Regaining momentum

The time I spent apart from the blog has been dedicated to research and meditation: research so that the future topics I’d share would be substantial and useful, and meditation, so that I could fulfill my purpose without treading on anybody’s sensitivity.

What I found out during my brief hiatus gave me many a mixed feelings. For instance, I still couldn’t sleep with the thought of the sterilized indigenous women in Peru during the ’90s. Yet at the same time, I am inspired by the forceful solidarity shown by the country’s women groups and the strength of the victims despite being abandoned by their husbands and being impoverished in the process.

I was also saddened upon realizing how many lives of Jewish people cost the preservation of Paris and its monuments during the II World War. But I am currently amazed at how the Jewish community seems to have overcome the betrayal and chose to live peacefully with the rest of the city’s inhabitants.

I am so disappointed at Aung San Suu Kyi for her non-reaction to the Rohingya persecution in Burma, but I am hopeful that the refugees could soon build a new life in a new place where they will be respected and accepted regardless of their religion and beliefs. What’s more, I have faith that the effect on the following generations may be the emergence of more open-minded people, tolerant and willing to embrace diversity.

I am frustrated at the  Philippine Government where the current president Rodrigo Duterte is proving only to be a different Chief of State (not PNoy Aquino, not Erap Estrada, not Gloria Arroyo, and so forth), but is not really intent on constructing a different society. His actions divide the country instead of uniting it, he is a classic populist who has to resort to creating an enemy so he could stay relevant, and his supporters seem like blind, rabid dogs who are unable to objectively evaluate his actions. But all these have given me the chance to prove once again how resilient the Filipinos are. It just makes me wonder at what point a genuine revolution would take place, not to repeat historical patterns of dirty politics, but to really bring about change that would benefit the people.

I am flabbergasted by the Catalonian situation and quite worried about the future of Spain, the country that has hosted me for almost half my lifetime and who has given me what I have now. I’m sorry but I’m still on the process of thinking what good this is doing or bringing to me, personally. It still hasn’t occurred to me as of the moment. People are currently stressed, the uncertainty is depressing a lot of them, and logic seemed to have disappeared from the minds of the separatists. It’s heart breaking… it’s like seeing one of your siblings disowning your family and not wanting anything to do with you anymore.

Other news have had the opposite effect: making me happy at first, and then at least pensive after some time. Like the time I read that the Philippines will send a candidate to the Reina Hispanoamericana beauty contest. I was happy to think that finally, my country’s common history with other former Spanish colonies is being recognized. I’ve always believed that Philippine schools should at least incorporate 4 hours in the Philippine History curriculum talking about the many parallelisms between us and the Latin American countries. But then I asked myself: beauty pageant? Really?

Feminism and gender equality are on the rise, much more than in the past thanks to social media awareness along the entertainment industry’s efforts to boost such awareness.  And this thought made me so happy I slept really well for weeks. That was until I started to keenly observe how some feminists keep on imposing their beliefs on their fellow women. I thought that the basis of this movement was empathy? This made me feel disillusioned (and  made me decide to not be a feminist but be a humanist instead).

I’m glad that Trump is so dumb, he can’t actually help but show his true, stinking colors reacting the way he did about the plea for help coming from San Juan’s (Puerto Rico) mayor. I’m glad that people (especially his voters) are having a chance to see it for themselves. But I am mad at how many vulnerable people (babies and children, old men and women, the sick and handicapped, etc) are suffering more than they should because of this person’s uselessness. And I also realized that most of his supporters would just be blind apologetics anyway…

At this moment I’m so overwhelmed, I can’t even classify my feelings towards the oppressed Venezuelans, our Muslim brothers who thirst for peace as much as we do, the victims of the Mexican earthquake, the online bashing received by the infanta Leonor because of her taste in books (or something to that effect), people doubting about Karl Marx’s relevance to modern economics, the absurd fragility of the coming generation, why nobody (read: developed country, most probably European) is taking responsibility of how f*cked up Africa is, how come the worst judges of women are her fellow women, the beautiful but complex rainbow that is gender, how people claiming to be Communists could live in a capitalist society (how do communists live in Madrid, Spain, for example?), and finally and building on that, how come so many people defend neoliberalism yet they can’t find any artist to sing about what they fight for (this one I read in Facebook)…

These are just few of the topics that keep me up at night. What about you, dear reader? Would you like to share what you’ve been up to lately, and what tickles your mind these days?

