The OFWs steady cash flow every month in form of remittances provide more than the basic needs of their families in the Philippines. The sudden improvement of financial standing changes their lifestyle and living conditions. They can now afford to buy material things and keep up with the latest trends.
The downside is the tendency to live extravagantly and overspend which lead to debts. Borrowing is not bad if the objective is to create additional source of income like business or investments. Payday loan for overseas workers is one of the most popular types of loans from Singapore licensed money lenders.
Stay away from financial mistakes that will prevent you long-term financial stability such as:
- Spending future income
Many are guilty of this- “May darating naman na remittance sa katapusan, so I might as well buy this stuff by borrowing cash from someone.” This mindset and habit can get you into financial trouble pretty soon if you do not stop at once. It’s a big no-no!
- Changing your lifestyle
Giving the life that you always wanted for your family is the best gift you could ever give to them. However, there is a temptation to live extravagantly and spend more than your earnings. The lure of credit card spending is also tempting.
- Not setting aside money for emergency fund or savings
Many OFWs send huge portion of their salary to families in the Philippines and leave just small allowance for personal expenses. They often sacrifice a little luxury for the sake of the family. They plan to save but often times they forget because of the demands of their families.
- Always saying “Yes”
Granting all the whims of family and even relatives is not good. It is okay to help your relatives but sending money to finance a birthday party of your brother’s son is not wise especially if you will be borrowing from co-workers.
- Being a “show-off”
Avoid bragging your new-found lifestyle and acquisition. If you make it a habit, sustaining your “rich” image will make you financially- stressed.
- Acquiring property or asset without plan
Without sure payment plan, this can affect your current budget. Goals such as buying a new car, house or commercial lot need sound planning. These goals will also motivate you to save, get additional source of earnings, work harder, sacrifice whims or secure loan. As Filipino working abroad, the OFW loan for Filipinos is one of the best options.
- Falling for bad investments
Because OFWs earn more and can afford to pay, they become easy prey for scammers. Always check the investment offer especially if it promises double-money guarantee in a short period of time.
Take care of your money.. What will happen when your contract expires and you do not have enough money during the waiting period? If you do not have savings or emergency fund, life will be difficult for your family. Be wise. Your future is in your hands.