Loan sharks are a serious problem in the Philippines. They prey on the poor and vulnerable, charging exorbitant interest rates and using illegal and unethical practices to collect their debts.
The government of the Philippines has taken steps to crack down on loan sharks. In 2018, the Republic Act No. 11469, or the Anti-Usury Law, was passed. This law sets a maximum interest rate of 6% per annum for all loans, including those made by loan sharks.
The law also provides for stiff penalties for loan sharks who violate its provisions. These penalties include imprisonment of up to 20 years, a fine of up to P1 million, or both.
Despite these laws, loan sharks continue to operate in the Philippines. This is because they often target the poor and vulnerable, who are less likely to report them to the authorities.
If you are a victim of loan sharking, there are steps you can take to protect yourself.
First, you should report the loan shark to the police. You should also contact the Consumer Financial Protection Bureau (CFPB), which is a government agency that protects consumers from unfair, deceptive, and abusive financial practices.
The CFPB has a number of resources available to help victims of loan sharking. These resources include:
You can also contact the following organizations for help:
If you are struggling to pay off debt, there are a number of legitimate lenders who offer affordable loans. You can find these lenders through a loan comparison tool here.
Loanonline.ph is a free service that allows you to compare loans from a variety of lenders. This can help you find the best loan for your needs.
When you are considering a loan, be sure to compare the interest rate, fees, and repayment terms. You should also make sure that the lender is licensed and regulated by the government.
Loan sharks are a serious problem in the Philippines. However, there are steps you can take to protect yourself. By reporting loan sharks to the authorities and using legitimate lenders, you can help to put an end to this illegal practice.
