THE HOUSE Committee on Banks and Financial Intermediaries has started the discussion on the measure providing limitation of loan interest rates, itemization of loan contracts, and other purposes.

House Bill 1771 or the proposed Loan Interest Limitation and Itemization Law was filed by ACT Teachers Partylist Rep. France Castro, Gabriela Women’s Partylist Arlene Brosas, and Kabataan Partylist Rep. Raoul Manuel.

The bill aims to help teachers who are among the most heavily burdened by debts.

The lawmakers cited data from the Department of Education stating that in 2019, public school teachers collectively owe a combined debt of at least P319 billion.

The said amount is an increase of P18 billion in just over two years.

Of the said amount, teachers owed P157.4 billion to the Government Service Insurance System while P162 billion in outstanding loans to accredited private lenders.

The solons cited as an example an instance, where a lending firm filed cases against 200 teachers in Central Luzon, leading to their unfortunate and unnecessary arrest.

They also stressed in the measure their concerns on the entry of vulture-like big corporate debt collectors in the Philippines.

“Alongside the demands for higher wages and salaries, the Philippine government should ensure to protect the Filipino people from exorbitant interest rates and any form of harassment, filing of cases and arrests,” they said.