Is there a company specializing in debt collection?

Paying off debts is a matter of course.

Any country has a complete legal system to protect creditors, but this does not mean that creditors can use all means to recover debts.

In fact, in our current laws and regulations, the establishment of debt collection companies has always been explicitly prohibited.

1On June 25th, 988, the Supreme People's Court, the Supreme People's Procuratorate, the Ministry of Public Security and the Ministry of Justice issued the Notice of the Supreme People's Court, the Supreme People's Procuratorate, the Ministry of Public Security and the Ministry of Justice on Prohibiting the Establishment of "Debt Collection Companies", stipulating that judicial organs such as the Public Prosecution Law shall not set up so-called "debt collection companies" individually or jointly, and accept creditors' requests in the form of enterprise legal persons in economic activities.

On May 25th, 1993, the State Administration for Industry and Commerce officially issued the Notice on Stopping the Registration of Debt Collection Companies Submitted by Public, Legal and Division Organs.

1995165438+1On October 28th, the Ministry of Public Security and the State Administration for Industry and Commerce jointly issued a circular. Regarding the prohibition of the establishment of debt collection companies, the formal provisions are as follows:

First, it is forbidden for any unit or individual to set up any form of "debt collection company" to engage in debt collection business.

Second, the administrative departments for industry and commerce at all levels should, with the cooperation of public security organs and relevant departments, conduct a comprehensive and thorough clean-up of all registered companies and enterprises engaged in debt collection business, and notify them to apply for cancellation or change of registration in accordance with the relevant provisions on enterprise registration management; If it is not implemented within the time limit, its business license shall be revoked by the administrative department for industry and commerce.

Three, the administrative departments for Industry and commerce at all levels should immediately stop the registration of "debt collection companies" and similar enterprises. It is strictly forbidden for enterprises to continue to carry out debt collection business by changing their names or methods.

Four, the public security organs to take threats, intimidation, fraud, kidnapping and other illegal means of debt collection criminal activities, we must resolutely punish according to law.

Up to now, there are no laws and regulations to adjust "debt collection companies" or "debt collection companies" to the scope of legal registration. On the contrary, in the new regulations in 2020, the collection behavior was further regulated: third-party interference was prohibited, and violent collection was prohibited.

Then why are there so many collection companies in society now? Moreover, these companies have their own business premises, expanding their business in office buildings with great fanfare, and some even go public.

The description of the business scope of such companies is also very interesting:

Most of these companies are engaged in collection business, but their collection methods are often not limited to "telephone notification", but there are more "unique" ways. This is because the collection of the company's operating income is directly linked to the recovery of the arrears. If it is only a "telephone notice", it is difficult to achieve the purpose of "paying back the money" by the debtor.

Enterprises and businessmen are profit-seeking. The reason why so many collection companies survive in the market has a lot to do with the rise of overdue credit business in recent years.

The rise of various online lending institutions has increased the scope of creditors, and the increasing base of credit card users has also increased the scale of overdue people.

The "Overview of Payment System in the Second Quarter of 2020" released by the Central Bank on August 20 shows that the accumulated overdue credit for half a year is 85.428 billion yuan, a record high.

Although there is no specific authoritative statistics on the amount of money in loans overdue, it will only be more than that of credit cards.

For creditors, compared with time-consuming legal procedures, they are more willing to pin their hopes on the collection company, even if they pay more capital costs.

Is this phenomenon a distortion of the financial market? Is there a more effective mechanism or way to find the balance of interests between creditors and debtors? From a legal point of view, is it suspected that the collection company uses a method other than "telephone notification" when asking the debtor to repay, which is beyond the "permitted business scope"? These are all issues worth discussing.

