Pay for your debt now or I will visit you in your office or in your house, and I will bring a sheriff with me…
These words are one of the scare tactics used by credit card collectors to get what they want from you – which is to pay for your credit card dues.
Two years ago when I quit my job, I have an unpaid amount from my credit card that I cannot pay because I have no work anymore. I am really depressed because I was always thinking on how to pay for it without ruining our monthly budget and I am afraid to ask for my family’s help because having those obligations are very shameful.
I received a lot of demand letters and horrible calls from collection agencies that if I took seriously maybe I would have already ended my life lol. I have received a lot of harsh words from them as if they were the one who personally lend me the money. They don’t want to accept explanations and they just treat all my words as excuses for me not to pay for the credit card company that they are “working” for.
My mom teached us not to run from any problems and obligations and because of that, I faced all of these collection agencies. Every time the phone rings, my heart is racing like a horse because I knew it is a collector again and yet I still answered their calls. Why? because they are more pissed off if you answer their calls since they know that they cannot apply the Violation of R.A. 8484 (defrauding of creditors) because you are not hiding from them and that they can still contact you.
Talking to credit card collection agencies is really a pain in the a-s-s, but you need to remember and admit to yourself that you made a mistake and you need to face it bravely.
But since I know my rights, I don’t let them take advantage of me and I think I have protected myself from harassments. Here are some things you should know about these collection agencies:
1. Credit Card collectors will scare you that they will file a case against you and that you can go to prison if you will not pay for your debt!
– okay, no matter what they say, no one in this country can go to prison because of non-payment of debt since it is not a criminal case. Debt collectors cannot claim a warrant of arrest or call the police and order you to pay – via Bill of Rights, Article III section 20 of the 1987 Constitution. On the other hand, a civil action for collection of money may be filed by the credit card company for non-payment after the credit card debts becomes due and demandable.
I think the credit card company only file for a civil case at the trial court if the amount reached is P100,000 or more. I knew someone who received a file case from the trial court, he went to the scheduled date to show his intent to pay without the need of a lawyer (since he can’t afford to have one) and from there, he and the credit company had an amicable settlement on the amount that was beneficial to both of them. He can now breath easily and slept soundly since he will not receive anymore calls from the collection agencies.
2. Credit Card collectors have no right to threaten you or enter your house and confiscate your properties to offset your debt.
– If a collection agency engages in unfair practices like going to your house without your permission or even in your office to embarrass you, you may submit a written complaint or by proceeding personally to the BSP’s Financial Consumers Affairs Group. This is the reason why I always ask for the complete names of the collectors who are talking to me and the name of their agencies. I remember whenever I asked for their names their tone of voice quickly changes and became more respectful.
You can send your complaints here:
Financial Consumer Affairs Group
5/F Multi Storey Building, BSP Complex
A. Mabini St., Malate Manila
consumeraffairs@bsp.gov.ph
Tel# 708-7087 or 708-7701 local 25844
3. Credit Card collectors have no right to contact you any time they wish.
– Good thing I have not experienced collectors who call during midnight or even at the break of dawn. They can contact you between 6AM to 10PM according to BSP Circular no.454, unless you like to talk to them and give them the authority to call you any time of the day.
4. Put everything in writing
– in my Business Law subject way back in college, we were told that whenever we engaged in Business we should put everything in writing. Engaging in these transactions, it is important to remember that teaching and always remember to indicate the date, your name and signature and file a copy duly received by the financial institution.
The same person that I have set as an example on number 1 also made sure that his request were all in writing (whether the credit card company approved it or not) to show to them that he is willing to pay as long as they will agree to the amount he is asking for. I also did this when I realized that I would have to speak to different persons every time they called and that I always repeat what I told to the former agent that I have talked to. Giving them a letter is my way of saying to them “just read what I have to say” rather than saying it again and again.
I already received my Certificate of Full Payment from three of my cards, and I am waiting for the last one to be released this month. I thought it will be impossible for me to pay for all them but as they say ” there is nothing impossible for some one who is eager to do something”.
