No One can be Imprisoned for Non-Payment of Debt

Perhaps you’ve heard someone making threats to file criminal cases against debtors who fail to pay. On the other hand, perhaps you’ve heard about the rule that no one can be imprisoned simply because of a debt in the Philippines. The prohibition against imprisonment for a debt is a basic right enshrined in no less than the Philippine Constitution. Article III of the Constitution reads:

“No person shall be imprisoned for debt or non-payment of a poll tax.”

No One can be Imprisoned for Debt in the Philippines


The Supreme Court explained the rationale for this prohibition in the case of Lozano vs. Martinez:

. . . Viewed in its historical context, the constitutional prohibition against imprisonment for debt is a safeguard that evolved gradually during the early part of the nineteenth century in the various states of the American Union as a result of the people’s revulsion at the cruel and inhumane practice, sanctioned by common law, which permitted creditors to cause the incarceration of debtors who could not pay their debts. At common law, money judgments arising from actions for the recovery of a debt or for damages from breach of a contract could be enforced against the person or body of the debtor by writ of capias ad satisfaciendum. By means of this writ, a debtor could be seized and imprisoned at the instance of the creditor until he makes the satisfaction awarded. As a consequence of the popular ground swell against such a barbarous practice, provisions forbidding imprisonment for debt came to be generally enshrined in the constitutions of various states of the Union.

This humanitarian provision was transported to our shores by the Americans at the turn of the century and embodied in our organic laws. Later, our fundamental law outlawed not only imprisonment for debt, but also the infamous practice, native to our shore, of throwing people in jail for non-payment of the cedula or poll tax.

In other words, no one can be compelled to pay a debt under pain of criminal sanctions (estafa is a different matter). No one can be imprisoned for non-payment of debt. The remedy of the creditor is civil in nature.

Let’s examine some laws that were questioned, albeit unsuccessfully, on the ground that these laws violate the constitutional prohibition against non-imprisonment for debt.


Bouncing Checks Law (BP 22) does not punish the non-payment of an obligation. The law is not designed to coerce a debtor to pay his debt. The thrust of the law is to prohibit, under pain of penal sanctions, the making of worthless checks and putting them in circulation. Checks have become widely accepted as a medium of payment in trade and commerce, and if the confidence in checks is shaken,  the usefulness of checks as currency substitutes would be greatly diminished. When the question was resolved in 1986, it had been reported that the approximate value of bouncing checks per day was close to 200 Million Pesos, thereafter averaging between P50 to P80 Million a day. (Lozano vs. Martinez)


The same argument was raised against the Trust Receipts Law (Presidential Decree No. 115). The passage of P.D. 115 is a declaration by the legislative authority that, as a matter of public policy, the failure of a person to turn over the proceeds of the sale of goods covered by a trust receipt (or to return said goods if not sold) is a public nuisance to be abated by the imposition of penal sanctions.

It punishes the dishonesty and abuse of confidence in the handling of money or goods to the prejudice of another. The law does not seek to enforce payment of a loan. (Tiomico vs. CA)


Under the Access Devices Regulation Act of 1998 (Republic Act No. 8484), anyone who obtains “money or anything of value through the use of an access device, with intent to defraud or with intent to gain and fleeing thereafter” is criminally liable.

R.A. 8484 provides for a presumption: a cardholder who abandons or surreptitiously leaves the place of employment, business or residence stated in his application or credit card, without informing the credit card company of the place where he could actually be found, if at the time of such abandonment or surreptitious leaving, the outstanding and unpaid balance is past due for at least 90 days and is more than P10,000, shall be prima facie presumed to have used his credit card with intent to defraud.” We are still waiting for the test case on this.


348 thoughts on “No One can be Imprisoned for Non-Payment of Debt

  1. Avatarpagoda

    Hi. My father is a businessman who contracted debts in his name instead of through the company. Should he pass away before the debts are paid, what happens to the obligation should his estate prove insufficient? Will his debts automatically be assigned to us (his children)? What legal steps/options could be taken? Thank you.

      1. AvatarNeliet

        Hello, would like to ask my mother passed away and still had debt with the bank. Before that she was ill and didnt pay the debt so the bank let her signed a compromise agreement. She died last January and now the bank was seeking payments with me as her daughter including with the co-makers. Am i reliable to pay and so the co-makers? Please reply i will appreciate it.


