MANY TEACHERS HEAVILY IN DEBT
By Raul S. Beltran
Peoples Tonight, p2
Tuesday, October 5, 2004

Because of the low pay and inadequate benefits received by teachers, most of them are “drowning in debt” as a result of heavy borrowing, mainly from private lending institutions, loan sharks and usurers, a congressman pointed out yesterday. 

Party list Rep. Eulogio “Amang” Magsaysay of the Alliance of Volunteer Educators (AVE) said documents obtained from the DepEd showed that as a August 2004, private financial institutions have loaned some P14.2 billion to teacher-barrowers nationwide.

In addition to such lending groups, Magsaysay said the Government Service Insurance System (GSIS) has extended P15 billion in short-term salary loans and an additional P25 billion in housing loans.

Altogether, the country’s public school teachers have a total of indebtedness estimated at P54 billion, he said.

Based on the figures from DepEd, Magsaysay said 179,578 elementary and 66,443 secondary school teachers have applied fro loans from government and private lending institutions, which normally required more than 20 percent interest per annum. 

The congressman said an undermined number of teachers also have existing loans with private individuals who ask for usurious interests. 

Source: http://avepartylist.com.ph/news_views_details.asp#05