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Ceturtdiena 17.01.2019 | Name days: Tenis, Dravis
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Residents prefer enforcing debts quickly even though its costs more money to do

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RU59% of Latvia’s residents prefer quick and efficient debt-enforcement processes even though they are usually more expensive, according to results of a study performed by SKDS in cooperation with Latvian Sworn Bailiffs Council.

85% of respondents believe debt-enforcement costs should be covered by the person who is unwilling to pay their debts voluntarily.

Looking at different debt-enforcement processes, most residents (59%) prefer a quick, efficient, as wells a more expensive, enforcement process organized in accordance with a ruling of a court.

Only 5% of respondents prefer an ineffective, lengthy and cheaper enforcement process. Most of such enforcement processes remain only on paper and are not complied with.

«It is worth noting that most often a quicker and more effective debt-enforcement process is used by residents who came in contact with a sworn bailiff as a person enforcing a debt (81%), whereas residents who came in contact with a sworn bailiff as the party from which debts were being enforced more often prefer a lengthy and less effective process (17%),» says chairman of Latvian Sworn Bailiffs Council Andris Spore.

When asked who should cover debt-enforcement costs, 85% of respondents said it is the responsibility of the one who refuses to pay debts voluntarily.

Representatives of the survey note that debt-collection from persons who have not paid their debts voluntarily is not performed in Latvia at the expense of taxpayers – all costs are covered by the person in debt. This kind of approach is used in Latvia and most EU member states, including Estonia, Lithuania, Poland, France, Belgium, Netherlands and other countries.

«Only 3% of residents believe debt-enforcement costs should be covered by all taxpayers from state budget funds. With that, we can conclude that most Latvian residents would not support restoration of the enforcement order that was abolished 15 years ago, when enforcement of rulings was performed by bailiffs as employees of Justice Ministry’s Bailiffs Department and whose wages were paid from the state budget. At the time, bailiffs were accused of poor work quality and high corruption risks due to low wages and low-qualification requirements for the job,» says Latvian Sworn Bailiffs Council.


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