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Student loan update: Cancelling defaulters IDs illegal

Student loan update: Cancelling defaulters IDs illegal

26 มีนาคม 2559

The interior permanent secretary has overruled his counterpart in the finance ministry, saying the law does not allow cancelling a Thai person's ID, even if they have defaulted on their student loan.

The interior permanent secretary has overruled his counterpart in the finance ministry, saying the law does not allow cancelling a Thai person's ID, even if they have defaulted on their student loan.

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Tuesday update

No ID-card plan for student loan debtors hits legal snag

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A proposal that student loan defaulters' national identity cards be cancelled or denied renewal until they pay up is not allowed under current laws, according to permanent secretary for the interior Krissada Boonrat.

He said there is no law providing for the cancellation of a Thai person's ID card. The Interior Ministry can refuse an ID card only for people not born in Thailand, he said.

Mr Krissada was responding to a proposal by finance permanent secretary Somchai Sujjapongse that the Interior Ministry refuse to renew ID cards for Student Loan Fund defaulters and their employers should automatically deduct money from their salary to repay the revolving fund.

He had yet to see a detailed outline of the proposal, so could not comment further.

Tuanjai Deetes, of the National Human Rights Commission, said the proposal concerns nationality and people's legal rights, which means it is an unlikely prospect.

The United Nations Universal Declaration of Human Rights says a country must protect its citizens, she added. "Personally, I think there should be other measures to cope with this loan repayment issue.

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Student loan update: Cancelling defaulters IDs illegal

Finance permanent secretary Somchai Sujjapongse (back row, centre) displays the agreement he signed with 36 organisations from the public and private sectors on Friday. Under the programme, the organisations will deduct repayments from the salaries of employees who owe money to the Student Loan Fund and remit the funds to the ministry. KRIT PROMSAKA NA SAKOLNAKORN

Student loan defaulters may lose their IDs

Wichit Chantanusornsiri

People who fail to repay debts owed to the Student Loan Fund (SLF) will be punished by having their identification cards deemed null and void under a Finance Ministry proposal.

Permanent secretary of finance Somchai Sujjapongse said under the proposal, loan defaulters' identification cards would not be renewed. The ministry submitted the recommendation to the Interior Ministry which oversees civil registration and ID card issuance.

The Interior Ministry is checking legal aspects to see if the move would violate laws and the constitution.

Mr Somchai said the proposed action against SLF debtors would focus on those who have jobs but have failed to repay their debts.

The Finance Ministry has also sought cooperation from the Social Security Office to check the lists of SLF debtors who are employed.

The move is among the state's attempts to deal with increasing accumulated debts incurred by students who sought loans to finance their university fees  but did not repay the debts despite the fact that they have graduated and gained employment.

The SLF said there are more than four million students with loans totalling about 470 billion baht. The overdue debts from two million debtors add up to 55 billion baht. About 800,000 of them with unpaid debts of 36 billion baht face lawsuits.

The Finance Ministry signed a pact yesterday with 36 organisations to deduct money from salaries of SLF debtors. Mr Somchai said installment payments for a 100,000-baht debt were only 100 baht a month.

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