If your domestic helper falls in with loan sharks, it will create a stressful situation for your entire family. From firsthand experiences of Hong Kong natives, the following is what you need to know and how to safeguard your family and yourself.
Understanding the Situation
Domestic helpers sometimes borrow money through informal channels, often with high interest rates. Classic scenarios include:
- Borrowing on behalf of another who absconds with half of it
- “Piggybacking” loans with multiple helpers sharing the profits but only one name on the paperwork
- Incurring heavy debts (cases vary from HK$17,000 to HK$40,000)
What to Expect from Loan Sharks
Phone Harassment:
- Constant calls to your home phone number
- Harassment voicemails
- Home visits threatening
Personal Visits:
- Intimidators may visit your home
- Typically amounts to verbal intimidation and loud arguments
- While physical violence is rare, the presence itself is intimidating, especially to children
How to Protect Your Household
Immediate Actions
- Establish clear boundaries
- Notify the loan sharks to stop calling your house and have all communication go through your helper’s own phone number
- Save threatening phone messages as evidence
- Train your assistant never to open the door for strangers, especially when they are with the children alone
- Inform building security
- Alert your building management about the situation
- Ask them to prevent unauthorized visitors from reaching your apartment
- Document everything
- Record names, phone numbers, and details of the debt
- Note dates and details of all interactions
- This information can be useful if the situation escalates
Dealing with Persistent Harassment
Calls:
- Consider using call-blocking services (e.g., PCCW’s “Block the Blocker”)
- Repeatedly inform callers that you were not consulted regarding the loan and are not responsible
- If they persist in calling, tell them you will report the harassment to the police
Home Visits:
- Never allow loan sharks into your home under any circumstances
- If confronted by children, tell them in simple terms that you’re busy and will call the police if they don’t leave
- Building management is at times more effective than the police in scaring off unwanted callers
Legal Considerations and Law Enforcement Response
Despite what appears to be unwillingness on the part of the authorities, you have legal rights when it comes to harassment:
- Police Reporting: Officers will try to discourage reporting initially (“You’ll have to go down to the station for hours. there’s a lot of questions and paper work”), but repeated threats constitute harassment and must be reported officially
- In-Person Reporting: Turning up in person at the police station rather than phoning has a higher likelihood of having your case be taken seriously
- Documenting Threats: Written-down threats are taken seriously by Hong Kong police, though continued verbal harassment is destined to be given lower priority
- Legal Boundaries: Be aware that loan sharks operate within the boundaries of the law—a debt can be collected, but harassment and intimidation methods cannot
- Your Legal Obligations: You have no legal obligation as an employer to be responsible for your assistant’s personal loan
- Privacy Legislation: Loan sharks have no legal right to enter your premises or harass you in your home
Long-term Solutions
If your helper’s contract expires soon:
- Make the most of this lucky timing and let the contract run off naturally
- Tell the truth if asked for a reference by a prospective employer
If the contract has considerable time left:
- A few employers prefer to end the contract and compensate one month in lieu
- This gets the helper out of your house and supplies proof to debt collectors that she no longer lives there
Preventive Measures for the Future
When hiring new domestic helpers:
- Establish clear rules about not sharing your home phone number
- Be aware that loan sharks often require the employer’s landline as part of the loan approval process
- Understand that helpers may coordinate with loan sharks during their days off
Final Thoughts
While most of the loan shark strategies are verbal rather than physical, the situation might still place considerable strain on your family. Taking a firm but reasonable stand, documenting all the encounters, and involving the authorities when necessary can help to keep matters in hand until the day of your assistant’s departure or the payment resolution.Hong Kong has multiple legitimate loan providers, including loan matchmaking platforms like ROSHI. If your helper needs a loan, directing them to such marketplaces with vetted, legal lenders is recommended.
