Common Reasons Causing Delinquency

We are still recovering from what the pandemic did to us and how it
affected our daily lives, but there still are people right now who are not
yet in process of recovering from what happened on the past years. One
of the reasons for it is finding a job in this kind of situation and loss of
jobs in many Filipinos affected the things they have to pay like loans,
specifically one of the common loans of Filipinos, the motorcycle loan.

The Covid-19 pandemic made a huge impact on every aspect in our

society. According to PSA(Philippine Statistics Authority)'s data, 4.2
million people in the Philippines have lost their jobs and 7.9 million
people suffer from pay cuts because of shorter working hours. That's
one of the main and common reasons of the delinquency in motorcycle
loans. But aside from the pandemic, there are other factors that can lead
to a motorcycle loan delinquency. One of the most common reasons are
lack of financial management and financial problems. That's when an
average wage person got his/her salary and it's time to pay the bills and
loans, but the money to pay the loans is not enough. In addition, other
common reasons are accidents and debts. People tend to borrow
money from someone for their loans to be able to pay on time, but it just
repeats from time to time that it reaches the point where they can't pay
for it.