Mother faces 2.6 million baht debt from 10,000 baht loan
A mother who borrowed 10,000 baht to pay her child’s school fees 12 years ago is now struggling under a crippling debt of 2.6 million baht in interest. The mother, who initially took out the loan when her child was in primary school, is now seeking help from a popular Facebook page, Survive – Sai Mai Must Survive, to resolve the situation.
The mother, who borrowed the money from a loan shark, has been paying exorbitant daily interest rates of 10% for over a decade. When she fails to meet the daily interest payments, the amount is added to the principal, causing the debt to snowball.
Despite her consistent payments, the principal amount has ballooned to 280,000 baht, revealed the woman’s daughter.
“May I ask for advice? My mother has been in debt for 12 years now. It started with a 10,000 baht loan to pay my school fees when I was in primary one. Now, I am in my first year of university.
Throughout these 12 years, my mother has been paying daily interest without fail, but the debt keeps increasing. Today, the principal amount has reached 280,000 baht due to compounded interest.”
The mother registered for a debt relief programme but, despite this, no substantial assistance has been provided.
Fear of retaliation
She was instructed to report to the district office for further proceedings, but she hesitates out of fear of potential retribution, reminiscent of violent incidents reported in news stories.
The daughter further explains that the family’s fear of the loan shark’s threats has prevented her mother from seeking legal recourse.
The mother once approached the police for mediation but the loan shark aggressively demanded the immediate repayment of the 280,000 baht principal, leading the family to seek advice from the Survive – Sai Mai Must Survive page.
“My mother continued paying the interest for 12 years out of fear. She feared for our safety because we kept paying the daily interest.
“We once reported the issue to the police for mediation, but the loan shark came to our house, demanding the immediate repayment of 280,000 baht. We are scared and don’t know what to do.”
Responding to the plea, the administrators of the page contacted the Superintendent of Pratunam Chulalongkorn Police Station, Police Colonel Parinya Thongma to urgently investigate the matter.
Authorities investigating
They requested the authorities to call in the loan shark for negotiations and potentially seek a refund for the excessive amount paid by the mother over the years.
The police have been asked to verify the claims and mediate between the two parties to find a resolution. The goal is to cease the mother’s continuous payments and possibly reclaim some of the excessive interest paid, reported Khaosod.
While the outcome remains uncertain, the case highlights the predatory nature of illegal money-lending practices and the severe impact they can have on individuals and families.
The story also underscores the importance of seeking legal avenues and support when dealing with such oppressive financial situations. The involvement of social media platforms in bringing such issues to light reflects a growing trend where digital communities rally together to support those in distress.
