Crime Loan Shark Arrested After Charging Brutal Interest on ฿3,000 Loan

[Georgealbert]

 

Picture courtesy of Khaosod.

 

A notorious loan shark in Buriram province has been arrested after charging exorbitant interest on a small ฿3,000 loan, which ballooned into over ฿59,000 in repayments over a seven-month period. The lender also allegedly subjected the borrower to ongoing threats and harassment at her home and workplace.

 

On July 2, district chief Mr. Chokchai Sawangrat instructed local officials to investigate after a 44-year-old assistant village headwoman filed a complaint with the Damrongtham Centre in Nang Rong District. She provided proof of bank transfers, chat messages and audio clips, seeking assistance in negotiating with the loan provider who had allegedly threatened to expose her on social media if she missed payments.

 

According to the victim, she first borrowed ฿3,000 on November 13, 2024, to cover food expenses for her school lunch business. The lender, a 34-year-old woman identified only as “Ms. B”, advertised loan services via Facebook. The loan came with an upfront interest deduction of 30%, meaning the borrower received only ฿2,100.

 

In addition, she was forced to repay 30% interest every week, with increased penalties of up to ฿1,200 per week if payments were late. Over the course of seven months, she repaid a total of ฿59,010, nearly 20 times the original loan amount of ฿3,000. Despite this, Ms. B allegedly continued to harass her, demanding a further ฿18,000 in what she claimed were accrued late fees and compound interest.

 

The victim reported that Ms. B had also made threats, claiming ties to local police and government officials and insisted that no one could stop her. Fearing for her safety and unsure of how to escape the situation, the assistant village headwoman turned to authorities for help.

 

Following a review of the evidence, authorities confirmed that the lender had violated lending laws by charging interest well above the legal limit. Officials set up a sting operation and apprehended Ms. B as she attempted to collect money from the victim outside a local bank.

 

During the arrest, Ms. B reacted aggressively, shouting at both the victim and officials. She was taken to the district office for questioning, where she admitted to lending the money and charging illegal interest. She claimed to have only been operating for less than a year and said she had five or six clients.

 

Both parties eventually agreed to enter a government-backed debt mediation process. Ms. B agreed to repay the victim ฿5,000 and pledged to cease all contact, threats or public shaming. A formal agreement was signed in the presence of district officials. Authorities warned that any further intimidation or collection attempts would result in legal action.

 

This case highlights the persistent issue of predatory lending in rural Thailand and underscores the government’s ongoing efforts to crack down on illegal moneylending operations.

 

  Adapted by Asean Now from Khoasod 2025-07-04

 

 

 

[ozz1]

These people are the worst and should be locked up

[ukrules]

Pure scum do this, they're essentially engaging in slavery here and should be treated as such.

[Sandboxer]

What exactly is the "legal" max interest that a loanshark can charge?

[EVENKEEL]

Give a few of these guys two to the head. That'll be a good attitude adjustment.

[Quentin Zen]

These people should work for Universities.  Then loan repayment programs.   

 

Undergrad I borrowed $473.55.   I only paid $437.55 by accident.  Then the interest took hold......

 

I owe $28,343,329.44.  

[Gottfrid]

6 hours ago, Georgealbert said:

A notorious loan shark in Buriram province has been arrested

If so, why not arrested before?

[Packer]

6 hours ago, Georgealbert said:

A formal agreement was signed in the presence of district officials.

 

Contracting Ms. B to only work for the local police chief from now on. 

[TimBKK]

They are the lowest of the low, really despicable characters, and often headed up by someone in a uniform of one color or another.  I genuinely despise them as they take full advantage of people often at their lowest or most vulnerable moments.  And yet…lots of Thais have no other choice