Repay debts or suffer consequences, teachers warned

[webfact]

Repay debts or suffer consequences, teachers warned

By The Nation

 

 

The Justice Ministry’s deputy permanent secretary has warned schoolteachers who cease paying into a welfare fund that the outcome would be grim.
 

About 100 teachers on Saturday urged 450,000 others to join them in halting their debt repayments to the Funeral Service Welfare Fund for Teachers and Education Personnel starting on August 1.

 

But Thawatchai Thaikhiew of the Justice Ministry warned them on Tuesday they could be dismissed from the civil service, face three years of bankruptcy and drag their loan guarantors into bankruptcy too.

 

Urging the teachers to accept their obligation to repay the debts, Thawatchai said anyone who fails to make good on a debt exceeding Bt1 million could be forced into bankruptcy for three years, along with any guarantors.

 

And, having been declared bankrupt, teachers would be disqualified for positions in the civil service under the Government Teacher and Education Personnel Act 2004.

 

Bankruptcy could also be extended to five or even 10 years if there were a lack of cooperation with creditors, he said.

 

During that period the bankrupt individual could sign no work contracts, make no monetary transactions or travel aboard without permission from their official receiver in the Legal Execution Department, Thawatchai said.

 

The 100 teachers vowing to stop payments to the fund said they were overwhelmed with debt because of it.

 

Meeting the press in Maha Sarakham on Saturday, they called for the government and Government Savings Bank to approve a six-month moratorium on debt repayments and then drop the annual interest rate to 1 per cent, the same rate applied to farmers repaying government loans. Teachers currently pay between 5 and 7 per cent interest.

 

They also demanded that the National Legislative Assembly establish a committee to resolve their debt problems.

 

Source: http://www.nationmultimedia.com/detail/national/30350227

 

-- © Copyright The Nation 2018-07-17

[z42]

Can't agree more with this. There is very limited (if any) financial discipline shown by a good % of the workforce at my school, and as a country the stats are shocking.

 

Image, and grandstanding through ownership of cars and expensive foreign holidays seem to be the main end points. Nobody appears to want to live within their means, and the real means aren't really understood as loans seem to be thought of as free money.

 

It will be interesting to see if those parties chasing repayment are forced to cave. I hope they start getting tougher soon

[trainman34014]

I know three Thai teachers all struggling with debts of more than 2 million but it has nothing to do with any Government schemes and everything to do with the way they run their 'family' life.

 

All three have extended families of up to seven other family members relying on them for their only source of income, as most of the men are too lazy to work, are alcoholics, drugtakers or just general layabouts who refuse to work.  The Women work for peanuts at markets or sell food at the front of the house.

 

Meanwhile, Teacher wants a new car every two years, the latest tablet or i phone and a mega size curved TV, all which are 'bought' with borrowed money from the Banks, who will lend millions to anyone with a Government job.

 

I don't see an early end to any of these problems.

[colinneil]

30 minutes ago, trainman34014 said:

 

 

Meanwhile, Teacher wants a new car every two years, the latest tablet or i phone and a mega size curved TV, all which are 'bought' with borrowed money from the Banks, who will lend millions to anyone with a Government job.

 

I don't see an early end to any of these problems.

 

Some teachers yes, but many teachers do not want new cars i-phones, mega TVs.

Wifes pickup Isuzu spacecab, no fancy extras 2 years old, no i-phone, no TV in the house, no debts.

When i met her she had a 7 year old pickup, it was only changed to a spacecab so it would be easier to get me in.

[stud858]

They have got the right idea sort of. Without unions they will be taken advantage of.

Setup up a union then canvas the gov for better salaries. Some countries can't organise a group well.  especially those with a wide devide of wealth.

 

[Redline]

Maybe a paradigm shift?

[Topdoc]

Shouldn't they be given the chance to refinance at todays interest rates?

Afterall, it's not their fault that interest rates have collapsed generally around the world including in Thailand.

Surely the authorities understand that being locked into high interest rate loans becomes increasingly burdensome in a low interest rate environment.

[BEVUP]

21 minutes ago, stud858 said:

They have got the right idea sort of. Without unions they will be taken advantage of.

Setup up a union then canvas the gov for better salaries. Some countries can't organise a group well.  especially those with a wide devide of wealth.

 

Nothing to do with Unions, it's actually the Labour Commission that approves awards

Unions just represent a bargaining minority & have no say in the end, because the Contract is sent to the Commission to ensure that all parties agree & will amend on on appeal if necessary.

