Financial expert Bui Kien Thanh said that in the United States, those who are late or fail to pay their credit card debt are excluded from a majority of economic activities, so no one wants to fall into this situation. The recovery of credit card debt is governed by laws that ensure fairness for both creditors and debtors. 11-YEAR CREDIT CARD DEBT IS EXTREMELY RARE The Saigon Times: The case of a commercial bank sending a notice to recover a bad debt of VND8.5 million with accumulated principal, interest, fees and penalties amounting to a whopping over VND8.8 billion after 11 years has stirred up controversy. However, if we assume this is a legal scenario: a customer has owed credit card debt for years, resulting in debt thousands of times higher than principal. What is your view? Bui Kien Thanh: Credit card debt is very common in countries around the world, especially in developed countries with a strong consumer credit sector. The regulations on interest rates for overdue credit card debt vary. For example, civil law in Vietnam restricts lending transactions with interest rates above 20% per annum, and the interest rate for overdue debt does not exceed 30% per […]
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