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Related questions and answers: Is the debt collection company legal? Debt collection companies are illegal. It is forbidden to operate debt collection companies. According to China's Lawyers Law and other laws, no one except lawyers may represent legal business for free. At present, there is no legal "debt collection company" in China. The licenses of these companies are generally intermediary company licenses, and the market supervision administration will not approve the debt collection business. According to the Law of People's Republic of China (PRC) on Public Security Administration Punishment and other relevant laws and regulations, it is not illegal for a dunning company to fail to dunning by threats, insults, intimidation and other means, which threatens the personal safety of others or interferes with their normal life. Article 42 of the People's Republic of China (PRC) Public Security Administration Punishment Law shall be detained for less than five days or fined less than five hundred yuan for any of the following acts; If the circumstances are serious, he shall be detained for not less than five days but not more than ten days, and may also be fined not more than 500 yuan: (1) writing threatening letters or threatening the personal safety of others by other means; (2) publicly insulting others or fabricating facts to slander others; (3) fabricating facts, falsely accusing and framing others, and attempting to subject others to criminal investigation or public security administration punishment; (4) Threatening, insulting, beating or retaliating against witnesses and their close relatives; (5) sending obscene, insulting, intimidating or other information for many times to interfere with the normal life of others; (six) voyeurism, sneak shots, eavesdropping, spreading the privacy of others. Related questions and answers: Is the debt collection company legal? Debt collection companies are illegal.

"At present, in China, most people know about debt collection companies, but few people know that debt collection companies are illegal." Prosecutor Joe said that "paying back debts" has been taken for granted by China people since ancient times. However, sometimes due to the debtor's disappearance or deliberate evasion of debts, it is difficult for creditors to repay their debts by themselves, and it is difficult to ask the court for help, which is costly, long-term and difficult to implement. Therefore, debt collection companies have a survival market. However, there is no legal basis for debt collection companies to undertake agency accounts to collect debts, and they lack the authority and administrative enforcement given by law. Some debt collection companies use threats, cajoling, extortion and other improper means to forcibly collect debts from debtors, even kidnap hostages and engage in illegal and criminal activities such as violence endangering personal safety. The existence of debt collection companies not only disturbs the normal production, work and life order of enterprises, institutions and citizens, but also endangers social order, encourages illegal debt collection activities underground and causes adverse effects in society.

The state has banned it three times. 1993, the State Administration for Industry and Commerce issued the Notice on Stopping the Registration of Debt Collection Companies Submitted by Public, Procuratorial, Legal and Ministry Organs, explicitly requiring industrial and commercial administrations at all levels to immediately stop the registration of debt collection companies and similar enterprises submitted by public, legal and Ministry organs; For those who have registered, the administrative authorities for industry and commerce at all levels shall notify them to immediately stop the "debt collection" business. 1995, the Ministry of Public Security and the State Administration for Industry and Commerce issued a notice prohibiting any unit or individual from setting up debt collection companies. The notice stipulates that the administrative department for industry and commerce shall clean up the registered companies and enterprises engaged in debt collection business and notify them to apply for cancellation or change of registration; If the notice is not implemented, the business license shall be revoked by the administrative department for industry and commerce. In 2000, the above two departments banned all kinds of debt collection companies again, and prohibited any unit or individual from setting up any form of debt collection companies. In 2002, the Trademark Office of the State Administration for Industry and Commerce adjusted the scope of trademark classification registration, and emerging service industries such as "detective companies" and "private bodyguards" appeared in the newly promulgated Division Table of Registration of Trademarks for Goods and Services, but debt collection companies were still prohibited.

Case study:

According to media reports, Zongmou, an employee who was expelled from a business company in Shanghai, thought that the company should pay some compensation, but was rejected because it was not recognized by the company. According to the advertisement published in the newspaper, Zongmou found a business investigation company named "Ruibida", signed a debt collection contract with it and paid a certain agency fee. The next day, many strong men from the company came to the trading company where Zongmou had worked before, and threatened the employees in the trading company not to work by force. Liu, the manager of the commercial company, was forced to write "voluntarily paying debts with cars" when he was beaten. The driver Li was also beaten by several people for refusing to hand over the car keys. Under the strict control of the police, 15 suspects suspected of provoking trouble were arrested. After investigation, the gang secretly engaged in illegal debt collection activities under the banner of a commercial investigation company, and used various illegal means such as violence, threats, intimidation, disrupting the company's operation and the normal life of others to collect debts. The agency fee charged is usually between 20% and 30%, and 15 suspects were convicted and sentenced for the crime of stirring up trouble.