– The end –

Despite a huge technical setback (a broken computer), I do hope to regain momentum and be back in the blogging sphere. Thank you for understanding. I missed this, too. 

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Conversation 2: Questions Regarding the Union of European Nations (Part 2)

Disclaimer: the contents featured in the following conversations do not necessarily reflect the author’s opinion.

Two winters ago, overheard in a café somewhere in the north…

Daughter in law (D): I can’t believe those beggars (shakes head). How can they can stomach using their own children to beg for money even during cold, winter months? The parents should be reprimanded, and the children be taken to foster care. And if they don’t want it, then they should go look for jobs.

Mother in law (M): I know. Most of them are Romanians or Bulgarians. Worse is, they form groups of 3 or 4 and pick pockets! I don’t want them here.

D: You know that’s not a politically-correct thing to say, right?

M: I don’t care. They shouldn’t be here. Mind you, I’m talking about the beggars and the pick pockets. Those who are working should stay. But the rest should be deported. They don’t contribute to anything here.

D: Still…

M: No, you listen to me. My friends and I always see a beggar at the entrance of a supermarket back home. She’s there everyday from morning until past midday. So one day, one of my friends offered her to work as a domestic aid. Guess what she answered?

D: Obviously she said she didn’t want to.

M: Exactly! the nerve! I felt really indignant. I wasn’t able to help myself so I told her, “Oh, so you must really be more comfortable begging, rather than exerting extra effort and getting a job, huh?”. She stared at me and I had to keep on walking. I was so mad.

D: I wonder why they don’t want to work. I mean, even if we conclude that it’s more comfortable to just stretch out your arms for people to drop coins in your hands… a job is still more stable, not to say secure choice for the person and his or her family.

M: Me? I wonder why they don’t just beg in their own countries. Romania and Bulgaria are already part of the European Union. They are already receiving funds to develop their economies and to subsidize low-income people. Why would they choose to come here when they could easily stay at their homes and receive government aid? Much like the people in this country, who refuse to be under-employed because their lives are more comfortable in their houses while they receive unemployment allowance…

D: Well, if you put it that way… if they chose to come here despite of what you just pointed out, then the easy answer would be that, the funds don’t reach to where they should. That is to say, those who manage the funds must be pocketing it for themselves.

M: Isn’t a clean, transparent governance part of the requisites to be an EU member?

D: Yes, but the markets promised by those countries are far more important for the Union. You know? so certain countries are more or less assured of having people buy their goods.

M: … (makes a face)

D: So, are we ordering more coffee or what?

*-*

It was the beginning of summer 2016 and four friends were riding the InterRail en route to Brussels…

Friend 1 (1): What just happened yesterday?

Friend 2 (2): Oh f*ck, the Brits voted Brexit, that’s what happened! silly fools…

Friend 3 (3): Tell that to them. I’m sure they feel even superior, if possible.

Friend 4 (4): Oooookay, no need to insult or cause any offense to anyone…!

2: As much as I respect you, I must say, your people are crazy, guillible, a**holes! Ha-ha! I’m sorry, I’ve never been this entertained since last year’s Eurovision…

4: Well, in the defense of my people, I should say, “We know what we’re doing”. But really, I don’t think we do. So yeah, you must be on to something there! Haha!

1: That’s like a big, fat slap on EU’s face, don’t you think? That’s like a really, really bad break up… no, no! It’s the promise of a very ugly divorce…

3: So much for a “union”…

(Everybody snickers)

3: I’m very curious as to how Brussels would manage this situation. I mean, how will the EU stand as a strong competition for other economic blocks when its nations appear divided?

2: You’re in a shrink’s mood today, aren’t you? Could you take a break? We’re on holidays!

4: No, no, wait… she’s right. If you look at it, the EU needs more than all the super glue it could collect to present a united, well, presentation.

1: To project, dude! to project… we’re on holidays from school, not from using our brains…!

4: Yeah, whatever…

2: Hey, the shrink might be right. Just this morning I heard from the radio about how different Northern Europe is to Southern Europe. And not just character-wise, mind you.

