Teachers, deeply in debt, are unable to take home their salaries?! | Kapuso Mo, Jessica Soho Podcast

A teacher shares her struggle with a 195,000 PHP loan that ballooned despite payments, leading to her payroll account being garnished. This dire situation has left her unable to provide for her five children, causing immense stress and even health problems. She highlights the harsh reality of many teachers trapped in a cycle of debt, with some even resorting to drastic measures due to depression.

Another teacher recounts how she started borrowing in 2014 after being scammed multiple times. Her initial loan of 65,000 PHP was bought out by GSIS for 200,000 PHP, indicating exorbitant interest. Her situation worsened when her husband fell ill with diabetes, requiring costly medical care. Despite making payments, the accumulated interest and penalties, coupled with her husband's ongoing medical needs, led to her account being garnished, leaving her with no salary or benefits.

Ma'am Hilda shares her 27-year journey as a teacher, starting with a 75,000 PHP loan in 2002 that grew to over 400,000 PHP due to high interest rates and constant re-loans. Despite numerous payments and garnished amounts, she remains deeply in debt, with her current outstanding balance at 398,000 PHP. She reveals how the lending company's practices have trapped her, making it impossible to escape the cycle of debt.

Ma'am Chona narrates her harrowing experience as a co-maker for a colleague's loan. Unbeknownst to her, the borrower defaulted, leading to her ATM account being garnished. Despite not being the primary borrower, her salary and bonuses are now withheld, leaving her with no income to support her family. This situation highlights the dangers of co-making and the lack of transparency from lending companies.

Sir Benjo, representing the Teachers' Dignity Coalition, explains that their organization advocates for the rights and welfare of public school teachers. He reveals that thousands of teachers are in similar situations, with some even facing suspension from the PRC due to lending companies filing cases against them. He criticizes DepEd for allowing these predatory lending practices and emphasizes the need for stricter regulations.

Sir Benjo further elaborates on the systemic problems, pointing out that lending institutions target vulnerable teachers. He highlights the inadequacy of teachers' salaries, forcing them to borrow to cover essential needs like medical emergencies, children's education, housing, and even teaching supplies. He stresses that these are government responsibilities, yet teachers are left to shoulder the burden.

The teachers and Sir Benjo collectively appeal for humane lending practices and stronger intervention from DepEd. They argue that while they acknowledge their loans, the complete garnishment of salaries and benefits leaves them with no means to survive or repay. They emphasize that the current system pushes teachers into a deeper abyss of debt, impacting their well-being and even leading to tragic consequences, as evidenced by a teacher's suicide due to extreme financial distress.

In conclusion, the teachers express hope for a significant salary increase of 15,000 PHP across the board, which they believe would alleviate their financial burdens. They also encourage financial literacy and careful budgeting to avoid falling into debt. They underscore the noble nature of their profession and their dedication to their students, even sacrificing their own well-being. They plead for understanding and support from their colleagues and the government, emphasizing that such drastic situations would not arise if their basic needs were met.