 

# Wages are pretty well set out according to contract & quals 

    * In my lads school they get 60,000 & speaking to the Admin girl while getting tour (she speaks                perfect English ), Why so much ? - Because they have to put a lot more time in compared to             Gov schools

# Thailand has a very good Labour Commission to sought out any disputes between parties ( cant        say much for my own country ), as there's that many clauses in a Falang's Contract you need to          hire a Barrister (which you have to pay )

# Every country has the Wealth & Poor gap - It just depends on how wide

 

 

[PatOngo]

1 hour ago, webfact said:

Repay debts or suffer consequences, teachers warned

…………….Nah.....just escape to Dubai!

[BEVUP]

5 minutes ago, Topdoc said:

Shouldn't they be given the chance to refinance at todays interest rates?

Afterall, it's not their fault that interest rates have collapsed generally around the world including in Thailand.

Surely the authorities understand that being locked into high interest rate loans becomes increasingly burdensome in a low interest rate environment.

& Yes they should 

But they will have to remain with that bank

Also they mentioned that they weren't allowed to pay of early 

 

They must have some bad clauses in the bank contracts

[stud858]

7 minutes ago, BEVUP said:

Nothing to do with Unions, it's actually the Labour Commission that approves awards

Unions just represent a bargaining minority & have no say in the end, because the Contract is sent to the Commission to ensure that all parties agree & will amend on on appeal if necessary.

 

# Wages are pretty well set out according to contract & quals 

    * In my lads school they get 60,000 & speaking to the Admin girl while getting tour (she speaks                perfect English ), Why so much ? - Because they have to put a lot more time in compared to             Gov schools

# Thailand has a very good Labour Commission to sought out any disputes between parties ( cant        say much for my own country ), as there's that many clauses in a Falang's Contract you need to          hire a Barrister (which you have to pay )

# Every country has the Wealth & Poor gap - It just depends on how wide

 

 

In Australia unions are a massive influence in bargaining power and organising walk off the job protests. In the past they have secured better conditions for Australian workers. 

I agree with you though, in Thai culture will never be successful unions. Mai pen rai, and the sun shines good weather so why bother. 

[Bob12345]

1 hour ago, webfact said:

They also demanded that the National Legislative Assembly establish a committee to resolve their debt problems.

As always in Thailand, the ones making the mistakes deny responsibility and demand someone else to solve their problems.

Cause its not fair that we have to borrow money for a brand-new pickup truck with all the extra's, and have to repay the money for it.

 

How about the GSB gets a judge to withhold the interest payments before salary is being paid out?

[robblok]

16 minutes ago, Topdoc said:

Shouldn't they be given the chance to refinance at todays interest rates?

Afterall, it's not their fault that interest rates have collapsed generally around the world including in Thailand.

Surely the authorities understand that being locked into high interest rate loans becomes increasingly burdensome in a low interest rate environment.

Actually teachers debts have been refinanced a few times, this is not the first article about the teachers. 

[robblok]

1 hour ago, colinneil said:

Some teachers yes, but many teachers do not want new cars i-phones, mega TVs.

Wifes pickup Isuzu spacecab, no fancy extras 2 years old, no i-phone, no TV in the house, no debts.

When i met her she had a 7 year old pickup, it was only changed to a spacecab so it would be easier to get me in.

Its easy to generalize, but you do know that teachers have been in the news before with their debts got it refinanced.. easier terms ect. Also teachers have easy access to the credit, a lot of them abuse it but like your misses demonstrates not everyone. 

[BEVUP]

1 minute ago, stud858 said:

In Australia unions are a massive influence in bargaining power and organising walk off the job protests. In the past they have secured better conditions for Australian workers. 

I agree with you though, in Thai culture will never be successful unions. Mai pen rai, and the sun shines good weather so why bother. 

Yes Unions represent the people & Thailand actually have some very good unions (better then Ausses ). Just look at the Air Hostesses 

Walk of the job protests now require them to give written notice & wait for when the employer thinks it will be accceptable

[Get Real]

Yeah, what can I say. Maybe something like, "Simple Mathematics 123-ABC". Yeah, all theachers. Your know, that´s what I call the corner stone of great finances.

There are some ground rules, though, that most dorks on this side of the planet don´t care about:

 

• Ask yourself if you really need to buy something you do not have the money for. Is it really nessecary?
• If I really need to take out a loan, can I pay back according to plan, without having to change my life in a negative way?
• Make a calculation. After all, the Thai team won gold in Mathematics and it´s also something that is included for many teachers to have knowledge about.

If the answer is ok for all this or if you not care, has nothing to do with it. If you take a loan, you have to pay it back. That´s simple enough.

[Bob12345]

19 minutes ago, Topdoc said:

Shouldn't they be given the chance to refinance at todays interest rates?

Afterall, it's not their fault that interest rates have collapsed generally around the world including in Thailand.

Surely the authorities understand that being locked into high interest rate loans becomes increasingly burdensome in a low interest rate environment.

Doesn't the burden stay the same, because the rates are locked in?

