Debt collection agencies are illegal.

Debt collection companies undertake debt collection under power of attorney, which has no legal basis and lacks the authority and administrative coercion granted by law. Some debt collection companies use threats, intimidation, coaxing, extortion and other improper means to forcibly collect money from debtors. Debts are used to pay off bank fraud, and even kidnap hostages and engage in illegal and criminal activities such as violent endangerment of personal safety in order to collect high rewards. The existence of debt collection companies not only disrupts the normal production, work and life order of enterprises, institutions and citizens, endangers social security, but also encourages underground illegal debt collection activities, causing adverse effects on society.

Companies engaged in debt collection business shall be liquidated and notified to apply for cancellation or registration change; if they fail to comply with this notice, their business licenses shall be revoked by the industrial and commercial administration authorities. The Trademark Office of the State Administration for Industry and Commerce has adjusted the scope of trademark classification registration. Emerging service industries such as "detective companies" and "private bodyguards" have appeared in the newly promulgated "Goods and Service Trademark Registration Classification Table", but debt collection companies are still prohibited. List. Bo Shu

Article 272 of the "Criminal Law of the People's Republic of China" Article 272: Employees of a company, enterprise or other unit who take advantage of their position to misappropriate the funds of the unit for personal use Anyone who uses or lends money to others and the amount is relatively large and fails to repay it for more than three months, or if the amount is less than three months but the amount is relatively large for profit-making activities or illegal activities, shall be sentenced to fixed-term imprisonment of not more than three years or a sensitive sentence. Anyone who embezzles a huge amount of the unit's funds shall be sentenced to fixed-term imprisonment of not less than three years but not more than seven years; if the amount is particularly huge, he shall be sentenced to fixed-term imprisonment of not less than seven years.

Article 238 Whoever illegally detains others or deprives others of their personal freedom by other means shall be sentenced to fixed-term imprisonment of not more than three years, criminal detention, public surveillance, or deprivation of political rights.

Article 274: Whoever extorts public or private property, the amount of which is relatively large, or the amount of extortion is repeated, shall be sentenced to fixed-term imprisonment of not more than three years, criminal detention or public surveillance, and shall also or solely be fined; if the amount is huge or If there are other serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than three years and not more than ten years, and shall also be fined; if the amount is particularly huge or there are other particularly serious circumstances, he shall be sentenced to fixed-term imprisonment of not less than ten years and not less than a fine.