Archive for August, 2008

Financial Intelligence Survey of Filipino Consumers

There’s a survey conducted by a world’s leading financial services company to establish baseline data on the Financial Quotient or financial intelligence of Filipino consumers. The first 400 respondents were between 18 to 40 years old, and owned either a bank account or a credit card. The survey was administered online.

Here’s the result of the survey:

• Less than four out of 10 Filipinos have a monthly budget and stick to it. Around the same number set aside or save money every time they receive their salary or realize an income.

• Three out of 10 Filipinos have no insurance – life of other types – leaving them vulnerable to financial crises.

• Only one out of 10 Filipinos is consciously saving up for retirement. The rest have some savings but don’t know it will be enough; others have no idea at all on how much they need or have not started planning.

• About five out of 10 surveyed suggest that they will need assistance from their adult children when they reach retirement age.

• On average, Filipinos say their current savings would last nine weeks it they were to lose their job today, but still had to pay all of their regular day-to-day expenses.

The survey did not only show the urgent need for financial education in the country but also an important data to better understand the evolving financial needs and financial decisions.

Credit Information System Bill Protects Consumers’ Interest

Credit Information System bills both from the Senate and the House of the Representatives is now the buzzwords in the Philippine financial industry today. With the session of the Senate and the House of the Representatives back to normal from last month recess, these bills were tackled in the bicameral meeting. The honorable senators and representatives of the country started to tresh out the differences in the House bill and in the Senate bill.

Consumers of the country who are potential borrowers of funds from financial institutions have something to cheer about. While there are still provision to be reconciled, the Senate and the House version of the credit information system bill have common provisions to protect the consumers’ interest

Common provision that will protect the consumer’s interest are stated in the Credit Information System Act (CISA), specifically in the Section 7, Section 6, Section 4 (n), Section 4 (l), Section 4 (k) Section 4 (g) Section 4 (h), Section 3 (b), Section 3 (m) and Section 3 (j).

Benefits of Housing Loan Restructuring Bill

The housing loan restructuring bill will be the saving grace for nearly 370,000 homeowner who are in danger of losing their homes due to delinquency in payment of loan amortization. I’m happy that the House of the Representatives and the Senate put aside their bickering and put up a united stand in pursuing approval of the House Bill 4220, the Socialized and Low-Cost Housing Loan Restructuring Act of 2008 in a short time. The bill has been forwarded for bicameral deliberations.

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