1: Now that you mention it, well yes, it makes sense. And wasn’t that the argument of those who were anti-single currency advocates? that basically the difference in the standards of living, reflected in prices, could do more harm than good for those entering in the single currency zone?

3: Actually I wanted to point out the difference between the left-wing Europeans and the right-wing ones. You know, those who want to steer the Union towards a Superstate versus those who aim for Federalism… It’s not enough that all politicians and decision-makers want a better Europe for the Europeans. They have to map out how to achieve that.

2: Yes, we know. The spenders versus the austere ones.

3: Well, you have to spend SOMETHING to guarantee a minimum, decent quality of life for the citizens!

1: Or you could save up for the rainy days…

3: BUT WE ARE IN THE RAINY DAYS!

4: Yeah, well, you can aaaall relax, as there’s no point in arguing. The left-wingers would soon be outnumbered anyway, if not banished from Brussels…

3. So basically you’re saying that we’ll be better off scratching our balls?

4. Or scratching it for each other, if you’re so bent over helping your fellowman.

2: Heeey! I’m the tactless brute of the group! Don’t take that away from me!

*-*

Early autumn last year, an uncle and nephew take a walk in a park…

Nephew (N): I’m really excited! Soon I’ll be living in a different country, with an interesting job… even if the pay’s not the best, at least I get to have this experience.

Uncle (U): Good for you. I hope you meet a nice girl and settle down.

N: I’m not going there to find a bride! But I heard the women are pretty over there…

U: Yes they are. So don’t get married, just hook up with as much girls as possible. He he!

N: (Blushes) Anyway, I feel kind of sad, though.

U: Well, homesickness is normal. But I guess your mother would visit you every month so no need to be sad about missing her! (snorts)

N: No, I feel sad because all through my student life, I was a scholar. All my school expenses were paid for by the government. And now, the thought of “serving” another country makes me feel bad for ours. I really wanted to give back.

U: Hm…

N: Anyway, one thing is to feel bad because of that. Another is to feel awful when I realized that only capital and goods can truly freely move around EU. Movement of labor is still very much restricted.

U: I’m listening.

N: This system is giving young people like me very few choices. Either stay in your country and be bored out of your wits as you’ll be unemployed. Or, go find a job somewhere else in the EU, where you’ll have a theoretical “advantage” above applicants from countries outside of it.

U: There’s the choice of working outside the EU.

N: Yes, but the point is to be closer to home.

U: Okay. Go on. Why do you say the movemet of labor is restricted?

N: For starters, I met recruiters who prioritize candidates from local universities. WHY? Anybody could be just as good as their locally-produced graduates.

U: What else?

N: I heard that I won’t be receiving my social security card for sure at least 6 months. So whatever health expenses I would have during the waiting period, I’d have to shoulder myself. Why? I mean, I can understand if it’s a month, if they want to wait for my tax. But 6 months? I’m an EU citizen!

U: Hmp!

N: I mean, sure, they’d reimburse me for the expenses but it wouldn’t be automatic, I’ll have to wait for some weeks. I really don’t understand. All this would simply discourage foreigners to work in their country. Meh… but, wouldn’t it be more enriching if labor markets were more open?

U: Enriching for some, not all. Especially not for the politicians.

N: Are you changing the subject again because you want to talk about politics and complain about that long-haired guy?

U: Listen. Whenever there’s an initiative or a feasible idea which is good for the general population but is not being implemented, that is because the politicians wouldn’t get anything from it. Think. What would garner more votes? a promise to open up the labor market and toughen the competition for all job applicants? or perhaps a promise to protect and prioritize national workers against “invaders”, threatening to “flood” the labor market with their offer of “cheaper” salaries?

N: Hm…

U: Believe me, if you were a citizen of your future new home, you’d be offered a permanent contract. But you’re not, I mean, you can’t influence elections over there. You mean nothing to the political class.

N: Oh well! I guess the good news is that I could be returning home soon, huh?

U: Not if you find a girl to marry, you won’t! (winks)

-The end-

Click here to read Part 1 and here to read Conversation 1.

Personal Interview

It was a fine Monday morning when a dear colleague from Human Resources approached me quite excitedly. I honestly thought she was going to ask or share some tips about child rearing, as we are both first-time moms. Never did I imagine that she would ask me if I wanted to be interviewed for the official, internal blog of the Foundation where I work.

