Five Six and Loans
Friday, October 13, 2006
Money talk is the topic of my blog today. If someone gambles and lose in first game, they automatically double the bet on second game hoping the first bet is "bawi" asap.
But what if not? Usually the gambler do not stop, keep on betting (and losing)until he is drained of cash.Some people do that with loans. They pay all loans by having a new loan. Thats looking for double interests imposed!
My ex is an ex Mercury Drug Employee. The company give loans to all employees. The more loans you make the more the company is getting profits from the employees because of 12% yearly interests of the loan, and it is salary deduct automatic!!! There are educational loans, salary loans, housing loans,emergency loans, etc etc, all finance by Mercury Fund. It says (which I believed that time) that his company is taking care of its employees in dire needs. But is it so? 12% interest a year out of your wage pocket, mama mia!Thats a lot! It was a trap!
If you want to GET RICH EASILY invest in a business like that, or better buy a share of companies giving loans...Thats how SSS loans, GSIS loans, banks ,loan institutions ,etc ect make their profits.Put a 300,000 pesos in them and in four years, your money grows like bacteria.LOL !How They profit ? Example:
"If a company/bank loan you 100 pesos, on January 1 and charging you 10% interests a year, that means on Dec 31 of that year, you must pay the company of 110 pesos.Thats 100php x10% interest, plus the return of the principal loan of 100php.
But suppose the company/bank would say, why dont you pay the interest in advance so you dont need to worry about it later? That means, instead of 100php loan, they deduct 10php and gave you 90 php only.So you recieved 90php and pay 100php on Dec 31.Is that bad?
For us, yes, because that means we are paying 10% interests and we get only 90php that we borrowed, not 100php!
It is bad because in a way, we are paying 11.1% instead of 10% only.
There's more. The company/bank will say: You know, you must pay investigation and processing fees of 10% before your loan will be approved. So they will deduct it to your loan, you end up recieving only 80php! And you pay them back end of the year the amount of 100php! Thats 20% interests not 10% stipulated in your contract, hehe!
There's more. The company/bank would offer you: Why dont you pay 25php every quarter so that you dont need to worry a big sum on December31? Many agreed of these! If you notice, these scheme,that by June 30,you already pay half of the loan.So by that time, you almost double the interest rate, which is almost 100% by this point!"Mama mia!
It happened to us when we decided to buy a condo at Ayala Corp, for two years to pay at zero interest. We were baited of smiling agents, huge discounts so we reserved the unit and signed papers,get our copy on what to pay. When the agent went inside the cashier to settle the computations, the Cashier said, its not possible that we have ALL discounts. They gave us another computation and the price went up to 200thousand pesos more. So discounts are gone, just a few minutes after we signed the contracts. Michel was so annoyed. And on top, we have to sign that we will loan the 1.2 million pesos to a Dutch bank with 12% interest a year. EH???!!!What a joke! They didnt tell you that before.
We call it off! Immediately.Bye bye Condo, we went back to France.
WE LOST 20thousand pesos reservation fees,(because they dont want to give it back) but, we didnt lose our half a million pesos as required down payment . Imagine, we pay half a million as down payment, the rest is for loans at 12% a year in two years and they said to you, its zero interests for 2 yearS and the property is still "at map" not yet constructed as it is preselling! Meaning, they get your money and invest it to build your unit and on top you loan to a bank at 12% ! Okey lang sila? If we want to have loans we can get it in French bank at 3.9% a year, not 12% !
If it is like that, I might as well wait to those who cannot keep up the mortgage and the owner sell it half the price! Or put cash in the bank, get interests and when ready, buy one that is desperately sold by the owner...
My tips: To have housing or personal loans, even you may able to pay for it, make sure, you are not heavily clobbered of huge interests.Some took loans at 24% a year.What if it is 10 or 20 years to pay? The time you finished the 4th year payments, you bought the property or pay your loans in almost a double price. Just in four years, its 100% up!
There's a part two to this topic. To be continued.
But what if not? Usually the gambler do not stop, keep on betting (and losing)until he is drained of cash.Some people do that with loans. They pay all loans by having a new loan. Thats looking for double interests imposed!
