Debt Issues: R.A 8484 - Will I get imprisoned?

Email from Collections Agency

Makukulong ka ba with R.A. 8484 dahil sa pagkaka-utang?

A reader has received this type of email.

SUM OF MONEY COMPLAINT W/ PRAYER FOR PRELIMINARY ATTACHMENT and/ or a CRIMINAL CASE/S FOR VIOLATION OF R.A.8484 otherwise known as the ACCESS DEVICES REGULATION ACT OF 1998, violation of any provision of the Revised Penal Code or any other law as may be warranted against you without prior notice to protect our client’s interests.

Contact your complainant at 09068541615 for possible legal arrangements within 24 hours. After this you are directed to make a report thereon this court and execute the same, you are adhered to issuance of SUBPOENA / WARRANT OF ARREST CONTRARY TO THE LAW.

One of the most common schemes that the Collections Agency uses is to send e-mailer that refers to R.A. 8484. Specifically the article section below. 

“A cardholder who abandons or surreptitiously leaves the place of employment, business or residence stated in his application or credit card, without informing the credit card company of the place where he could actually be found, if at the time of such abandonment or surreptitious leaving, the outstanding and unpaid balance is past due for at least ninety (90) days and is more than Ten thousand pesos (P10,000.00), shall be prima facie presumed to have used his credit card with intent to defraud.”

By just reading this, usually the receiver panics as the section above is legit and part of R.A. 8484. What the debtor does not know is it is only part of the law and their are other elements to consider.

In short, if my credit card ka, been using it for years na. Nagbabayad ka noon ng fees mo, then suddenly due to financial difficulties, you missed your payments until di ka na nakapagbayad, hindi ka covered dito.

What is covered is those people who have committed FRAUD. The intent of this law (R.A. 8484) is to punish fraudulent activities. Hindi po yung mga tao may mga utang.

So sa problema ng reader natin;

Sum of Money case - yes, possible ito. But don’t be afraid, no need for lawyers, just attend the hearing and the judge will impose the total debts and it is “pay when able”. 

However, the filing of a case and the procedure will come from the Bank or financial institution that you have debt. If it comes from other firms or agencies, then it is highly probable na mga Collection Agency sila.

As long as you do not commit fraud, hindi ka cover ng R.A. 8484. As mentioned earlier, this is a very common way for the Collections Agency to make you contact them. If you are not willing to talk to them, then wag mo nang pansinin. 

(Note: Ang utang ay kailangan bayaran. This post was published to answer queries about collections agency, credit card debts, and loans from financial institutions. Iba-iba ang pinagdadaanan ng bawat isa sa atin. Yes, you have an outstanding debt and it your obligation to pay it. Bu it does not mean that a Collector can abuse, make threats, and make false claims.)