Clearly at this stage of my life, I have already had various interview sessions both as the interviewer and the interviewee. However, this is the first time I got interviewed with the aim of sharing the content (ergo, my thoughts) to the public! I had to pause with disbelief. I’m a very opinionated person but then I thought, “Who would want to bear with me and my craziness on purpose?” I mean, would you dare, dear reader? If you would, then without further ado, let me share with you the translated version of the said article. (For those of you who wants to read the original version in Spanish, just click the following link: Entrevistamos a Karessa Ramos, Comunicación y Relaciones Externas _ Nos-otros)

-*-

We interview Karessa Ramos, from the Communications and External Relations Department

DSC_9470

L-R: Leo, Carlos and Karessa, taken along the Coulée Verte (Paris 12ème)

Briefly tell us: how would you describe yourself?

According to me, I’m flexible. According to Filipinos, “Marunong makisama” which roughly means someone who knows how to get along well with others. Lastly, according to my family and friends, tenacious.

Imagine that you could only have one hobby. What would it be? and why would you choose it?

Cooking and baking. I love the whole process, from going to the market to buy the ingredients, to tasting the finished product (of course). I don’t know exactly why I like it. Perhaps it’s because sharing food is vital within the social life of us Filipinos.

How did you come to work at the BBVAMF (BBVA Microfinance Foundation)?

I started out as an intern, hired to work for a few months in Bancamía (the Foundation’s entity in Colombia), with the Finance Department in 2010. Luís Germán Linares was still VP for Finance at that time. (Did you know that I got an offer to work for them?) When my “apprenticeship” ended and I had to return to Spain, I consulted  whether there was any vacant posts I could vie for in the Foundation. It turned out that a vacancy just opened up at the Finance Department and that was where I started: collaborating in the elaboration of the Annual Consolidated Financial Report, with my first mentor, Ana Nogueras.

Come on… Tell us a funny moment you’ve had in the BBVAMF.

It was during one afternoon in the office and I was checking some PPT templates. I had my headphones on and was listening to ’80s songs and when Kylie Minogue’s song played, I started singing without realizing it, and my officemates started to stare. I suddenly saw some of them turn their heads down smiling, or maybe they were laughing. Later on, I understood that it was because I sounded like a cat… Well, for me it was funny, but maybe for the rest it was annoying, hehehe! (Let’s ask Victor H.)

What do you consider your greatest achievement?

The lessons I learned are my greatest achievements. And among them, I really treasure having learned to be more assertive and empathetic (although a lot of work has yet to be done). If I may add another thing: I am also very proud of the relationships I’ve established through the years. I’m surrounded by good, kind, intelligent and trustworthy people. They help me think, they laugh with me (and at me, I suppose), they cry with me, eat with me… they offer excellent company and I learn a lot from them.

What has been your happiest moment?

When I survived my son’s birth in France. There was a moment when I was actually thinking of leaving final instructions to my husband because I already accepted I wouldn’t last for very long. So when the doctors announced that they could solve my issues, I felt really happy. Most of all, that wave of happiness came when I started realizing I was going to live for at least another day!

Where would your ideal vacation be?

In my hometown, in the Philippines.

If you could learn something new, what would it be?

I’d learn how to ride a horse.

If  you could transform into another person, who would it be and why?

I would like to be transformed into my grandmother, and experience how it is being my own mom’s mother, HAHAHAHA! Seriously now, my maternal grandmother was the first enterprising woman I’ve ever met. She was strong like no other: she separated with my grandfather, taking charge of her four children with a teacher’s salary, she learned how to cook many kinds of plants so her family wouldn’t go hungry… when she retired, she improved her cooking skills and started a catering business so she wouldn’t depend on her children for her expenses. Furthermore, as a teacher, she would stay until late in the school, tutoring the students for free and she wouldn’t go home until they caught up with the lesson. I would like to be a woman like her: committed, intelligent, creative, generous and with the desire to transform her environment. The reason is because I’m seeing the legacy she left behind, the values and principles my cousins and I possess. And I also see how we are trying to pass them onto our own children.

A dream?