My ex is an ex Mercury Drug Employee. The company give loans to all employees. The more loans you make the more the company is getting profits from the employees because of 12% yearly interests of the loan, and it is salary deduct automatic!!! There are educational loans, salary loans, housing loans,emergency loans, etc etc, all finance by Mercury Fund. It says (which I believed that time) that his company is taking care of its employees in dire needs. But is it so? 12% interest a year out of your wage pocket, mama mia!Thats a lot! It was a trap!
If you want to GET RICH EASILY invest in a business like that, or better buy a share of companies giving loans...Thats how SSS loans, GSIS loans, banks ,loan institutions ,etc ect make their profits.Put a 300,000 pesos in them and in four years, your money grows like bacteria.LOL !How They profit ? Example:
"If a company/bank loan you 100 pesos, on January 1 and charging you 10% interests a year, that means on Dec 31 of that year, you must pay the company of 110 pesos.Thats 100php x10% interest, plus the return of the principal loan of 100php.
But suppose the company/bank would say, why dont you pay the interest in advance so you dont need to worry about it later? That means, instead of 100php loan, they deduct 10php and gave you 90 php only.So you recieved 90php and pay 100php on Dec 31.Is that bad?
For us, yes, because that means we are paying 10% interests and we get only 90php that we borrowed, not 100php!
It is bad because in a way, we are paying 11.1% instead of 10% only.
There's more. The company/bank will say: You know, you must pay investigation and processing fees of 10% before your loan will be approved. So they will deduct it to your loan, you end up recieving only 80php! And you pay them back end of the year the amount of 100php! Thats 20% interests not 10% stipulated in your contract, hehe!
There's more. The company/bank would offer you: Why dont you pay 25php every quarter so that you dont need to worry a big sum on December31? Many agreed of these! If you notice, these scheme,that by June 30,you already pay half of the loan.So by that time, you almost double the interest rate, which is almost 100% by this point!"Mama mia!
It happened to us when we decided to buy a condo at Ayala Corp, for two years to pay at zero interest. We were baited of smiling agents, huge discounts so we reserved the unit and signed papers,get our copy on what to pay. When the agent went inside the cashier to settle the computations, the Cashier said, its not possible that we have ALL discounts. They gave us another computation and the price went up to 200thousand pesos more. So discounts are gone, just a few minutes after we signed the contracts. Michel was so annoyed. And on top, we have to sign that we will loan the 1.2 million pesos to a Dutch bank with 12% interest a year. EH???!!!What a joke! They didnt tell you that before.
We call it off! Immediately.Bye bye Condo, we went back to France.
WE LOST 20thousand pesos reservation fees,(because they dont want to give it back) but, we didnt lose our half a million pesos as required down payment . Imagine, we pay half a million as down payment, the rest is for loans at 12% a year in two years and they said to you, its zero interests for 2 yearS and the property is still "at map" not yet constructed as it is preselling! Meaning, they get your money and invest it to build your unit and on top you loan to a bank at 12% ! Okey lang sila? If we want to have loans we can get it in French bank at 3.9% a year, not 12% !
If it is like that, I might as well wait to those who cannot keep up the mortgage and the owner sell it half the price! Or put cash in the bank, get interests and when ready, buy one that is desperately sold by the owner...
My tips: To have housing or personal loans, even you may able to pay for it, make sure, you are not heavily clobbered of huge interests.Some took loans at 24% a year.What if it is 10 or 20 years to pay? The time you finished the 4th year payments, you bought the property or pay your loans in almost a double price. Just in four years, its 100% up!
There's a part two to this topic. To be continued.
posted by Francesca at 7:48 PM, | 
13 Comments:
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grabe nga interest rates ngayon. buti na kwento mo ito, 2 days ago i went to robinsons to inquire for a preselling condo unit, may heads-up na ako kung ano ang pwedeng mangyari. i might as well save my money nalang ang wait for the time na kaya ko bumili in cash and at the same time ready for occupacy na yun unit :)
cruise, meron mga mortagage condos sa mga banks, ask mo sa mga banko sa pinas, binabargain na lang kasi di mabawi bawi ng bank ang invested pera nila sa dami ng "liquidated" assets!
or nasa newspapers, hanap ka, kadami !
even sa internet, meron. Pili ka ng site. dont buy brand new, taga!
or nasa newspapers, hanap ka, kadami !
even sa internet, meron. Pili ka ng site. dont buy brand new, taga!