Change your lifestyle, spend less and try to save every penny you have, look for ways to earn even how little it may be and always remember to ask God for help and guidance. These are the solutions I can think of to solve this problem.
Here is an additional advice, if you don’t want to encounter cruel collectors, then follow the saying:
” Prevention is better than cure”. Don’t use your credit card if you think you can’t afford to pay for all your purchases.
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Thanks for sharing this. I don’t have credit cards, though I have friends who encountered a problem with the credit card company and a collecting agency. His credit card was used by a person who asked for his help in going abroad. Of course, that person promised to pay him back but it was broken. A broken promise, so, he decided not to pay the amount. Years later, a collection agency sent him a mail and received by the hospital cashier without knowing the whole story. When a collection agent called, the cashier answered and scared from their tactics. We understand that the cashier is not use to this kind of financial problems. Her suggestion to the card owner made us laugh. She told the credit card owner to leave (she has no right!) the place and hide because the agency will bring a police to arrest him.
“Leaving” should come from the hospital owner not the cashier. It means leaving his job behind. That’s the effect of scare tactics from the collecting agency.
Ooohh! I got the same experience before. They even tried threatening my Mom during that time. I was so flaming mad and told that when something bad happened to my mom because of their rudeness, they will pay for it. After that, they became polite. I sooo hate them. This is also the reason why I’m careful on getting another credit card again..
that is the reason why I make sure I will be the only one to answer the phone that time since I know wala sila pakiaalam kahit me sakit sa puso kausap nila
I’ve been a victim not by the collectors but by overusing my card. The first time I got my credit cards I got so overwhelmed which resulted to a debt that I cannot pay in a year! So i told myself i should pay it off as soon as possible and i should not use my card again until i zero out the balance. I cut all my cards, pay off all my debts in a year. After that I learned my lesson and it never happened again which is something I am proud of. We should really live Only within our means.. 😉
Thanks for the info, now I know what to tell my friends with credit card problems. As for me, I don’t think I’m getting one soon, never had one and probably never will. Just passing by from Pinoy Bloggers. 🙂
that’s good Leon… I also cut all my cards 🙂
Good thing I don’t have credit cards. Lol. So afraid of the temptation and other worst circumstances. 🙂
When I resigned, I have four unpaid credit card bills. Now, I only have three left. I really wish to pay them all and maintain one only for emergencies. My other credit card will end next year 2013.
Thank you for the great post Mommy Levy! I appreciate the thoughts you have poured in here.
Isn’t it about time to sue these people, make them pay you to go away, until they can no longer afford to do business as a debt collector?
Gud day po mam,
same po tau ng situation mam gnyan po gngwa skin ng legal officer po ng hsbc ngau skin pnplit n byaran ko ung discounted amount n bngy nla skin hnd ko nmn po kyang byaran..ask ko po mam anu po yung gnwa nyo po pra hnd n po kau twgan ng collector po?..pls give me an advice kung anu po mgnda po gwin?…tnxs and godbless…
I suggest na makipag deal ka sa kanila sa amount na kaya mo monthly, I think papayag naman sila. About sa question mo, talagang tatawagan ka nila ng tatawagan hanggat di ka nakikipag deal sa kanila ng terms of payment. Make sure to get their name and number and as long na hindi ka nila binabastos at hindi madaling araw natawag ay may karapatan silang tawag tawagan ka paulit ulit. Kaya gumawa ka na lang ng letter explaining yung amount na kaya mong bayaran. Thank you!
Gud day po mam c genaline po ulit e2…ask ko lng po bkit po ngpdla po ulit skin ng demand letter po ung hsbc po skin..ung unang demand letter po skin nghulog po me ng 3thousand po then after po nun hnd n po ako tnwagan ng legal officer po pro ngpdla mo ng billing po ulit ung hsbc po hnd p po ulit me nk2pghulog po dhil wla p po ako pera ngau po ngpdla po ulit ng demand letter po…plgi po b cla mgpa2dla po ng letter skin…wait ko po ung respond nyo po mam tnxs po..godbless..
nakipag deal ka na ba sa kanila?
