If you have already noticed, nowadays microfinance companies do not name interest rates for a year or a month. As a rule, everywhere is called the amount of interest per day. I recently met a familiar girl when she was my assistant, now she works as a microloan manager. So, she told me very interesting information. It turns out that managers are strictly forbidden to talk about the amounts of annual interest and voice the amount of possible overpayments. No reason why they can not even say these numbers. Only daily interest! Under what. And why, what is the secret information? All, very simply, calling, for example, 1,5% per day, sounds like something more acceptable than, for example, 540% per annum. Agree, wildly, though, probably, we are not surprised by such percentages.
I never encountered the problem of not paying microloans , and never did microlove at all, so I do not have personal experience, but I decided to figure out what would happen if I did not pay microloans. To do this, you must first understand what microloans are in general, and how microfinance companies are positioned on the market.
What are microloans and microfinance organizations
It turns out that microfinance organizations have nothing to do with lending. These are not credit organizations and their conditions of stay in the financial market are significantly different from banks and other lending organizations. And this means that the laws for microfinance are completely different.
Microfinance organizations are non-profit organizations that must be obligatorily entered into the register of microfinance organizations. According to the wording of the federal law on microfinance, a micro loan is a loan provided by the lender to the borrower under terms stipulated by the loan agreement in an amount not exceeding one million UAH. Very interesting law. The loan is provided under the terms of the contract! All, nothing in this law provides for interest rates, fines, penalties, etc., such as the Consumer Lending Act. So what does it mean, can an agreement be drawn up arbitrarily, using any bond conditions?
But! In this there are also pluses, because if the law does not provide a threshold of interest rate, it means that it can easily be appealed in court, recognizing the agreement of the loan agreement bonded. Article 179 of the Civil Code of Ukraine, paragraph 3: “The law on the extremely unfavorable conditions that a person was forced to perform as a result of a coincidence of difficult circumstances than the other party took advantage of (bondage agreement) may be declared invalid by the court by the claim of the victim”. And is not it? Microfinance organizations use the difficult financial situation of citizens, creating even more difficult situations for them. After all, they are left behind by loans that are already depleted by the essence of people who banks have ceased to issue loans at more benign conditions. After all, no sober minded person who could make a loan or a credit card at least under 60% per annum, will never begin to issue a loan at 700% per annum. Therefore, people take loans at the edge of despair, when there is no other option.
What will happen if you do not pay microloans
So, what will happen if there is nothing to pay microloans ? It is still difficult to give some unambiguous answer to this question, there are not so many cases of court practice in these disputes, we can say, none at all. According to rumors, these organizations use those illegal methods of influence on the debtor, such as collecting agencies. Well, if you think logically, then the court to go to them simply is not profitable. After all, they are already turning their back.
Judge for yourself, took microloans at the same time five people: A. B, B, D, D for 10000 UAH. Borrower A was not able to pay the full amount of the debt and half the year only paid the interest, eventually it turned out – 5000Х6 months = 30,000 UAH, this is the sum of interest and still the main debt of 10,000, it turns out, took 10 thousand, in the six months gave 40 000, the company received a profit of 30000. Borrower B was in the same situation, but he could not pay for six months at all, and he, with all the fines and interest for these six months, counted 80,000 UAH. The bad guy got somewhere and gave them all 80 thousand UAH. Consequently, from two, say, good-faith borrowers, the company received a net profit of 100 thousand UAH for half a year. And they first released five of a total of 50,000. Navar 100%, given that borrowers B, D, D did not pay a single penny for their loans, they had nothing to pay. Hope you understand that these calculations for example, in fact, figures may be quite different.
I just tried to convince you that even with such ratios, microfinance companies will never remain without their own. And it is calculated from them all at the outset that the honest borrowers will give the last, covering the debts of both their own and that boy. Therefore, lenders are behaving so brazenly that they can, if possible, be pulled out of those who are intimidated as much as possible.
Well, if all the same, they will have enough bravery and they will go to court, what then? Then file a counterclaim for invalidation of the transaction, then it is bondage. In the claim, ask for a reduction in the interest rate and return them only the amount of the principal debt, with the interest rate of the Central Bank of Ukraine – 8.25% per annum. If you do not want to wait for the consequences, contact the claimant to declare the loan agreement invalid, and if you already have been threatened, then demand the moral compensation in the same claim.
And most importantly, remember, no one has the right to threaten, humiliate, offend you. It is not necessary to tolerate such an attitude and allow them to behave like that. Let’s bravely resist bravery and do not be afraid to go to court. I recommend reading the article: What will happen if you do not pay a loan and How to behave with collectors during a meeting.