Hi Madame,
Great topic. Grabe talaga ang mga interest sa Pinas. I was actually thinking about reactivating my SSS(pay about $1,200) to take out a loan for putting up a rental property. When I realized how much interest it would take, I decided against it. Lugi negosyo kung ganon. Mahal pala ang pre-sold properties. If they think they can raise the price by 200K and expect you going ahead of the deal, they must be nuts!
Great topic. Grabe talaga ang mga interest sa Pinas. I was actually thinking about reactivating my SSS(pay about $1,200) to take out a loan for putting up a rental property. When I realized how much interest it would take, I decided against it. Lugi negosyo kung ganon. Mahal pala ang pre-sold properties. If they think they can raise the price by 200K and expect you going ahead of the deal, they must be nuts!
I worked in a lending/financing company in the philippines so I know what you mean by "your money grows like bacteria."
It's a kind of business na hindi na kailangan ng advertisement, ikaw ang hahanapin ng tao.
It's a kind of business na hindi na kailangan ng advertisement, ikaw ang hahanapin ng tao.
grabe talaga interest rates this days pero kakatakot mag pautang.Siguro kung yan ang pinasok kong business dali kong yumaman pero USURY yan di ba? and that's against my christian principles.
Good luck pala sa operation mo Amy, I wish you strenght and fast recovery.
Good luck pala sa operation mo Amy, I wish you strenght and fast recovery.
Have you heard of PYRAMID??? Be a memeber and invest then your "money will grow like bacteria" as you've said but unfortunately a lot of our kababayans invested but they were victims of swindling! A total rip-off and now the person (a woman) is in Prison. They didn't know where the money went or shall I say millions of money ! Isa na ang pamily ko at maraming kaibigan ang nabiktima !!! So beware of on where to invest your savings !
Hope all is well !
Hope all is well !
interest rates in the philippines are killers! and these companies know that there will be clients anyway. and who could pay 4M pesos cash? only those who work outside the philippines. and those in the philippines are willing victims to pay this interest, me choice ba naman sila?
this is a blatant example why mayamans are lalong yumayaman while and mahihirap, lalong nalulublob sa utang.
this is a blatant example why mayamans are lalong yumayaman while and mahihirap, lalong nalulublob sa utang.
korek, girls!
usury is no good! but good if done "legally" like these liscenced loans institutions, hehe.
Yang pyramid scam I heard about that, buti na lang wala ako( di ako na imbita dyan ng filipino community dito). dami nga na swindler dyan!
ana, korek, ang mga nag pa five six, yumayaman sa pawis ng maliliit na tindera sa palengke.
Naalala ko isang kaibigan, delayed lang daw ng two weeks sa bayad sa five six, charge na raw sa kanya interests for the month 10%!
sabi ko, you dont pay and if she insist, ask her her liscence of the barangay to do usury business.
If she do not have it, you report her to the barangay, she would be out of her illegal business immediately.
When she told the usurer, natakot!
beeeh! Di na raw siya siningil, hehe
usury is no good! but good if done "legally" like these liscenced loans institutions, hehe.
Yang pyramid scam I heard about that, buti na lang wala ako( di ako na imbita dyan ng filipino community dito). dami nga na swindler dyan!
ana, korek, ang mga nag pa five six, yumayaman sa pawis ng maliliit na tindera sa palengke.
Naalala ko isang kaibigan, delayed lang daw ng two weeks sa bayad sa five six, charge na raw sa kanya interests for the month 10%!
sabi ko, you dont pay and if she insist, ask her her liscence of the barangay to do usury business.
If she do not have it, you report her to the barangay, she would be out of her illegal business immediately.
When she told the usurer, natakot!
beeeh! Di na raw siya siningil, hehe
kung yan ang pag uusapan eh i can say dyan yata lumubog si ex..kung bumili ng palamuti sa katawan at gastusan ang bisyo eh galing pa sa porsyentuhan .d pa nakukuha yung sweldo nya eh naubos na at masmalaki pa yung nagastos haayyyy!
ok itong topic mo te amy,im sure maraming makakarelate hehehe...at makakakuha ng aral :)
ok itong topic mo te amy,im sure maraming makakarelate hehehe...at makakakuha ng aral :)
good luck pala sa operation and hope and yrayed sa quick recovery mo !
kind regards!
kind regards!