I wish for women’s situation to be normalized. That is to say, for us to stop feeling pressured to prove ourselves as valid as men; for us to fearlessly express our femininity whichever way we want to; that our happiness, value and aspirations not be measured with masculine metrics; that we stop judging ourselves and the competition that supposedly exists among us be converted into solidarity and cooperation.

While we’re dreaming… What would be your super power?

I would like to have the power to teleport. Is that how you say it? I like traveling a lot and that would cheapen the fare, hahaha!

Anything else you want to share about yourself?

I love eating. And you know it!

The former interviewee would like to ask you: if you could travel to the past, where and insist period would you have liked to live?

I would like to travel to the Philippines during the precolonial era.

.

10 Inputs for Rookie Employees (Fresh graduates, I see you!)

As I celebrate 10 years since my first employment, please allow me, dear reader to give unsolicited advice for those who, for the first time are reveling in the wonderful world that is: the workplace.

1- Just how urgent are urgent tasks?

They are pretty urgent. However, a common rookie mistake is to be stressed because their superiors would give them five tasks that are simultaneously labelled as URGENT. The more prepared interns/fresh graduates would pause and actually ask, “Okay, but which of these is the MOST urgent?”. To which the manager would respond, “All of them are equally urgent”. This is a lie. Because even if you, little grasshopper, are a wizard of all sorts and were able to finish all the tasks punctually, your manager CAN NOT POSSIBLY revise them all at the same time.

This is why I would suggest you rather ask, “Which of all these urgent tasks would you like to revise first? Could you give me a deadline for each of them?”. This means that your manager would have to sit down for 5 minutes with you and decide, say, Task 1 should be on his desk in 1 hour, Task 2 to be submitted in 2 hours, Task 3 in 2 hours and a half, etc… And if he refuses to do this, then feel at liberty to prioritize the work yourself.

Tip from my mother: If your manager DID sit down and classify the tasks with you, remember to write him an email confirming what you just talked about. This would be your safeguard against any future “misunderstandings”.

2- Gossiping is One Train You Should Not Hop On

Avoid gossip. Even if you’re only a “listener” and not a “contributor”, do not be around people who gossip. It’s a waste of time and it only brings distraction. Besides, being a “listener” is just as bad as contributing because it means tolerating trash talk about somebody who can’t give his side of the story.

If you want something cleared up, talk to the person face to face. Also, don’t criticize anyone behind their backs unless you’re 100% sure you can repeat the same words in front of them.

Most importantly: Don’t use gossip as a weapon if you’re not sure you can take the fire.

3- Doubts Will Arise

I know 40-year olds who are still not sure what they want to do with their current lives, let alone their future. So be kind to yourself and consider that as a young person starting to explore a new world, it’s only natural to feel doubtful and undecided about things.

NEVER be afraid to take a step back and evaluate your situation. If you feel the need to go back to studying, take a sabbatical, change career directions, or whatever you feel that could make you grow, go for it.

Still, it’s absolutely important that you be clear on your purpose. Ask yourself, “Why am I doing this?” Is it for the money? for personal needs? for professional fulfillment? or for sheer curiosity? Afterwards, ask yourself again, “Would this change be able to sustain me until I get my bearings back?”

4- Is it Wise to Mix Personal and Professional Life by Making Friends at Work?

Personally, I think it matters little whether this is wise or otherwise (pun intended). Human beings are social animals so whether we like it or not, we will always be drawn to gatherings, socializing and eventually consolidating one “favorite” group of people from work. What is wise though, is to choose your work friends prudently.

In this light, think 50 times over whether it’s worth “hooking” up with an office mate. ‘Nuf said.

5- Honesty Really IS the Best Policy

Be as honest and frank as possible with your direct manager. Even if she isn’t totally honest with you, be transparent with them with whatever issue you have that might affect the quality of your work.

Your manager’s lack of “honesty” could be explained by the fact that some work-related subjects should remain only in the hands of the “upper crust”. I’m not talking about this kind of honesty. Any topic that relates directly to you or your work is a topic you have the right to know about. Similarly, your manager has the right to be informed about anything that could directly affect the accomplishment of the objectives she set for you.

In my case, I opened up to my former supervisor regarding my problem when I get hungry. You might think this is an exaggeration, but “cranky” is an understatement in this case because I would suffer a complete shut down of all my systems: I become a friend of none and an enemy to all, I make bad choices, I start remembering past offenses… try to get the idea of that kind of co-worker.

