PROBLEMS IN THE EXERCISE OF CREDITORS’ RIGHT TO COLLECT UNDER THE LAW ON DEBT COLLECTION

Abstract

Nowadays, Debt creation tends to increase steadily. When the debt is due, debtors will pay the debt by the due date without being any problems. But most debtors often do not pay the debt at a specific time. Therefore, the creditors have to perform debt collection or proceed with the court according to the civil and commercial laws of the creditors under Section 194. “by virtue of an obligation the creditor is entitled to claim performance from the debtor. The performance may consist in a forbearance.” Creditors have the right to require debtors to pay the debt by exercising the right to claim the debt or claim to the court. Practically, almost creditors often exercise the right to collect debt repayment by exercising their right to collect debt because debtors generally do not want to take measures in litigation because it will waste time, high expenses, and also destroy relationship with debtors in the future. For debt collection processes, the creditor may proceed to collect by itself or the creditor may appoint a representative to collect instead or the creditor may assign the debt collector to collect the debt on its behalf. Creditors may proceed with debt collection by using fair or unfair method to debtors in debt collection until many countries have enacted laws called “The Fair Debt Collection Practices Act” to protect the rights of debtors in the debt collection process including Thailand that also has enacted the laws called “Debt Collection Act” However, this law must not prescribe or impose the regulations and the prohibitions that deprive the legitimate rights in following on debt collection of creditors too causing disadvantages. Therefore, the author has studied the details of the debt collection law in the United States, Australia, and Norway for preparing with Debt Collection Act, B.E. 2558 of Thailand.