Thread: Indebted farmers can seek help from Damrongtham centers

BANGKOK, 3rd June 2018 (NNT) – Farmers and people who have informal debts can request assistance from Damrongtham centers in their communities.

Defense Ministry Spokesman Lt Gen Kongcheep Tantravanich said today the prime minister had instructed the Ministry of Defense and the National Council for Peace and Order (NCPO) to help people in all areas especially the country's farmers to settle or mediate their debts.

Individuals with informal debts or money owed to creditors that are not financial institutions or governmental agencies can file for assistance at Damrongtham centers nationwide.

Anyone unable to settle debts will have their balance transferred to a state-run financial institution.

In the next six months, the Internal Security Operations Command will be collecting feedback from local communities for evaluation, so that the administration can take additional measures to help indebted individuals.


National News Bureau Of Thailand | Indebted farmers can seek help from Damrongtham centers

So, in essence - loaning to pay off another loan.

The vicious cycles.
The methods that they ​promote and prefer.

Originally Posted by HuangLao

So, in essence - loaning to pay off another loan.

The vicious cycles.
The methods that they ​promote and prefer.

Indeed however the interest rates are a lot lower at banks and other financial outfits, loan sharks charge anything from 10% to 20% per month making it pretty much impossible to ever pay off the debt with many struggling to even pay the interest. For non payment the car, house and in the case of farmers, land gets taken and if that is not enough then arms and or legs could get broken.

Getting people out of the clutches of the loan sharks makes sense.

^ right, the only way to make sense in refinancing is to get much better loan conditions

Originally Posted by Norton

Likely his land as he would have done with a loan shark.

Having a debt with interest 120 - 240%/a (i.e. 10 - 20% per month from a loan shark) is quite different than having a debt 4 - 8%/a from a bank, isn't it?

Originally Posted by Klondyke

Having a debt with interest 120 - 240%/a (i.e. 10 - 20% per month from a loan shark) is quite different than having a debt 4 - 8%/a from a bank, isn't it?

Whoa! Some greedy sharks in your neck of the woods. Typjcal here is 35% to 40%.

Yes, 4 to 8% is better.

My point is many of the farmers will not be able to pay back the loan no matter the interest rate so bank will get their land.

Originally Posted by Norton

Whoa! Some greedy sharks in your neck of the woods. Typjcal here is 35% to 40%.

I just followed what was written above in #3 -

anything from 10% to 20% per month

what is not far from the reality. Just look around at any local market...

Originally Posted by Norton

Interesting scam. Err.. sorry scheme. The loan sharks get their money owed at whatever high interest they charged. The farmer borrows money from a bank at lower interest rates but figure he will have to provide collateral. Likely his land as he would have done with a loan shark. If farmer still can't afford payments to bank, land gone to bank. Farmer remains the fuckee. Bank the fucker.

Everyone happy, happy.

Same as it ever was - most everywhere.

A great portion of the debts of the indepted farmers had originated in the Y's rice scheme.

Think most of you are not reading and understanding the article, loan sharks are against the law, the army. who seem to be running the scheme will not be mediating with loan sharks, they would arrest them.


It's about informal legal loans from non lending institutions, of which there are many and many ways of loaning money, I have just taken an informal loan of sorts, co op store, do every year, 80 bags of fertilizer.

Lots of stores and fertilizer drive by outfits give credit, other shops give credit on farm supplies etc, you can buy used motorbike and cars on credit from the seller.

It's very hard to take a debtors land or house, you need a court order, plus a lot of farmers do not own their land, it's crown land with a right to use, not owned.

Little story, but a long one, girl I know was taken to court for a 3 mil debt, lost the case, she has 25 rai of rubber, court refused to touch the land, she then applied through the court to have the debt held over for 5 years.
5 years and she hasn't the 5 mil, court will hold it over for another 5 years.

Originally Posted by Norton

Whoa! My point is many of the farmers will not be able to pay back the loan no matter the interest rate so bank will get their land.

Whoa!, there yourself. I hail from a family of farmers. Farmer's who work (as a co-operative) by sticking together, have no fear of possible fore-closures.

Now, as long as the current mentality of Thai government, remains in control, then everything will be just fine; and Thailand will continue to thrive, as a produce export nation.

Originally Posted by Klondyke

A great portion of the debts of the indepted farmers had originated in the Y's rice scheme.

Indeed, and that's ^ the reason why the current government, is stepping-up to the plate again, to provide greater debt-relief to the Thai family farmers.

This current Thai government really does endeavor to perform in the best interests of the not so HI_SO masses of the Thai people.

The Thais who don't like the Prayuth Corporation, are also the former old-establishment "Gathering of Crows" in Thailand,.............obviously, eh?

Originally Posted by Klondyke

A great portion of the debts of the indepted farmers had originated in the Y's rice scheme.

Exactamundo!

Living within one's mean seems to be more of a struggle than living beyond one's means.

So we invent manners in which to pursue our fantasies and illusions.
Nothing is real.

Originally Posted by TuskegeeBen

The Thais who don't like the Prayuth Corporation, are also the former old-establishment "Gathering of Crows" in Thailand,.............obviously, eh?

I would guess that you don't interact or associate [if at all] with a wide variety of the Thai population, do ya?
Faux sociological punditry suffers from real exposure and experience.

Originally Posted by Klondyke

A great portion of the debts of the indepted farmers had originated in the Y's rice scheme.

Nope. Every farmer was paid the price stated under the "rice scheme". No debt was incurred by the farmers but the government certainly had to shell out a lot of money. Loses were gov debt not farmers debt.

Originally Posted by HuangLao

Living within one's mean seems to be more of a struggle than living beyond one's means.

So we invent manners in which to pursue our fantasies and illusions.
Nothing is real.

Strange world we live in, Thai, or any other peon in the 3rd world, has a house/hut, some land and a basic income, no debt and has $10 US Dollars, or what ever in local currency.
He/she is richer than 25% of the US population, probably most of the western world, no debts and some cash, we westerners owe our working life to the banks.

2 or 3 pay checks from nice house, car, good life, to tent under a bridge.

Originally Posted by TuskegeeBen

If the U.S. government had done the same thing, especially for the "Bread-basket-states" farmers, 40-years ago, then most of the traditionally American family-owned farms

would probably still be thriving today. Additionally, a million-plus jobs, to small town & rural communities, nation-wide, would have been saved, instead, and thus provided for a huge

It's the western way. Reduce down payments, reduce interest rates, get them hooked and then bam up the rates, take the item back, rinse and repeat.

Along with billions of indebted citizens from conquered countries "liberated" from evil dictators.

Originally Posted by OhOh

Now I wonder, but that might be an ageing thing.

It is. The older I get the less I need or want. My days of big cigars and motorcars are long past.

Originally Posted by Norton

Nope. Every farmer was paid the price stated under the "rice scheme". No debt was incurred by the farmers but the government certainly had to shell out a lot of money. Loses were gov debt not farmers debt.

Perhaps you refer to another govt. The !rice scheme! had created many debtors among farmers, since their rice sold was paid by a paper, not by money, some of them commited sucide. Only Prayut's people have paid them off, that was their clever trick immediately after the coup.

Originally Posted by OhOh

Not quite, westerners believe the dream, some actually get there, we all took on responsibilities, but increasingly less and less it appears are content. We, our generation, were lucky as to when we were born, a much simpler life plan was available.

Now I wonder, but that might be an ageing thing.

You might replace the term, believe the dream, with deluded illusions and dumbed down.