Philippine debt

[neodragon0l 6]

No you can't! Same as US. They can serve you, they can sue you in court, but they can't put you in jail for non-payment of debt.

Odd.. I have seen it done. The guy went to one of those barangay jails until he paid...???

[neodragon0l 6]

Odd.. I have seen it done. The guy went to one of those barangay jails until he paid? In one localities, the barangay I knew jailed for that until he gave up collateral and paid his debt. Again, this is the Philippines, you may be right that you can't do anything in court. Anything can happen in the Philippines.

[I AM NOT THAT GUY 5,715]

Odd.. I have seen it done. The guy went to one of those barangay jails until he paid...???

Paid what? A fine to the barangay captain? Was that who he owed money to?

[neodragon0l 6]

Paid what? A fine to the barangay captain? Was that who he owed money to?

He paid back with money. The guy had to borrow from one of his relatives who is not from the baranggay. He owed money to the local lenders.

Edited June 21, 2012 by neodragon0l

[I AM NOT THAT GUY 5,715]

He paid back with money. The guy had to borrow from one of his relatives who is not from the baranggay. He owed money to the local lenders.

Ah, okay. He didn't borrow from a bank. So the buwaya used the local constabulary to put a little muscle on the gentleman. Instead of crocodiles, we got sharks in the US, and they send people to break arms and legs if you don't pay.

[actob99 156]

UTANG, a beautiful thing..

[Philwithlove 17]

if the utang is from bombay.. he can run without paying it. lol

kidding aside, i borrowed money from the bank and lending intstituion too before and they usually ask me to have cosigner and collateral. So if you can't pay, the cosigner is the responsible to pay if the appliances/collateral is not enough to pay the debt.

Like most of the advices here, ask him where he borrowed money and settle (if you want) it by going with him for assurance and as witness. Don't forget to have a signed document stating he is paid just incase.

[eternalcompanion 3]

There are two kinds of cases filed with debts. Depending on how the debt was incurred. There are criminal and civil cases. Criminal cases such as estafa, bouncing checks if he issued the same, are criminal actions where warrant of arrest are issued depending on the amount of debt. There are also debts filed as civil cases where no criminal liability is involved. This would not prevent someone from going out of the country. After the civil case is decided all the sheriff can do is collect the money from the debtor, if he has nothing to pay, his property will be levied or auction. Hold departure order are issued in criminal cases. But most of debt problems are resolved out of court, thru compromise agreement. Most companies in the Philippines would always prefer to enter into a compromise agreement rather than pursuing the case, as they know it is a long process and would take a lot of their money. I hope this help a little.

There are two kinds of cases filed with debts. Depending on how the debt was incurred. There are criminal and civil cases. Criminal cases such as estafa, bouncing checks if he issued the same, are criminal actions where warrant of arrest are issued depending on the amount of debt. There are also debts filed as civil cases where no criminal liability is involved. This would not prevent someone from going out of the country. After the civil case is decided all the sheriff can do is collect the money from the debtor, if he has nothing to pay, his property will be levied or auction. Hold departure order are issued in criminal cases. But most of debt problems are resolved out of court, thru compromise agreement. Most companies in the Philippines would always prefer to enter into a compromise agreement rather than pursuing the case, as they know it is a long process and would take a lot of their money. I hope this help a little.

[del-2-5-2014 1,339]

Phiippines has debtors jail so he must be careful. I am not sure as to the amount or whom he owes the money to. However in the RP one has to be very careful as the interest is high enough as is for a bank loan. I had an American friend that got behind on payments to a bank and they worked it out with him so he was fine. I know of local filipinos that were not worked with as easily on debt.

As for speaking with an Attorney.. They will charge him a nice fee just to tell him to pay his debts before leaving..

I dealt with many Attorneys during my business tenures in the RP and found them very unhelpful. I even golfed with two of them.. Laws are common sense is how I look at it. And in the RP they will use common sense and just tell you to pay the debts to clear his name before he tries to depart. He could be blacklisted from traveling if his debt is high enough or if his creditors gets wind he is leaving or marrying a foreigner. BTW, you as his fiancee and foreigner should never never EVER get involved in his debt. Reason is that the entire game changes when they know their fellow countrymen is involved with a foreigner... $$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$... A lot of Dollars go up... Trust me I have seen myself different pricing being charged for leases and services just because they know the person is involved with foreigner.... Because afterall in their eyes we are all rich

Good luck

Same thing hapens in Nigeria too

I have told my Fiancee that I am not getting involved in any of her fulfilment of requirements such as getting copies of certificates, passport, etc.