Hnd p po me nki2pgdeal po sknla…kc nun tnwgan po me ng legal officer cnbi ko po sknya ng 3thou lng po naihulog ko po after po nun hnd n po ako tnwagan ng legal officer po pra s deal n ibigay po nla skin…pndalan lng po ulit me s hsbc ng billing po ulit tpos nun isang arw po demand letter n po ulit…anu po dpt ko gwin madam…tnxs…
Hanggat di ka nagkakaroon ng written agreement kung magkano babayaran mo monthly para matapos ang utang mo sa kanila, lagi ka nila papadalhan ng demand letter.
Hello maam..hihingi lng po ako ng advice about s pgkakautang ko s mga cc cards ko..kahapon po tinawagan ako ng hr company nmn para ipaalam na may tumawag sa kanila at hinahanap ako at sinabi na merun dw po akong court order,,,1 year ko po napabayaan ang card ko dhil nadin s kagipitan ,,maari ko po bang ikAtanggal s trabaho kung patuloy nila ako hahanapin sa kumpanyang pinagtayrabahuhan ko..salamat po sana po ay matulungan nyu ako
make a deal with them, kung kailangan mong humarap sa korte, go. Pero makipag usap ka kung magkano lang kaya mong ibigay na may kakainin pa ang pamilya mo. I am not a lawyer pero I think mapapakiusapan naman ang bank basta di ka nagtatago sa kanila. About sa company, i-check mo ang by laws nila kung magtatanggal sila ng tao dahil sa pending case mo. Ang alam ko hindi naman nila sakop yung ganyan, unless mairita sila sa paulit ulit na tawag at sabihing nakaka istorbo sa oras ng trabaho. Kaya I suggest to inform the bank to call you after work kasi baka matanggal ka lalo kang hindi makakabayad sa kanila.
gud pm po. umabot na po sa almost 300.K utang ko po sa metrobank credit card ko ganun din po sa citibank… dati po maayos ako nakakahulog kya lng po natakbuhan ako ng pera kya dna po ako nakahulog ng maayos. sabi po nila wala nmn po daw nakukulong sa utang sa credit card pro sa laki po ng utang ko natatakot na po ako, hidni na po ako makatulog ng maayos, hndi na po normal buhay ko, nasa huli po pagsisis ko kung bakit po ako nahook sa credit card ganung umaasa lng po ako sa sweldo ng asawa ko, ang credit card company na po naglagay ng kunwari meron ako buy and sell ng mga sasakyan. pwede po ba nila makuha skn ang bahay at sasakyan ko dahil po sa laki ng utang ko? sana po matulungan nyo po ako sa mga katanungan ko.
Does anybody here who can answer this question?
maraming salamat po sa section na to dahil wala po ako taong mapagtanungan tungkol dito dahil nahihiya po ako. ang gulo-gulo na po ng isip ko, naaawa na po ako sa mga anak ko everytime nakikita nilang tulala ako sa pag-iisip kung saan po kukuha ng perang ibabayad sa utang ko po. maraming salamat po and GOD BLESS YOU PO.
Hi, I just want to ask po, if ever mkpg deal ako dun s collecting agency ng hsbc ano po b dapat kong hingin n proof s knya? As of now po asa abroad ako. Ano po bng legal papers ang dapat kong hingin s knila para ma clear n ung bills ko?thank you!
They will give you a contract or arrangement form.
Thanks po s reply! Ask ko lng po kung pno ako mk2sure n clear n ung name ko after ko bayaran ung bills? Ano po dapat kong hingin s knila?
Proof of Full Payment
hello !! if your credit card company indorses your account in a collection agency will your payment directly to their bank automatically be deducted to your debts? the cc company even stop sending their monthly billings… pls reply..thank you so much.
I think so
thank you!
NaXperience q ung mga cnsbi d2. pro survive n q! hinayaan q lng ung mga credit collectors. hnd dn q ngpalit ng cel # pra mcontact p rn nla q, at hnd nla msabi n ngta2go q. but hnd nla q nkkita kpg pumupunta cla s bahay nmin. npagod n lng cguro cla. But Ask q lng po kung mgkakaroon po ba q ng bad record sa NBI or Police record f evr n kumuha q ng NBI & Police clearance? I have 2 credit cards po kc n hnd nabayarn. Plano q po kcng mgabrod… thnx!
