Thread: Land title deeds returned from loan sharks

BANGKOK, 21st July 2018 (NNT) – The Deputy Prime Minister has issued policies to address the problem of informal debt in the community. Meanwhile, the provincial police of region four have returned land title deeds to members of the public after the deeds were earlier taken as security by loan sharks.

Gen. Prawit Wongsuwan, Deputy Prime Minister and Minister of Defence, returned 140 land title deeds to 135 members of the public who had suffered at the hands of loan sharks for a second time. The land titles returned cover about 110 acres, worth about 120 million baht.

The prime minister this week told the people who got their deeds back not to use them for mortgages again. If they have a financial problem, they should consult financial institutions instead of going to loan sharks. The government will also continue to suppress the activities of loan sharks across the nation.

In addition, the deputy prime minister has issued policies to solve the problem of informal borrowing to the provincial police of region four, especially addressing greedy loan sharks who demand interest well above the legal rate. Such lenders are located in great numbers in Udon Thani and Khon Kaen Provinces. The police, military personnel and civilians are integrated in the suppression of these activities.

National News Bureau Of Thailand | Land title deeds returned from loan sharks

I'm sure the loan sharks will happily forgive the debt.

Case closed.

(Until a couple of bodies turn up).

Originally Posted by misskit

the provincial police of region four have returned land title deeds to members of the public

Having the title deeds in the 'Loan Sharks' possession isn't really a problem being as the named person on the 'title deeds' is still the registered owner and can carry on farming the land. The 'title deeds' are worthless to the sharks until the person whose name is on them changes it at the land registration office.

Originally Posted by harrybarracuda

I'm sure the loan sharks will happily forgive the debt.

Case closed.

(Until a couple of bodies turn up).

For a guy that lives in a counsel flat in the UK, your knowledge of Thai ways is inspirational to us poor stupid people who live here.

Originally Posted by jamescollister

For a guy that lives in a counsel flat in the UK, your knowledge of Thai ways is inspirational to us poor stupid people who live here.

Indeed, Jim....

Amazing how some people can't see sarcasm where it patently clear.

Indeed, Harry, there will be some miffed loan sharks. I seriously doubt it will come to bodies though: the lenders know the score.

Originally Posted by jamescollister

For a guy that lives in a counsel flat in the UK, your knowledge of Thai ways is inspirational to us poor stupid people who live here.

counsel flat

us poor stupid people

Say no more.

Harry so how many months a year do you stay in Thailand.?

Originally Posted by Chico

Harry so how many months a year do you stay in Thailand.?

Originally Posted by Pragmatic

Having the title deeds in the 'Loan Sharks' possession isn't really a problem being as the named person on the 'title deeds' is still the registered owner and can carry on farming the land. The 'title deeds' are worthless to the sharks until the person whose name is on them changes it at the land registration office.

my understanding and experience is that the deed are changed before the deal is concluded

Originally Posted by Chico

Harry so how many months a year do you stay in Thailand.?

Couple of months a year for 30 odd years.

Why?

I must offer my apologies. Clearly 30 years of experience in Thailand and reading Thai media means nothing when I misspoke stating that loan sharks could possibly be involved in criminal acts, specifically murder.


Oh.

Two suspects wanted over the murder of a man in Udon Thani last week have been arrested in Nong Khai. Police identified the pair as Issaya Halmachad, a 41-year-old alleged loan shark, and her accomplice...

https://www.bangkokpost.com/news/gen...im-was-a-thief

KHON KAEN, 13 May 2014 (NNT) – A gang of loan sharks has murdered a famous cook at Khon Kaen Province by hanging him inside his own home, after he was unable to pay off a 300,000 baht debt.


Forensic police officers have investigated the home of Mr. Prakob Inchana, a 61 year-old cook, and found that his body was dangling from a rope. The police’s initial investigation confirmed that Mr. Prakob’s body had been dragged on the ground before he was hanged and that the loan sharks broke into his home, as evidenced by the scattered furniture.

https://www.thailandnews.co/2014/05/...-in-khon-kaen/

Originally Posted by Norton

That is the way works in villages in my area. The so called "mafia" does exist but mostly it is a "monied" villager that lends the money with property as security. Every village has such a guy. Like all things reckon this is different in different areas.

Local police here are making absolutely no move against the so called village loan sharks here. If they were, the missus would be in the slammer.

How much do the old bill owe her?

Originally Posted by Norton

If they were, the missus would be in the slammer.

What's the going rate? Down south here it's 10% per month, sometimes 15%. We paid off the debt of a friend who was being stung for 20%, and the woman paid us back over 2 years while paying us 5%.
There's a LOT to be made at loan sharking.

I think manaam's social conscience is somewhat different to that of Norton's missus.

Originally Posted by Maanaam

There's a LOT to be made at loan sharking.

