Crackdown on Loan Sharks Intensifies: Deadline Imminent

[webfact]

Representative Picture courtesy: Thai Rath

 

The government has issued a stern deadline for loan sharks to report to authorities by the end of the month, as part of a nationwide crackdown on illegal money-lending operations.

 

Deputy Interior Minister Chada Thaiset addressed the media today, urging those involved to comply before facing stringent legal repercussions.

 

Under the Pheu Thai-led government’s campaign, which began on 1 December, efforts are being ramped up to eliminate illegal debt and predatory lending practices.

 

Chada emphasised the importance of cooperation, noting that loan sharks must report to provincial or district authorities regardless of whether their Thailand debtors have come forward.

 

 

In a bid to ensure compliance, the Revenue Department will also be scrutinising the earnings of those involved in illegal lending. The campaign aims to provide justice not only for the debtors but also for the loan sharks, by facilitating the repayment of principal amounts through instalments and reducing exorbitant interest rates.

 

To date, over 137,000 individuals, most of whom are illegal debtors, have declared their involvement, collectively accounting for 9.36 million baht in borrowed funds.

 

The government’s strategy involves acting as mediators between debtors and lenders, with the goal of reaching compromised repayment terms that alleviate the financial burden on those involved.

 

As the deadline approaches, Chada Thaiset reiterated the government’s resolve to bring an end to exploitative lending practices, promising significant penalties for those who fail to adhere to the new regulations.

 

-- 2024-05-17

 

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[ChrisY1]

"involves acting as mediators between debtors and lenders"....I guess that "crackdown", has many different meanings here in Thailand....!

[OneMoreFarang]

Loan sharks can get away to be loan sharks by being influential people or by having good enough connections to those influential people in Thailand.

And then there are politicians who are influential people in Thailand.

Now what will they do? The left arm fights the right arm?

Or is it more a question of which fraction of the influential persons you are part of? 

[ezzra]

Loan sharks plays an important roles in Thai economy for many generations, as banks here will not even give the time of day

if you don't have a sound financial standing with them...

[brianthainess]

So how are people expected to carryon Gambling, to get even more deeper in Debt?

 I expect an even more of a rise in crime, more robberies etc. as with other addictions.  

 

[brianthainess]

12 minutes ago, ezzra said:

Loan sharks plays an important roles in Thai economy for many generations, as banks here will not even give the time of day

if you don't have a sound financial standing with them...

Well what do you expect if you have little income and no collateral ?

You'd have to be as daft as a brush to lend money to someone who has no chance in hell of paying you back.

[Tropicalevo]

Why on earth would a loan shark (illegal) admit to it and 'hand themselves in'.

[rbkk]

5 hours ago, webfact said:

To date, over 137,000 individuals, most of whom are illegal debtors, have declared their involvement, collectively accounting for 9.36 million baht in borrowed funds.

So about 68 baht each!

[hotchilli]

5 hours ago, webfact said:

The government has issued a stern deadline for loan sharks to report to authorities by the end of the month, as part of a nationwide crackdown on illegal money-lending operations.

Delusional

[natway09]

And why would they even think of "dobbing " themselves in ?

It just cannot work 

[AustinRacing]

As significant number of Thais earn a living via unregistered businesses and don’t pay tax  they can’t borrow from banks. This is a result of being a third world country and inadequate social and economic infrastructure. Government response is typical of a band aid solution ignoring the core problems.