        1. AvatarFRED

          The co-maker may be forced/obliged to pay if he/she actually signed a legal documents but not you just being a daughter.

      2. AvatarMichael Louie Mañago

        my father died in 2005 and one of his friend asked for a payment thru an annotation written below the tax declaration document. the annotation asking for payment has no document as evidence for a debt even he (friend) admitted that he has no document supporting such a debt. now we are being harassed with this guy. what will we do to put a stop and end of his foolishness?

  2. Avatardxtrdaquarius

    Good day!

    I have a walk-in client who used to have GLOBE text PLAN. He was not able to settle his account which reached to the point his plan is cut. He has a total bill of Php 9,000.00 for 4 months + Php 10,000.00 breaching of contract fee.

    Any advise for him?

    Thank you…

    1. AvatarMaria

      Hi sir.. Good morning… Ask ko LNG point sana… Hope you can advise me on this. My mom borrowed money from a cooperative under my name.. I thought wala na utang since it was offseted as investment. Only to find out name lomobo name as interest since 2008. Wala ng capacity to pay for it. May utang then akong binayaran as ibang pang credit union nya. Please help

    2. AvatarAlejandro

      hi my sister makes me a co maker of her debt on a capital before she goes on hongkong for her work what is the best to do to clean my name on that debt?my sister have gone and we dont know where she goes or where is tha address of her?any advise please? thanks!

    3. AvatarRichard

      My connection po ba ang mga network providers sa mga bank? Say if I have pending obligation sa Network will it reflect in my banking transactions?

    4. AvatarTina

      Good day . Can you advise me what to do . Cause my husband got a loan on a company name homw credit and apparently his job was ended and now ee habe no money to pay . And the company were calling and texting us that he is blakclisted to any clearance . Is this possible ? Tia

  3. Avatarjc32569

    Is their a law which stipulates that a permanent instructor in a State Colleges and Universities who have not finished their masteral degree will be downgraded to a temporary or probationary instructor?

    1. Avatarmariestelle

      we had a small business early this year but due to my husbands health condition we stopped and so a friend took over letting her use the entire place and all the things inside. after her three months of operation we decided to pull out our things so we asked for clearance from the lessor if can pull out our things. the lessor approved and so we moved out. this friend sued us for a month ” accrued rental” when in fact we were already cleared by the lessor. she filed a case at the barangay level. does she has the basis for doing so?
      are we forced to pay the sum of money we dont even owe?

  4. AvatarHowardChan

    Right. I guess that constitutional provision is one of the most misunderstood provision. But on the other hand, The loan business industry in the country is a loose one. So in reality, a lot of people do not go to court to settle their debt. Most loans are incurred via the “5-6” system anyway.

    For more discussion on Philippine Jurisprudence, feel free to visit

  5. Avatararion778

    Good day!

    i just want to know what would be the sanction of breaching of contract of lessor vs. lesse?

    a lesse has almost php75,000 of debt to lessor and they transfer to another house without noticing the lessor..


  6. Avatarinpain

    Hi Sir,

    I am an ofw in uae and since i lost my job i left the country at umuwi dito sa pinas kasi makukulong ka sa uae if 2 monthly di ka nakapay ng due mo. my question is makakasuhan o makukulong po ba ako dito sa pinas since yung debt ko nasa uae? all applications for credit cards and loans doon ay pinapaissue kami ng check, makukulong po ba ako nila d2?please i need your advice.

  7. Avatarinpain

    Please give us advice since there are thousands of OFWs from UAE having the same problem and being threatened and harrased by these collecting agencies. We know we have obligation but we dont have a choice since we lost our jobs and now it we have only budget for our families and other basic needs. please help us

    1. AvatarCristy

      Same thing happened to me. My husband borrowed P35,000 from a Lending Company to pay for his placement and processing fee to the recruitment agency. Unfortunately, the company was not able to give salaries on time since he was deployed there last April 30, 2015. Now, the Lending Company personnel and their legal staff whose names are just nicknames and they dont give e their full name when I ask them who they are. They are threatening me that they will file a BP 22 estafa case against me since I am the co-borrower and co-signatory for the account. I know that I have to pay and willing to pay but I am requesting them to give me consideration to restructure my account and pay it in 6 months term. They are forcing me to pay P10,000 on or before March 31, 2016. But I pleaded to make the payment on April 15, 2016 because I still need to look fot the P10,000.00. I am so much bothered now, cant sleep and cant eat well because of what they are doing. They are also calling and texting my reference contact persons and giving me shame in this situation telling them they are not able to contact me. Please help me and any advise in my case. Thanks a lot.