Coincidentally, Zhou, a citizen of Hangzhou, was kidnapped and blackmailed by a debt collection company, instead of asking the debt collection company for help. Zhou mistakenly believed that his friend Ding Mou was a usurer and handed over 400,000 yuan raised everywhere to Ding Mou. However, by the agreed time limit, Ding only gave Zhou An a loan of 900,000 yuan, claiming that he was unable to pay back the money because of his own operational mistakes. When Zhou failed to collect debts, he contacted Han, who opened a debt collection company, and promised to pay him 30% of the remuneration. After days of stalking, Han and four men from his company hijacked Ding from his residential area to a car and beat him. One of the men also stabbed Ding in the leg with a dagger and threatened to break the tendons of his hands and feet. After more than 20 hours of inquiries, Han and other five people failed to collect debts. In a rage, the five people turned to Zhou and asked Zhou for a labor fee of 270,000 yuan. When Zhou refused to pay, five people took Zhou under control and forced him to write a debit note in a private house. Zhou fled to the police station to report the case on the pretext of taking money.

Statistics show that the proportion of overdue accounts receivable held by Chinese enterprises has been very high. From government agencies, enterprises and companies to ordinary natural persons, including migrant workers, there are all kinds of victims of debt default, and the annual losses caused by credit problems in China alone amount to more than 600 billion yuan. "Market demand determines market supply, which is a huge market demand and space for debt collection companies." According to conservative estimates by insiders, at least 654.38 million people in China are engaged in this shady debt collection occupation. "In the future, the number of people engaged in this high-profit occupation may exceed 1 10,000." These companies established in the name of "consultation" and "investigation" are actually debt collection companies with "debt collection" as their business. They often use long-term stalking, seizing valuables, threatening to make phone calls and other means, and some even use violent means to collect debts, even causing criminal crimes such as casualties and multi-person fights.

The state should ban debt collection companies.

"The state should ban debt collection companies and provide legal support for creditors." Prosecutor Sun Lingyan said that there are three proper ways to solve debt disputes: first, the parties themselves negotiate to solve them; Second, there are legal workers involved and solved through non-litigation methods; The third is to solve it through arbitration and litigation. The emergence of debt collection companies has impacted the formal legal service market. Most of the business activities of debt collection companies are abnormal and irregular, which may breed various problems and undermine the normal legal order and should be banned.

At the same time, the court should increase the criminal sanctions against Lao Lai. "At present, the judiciary has imposed severe sanctions on violent debt collection, but the criminal responsibility of' Lao Lai' is not enough." The increase of violent debt collection exposed the lack of honesty in China. Some debtors do not pay back the money and transfer their property to prevent the court from executing it. However, in practice, there are not many "Lao Lai" who accept legal punishment for "refusing to execute judgments and rulings". Therefore, the judicial organs need to increase the criminal punishment for such hooliganism, which will not only help to improve the integrity of the whole society, but also help to reduce the excessive behavior caused by unsuccessful debt collection.

In April, 2006, China Employment Training Technical Guidance Center of the Ministry of Labor and Social Security listed commercial bill collectors as a newly released occupation. Commercial collectors systematically study the relevant laws and regulations of commercial collection, internal account management, non-litigation practice methods, debtor's psychological characteristics diagnosis, etc., and help enterprises recover "accounts receivable" in time through professional and legal collection services. I hope this system will mature as soon as possible, so that more creditors can benefit.

To sum up, the existence of debt collection companies not only disturbs the normal production, work and life order of enterprises, institutions and citizens, but also endangers social order, encourages illegal debt collection activities underground and causes adverse effects in society. The state has successively issued three documents prohibiting and explicitly banning all kinds of debt collection companies, and prohibiting any unit or individual from setting up any form of debt collection companies. So debt collection companies are illegal. I hope the above content can help you. Lawyer Bian Xiao 365 reminds you that it is best to recover debts through professional lawyers.

