- Petitioner
- Spouses Deo Agner
- Respondent
- Bpi Family Savings Bank
- Citation
- G.R. No. 182963
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Peralta, J.
- Decided
- June 3, 2013
Summary
Spouses Agner obtained a vehicle loan secured by chattel mortgage, which was assigned to BPI Family Savings Bank. When they defaulted on payments, the bank filed replevin and collection actions. Petitioners challenged the bank's right to collect, claimed non-receipt of demand, and argued the bank violated Civil Code provisions by pursuing both remedies. The Supreme Court rejected these arguments, finding the assignment valid, demand properly made and waived, and no double recovery since the vehicle was never seized. However, the Court reduced the excessive 6% monthly interest rate to 1% monthly, recognizing such rates as unconscionable. The decision reinforces banking collection rights while protecting borrowers from usurious interest rates.