The approach of increasing the number of collateral loan application to apply for negotiating the debt settlement in the government saving bank, Region 4 case study

Abstract

This study seeks to investigate the causes and provide solutions in order to increase the number of applicants for the debt settlement negotiation program before filing a lawsuit of Government Savings Bank (GSB) region 4. The questionnaires were delivered to 88 targeted debtors, together with in-depth interview with 41 people of executives, staff members of the debt control and management center, and collateral loan debtors who engaged in the program. Statistics used in this paper include percentage, mean, and standard deviation. The results showed that the primary reasons why debtors chose not to engage in the program were lacking of understanding about debt settlement, the debt settlement procedure, as well as their personal situation. The GSB was advised to increase program publicity by highlighting its advantages and successes in order to gain debtor interest in taking part in the program.