Debt collection companies have exposed many social problems.

"Debt collection companies have exposed many social problems," the judge said. First, the legal consciousness is weak. On the one hand, the debtor unilaterally thinks that the debt is only a moral issue and does not violate the law, so he hides from hiding and even defaults on the debt by deception, which leads to escalating contradictions among creditors; On the other hand, creditors mistakenly believe that "paying back debts" is a matter of course. They feel that no matter what method is adopted, as long as the debtor can pay off debts, they will turn to debt collection companies without success, and they simply don't realize that it is also an illegal and criminal act to ask for legal debts by illegal means.

The second is to make huge profits. Under normal circumstances, the remuneration charged by debt collection companies is 20% to 30% of the creditor's rights, and even if the debt collection fails, creditors will be required to pay a certain amount of labor fees, and creditors will not dare not give it, which can be described as drought and flood protection. Therefore, driven by a high percentage of interest returns, debt collection companies are repeatedly banned, and people are constantly risking criminal punishment.

Third, there is a lack of effective legal remedies for creditor's rights and debts. When the debtor evaded, delayed and defaulted on his debts for a long time, the creditor could not find a timely, legal and effective legal way to protect his rights when his creditor's rights could not be realized. If you enter the judicial process, it will take a long operation cycle, which will easily make the debtor transfer assets, and eventually you may pay a certain litigation cost because you can't enforce it, which will discourage creditors. In desperation, creditors will choose debt collection companies with less investment, quick results and effective guarantees.

Fourth, citizens' personal privacy lacks a confidentiality mechanism. Sometimes creditors can't find the debtor, but debt collection companies can accurately find and control the debtor, because citizens' personal privacy information is leaked to criminals at will, which is also a side factor that leads debt collection companies to successfully complete their "business".

Fifth, the lack of credit system. At present, there is no personal credit file in China, and debtors' non-repayment will not be recorded, which will not have a particularly great impact on their future study, life, work, production and operation, which makes the social cost of debtors' arrears or even default very low, thus boosting the confidence of these debtors with bad credit.

Debt collection companies often lead to criminal offences.

Lawyers told reporters that the procedures for debt collection companies to collect debts are usually: finding the debtor-locking the debtor's scope of activities-controlling the debtor-urging the debtor to pay off debts-and obtaining the agreed remuneration from creditors. The success of debt collection companies depends on two means: psychological threat and physical threat. Under normal circumstances, debt collection companies mostly collect debts through personal threats, and personal threats can easily lead to criminal offences. Judging from the debt collection gangs that have been found to constitute crimes, debt collection companies have the following characteristics in causing criminal offences.

The composition of debt collectors is very complicated. The members of debt collection companies are complex, and most of them are unemployed or released from prison. Illegal means of debt collection. After signing the entrustment agreement with creditors, members of debt collection companies use long-term stalking, seizing valuables, threatening by telephone and other means, and some even use violence or threats to force the parties to repay their debts. In short, in order to achieve their goals, "they will try all kinds of illegal means". Obtain illegal interests and plunder. For debtors, members of debt collection companies usually beg for money by improper means such as importuning, language threats and even violence; For the creditors who entrust them, if they can't recover their debts or get the corresponding commission, they will find an excuse to pay the investigation fee, travel expenses and other demands for money. The process of debt collection may involve various criminal offences. Members of debt collection companies usually deliberately make trouble in the name of debt collection. Their illegal acts by violent means may violate many crimes: for example, in the process of debt collection, they quarreled with debtors, so they gathered to fight and were suspected of gathering people to fight; Or make trouble with the debtor company at will, disturb the normal production and operation order, and be suspected of making trouble; Others, because they didn't get the debt, they couldn't get the "remuneration" from the client, and in turn extorted the "labor fee" from the debtor, which was suspected of extortion; In the process of begging, the debtor refused, and he was dissatisfied, deliberately hurting the debtor's body and retaliating, suspected of intentional injury; In order to force the debtor to repay the debt as soon as possible, he illegally controlled the debtor's personal freedom for a long time and was suspected of illegal detention.