Diner’s ang crdt crd ko,nasa collector agency na ang accnt ko, nakabayad na ako almost haft ng accnt ko na stop ako sa payment ko dahil wala ng akong ibayad sa agency, ngayon kasalukuyan tinawagan ako ng agency pinababayad sa akin 187k, tumanggi akong bayaran ang 187k, sbi ko nakabayad na ako dapat 40k nlang ang dapat kong bayaran sa agency, sabi nila nawalang kwenta ing binayaran ko noon dahil pinabayaan ko raw, ang gusto nila mag online ako sa security bank ng 10k to proof daw na willing ako magbayad at gumawa raw ako ng letter, hindi ko maintindihan ung letter na pinagagawa nila sa akin , kapag hindi ko raw ginawa ang mga instruction nila sa akin irrecomend raw ng collector agency sa head office nila na idemanda ako at ang security bank ang magdedemanda sa akin….madam puede ba nilang gawin iyon sa akin although sinasabi kong willing akong magbayad pero sa halagang alam at iyon lang ang dapat kong bayaran ang 40t including interest etc…
ganun din sakin, i received text message from PJ Publishing daw sya at nagbayad na raw si Atty Glen Mendoza to publish my name, picture and references to the public daw, is this true? and then tinawagan ko, tawagan ko raw si atty Mendoza, then after 2 hours, sunod sunod na yung text ni atty mendoza daw sya na i-forward na raw nila sa PNP Publication & Warrant Sec. daw para magcoordinate na raw sa lahat ng Publishing company para mapublish ung references ko at picture, pati s brgy, newspapers, dfa, sss, nbi para mafile daw ako ng ESTAFA at crminal case daw…grabe, iyak ako ng iyak…sa tingin nyo totoo ba to…
wala po akong inissue na check,, puro credit cards lang po ang problema ko, wala akong job ngayon kaya medyo hirap, nag aaral pa 2 bata. ang hirap makarecover. pls advice me.
hi Janet.
Stay Calm. Thats Harraasment. Credit card debts are only civil case not criminal case.
I have credit cards debts and I was able to pay one 6 yrs ago pa yun. I paid AIG original amount i owe was 20th then sabi nil 6yrs had passed 300th na daw. I said dun sa kausap ko whatever were discussing now is recorded sa cphone ko. I said I cant and wont pay that amount better sue me. Then they called again offering me 10th. I said I cant do that I called the bank and the bank called the collections agency- we talked to the supervisor and now it was down to 5th. We agreed on the date that I can pay that and I did now I have my letter that its fully paid.
Everything can be worked out dear but dont be afraid. U have kids? Unahin mo sila. Me it took 6years becs ngayon lang ako nkabawi financially.There’sa law na di tayo pwede i harrass
Hope this helps.
Nararanasan ko rin ang malaking poblema sa crdit card. Hindi na rin ako nakakabayad dhil wala nako income. Kung tutuusin sa tagal ko nagbabayad sa cc mas mallki pa yubg naibayd ko sa inutang ko. Sobrang laki ng poblema ko financial kya nag stop nako ng kababayad mas importante ma survive ko ang pag aaral nf mga anak ko. Hindi ba nila pede iconsider na tapusin na nila kasisingil dhil sa tagl ko na nagbabbyyd d nababbwasan utang ko sa kababayad ko mas malaki na yung binayad ko sa inutang ko sa knla ano ang magagawa ko dko namn ginusto na mawalan ng kita at dko rin ginusto na takbuhan sila… pano ko sila papakiusapan kung puro pana akot ginagawa nila kyo dna ko nakikipag usap
i have a loan sa isang lending company. does someone know if the procedure is the same? may collection agency na nanghaharass. texts demanding payment, saying na from the credit investigation bureau sila. di ba po dapat mail sila ng demand letter bago i-file siya sa court then, summon ka for a hearing? Or puwedeng itext lang ang mga bagay na ito? Please enlighten me
i read ur article bout credit cards, ung anak ko po my mga utang sa credit card bout 2 yrs ago, na hnd po n nya nabayaran. just today my tumawag s amin n pulis dw from taguig na magseserve dw po ng warrant of arrest sa monday at pipik upin ung anak ko, pero ala po xa d2 s probinya namin, nasa mla. halos maatake po ung asawa ko s kaiiyak dhil s awa s anak ko. ano po dpt gawin namin? pls po help us…asap po ang need ko answer..god bless po.
