance company for the truck and ii. a first credit card company.

TBH, he wouldn't get (free) legal advice and refuses to even speak with someone about this.

 

Suicide has been threatened. - - - 

 

Selling the house would clear up his debt and as he has a good job with a Japanese technology firm, he should be able to buy another house in a decade. Provided, the credit history will get wiped clean like in the U.S.

 

 

Q: would you push for repayment through the courts? Seek him getting declared bankrupt? Can he keep the house and stiff all creditors?

 

Pardon my ignorance. This guy has a terrible toothache but refuses to seek help from a dentist.

 

Surely, some pro could negotiate with creditors as the monthly income is good. Bad is him borrowing at 10% a month from people at work.

 

Something tells me that this male behavior is not unique. 

 

* Just return the d*mned truck!

* move into a room near the work place.

* lots of folks manage with just a motorcycle, yours truly included.

* got an update: the truck needs repairs and is 'non op". All the more reason to pull the thorn out of the wound!!! 

 

Rant over.

My next door neighbour just had her house taken from her by some bloke from Bangkok.

 

Apparently he lent her 3 million Baht against the house a few years ago.

 

She stopped paying it back and told everyone she's going to England. He found her in Bangkok and somehow took control of it.

 

I have no idea about the details but he changed the locks and put up a big sign in Thai saying it's his house now.

 

I'm sure there will be more fun and games over this one in the future.

You don't say how much the debt is, but it is worth noting that to sue an individual into bankruptcy, the total debt owed to a single creditor has to be at least 1 million baht. If he doesn't owe at least that much to a single creditor (not the combined total owed), then nobody has standing to sue for bankruptcy.

 

Negotiating would be the best option.  The courts are likely going to be expensive and collection will be difficult.

 

 

 

 

18 hours ago, WonnabeBiker said:

Can he keep the house and stiff all creditors?

 

I doubt it. He might not be declared bankrupt, but eventually the Legal Execution Department will probably seize his house and auction it off.

The rule for bankruptcy is you must owe over 1 mil. From what I understand, creditors can ban together and force bankruptcy.

 

It takes 3 years to remove credit report data.

It is very difficult to collect if the person has no assets. As a minimum he should move all his assets into someone else's name...someone he can trust, like you.

Bankruptcy tales a long time though. My wife declared herself bankrupt in the face of enormous debts and moved abroad. The long arm of the law tracked her down and took her to court. The court restricted her movements and after several years (about 6) the creditor (a bank) finally gave up and she was discharged. 

Now she can own anything in her name.

5 minutes ago, Pedrogaz said:

It is very difficult to collect if the person has no assets. As a minimum he should move all his assets into someone else's name...someone he can trust, like you.

Bankruptcy tales a long time though. My wife declared herself bankrupt in the face of enormous debts and moved abroad. The long arm of the law tracked her down and took her to court. The court restricted her movements and after several years (about 6) the creditor (a bank) finally gave up and she was discharged. 

Now she can own anything in her name.

" The long arm of the law tracked her down and took her to court "

Debt is not illegal or a Police matter, unless its fraud ?

If there is no loan secured directly against the house, they usually transfer the house to a close relative before any court action. After 5 years any debt is written off, and they can transfer the house back.

Hamlet
 

ACT I SCENE III    A room in Polonius' house.

LORD POLONIUS (to LAERTES) "Neither a borrower nor a lender be."

If the debtor has a good job the creditor can take him to court and get a judgement which will allow the bank (creditor) to attach his pay each month until loan is paid off.  As an aside the Education Loans in Thailand have been spinning out of control and a friend just told me that his pay has been attached for 5,000 b a month to pay off his 105,000b education loan even though he had been making the very low minimal payments required by law.