New manual to document predatory lending practices of Thai loan sharks
By Jon Fernquest
Loan sharks employ
tactics
such as
confusing
borrowers
to make more money off of them. The Thai government is preparing a manual to increase public awareness about these tactics.
Last month the Bangkok Post featured an investigative report on how loan sharks operate (Read article).
So many questions remain about how they operate.
Is there such a thing as a non-performing loan in the loan shark world or do loan sharks harass, threaten or even kill until borrowers pay up?
Read previous articles on Thailand's new program to wean borrowers off of loan sharks: #1 and #2.
Also read previous articles on related consumer protection laws: overview, medical malpractice, used cars, telecommunications, fitness centers.
Today's article begins after the the vocabulary.
loan sharks - people
who offer loans at high interest rates often backed by violence or
blackmail (See Wikipedia)
confuse - make it difficult for someone to know exactly what is happening
employ - use
tactics - methods used to achieve goals in a situation (for example: military tactics)
confusing - when it is difficult to know what is happening or what to do
investigate (verb) - try to find out what happened in a situation or event
investigative (adjective)
investigative report - a newspaper or magazine article (or TV segment) written by an investigative journalist
investigative journalism - a story involving crime, political corruption, or a scandal that requires a great amount of research to come up with facts that might be hidden, buried, or obscured by people who have a vested interest in them (See Wikipedia)
investigative journalist - a person who does investigative journalism as their job
non-performing loan (NPL) - a loan that the borrower is not paying back (or very late paying back)
harass - to cause trouble and problems for other people, to annoy other people
pay up - pay the money you owe to another person
wean off - get people to stop doing something (example: wean the small baby off her mother's milk)
consumer protection laws - laws that try to protect consumers from being cheated by businesses กฎหมายคุ้มครองผู้บริโภค
medical malpractice - when a doctor injures a patient through a careless mistake, violation of medical standards (See Wikipedia) การปฏิบัติหน้าที่ด้วยความบกพร่อง
confuse - make it difficult for someone to know exactly what is happening
employ - use
tactics - methods used to achieve goals in a situation (for example: military tactics)
confusing - when it is difficult to know what is happening or what to do
investigate (verb) - try to find out what happened in a situation or event
investigative (adjective)
investigative report - a newspaper or magazine article (or TV segment) written by an investigative journalist
investigative journalism - a story involving crime, political corruption, or a scandal that requires a great amount of research to come up with facts that might be hidden, buried, or obscured by people who have a vested interest in them (See Wikipedia)
investigative journalist - a person who does investigative journalism as their job
non-performing loan (NPL) - a loan that the borrower is not paying back (or very late paying back)
harass - to cause trouble and problems for other people, to annoy other people
pay up - pay the money you owe to another person
wean off - get people to stop doing something (example: wean the small baby off her mother's milk)
consumer protection laws - laws that try to protect consumers from being cheated by businesses กฎหมายคุ้มครองผู้บริโภค
medical malpractice - when a doctor injures a patient through a careless mistake, violation of medical standards (See Wikipedia) การปฏิบัติหน้าที่ด้วยความบกพร่อง
That is the topic in today's article from the Bangkok Post below.
FINANCE
Loan advice warns about shark attack
12/03/2010King-oua Laohong
The Justice Ministry is drafting a manual to inform people of their legal rights and specifically to prevent them being taken advantage of by loan sharks.
Deputy permanent secretary for justice Thawee Sodsong yesterday chaired a meeting of representatives from agencies involved in the ministry's bid to solve loan shark problems.
drafting
- writing
manual - a book that shows you how to do something คู่มือ
inform - tell people about what happened, report new information to people who don't know about it yet
rights - what the law allows you to have and do สิทธิ์ (See Wikipedia)
specifically... - one example or reason...
taken advantage of - to cheat someone so you can get something from them
loan - an amount of money that a person, business or country borrows เงินกู้
permanent - happening or existing for a long time or for all time in the future ถาวร
justice - when people are treated fairly and equally (See Wikipedia) ความเป็นธรรม, ความถูกต้อง, ความยุติธรรม
meeting - when a group of people come together to discuss issues and make decisions การประชุม
chaired a meeting - lead or was the head of a meeting
bid - an attempt to do something ความพยายาม
manual - a book that shows you how to do something คู่มือ
inform - tell people about what happened, report new information to people who don't know about it yet
rights - what the law allows you to have and do สิทธิ์ (See Wikipedia)
specifically... - one example or reason...
taken advantage of - to cheat someone so you can get something from them
loan - an amount of money that a person, business or country borrows เงินกู้
permanent - happening or existing for a long time or for all time in the future ถาวร
justice - when people are treated fairly and equally (See Wikipedia) ความเป็นธรรม, ความถูกต้อง, ความยุติธรรม
meeting - when a group of people come together to discuss issues and make decisions การประชุม
chaired a meeting - lead or was the head of a meeting
bid - an attempt to do something ความพยายาม
They met to draft a manual on what people should know about predatory lending practices and their legal rights related to debts owed to lenders outside the mainstream financial system.
