Bill: Rejected Delinquent Debt Processing Act

[SimplyMadi]

A
BILL
To

Stimulate the Economy​

The people of the Commonwealth of Redmont, through their elected Representatives and Senators in the Congress and the force of law ordained to that Congress by the people through the constitution, do hereby enact the following provisions into law:

1 - Short Title and Enactment
(1) This Act may be cited as the “Delinquent Debt Processing Act”.
(2) This Act shall be enacted immediately upon its signage.
(3) Authored by Vice President hugebob23456

2 - Reasons
(1) As it currently stands there is great risk in loaning out money which causes wealth to be centralized among a select few. Alleviating risk will encourage the wealthy to loan out their money, stimulating business.

3 - Terms
(1) Should an individual’s debt become delinquent, the lender may open a DEC ticket to notify the Government of such debt and the Government must pay the lender the entirety of the remaining unpaid principal on the loan within 24 hours. The Government will not pay any of the loan’s interest.
(2) Debt will be considered delinquent if an individual fails to make mutually agreed upon payments more than 72 hours after it is due.
(3) When the Government pays off a debtor’s debt, the Government shall have the power to repossess money and assets from the debtor worth up to the amount the Government paid the lender. It is possible that the Government pays the lender less than they can seize from the debtor, and it is possible that the Government pays the lender more than can be seized from the debtor.
(4) Any loans with interest rates in excess of 100% per month wherein the lender has less than 24 hours of playtime are not protected by the terms of this act to prevent exploitation of new players.
(5) In the event that one or more individuals tailor a deal with the intent to defraud the Government for profit, they will be prosecuted for Fraud by the State.

 

[bubbarc]

Nay, we already have something similar under the debt recovery amendment october 2020 which does not allocate government funds unless absolutely needed, this creates two contradictory systems which could become confusing of which one to use

 

[SimplyMadi]

Since I mistakenly voted nay, I'd like to clarify that I am voting aye on this bill. Thank you

 

[End]

Nay - this bill is dangerous. Creditors will neglect the need for collateral when giving loans and the government will foot the bill for it. Heaps of loopholes to scam the government. Additionally, there is already a bill in place which allows someone to sue and liquidate assets to make up for money owed.