In the period from October 2020 to April 2021, there were 138,997, civil lawsuits filed for execution, of which 80-90% were household debts, i.e. credit cards, car hire purchase, and personal loans, in response the prime minister has ordered the relevant agencies to expedite solutions to alleviate this frightening rise in public debt.
Previously government has issued temporary measures to solve these problems such as mediation for unsecured personal loans, with more than 700,000 having already applied for this assistance, in addition, an online car leasing mediation fair was held where 13,450 hire purchasers registered their need.
During June and July the 40 state run pawnshops issued interest rate measures and organised promotions such as “Half Half”, for pledges under THB 5,000, with interest rates reduced by 50% for those who hold the state welfare card.
The government fully intends to solve the household debt problem by stipulating both short-term and long-term measures to reduce litigation, such as Student Loan, cooperative debt, reduction of interest on minor loans, PICO loans, and NANO loans, as well as cooperatives promoting competition for lower interest rates and increasing access to funding, etc.
