Duterte: Kill loan sharks to end ‘5-6’ lending scheme
Credit to Author: kadraneda| Date: Thu, 10 Jan 2019 11:25:44 +0000
MANILA, Philippines — President Rodrigo Duterte on Thursday threatened to kill loan sharks engaged in the infamous “5-6” money lending scheme that was perceived to have roped many poor Filipinos in debt.
In a speech during the groundbreaking of a school in Bulacan, Duterte said: “‘Yang 5-6 ang gusto kong patayin na sistema. Kung hindi ko mapatay ang sistema, ‘yung nagdadala na lang ng 5-6 ang ating patayin.”
Duterte recalled how he ordered loan sharks in Davao to stop their activities that put people there in “perpetual bondage” with their financial obligations.
“You know, in Davao… Itong mga 5-6 kasi sa Davao magpautang ng pera. Pagkatapos magpautang ng pera, pautangin ka pa ng kama, TV set… so, dagdagan nila. So, you are in perpetual bondage. Talagang mas lalo… Parang ang tao slave working for you or for your money. Ganun ang nangyayari sa patung-patong (na utang),” he said.
The President branded such lending scheme as a “kind of oppression.”
“Sabi ko sa kanila doon (sa Davao), better stop it. Kung magpahiram ka, ‘yung diretso, ‘yung adopted method of lending the money. Pero kung dadagdagan ninyo ng ganon, p***** **, papatayin ko kayo,” he said.
The “5-6” lending scheme imposes an interest rate of 20 percent per month since it entails payment of P6 for every P5 pesos borrowed. This arrangement was said to have higher interest compared with loans from the bank, which usually charge 2 percent per month.
To recall, Duterte ordered in 2016 a crackdown on “5-6” and warned foreigners involved in such business they will be arrested and deported. /kga