In Serbia, millions fear debt collectors

In Serbia, millions fear debt collectors

With the economic crisis leaving many unable to pay bills, Serbian citizens claim that new debt collection practices are an invasive and unconstitutional abuse of authority.

Serbia is facing a severe economic crisis and the unemployment rate has reached nearly 25 percent. Some 1.7 million employees earn a monthly average of 360 euros and spend nearly 80 percent of that sum on food and communal bills — heating, electricity and telephone.

The debt now amounts to tens of millions of euros.

In late May, companies began hiring debt collectors to recoup their losses. The activity ramped up in August, and as many as 2 million citizens may have reason to fear if a debt collector comes knocking on their door.

Though provisions of the Law on Execution and Security states that the use of private executors is legal, some experts and citizens believe that the law is not in compliance with the constitution. A greater number think that the law has given private executors too much authority.

SETimes – 25.08.2012

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