Credit Management Practices of Balili Elementary Teachers. Empirical Study (PDF)

Master's Thesis from the year 2021 in the subject Economics - Finance, grade: 1, , course: Masters in Public Administration, language: English, abstract: This study was aimed at assessing and analyzing the Credit Management Practices of Balili Elementary School Teachers in La Trinidad Benguet. Credit management practices are the strategies used by an organization to ensure that the level of credit in the firm is acceptable and is managed effectively. It is part of financial management that comprises the analysis of credit, rating of credit, classification, and reporting of credit. And when credit management is done right, then the capital with debtors reduces, and the possibility of bad debts is also reduced. The main objective of this study was to examine the level of agreement and implementation on the credit management practices when grouped according to sex, civil status, length of service and monthly gross income. The study made use of a descriptive research design and utilized a survey questionnaire as its method.

The teachers in the Philippines are being tagged as "taga London" (it means they tend to loan here and there). One of the identified culprits to their burden of borrowing is the low salary they are receiving. But, given the presented facts that those around the world who are top-paid even face over obligations due to borrowings, credit management practices should also be seen as one of the factors. As Alison has opined, borrowing should not cause more debts. Instead, it should serve the purpose of why one borrows, such as holding a buffer stock of savings, planning for retirement, and using high-cost methods of borrowing.

The revelations of Joo and Grable and Gerrans et al. , relative to the teachers' borrowing are quite alarming. It is because the personal financial wellness of the teachers is seen affecting the work performance. The burden of paying the amount borrowed affects work productivity. Shad opined that an employee who is worried about their unpaid obligations could not perform well as it impacts physical and mental wellbeing. It often causes anxiety, depression, and absenteeism. While any organization is for productivity, efficiency, and effectiveness, the employees mirror its goals. They are still the goals' implementers. If personal financial management directly affects their productivity at work, there must be an organization's intervention.