Pol Col Thawee said he had visited several provinces to look into loan shark problems and found most victims lacked understanding about the laws related to money lending.
draft
- to write a document, plan, etc. that may be changed before it is
finally accepted ร่าง
predatory - eager to gain from the weakness or suffering of others
lending - giving money to someone who agrees to pay it back in the future การให้ยืม
practices - ways of doing commonly repeated tasks
mainstream - ordinary ทางหลัก what is currently typical or normal ที่กำลังได้รับความนิยมหรือแนวโน้มที่สำคัญ
financial system - the system of banks, stock markets, etc that allows the transfer of money between savers and borrowers and between investors and businesses that finance their operations and expansion (See Wikipedia)
victims - people who are killed injured or harmed in some way from an accident, natural disaster, crime, etc.
predatory - eager to gain from the weakness or suffering of others
lending - giving money to someone who agrees to pay it back in the future การให้ยืม
practices - ways of doing commonly repeated tasks
mainstream - ordinary ทางหลัก what is currently typical or normal ที่กำลังได้รับความนิยมหรือแนวโน้มที่สำคัญ
financial system - the system of banks, stock markets, etc that allows the transfer of money between savers and borrowers and between investors and businesses that finance their operations and expansion (See Wikipedia)
victims - people who are killed injured or harmed in some way from an accident, natural disaster, crime, etc.
He also said many lenders had made the lending process complicated in order to confuse borrowers into breaking the loan conditions.
Some lenders tricked or forced borrowers to sign loan contracts stating an exaggerated borrowing amount.
process
- a series of actions that you take in order to achieve a result
แนวทางปฏิบัติ, กระบวน, วิธีการ
complicated - has so many parts connected in different ways that it is difficult to understand (for example, a complicated machine or a city with a complicated system of streets) ที่ซับซ้อน
contract - a written (or oral) agreement that is legally binding สัญญา
exaggerated - saying more than is actually true
complicated - has so many parts connected in different ways that it is difficult to understand (for example, a complicated machine or a city with a complicated system of streets) ที่ซับซ้อน
contract - a written (or oral) agreement that is legally binding สัญญา
exaggerated - saying more than is actually true
In one case, a borrower took out a 5,000 baht loan but was forced to sign a contract saying he borrowed 15,000 baht.
Pol Col Thawee said the Justice Ministry's Justice Fund would help borrowers by appointing lawyers to represent them in legal cases filed by or against loan shark lenders.
sign
a contract - put your name on a written contract thus
agreeing to do as it says
appointing - when an authority places some person in a position in an organisation
represent - to act, speak or be present officially for another person or people เป็นตัวแทน
legal cases, court cases - คดี an argument, or breaking of the law that a court will decide on, ordering people to pay money, serve time in jail, or act or not act in some way
filed - to take official action, e.g., to make a formal complaint ยื่นฟ้องร้อง
appointing - when an authority places some person in a position in an organisation
represent - to act, speak or be present officially for another person or people เป็นตัวแทน
legal cases, court cases - คดี an argument, or breaking of the law that a court will decide on, ordering people to pay money, serve time in jail, or act or not act in some way
filed - to take official action, e.g., to make a formal complaint ยื่นฟ้องร้อง
Once the manual was complete, the ministry would send out teams of officials to educate loan shark victims, beginning with those in the provinces with the highest incidence of loan sharking, Pol Col Thawee said.
Many loan shark borrowers have been found to be employees of state enterprises, often the electricity generating agencies and the Bangkok Mass Transit Authority.
ministry
- a government department dealing with an area of activity กระทรวง
highest incidence of - highest amount of (have the most of this kind of activity)
state - government รัฐ
enterprises - companies
highest incidence of - highest amount of (have the most of this kind of activity)
state - government รัฐ
enterprises - companies
A lot of the money lenders are local politicians, such as members of provincial assemblies, and civil servants, the deputy permanent secretary said.
Pol Col Thawee said agencies were also studying the consumer protection law and figuring out ways it could be enforced more effectively against illegal lenders.
local
- in or related to the area that you live, or to the particular area
that you are talking about ท้องถิ่น
politicians - "an individual who is involved in influencing public decision making. This includes people who hold decision-making positions in government, and people who seek those positions, whether by means of election, coup d'état, appointment, electoral fraud, conquest, right of inheritance (see also: divine right) or other means" (See Wikipedia)
provincial assemblies - the group of elected representatives (legislature) in a province that make decisions for the government of the province
legislature - the group of elected people in the government who create the laws of a country, province or city (See Wikipedia)
civil servants - permanent government workers
deputy - a person who is given the power to do something instead of another person, or the person whose rank is immediately below that of the leader of an organisation รอง, ตัวแทน,ผู้รักษาการแทน
consumer - someone who buys and uses goods and services ผู้บริโภค
consumer protection law - special laws to protect consumers from being cheated when they are sold goods and services (See Wikipedia)
enforce - when the police or other authorities make sure people and companies follow the law by punishing them if they do not
effectively - working well and producing the results that they wanted
illegal - against the law ผิดกฎหมาย
politicians - "an individual who is involved in influencing public decision making. This includes people who hold decision-making positions in government, and people who seek those positions, whether by means of election, coup d'état, appointment, electoral fraud, conquest, right of inheritance (see also: divine right) or other means" (See Wikipedia)
provincial assemblies - the group of elected representatives (legislature) in a province that make decisions for the government of the province
legislature - the group of elected people in the government who create the laws of a country, province or city (See Wikipedia)
civil servants - permanent government workers
deputy - a person who is given the power to do something instead of another person, or the person whose rank is immediately below that of the leader of an organisation รอง, ตัวแทน,ผู้รักษาการแทน
consumer - someone who buys and uses goods and services ผู้บริโภค
consumer protection law - special laws to protect consumers from being cheated when they are sold goods and services (See Wikipedia)
enforce - when the police or other authorities make sure people and companies follow the law by punishing them if they do not
effectively - working well and producing the results that they wanted
illegal - against the law ผิดกฎหมาย
(Source: Loan advice warns about shark attack, 12/03/2010, King-oua Laohong, link)







