Loan Sharks Seen Behind Rising Suicides of Filipinas in HK
MANILA: Officials of the Philippine consulate general in Hong Kong raised concern over the spate of debt-related suicides involving Filipina maids, media reports have pointed out.
A report from the South China Morning Post has confirmed that three of the victims took their lives after they were victimized by loan sharks.
Last year, four Filipinos reportedly committed suicide in Hong Kong, reported the Philippine Star.
Philippine Consul General Bernadita Catalla reportedly said they would conduct financial literacy programs for Filipino domestic helpers who are easily duped by companies and individuals offering loans, sending them into a spiral of debt.
“It’s so easy to get a loan here. But we must be careful because we might end up mired in debt,” Catalla was quoted in the report.
She urged members of the Filipino community in Hong Kong not to rely on friends as loan guarantors.
“This is a serious problem we have been discussing for years,” said Legislative Council heavyweight Emily Lau, who has been asking the Hong Kong government to tighten employment agency regulations.
According to Lau, foreign domestic helpers fall into debt not because of excessive spending habits but because they have families and dependents back home to support.
They have to struggle to keep up with payments, Lau reportedly said.
“The main reason these women are in debt is because governments allow agents to collect so much money from them,” she was quoted saying by Philippine Star.
“It is sad to know that lives are taken because of debt and money issues, which can be managed if addressed early on,” Lenlen Messina of NGO Enrich, which helps foreign domestic workers grappling with debt, reportedly said.
“If left unmanaged, debt could spiral and cause a lot of problems for individuals, employers, friends who guaranteed the loan for them and their families back home,” she said.
“Such pressure and stress would cloud their proper rational thinking,” she added.
Early this year, the Post reported how agencies connive with unscrupulous creditors, forcing domestic helpers to withdraw loans at rates that defy money lender laws.
Debt collectors end up harassing maids who fail to keep up with their payments.
The Hong Kong government has reportedly vowed to implement a code of conduct to address the problem but critics said it would not be legally binding.