And there's a lot to lose when a Thai renages on the loan. Who do you go to to sort your problem? The police won't do anything as you're an illegal money lender. Once upon a time there were businesses called 'Reng Rak Nee'. They would intimidate bad debtors to get them to pay their debt. As far as I'm aware they were outlawed but possibly still operating illegally.
Being as we live in a village my missus is always getting asked for loans and she finds it not to be easy to deny someone she knows. But even people she knows fcuk her about.

You have to laugh at the government response. I mean we know they are illegal, right?

But still they say:

The latest measure is to use police to help debtors mediate debts with loan sharks, with prosecutors overseeing the process, he said.

https://www.bangkokpost.com/news/gen...an-shark-blitz

What an embarrassing admission that you are fucking useless at law enforcement.


Added: Yet when it's a bunch of Chinkies...

https://www.bangkokpost.com/news/gen...ted-in-pattaya

Originally Posted by Norton

That is the way works in villages in my area. The so called "mafia" does exist but mostly it is a "monied" villager that lends the money with property as security. Every village has such a guy. Like all things reckon this is different in different areas.

Local police here are making absolutely no move against the so called village loan sharks here. If they were, the missus would be in the slammer.

All true with variants depending on locales and situations.
Yet, seems to me that a majority fault lies upon the individual/family that are looking to secure loans unnecessarily. The modern and infused obsession towards a need for want plays a part.

There's always been local money lenders/mafia types from way back to present time, as well as the traditional and proper banking loan - in which the financial institutions are gladly to process with secure collateral [no skin off theirs, it's a win-win for all lenders] and made it so easy for most everyone.

Many are missing the fashion of familial loaning, which seems to be "safest" option - for quite some time now.
Little is needed for the mafia/legitimate banking lenders, when seeking out advances from close/extended family.

Originally Posted by Maanaam

What's the going rate? Down south here it's 10% per month, sometimes 15%. We paid off the debt of a friend who was being stung for 20%, and the woman paid us back over 2 years while paying us 5%.
There's a LOT to be made at loan sharking.

Lower here. Missus charges about 7% per month. So far all paid back in full. She does very little and only with folks she trusts will pay.

You are right Maanaam, a lot of money is to be made. The worst lot are the ones that run the "mobile" gambling operations. Get folks gambling then loan them money to continue. Those are 20% per month bastards. Need to be shot but as in most of the country ain't going to happen because a good portion of that 20% goes to the BiB and now the military. Nothing changes no matter the political situation.

In addition to regular bank loans, family loans, and loan sharks, there're also village funds that grant small short-term loans (<50k, <12months) at low rate.

It was considered as a populist policy, but actually there are few issues as "non performing loans" rate is quite low (social pression, you don't want your financial issues to be gossiped in the village, and of course the fact that you won't be able to borrow again if you fail to pay back your loan). This had good effect on local economy (as most village funds comitees tends to favour loans for investment purposes), and the policy has been maintained and developed since then...

Originally Posted by HuangLao

Yet, seems to me that a majority fault lies upon the individual/family that are looking to secure loans unnecessarily. The modern and infused obsession towards a need for want plays a part.

Indeed. This is the core problem. The lenders are but a symptom taking advantage of the need to consume as village folks are barraged seeing commercials everyday on TV. Not unique to Thailand however.

Wife wants to buy some land. She says the bank won't offer a mortgage on bare land, only if there is a house on it. Seems odd to me as land is collateral and will have equity.
That could be another reason people borrow from non-accreditted sources.


We paid MiL's loan shark loan off and then gave MiL 30,000 to run a small lending operation herself so as to have the interest as an income. Just for lending to neighbours and relatives. A year later and she has nothing again. Gave it all to the wat and her nephew.

Originally Posted by Farang Ky Ay

In addition to regular bank loans, family loans, and loan sharks, there're also village funds that grant small short-term loans (<50k, <12months) at low rate.

It was considered as a populist policy, but actually there are few issues as "non performing loans" rate is quite low (social pression, you don't want your financial issues to be gossiped in the village, and of course the fact that you won't be able to borrow again if you fail to pay back your loan). This had good effect on local economy (as most village funds comitees tends to favour loans for investment purposes), and the policy has been maintained and developed since then...

Many moons ago I lent a neighbour 14000 baht to pay off her village fund loan on the understanding that she could borrow 20k the next day as she'd paid the previous loan off.

Paid me back no problem.

She sold iced coffee on a motorbike lol. .Just another ponzi lending scheme.

Originally Posted by Maanaam

She says the bank won't offer a mortgage on bare land, only if there is a house on it. Seems odd to me as land is collateral and will have equity.

Lessons learned from 1997 crash I think. Banks were lending money on what was essentially worthless collateral. Also agricultural land is very difficult to sell. Banks hate to carry repo land for years before it sells.