          1. Avatarjo

            ako din po eh posible ba na makulong tayo ako ngbbgay kahit l malaki kita 3000-5000 a month pero la cla konsiderasyon dahil maliit bgay ko lalo nalaki

      1. Avatarruel

        same din nian s husband ko kahit ngbabayd kmi..ung 75000 nging 220k sobrang tubo..kinompyut nmin ang interest rate 109%yearly n dpt 8% lng..mgfile daw po cl ng estafa case..laban s amin ano b dpt gawin iisang..please advise ngpdl n cl ng dishonor en final demand letter..tanx

  8. Avatarbull

    Gusto ko lang po magtanong kung tama ba yung ginagawa ng isang collection agency. Pang huling bayad ko na lang sa credit card dapat nung March 2010 kaya lang di kami naka pagbayad sa dahilan na di pa ako naka pagtrabaho muli mula nun na retrench mula 2009, pero kahit paano nakaka bayad naman kahit nahuhuli sa petsa. Nitong marso hanggang hunyo medyo nahirapan lang talaga, pero naka bayad kami ng limang libo sa kanila at natira yun mahigit isang libo na interest daw yun sa limang libo.

    Ngayon sinabi na namin na magbabayad kami bago matapos itong buwan ng hunyo, pero napakasama ng mga salita na binitawan samin ng collection agency sa telepono, keso sasampahan daw kami ng kaso na breach of contract; ipapapublish daw nila ang pangalan namin at marami pang ma-aanghang salita. Alam namin na nahuli itong pang huling at final na bayad pero sa ulit, nakapagbayad din ng mahigit sa kalahati na hinihingi nila. Tama ba itong ginagawa ng collection agency at kung hindi, saan kami puede dumog para makapag-reklamo.

    Maraming salamat po.

      1. AvatarMonette

        If the so-called “law office” or collection agency proposed options for payment, pero hindi mo pa rin kaya yung payment options na binigay nila tapos you proposed the amount na kaya mo ihulog sa kanila monthly, can they still pursue litigation? Kahit nakikipag usap ka na pero ayaw nila pumayag sa amount na kaya mong hulugan?

  9. Avatarrianna04


    I owe a certain bank payment for a salary loan. I understand what the blog said about not being imprisoned but what about taking of properties? I saw from the link that you quoted the bill of rights to support this. However, the latter mentions, “… no one can be deprived of life, liberty, property without due process..” or something like that.

    Question is, can they really take properties even if they are willing to go through all the legal proceedings? What can we do, too, as consumers who have somehow taken steps to pay but just cant pay the full amount due to sudden changes in circumstances that affected our capability to pay?

    1. Avatarmarites

      i have a transaction posted on my credit card but this transaction is invalid.
      I make a letter of dispute on the said transaction. This transaction is a miscommunication
      as far as know where talking about the free platinum card that they offer me and i will receive a
      voucher gift. He sighted that they offer a lifetime membership amounting 3997.50 and he told me that i have no obligations to pay this in full and this amount is zero interest. And i will receive a call again to confirm that amount.
      He get all my details in my credit card and without worry i gave this because i thought i talked a person from the bank.
      In short he use my card to pay online the membership fee. that day. And i dont received a call from them

      Hope you could help me

  10. Avatarcsinternational


    I am a single proprietor and I have a bookkeeper. However, the bookkeeper did not pay all my contributions for specific months so I paid all the discrepancies during the business permit renewal. Can I sue my bookkeeper for anything? The discrepancy is around more or less 30thousand pesos. I would highly appreciate your reply.
    Thank you so much.