[neodragon0l 6]

There are two kinds of cases filed with debts. Depending on how the debt was incurred. There are criminal and civil cases. Criminal cases such as estafa, bouncing checks if he issued the same, are criminal actions where warrant of arrest are issued depending on the amount of debt. There are also debts filed as civil cases where no criminal liability is involved. This would not prevent someone from going out of the country. After the civil case is decided all the sheriff can do is collect the money from the debtor, if he has nothing to pay, his property will be levied or auction. Hold departure order are issued in criminal cases. But most of debt problems are resolved out of court, thru compromise agreement. Most companies in the Philippines would always prefer to enter into a compromise agreement rather than pursuing the case, as they know it is a long process and would take a lot of their money. I hope this help a little.

There are two kinds of cases filed with debts. Depending on how the debt was incurred. There are criminal and civil cases. Criminal cases such as estafa, bouncing checks if he issued the same, are criminal actions where warrant of arrest are issued depending on the amount of debt. There are also debts filed as civil cases where no criminal liability is involved. This would not prevent someone from going out of the country. After the civil case is decided all the sheriff can do is collect the money from the debtor, if he has nothing to pay, his property will be levied or auction. Hold departure order are issued in criminal cases. But most of debt problems are resolved out of court, thru compromise agreement. Most companies in the Philippines would always prefer to enter into a compromise agreement rather than pursuing the case, as they know it is a long process and would take a lot of their money. I hope this help a little.

Thanks for a good explanation.

[neodragon0l 6]

if the utang is from bombay.. he can run without paying it. lol

kidding aside, i borrowed money from the bank and lending intstituion too before and they usually ask me to have cosigner and collateral. So if you can't pay, the cosigner is the responsible to pay if the appliances/collateral is not enough to pay the debt.

Like most of the advices here, ask him where he borrowed money and settle (if you want) it by going with him for assurance and as witness. Don't forget to have a signed document stating he is paid just incase.

There is a Bombay/debt story that someone told me. The guy borrowed 1500 PHP. The guy paid back quickly, then borrowed 15000PHP. He paid on time. He borrowed 150,000PHP. The guy was never found and moved out. Last thing we heard, the guy has a business now.

Bombay is a huge network in the Philippines. You borrow from one, you borrow from all of them. If you fail, you are forever black listed. lolz

[neodragon0l 6]

Ah, okay. He didn't borrow from a bank. So the buwaya used the local constabulary to put a little muscle on the gentleman. Instead of crocodiles, we got sharks in the US, and they send people to break arms and legs if you don't pay.

Exactly. So since then everybody pays their debts on time. lolz.

[Jack&Maria 5]

Any person owing money is protected by the constitution of the Philippines. No person shall be imprisoned for non-payment of debt or poll tax. The creditor can always sue that person in court. But that person cannot go to jail.

Civil Code in the Philippines --You can find this one in the Revised Penal Code in the Philippines

REPUBLIC ACT NO. 157 - AN ACT CREATING A BUREAU OF INVESTIGATION:

Purpose : To undertake investigations of crimes and other offenses against the laws of the Philippines

Not being able to pay your debt is NOT a crime nor an offense against the laws of the Philippines.

If the court will send a summon, it will take six to seven months before the hearing process in the court. This is a civil case ladies and gentlemen! It is like an annulment!

NBI traces criminal and offensive acts like rape, murder and even trespassing!

If the credit card or loan defaulter will not be in the court the day of the hearing, the judge will dismissed the case or they will extend the hearing process to another dates!

During the hearing process, there will be no lawyers for both parties as this is included in civil case!

If the defaulter claim that they don't have money or properties to pay for their debts, the case will be dismissed or the judge will recommend to pay their debts through gradual payments

The Bank doesn't have any choice and the case is dismissed!

[I AM NOT THAT GUY 5,715]

NBI traces criminal and offensive acts like rape, murder and even trespassing!

NBI also tracks pending civil actions and outstanding judgments, from posts already made in this forum.

During the hearing process, there will be no lawyers for both parties as this is included in civil case!

My law school wife says not true.

If the defaulter claim that they don't have money or properties to pay for their debts, the case will be dismissed or the judge will recommend to pay their debts through gradual payments

The Bank doesn't have any choice and the case is dismissed!

The judge can grant a judgment to the creditor, and it doesn't matter if the debtor has any assets at the time or not. The judgment lasts several years, and in some cases, can be extended, for cause. During the period of judgment, any payments to the debtor can be attached, such as wages, and if the debtor is discovered to have anything of value, that can be seized and sold at public auction, with the proceeds going toward paying off the judgment.

[Kang 22]

Debts, as far as I know is not "imprisonable" unless there is estafa going on.

The closest one could get as regards to loans is seizure of assets as ordered by the court.

Edited November 7, 2012 by Kang