Two debt collectors drafting appeal against Justice Ministry
Kyiv, February 26 (Interfax-Ukraine) – Kyiv-based Independent Debt Collecting Agency Ltd. is drafting an appeal against the Ukrainian Justice Ministry on the protection of its honor, dignity and business reputation, Agency Director General Kyrylo Tsypryvuz said at a press conference at the Interfax-Ukraine news agency on Thursday.
Director General of Kyiv-based X-Point Debt Collection Company Ltd. Roman Kryvosheyev, in turn, said that his company would be a co-plaintiff in this case.
"We are working in line with the current law as is confirmed by our holding a state registration certificate," Tsypryvuz said.
He said that Independent Debt Collecting Agency would use any methods to fight irresponsible statements and actions made by ministry officials that undermine the reputation of debt collecting companies.
"Work is being conducted only with those debtors who apply to the terms of agreements between them and their bank. We keep an eye on this," Tsypryvuz said.
Moreover, he said that debt collectors have such products that help restructure the debts of borrowers.
"As a result, we can even ignore part of the debt," he said.
Kryvosheyev, in turn, said that the forced removal of debt collecting agencies from the market could double overdue payments on loans.
"According to various reports, the share of overdue payments [on loans] is 15% to 30%. This figure will at least double without debt collectors," he said.
As reported, Justice Minister Mykola Onischuk said that Ukraine banks have no right to inform debt collectors about the credit portfolios of borrowers without their preliminary consent.
He said that Ukrainian laws do not officially interpret the term "debt collecting activity," and "this kind of activity is by no means licensed in Ukraine."
Onischuk said that debt collecting agencies could operate in Ukraine if they do not exceed a certain legal framework.