Advertisement

CAN A NON BANK FREEZE ONE ACCOUNT FOR A LOAN TAKEN?

96 Views  ⚫  Asked 3 Months Ago
asked on Oct 11, 2019 at 10:46
by  
Can a non bank company has the power to freeze one bank account?
A local credit company TCM through the debt agency threatened that they will freeze the bank account.
The loan was taken in 2007 and another restructure sum owed in 2010 after the borrower's lost his job in 2009. He could not continue paying due to lost of income. It has now been dragged until now. Beside this he also owed credit card outstanding. And has since gone through AKPK for all financial and bank debt restructuring since 2016. 

Does the credit company has the power to freeze one personal bank account? This owing does not come under the banking act. As it is a private entity that does not fall under the purview of Bank Negara.
0 had this question
Me Too
0 favorites
Favorite
[ share ]
3 Answers

answered on Oct 11, 2019 at 11:31
by  
edited Oct 11, 2019 at 11:45
by   jeff005
This owing does not come under the banking act. As it is a private entity that does not fall under the purview of Bank Negara.
The H/P creditor have to sue for the defaulted debt via civil court action.
Once a defaulter is made a Judgement Debtor, The Judgement Creditor (TCM) can apply in court for a Garnishment Order. It can done on banking accounts national wide. Irregardless of whether it is feasible for the JC to do it. The legal option is there.

Take note that a Garnishee Order is NOT  restricted to banking accounts only as often discussed in this forum.

does not come under the banking act.
does not fall under the purview of Bank Negara.
All legal money lending entities, including Licensed Money Lenders falls under the purview of BNM. H/P and Equipment Acquisition Assets Leasing companies comes under additional Hire Purchase Act.
0 found this helpful
Helpful

answered on Oct 11, 2019 at 13:22
by  
jeff005 is a bitter old man 
His wife left him and he escaped to Thailand 
He spends his days answering on lawyerment 
When he has time he f.u.c..ks kathoeys like a true gent 
He says he works in Thailand, 
But everyone knows his true purpose is to hold little boys hands! 
jeff005 edits his posts to hide his mistake 
with a forked tongue as cruel as a snake 
63 years old with nothing to show for it 
tick-tock jeff your funeral will be a hit! 
oh i almost forget nobody will attend 
because you don't even have a single friend!
0 found this helpful
Helpful

answered on Oct 18, 2019 at 09:34
by  
Jeff005,
Thanks for your reply. 
Does limitation act applies if the default of the loan was in 2010?
0 found this helpful
Helpful


You must log in to answer this question.

Not the answer you're looking for? Browse other questions by category or search to find answers.