May inussue po bang checke ang anak nyo? Kung wala po, sa pagkakaalam ko hindi po totoo na makukulong at pipick up in ang anak nyo
Hi
Bago po aq umalis ng pinas malaki p po ung utang q sa credit card na akala q po mbbyaran q pag nsa abroad na aq pero napakaliit po ng sinasahod q lasya lang po sa mga anak q.. Hndi q po alam kng makakabayad pa po aq.. Kng halimbawa po na umuwi Q nv pinas at bumalik sa abroad ma hold po kya nila aq sa airport dahil sa utang q.. Kng may malaki lang po aq na sweldo uuti utiin q po byaran.. Pero sa laki po ng tubo baka po d na aq makaahkn sa pav babayad p lang pls help thank u po God bless
If i had an security cheque return case against credit card issued can they put me into jail ? Three cheques given as security and when one is presented, i closed the account. They send a legal notice uder ESTIFA rules ? Recently i received a court notice filing a case ? How can i relieve from this ? My amount due is PHP 150,000. Can i get any relief ?
Hello mam! Good day! Way back 2008 I received a letter from one of HSBC’s coll agency demanding me payments of a certain amount waiving all charges. So I pay the amount as requested in the bank. Until now I kept on receiving demand letters from different collection agencies.
Pls advice me what to do. Thank you in advance.
Juliet
Did you keep the letter and the receipt of payment? Then I suggest that you show it to the collection agencies that demanding you to pay (again). You should ask for certificate of full payment from the bank.
hi po. ako rin nakaranas ng ganito. though hindi pa ako nahaharas ng collection
agent. naka received na ako ng demand letter to pay my hsbc cc immediately daw for
five days, kaso when i check the account number ng cc na inilagay nila sa demand letter
ay mali po, pero ang amout naman ay tama. so hindi ko na po sinasagot oh nirereplyan yung mga calls and texts ng agent nila.
tama poh ba ang ginawa ko, since mali nmn ang credit card number na nilagay nila sa demand letter ko?. .
please help. makukulong na ba ako nito? . . thanks po.
Okey mam thanks for the advise. I have kept the copy.
few days ago I receive a demand letter to pay my cc (by collection agancy), but before that I already settled one card to the same agency but did not receive yet the certificate of full payment (it has been paid last May 2013). They offer 10K for the settlement of account, initial payment on 25th amounting 5K and remaining 5K on 15th of dec. Over the phone i agree, but last night upon checking my resources hindi ko pala kakayanin yung terms of payment. So i decided just this morning to wait first for the certificate of full payment on my 1st card bago ko isettle yung 2nd card, pero i don’t know how to open up this to the agency… pls. help. (Lagi kasi nila sinasabi until this month lang yung offer na 10K settlement).
Thanks M’ Levy.
Hi Aleck,
You should demand for the Certificate of full payment. It is your proof in case they tell you to pay for the 1st card again (nangyayari yun). Then, you can tell them about your dilemma that you can’t comply on their terms for the 2nd card. Tell them that you wanted to pay but as of now you can only pay for a certain amount. I know they can give you another option.
