BajaBlanca
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interest on a debt in Mexico .... legally ?
can anyone advise on whether there is a legal limit on a debt interest here in Mexico ???
A friend has a 5 year debt that started out at 16,500K and now is at $36k ???? and the attorneys are alleging that it is 10% a month interest
...YIKES.
just wondering if anyone can shed some light.
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DENNIS
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Apparently not. The "Casas de Cambio" makea lot of their money [legal income anyway] by doing high interest, secured loans in their neighborhoods.
It's a regular function of the economy here since the banks won't make these loans.
The interest rates are staggering, but so are the bank rates when someone borrows from them.
Probably why people don't get car loans here and when they do, it's for short periods of time.
Smart thing to do is establish the rates before taking the loan.
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J.P.
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| Quote: | Originally posted by DENNIS
Apparently not. The "Casas de Cambio" makea lot of their money [legal income anyway] by doing high interest, secured loans in their neighborhoods.
It's a regular function of the economy here since the banks won't make these loans.
The interest rates are staggering, but so are the bank rates when someone borrows from them.
Probably why people don't get car loans here and when they do, it's for short periods of time.
Smart thing to do is establish the rates before taking the loan. [/quot
I know a Mexican Citizen that recived a rather large fine and they let him make aragenments to pay it out He told me after paying on the fine for
several years He now owes more on the Interest than the original fine was. |
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BajaBlanca
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thanks amigos ....
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greengoes
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Was the loan made through.........
Goldman Sachs Casa de Bolsa
lo siento.....couldn't resist.
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Bajatripper
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I can remember a radio ad a few years ago that was pushing a loan program at Soriana's. At the end of the ad was a guy talking about a million miles
an hour (the small print), in which the terms of the loan were given; among them, an annual interest rate of 141%. That seems like a loan designed to
ever be paid off.
Another side of interest rates down here: I'm often approached by people pushing credit cards at one of the local malls here in La Paz. All I ever
have to do to cut the sales pitch short is give them the interest rate of one of my US-based credit cards. They just walk away after hearing "8.9%."
[Edited on 2-14-2012 by Bajatripper]
There most certainly is but one side to every story: the TRUTH. Variations of it are nothing but lies.
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Dave
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| Quote: | Originally posted by BajaBlanca
can anyone advise on whether there is a legal limit on a debt interest here in Mexico ???
A friend has a 5 year debt that started out at 16,500K and now is at $36k ???? and the attorneys are alleging that it is 10% a month interest
...YIKES.
just wondering if anyone can shed some light. |
Tell your friend not to worry. I've won judgements in Mexico and have never been able to collect a single centavo. 
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BajaBlanca
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