 

And would they also accept higher interest rates in case the "interest rate environment" was high?

If you want flexible interest rates, you should borrow against flexible rates... 

[stud858]

Quite ironic though. If I had kids, I'd be teaching them,  never ever borrow money for anything except your first home.  Save your money,  take the bus,  then when you have enough buy what you need not what you want.  Money makes money.  Debt makes loss.

Society influences otherwise.  

 

[stud858]

 

Dooplicate deleeted

 

[BEVUP]

5 minutes ago, Bob12345 said:

As always in Thailand, the ones making the mistakes deny responsibility and demand someone else to solve their problems.

Agree

So they want someone to be their Financial Planner

I can,t see what part of their Contract stating that themselves borrowed X amount & the monthly repayments will be X amount they did not see & sign for.

I bet they weren't shown the true story of the whole calculations including Interest, as one got a shock after paying 7 yrs ( or couldn't work it out )

 

[Lupatria]

2 hours ago, webfact said:

But Thawatchai Thaikhiew of the Justice Ministry warned them on Tuesday they could be dismissed from the civil service,

Aren't there enough "inactive" teachers in this country already?

[Chassa]

1 hour ago, colinneil said:

Some teachers yes, but many teachers do not want new cars i-phones, mega TVs.

Wifes pickup Isuzu spacecab, no fancy extras 2 years old, no i-phone, no TV in the house, no debts.

When i met her she had a 7 year old pickup, it was only changed to a spacecab so it would be easier to get me in.

Lucky Man

[Chassa]

2 hours ago, trainman34014 said:

I know three Thai teachers all struggling with debts of more than 2 million but it has nothing to do with any Government schemes and everything to do with the way they run their 'family' life.

 

All three have extended families of up to seven other family members relying on them for their only source of income, as most of the men are too lazy to work, are alcoholics, drugtakers or just general layabouts who refuse to work.  The Women work for peanuts at markets or sell food at the front of the house.

 

Meanwhile, Teacher wants a new car every two years, the latest tablet or i phone and a mega size curved TV, all which are 'bought' with borrowed money from the Banks, who will lend millions to anyone with a Government job.

 

I don't see an early end to any of these problems.

Not just teachers, anyone Thai with a half-decent job!

[colinneil]

1 minute ago, Chassa said:

Lucky Man

Yes mate i am a very lucky man, my wife is very careful with money.

No man could wish for a better wife, she works as a school director, then comes home takes care of me.

She never stops helping me night and day.

[inThailand]

The primary reason they took a civil service job is a higher than average salary, job for basically life and after 1 year service the ability to get a 1M+ baht loan, which most or all take because of pressure from the family and they blow it on depreciating assets, and now have to work for the next 40 years to pay it off. Som na na!

[Odysseus123]

2 hours ago, trainman34014 said:

I know three Thai teachers all struggling with debts of more than 2 million but it has nothing to do with any Government schemes and everything to do with the way they run their 'family' life.

 

All three have extended families of up to seven other family members relying on them for their only source of income, as most of the men are too lazy to work, are alcoholics, drugtakers or just general layabouts who refuse to work.  The Women work for peanuts at markets or sell food at the front of the house.

 

Meanwhile, Teacher wants a new car every two years, the latest tablet or i phone and a mega size curved TV, all which are 'bought' with borrowed money from the Banks, who will lend millions to anyone with a Government job.

 

I don't see an early end to any of these problems.

I agree with you.

 

Except to add that if you offer them a finger they will take the whole arm...

 

That  is a major problem with cheaper gov't loans.

[Chassa]

Don' t  they teach financial planning in Thai schools????

[Lupatria]

1 hour ago, colinneil said:

Some teachers yes, but many teachers do not want new cars i-phones, mega TVs.

Wifes pickup Isuzu spacecab, no fancy extras 2 years old, no i-phone, no TV in the house, no debts.

When i met her she had a 7 year old pickup, it was only changed to a spacecab so it would be easier to get me in.

Have a look at her ID are you sure she is Thai?

[Odysseus123]

15 minutes ago, Chassa said:

Don' t  they teach financial planning in Thai schools????

No,

No road safety

No financial planning.

No basic skills for life..

 

On the other hand...if you want to  hear a thousand parrots reciting the patriotic theme of  the day then Thailand is  the place to go..

[colinneil]

2 hours ago, Bob12345 said:

As always in Thailand, the ones making the mistakes deny responsibility and demand someone else to solve their problems.

Cause its not fair that we have to borrow money for a brand-new pickup truck with all the extra's, and have to repay the money for it.

 

How about the GSB gets a judge to withhold the interest payments before salary is being paid out?

The bank do take money out before teacher receives their salary, in one of my other posts on this tread i commented about 1 teacher only getting 2000 baht per month after loan monies had been taken out.