Interest rates, in this case, mortgage interest rates depend on the economic stability of the country. Pag mataas ang interest rates that usually means may problema. Eh, kung ganun, matagal ng may malaking problema ang pinas, lol. Mahirap, you can’t really control the rates kasi Central Bank dictates this.
In the first world country mababa ang interest rates, like here in Holland, mortgage interest rates are between 4%-5% and pwede pa yan 3% as employee rate if you work for the financial institution where you mortgaged your home.
Re: utang naman, hay naku, nasa dugo na yata yan ng karamihang mga Pinoy na mangutang! Mayaman, may konting kaya o pobre, halos lahat nabaon sa utang, lol. Utang sa credit card, utang sa kotse, utang sa bahay (this is normal of course), utang sa kung saan saan. Many people kasi want to live beyond the lifestyle they can truly afford. They don’t mind having no savings, having no health insurance, as long as they live in that mansion, drive the luxury car they want, eat out a lot, wear those branded stuff and keep up the image they need to keep.
I still remember back then, almost lahat ng colleagues ko revolver payer sa Citibank (bale interest lang pala binabayaran). Yumayaman lalo ang Citibank sa kanila and they don’t even care!?
Like what I have always said before, again and again, the Philippine ministry of education should incorporate “Financial Responsibility” in the curriculum. Teach people how to be sober with money.
In the first world country mababa ang interest rates, like here in Holland, mortgage interest rates are between 4%-5% and pwede pa yan 3% as employee rate if you work for the financial institution where you mortgaged your home.
Re: utang naman, hay naku, nasa dugo na yata yan ng karamihang mga Pinoy na mangutang! Mayaman, may konting kaya o pobre, halos lahat nabaon sa utang, lol. Utang sa credit card, utang sa kotse, utang sa bahay (this is normal of course), utang sa kung saan saan. Many people kasi want to live beyond the lifestyle they can truly afford. They don’t mind having no savings, having no health insurance, as long as they live in that mansion, drive the luxury car they want, eat out a lot, wear those branded stuff and keep up the image they need to keep.
I still remember back then, almost lahat ng colleagues ko revolver payer sa Citibank (bale interest lang pala binabayaran). Yumayaman lalo ang Citibank sa kanila and they don’t even care!?
Like what I have always said before, again and again, the Philippine ministry of education should incorporate “Financial Responsibility” in the curriculum. Teach people how to be sober with money.
Hi Ams, Nice topic! Grabe talaga interest doon sa atin. Loans in PI is not actually helping poor people but instead making poor people becoming more poorer than ever. I know it sucks. My brother and his wife works in a loan company. Sabi ng dalawa, invest daw me money kasi they know how to manage those kind of business... Dan is revolting! lol
Anyhow, Hindi ko alam U got hospitalized. Talagal na siguro ako hindi naka visit sa Franscesca in France. sorry... i hope you fellin' better. And last but not the least, bonga bahay doon sa ibaba ah... Kayaman naman employer mo ams, gawin mo kaya ako ng side kick para naman makatikim ako ng "a taste of France".
O sya... napahaba na... visit ako ulit sa 'yo. Kumusta na your kiddos?!, nandyan na sa Francia?
Hugs and TC always!
Honey
PS. Just so you know that you always put a smile on my face everytime I visit your blog. Ang saya siguro pag ikaw kausap ano?!!!
Anyhow, Hindi ko alam U got hospitalized. Talagal na siguro ako hindi naka visit sa Franscesca in France. sorry... i hope you fellin' better. And last but not the least, bonga bahay doon sa ibaba ah... Kayaman naman employer mo ams, gawin mo kaya ako ng side kick para naman makatikim ako ng "a taste of France".
O sya... napahaba na... visit ako ulit sa 'yo. Kumusta na your kiddos?!, nandyan na sa Francia?
Hugs and TC always!
Honey
PS. Just so you know that you always put a smile on my face everytime I visit your blog. Ang saya siguro pag ikaw kausap ano?!!!
sad no pero ganun talaga buhay dito sa pinas, nabubuhay ang mga tao sa utang sa hirap ng buhay, baba sweldo, may kasamang yabang and all, trying to keep up with the jones'...pero sabi naman ng iba, pag di ka daw uutang hanggang dyan nalang buhay mo...tignan mo yang mga mayayaman, dami din nila utang, di napapaikot ang money pag walang utang, laki din kasi ng demands ng mga businesses dito eh.