Jeepney drivers object to high installment rate of PUJ modernization loan program

UNTV News and Rescue

MANILA — Several jeepney drivers and operators complain of the high daily installment rate required of each driver or operator who want to apply in a loan program to be launched by the LTFRB and Land Bank of the Philippines.

The group Pasang Masda said they are for the government’s jeepney modernization program. However, Pasang Masda stressed they cannot afford the P800 daily installment by LTFRB and the bank.

“Palagay ko masyadong mataas yung 800 a day, wala nang matitira sa operator nun, siguro. Bakit di natin i-fix yung 400, that means 12,000 a month,” Pasang Masda president Obet Martin said. (I think 800 pesos a day is too much. Nothing will be left for the operator. Why not make it 400 pesos? That means 12,000 pesos a month.)

Isidro Carpio, also a jeepney driver said, “Mahina na ako mamasada, di ko kakayanin araw araw yung 500 nga hirap.” (I do not operate my jeepney that much anymore. I cannot pay daily. Even P500 is too much for me.)

Based on the agreement between the government and Landbank, all drivers and operators who wish to acquire a new jeepney unit may apply for a loan from 1.4 million to 1.6 million pesos.

The said amount must be paid completely within seven years, with a 6% interest rate.

The payment system is similar to the “boundary-hulog” scheme, wherein drivers are obliged to remit a certain amount as payment for the use of a jeepney unit.

Under the loan program, daily payment of P800 is made through Landbank’s cash deposit machine outlets.

“Yung Landbank ay mag-tatalaga, mag-oopen ng credit facility for affected PUJ operators for them to be able to get new units kung wala man silang sapat na kakayahang pinansyal,” LTFRB chairman Atty. martin Delgra III said.  (Landbank will designate, will open a credit facility for affected PUJ operators for them to be able to get new units if they do not have financial capacity.)

“Some drivers and the group Pasang Masda is in favor of the financing program. The latter appeals to lower the 800 peso daily payment,” Martin added.

As of now, LTFRB still cannot identify as to when this program will roll-out, because they still waiting for the finalization of the local public transport route plan that will be submitted by all of the local government units nationwide. — Joan Nano | UNTV News & Rescue

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