  11. Avatarmishy_sd

    hello there,

    i just wanted to know the best and legal way for me to get the money that was borrowed to me by an OFW who is based in S. Korea. I have been promised countless times and even sent me a copy of her drivers license, alien reg card and a promise to pay letter but with no good results.

    I know that no one gets imprisoned because of debt, but would it be possible to have that person deported from S. Korea for non-payment of debt?

    (The money borrowed amounted to P250k that’s why it concerns me a lot)

    Your response will truly help.


  12. Avatarleo317

    I have an outstanding loan from a Financing Company. This is my second time to avail of their loan services, but due to some unavoidable circumstances I failed to pay all the monthly amortizations via PDCs I have issued to the company. Thus, I was informed that a BP 22 case has been filed against me. I haven’t received any subpoena or warrant from the court since I moved to another residence. Mails concerning my outstanding loan from the financing company were either directed to my mother’s residence or to my husband’s office mostly threats that they would be publishing my picture on the newspaper. Just recently, a letter was delivered at my mom’s residence stating that should I fail to make arrangements with their office within a week upon delivery of the letter, they would be posting my picture in two leading newspapers for four consecutive weeks (a sample for said notice re: pending BP 22 case with my picture has been attached). Is this really possible? And if a case has been filed against me, should I not make arrangements with them in court and not in their office? I really need your advice on this.

    Thank you.

    1. Avatargreg

      I was required to issue post dated checks before I was granted a personal loan by a bank. After some payments made, I started defaulting not by intention but because I no longer have sufficient financial capacity to pay at that certain time and the PDCs I made started bouncing, can I be charged with Estafa or BP 22 and imprisoned?

      I hope I can have a reply


      1. AvatarMelanie

        same situation po tayo,ano na po nangyare sayo?
        hndi po aq pinalad s ibang bansa at napauwi aq. hndi q po alm san aq kukuha ng pambbyad.. ano n po mangyayare?tnx po s makakasagot

        1. AvatarJinx0926

          Hi po! Same here, I’m also a defaulter in UAE. May tatlo po akong credit cards na hindi ko na nabayaran nung napauwi ako d2 sa pinas dahil kinancel ng employer ko ung visa ko ng hindi ako aware, ang ending airport to airport lang ako. To cut the story short, dami pong nagsesend ng emails puro mga threat at nagsesend din sila ng message thru social media sa mga relatives ko. Ngaun gusto ko po lumabas ng bansa pero natatakot ako na baka ihold ako sa immigration.

      1. AvatarKiko


        I want to go to law school; however, i realized that it will be useless since I discovered that I have an outstanding balance with a credit card company. I used to pay it 6 years ago, but when i noticed that my payment has not been deducted in a monthly period I communicated with the bank and I was threatened and being compelled to pay the remaining balance. Anyway, I stopped paying but I haven’t received any call or mail from them given that I did not change my address. Nonetheless, when I was about to obtain a car loan from a different bank I was denied due to the fact that they discovered that I have an outstanding balance of more than 100 K.
        My question is, just in case, i finish law school and pass the bar will the SC allow me to take my oath? What will be your advice?



          1. AvatarRSM

            What if you still haven’t paid your debts and yet, younare about to undertake the oath? Should SC prevent you from taking the oath? Thanks.

      1. Avatarmatt

        Hi wat if po as ofw nglending ng money then s dami po ng pinpirmahan ng lending agency at kapit sa patalim n rin d n po halos nbasa ung terms and condition ng lending compny, s dami ng dpat asikasuhin sa agency. Nakaalis po ng bansa pero unfortunately ngkaroon ng global crisis at 6mos lng ung nbyaran , pinauwi ng compny dahil sa pngyyari ngkroon ng separation pay n 1 month salary at gnamit nya pgbyad s remaining balance pero d enough pra mbyaran ng buo u ng remaining so pg uwi nya ng pinas ngreport xa s agency at cnbi n pinauwi cla cnbi nya n ang remaining nya ay 12k NT dollar pero kinonvert nila s peso kya lumaki nging 21k peso eh jobless xa wala work almost a yr ngulat n lng xa kc nging 100k peso n utang nya hnggng d nbyaran my kaso po b ang gnun?thanks po sana po msagot nyo po salamat


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