One of the most frequently shared and discussed claims on social networks in recent days is about the automatic cancellation of credit debts to banks of individuals admitted to psychiatric hospitals. Presented by many users as a real way out, this information has managed to attract the attention of a wide audience in a short period. However, lawyers and banking experts state that such claims have no legal basis and are completely misunderstood. We have investigated the harsh realities of the topic, under what conditions the law grants concessions, and the background of social media trends.
Medianews.az reports that Vuqar Oruc, chairman of the board of AQC and an economist-expert, told Demokrat.az that there is no official legal basis for this matter.
"There is no such rule or law. An exception can only arise if, when taking out the credit, the citizen signed an insurance contract covering health insurance or other risks together with the bank. If such cases are provided for in that contract, then the insurance company may assume the payment of the debt due to the borrower's loss of repayment ability. But a later change in the citizen’s mental health does not mean the automatic cancellation of their debt to the bank. The information being spread on this subject does not reflect the truth. If no insurance document was signed when the credit was taken out and the risks were not insured, there can be no talk at all about the cancellation of that debt," he added.
He stated that the credit obligation was voluntarily accepted by the citizen and has legal force:
"In such cases, if a serious change occurs in the citizen’s health, a guardian may be appointed, and the bank then resolves subsequent legal and financial issues through that guardian. At the same time, the bank may, in exceptional cases, extend the payment deadline or apply certain concessions based on its internal decision. In some cases, an individual decision may even be made to cancel the debt. However, this is an issue within the bank’s own authority and is not considered an automatic legal norm. Therefore, information circulating about the automatic cancellation of the bank credit debt due to changes in the citizen’s mental health is not legally correct."