Hi All,
May credit card akong hindi nabayaran sa Dubai, paguwi ko sa Pilipinas hindi nako bumalik dahil nagkaproblema ako sa father ko, nagkasakit siya at natakot na ako umalis ng Pilipinas dahil malubha ang sakit niya, then i decided na magstay sa Pilipinas at dito nalang magtrabaho. May pinirmahan ako na cheque during application ng credit card “blank cheque” requirements daw, first time ko mag karon ng credit card. Ngayon 6 years na nakalipas, may collection agency na tumatawag sakin at nagsasabi na kakasuhan daw ako kapag hindi nakapagbayad after 5 days. Hindi po sapat ung sweldo ko dahil sinusuportahan ko ang medical expenses ng father ko, then nung namatay na father ko sarili ko nalang sinusuportahan ko. Pero hindi rin sapat para mabayaran ko ung credit card ko. Sa ngayon hindi ko alam kung ano pwede mangyari, pwede ba akong makulong dito sa Pilipinas? Tingin ko hindi ko mababayaran ung credit card. Need your advice everybody.
Hi Po,
I guess ito ung best site na nakita ko makatulong sa mga tanong regarding sa credit card problem.
May Tanong ako, Just today nkareceive ako email from Bank, demand letter po, and sabi nsa 400k+ na dw ung dpat na bayaran ko dahil sa interest, wherein ngumpisa lng nmn un less than 100k, hnd lng nabayran na ng maayos kc ngkaprob na ako and that reason, kailangan ko na dn umalis ng pinas hanap ibang work abroad.
Sabi sa akin ng Collector, bigyan nila ako till friday pra pay kahit un principal amount nlng dw or 90k, pra matapos na ito, and ipapahold nila ung case ko, if not, mgpapadala na dw cla ng letter or subpoena dito sa company namin sa UAE, possible pa un?
anong Action ba ang pwde nila gawin against me?
Baka may pwd pong makatulong jan, please advise po.
thanks you
Hi Ms. Levy,
really need an advise, regarding my PS Bank Flexi Loan, nakapag cash loan ako ng 60K last 2004, i remembered naka 2 times lang akong nakapag pay ng 3k last 2004, then nawalan po ako ng work, the reason kung kaya hindi ko na nabayaran pa hanggang sa ngayon 2014. last week may isang collection agency na tumawag sa akin saying that my liabilities is now 3M pesos. i was so shocked kasi kung yung ngang 60k hindi ko nabayaran kasi wala akong pambayad, yun pa kayang 3M? so nakipag deal ako sa kanya at he said i can pay 1M in 32 months, if you will divide it, it will be 31250/mo. and i said i can’t pay you that much every month, since bago lang ako sa work ko ang i am just earning a minimum rate. so sabi ko 100K, gagawan ko ng paraan, pero hindi sila pumayag, sabi nila hindi daw papayag ang bank. nakiusap ako sa kanila, kasi yung 1ooK nga hindi ko pa alam kung saan ko kukunin, basta ang nasa isip ko lang i need to settle this once and for all. sabi nung collecting officer need ko daw to pay 50k now so that the bank will be convinced na talagang gusto kong makipag settle. pero i insist kasi ayaw nyang sabihin kung magkano need kong bayaran, basta need ko daw to pay 50k then saka nila sasabihin kung magkano pa ang need kong bayaran, pero nagmatigas ako at sinabi ko na i need to seek advise first. sabi niya i aakyat na daw sa korte ang case ko.
my question is, talaga po kayang nasa bank pa ang account ako, after 10 years? sa palagay nyo po kaya papayag sila sa deal na offer ko? kung oo, ano po ang dapat kong hingin sa kanila before po ako mag bayad? para po sigurado ako na pag nakapag pay na ako, tapos ng lahat.
san po ba dapat nagbabayad? sa kanila personally o sa same account ng utang ko?
sana po masagot nyo po ang mga questions ko. your help is really needed.
May God Bless us all.
Hi Grace,
Wow ang laki na ng tinaas, pati ako nagulantang. I am not a lawyer and I will answer your question based on my personal experience. 1. I am not sure sa patakaran ng bank kung after 10 years ay nasa kanila pa account mo. 2. Ito masasagot ko, before ka magbayad humingi ka ng contract sa kanila 3. Sa banko ka lang dapat magbayad at hindi sa collections agency. 4. Dapat pagdating mo sa banko at kaya mo na magbayad e same account ang gagamitin mo.
I hope kahit papano nakatulong ako.
I need advice