6- Drop the Delegation Drama

KNOW that it is your manager’s obligation to properly train you for whatever is written under your job description. He should know that whatever mistakes you (or anybody else under his supervision) make would directly reflect on his performance. So if he’s wise, he would adequately teach you everything you need to know to deliver a quality output. If he’s not, he would hoard all the tasks while you sit on the sidelines- that way, the deliverable would be quasi-perfect and he would not risk his attention being called.

One of my former managers was like this. I described the experience in this post.

As a newbie, it would be normal for some time to pass before some major decisions or operations are to be delegated to you. But don’t lose heart: it will come. And the first step towards that direction is to reflect the seal of excellence in every deliverable that bears your name.

7- The Value of Knowing Your Place

When you argue with your boss, LET YOUR OBJECTIVE BE TO BE HEARD and not to win/change his mind/make him side with you. While you’re at it, be as eloquent, as respectful and as precise as you can be when letting yourself be heard.

Trying to get into an argumentative battle with a superior will only leave you badly wounded and demoralized. Think about it: managers have had years and years of “training”, having had more experience in almost any type of arguments in this life. Sometimes, a smile is the best response. This way, you save time which you could use later on for whatever you wish for! PLUS, you save energy and keep your happiness.

8- Commitment Issues

It’s okay for you not to love your job. However, don’t make it an excuse to under perform.

It’s very important to leave a good impression in your job, especially if it’s the first one, and you achieve this by committing to produce the best results you possibly could.

Talking to a friend the other day, we both agreed that nothing is forever. But if we want something to last, there should be a conscious effort from our side to wake up each day and make a decision to get through the day, everyday. Work-wise, it’s the same.

In my opinion, problems could arise the moment your job starts to go against your values. A friend once told me she turned down an offer from a company that manufactures weapons for war. Another one told me that he had to leave his former company because ethically, he didn’t agree with its new strategy. When this happens, thoroughly weigh your options and be realistic about how you’re going to pay the bills and fund your dreams when a regular flow of income gets cut off.

9- Understand Your Contract

Back in France: each time I signed a new contract, an HR personnel was always beside me and ready to answer any questions I might have. Even if I took my sweet time to carefully read the 12-page document, they would patiently wait without interrupting me. They would explain anything, from something as simple as the personal tax deducted each month, to something more complex such as the legislation applicable to my situation.

Even more necessary is for you to understand your paycheck or pay stub. Keep track of your monthly expenses starting with the automatic deductions from your revenues. Don’t forget, you’re “adulting” now!

10- LET GO OF EXPECTATIONS

This final advice is the toughest one I’ve learned, because I’ve known it to be true for quite some time now.

I know it works for everyone who has tried it. However, I just wasn’t able to apply it in my own life. Now that I’ve started to do so, I’m much more fulfilled and happier than ever before.

The key to peace of mind is: not to expect anything. One thing is to bear in mind things like: scheduled meetings, DEADLINES, patterns of behavior and so on… but another thing is to be open-minded enough to ACCEPT THAT EVERYTHING IS SUSCEPTIBLE TO CHANGE. Remember, disappointments only exist because they were pre-determined by an expectation or two. So in this equation, the less we expect, the less we tend to be disappointed!

Adulting and Money Management (3.3): The Money that I Owe

Adulting and Money Management (3.3): The Money that I Owe

On How I Acquired Loans Responsibly

The first time I formally owed money was when I took on a store credit to buy a bed. I was 22 years old and just moved out of my parents’ house.

Needless to say, I was very nervous when I signed the papers. I grew up in a family where borrowing money is a big no-no and I have always been told that it could bring a lot of misery and trouble. I’ve seen families fight, children who cut all contact with parents and even friends who stopped talking to each other because of money lent and borrowed to one another. Because of all that, I was afraid to get any kind of credit and was doubtful about my ability to honor the payments. It didn’t matter that I had a one year contract at work, neither that I had 8 months to pay it off, nor the fact that there was no interest rate applied (the store had a special promotion).

Knowing what I know now, I only wish somebody could’ve told me that:

  1. at some point in life, it would be necessary for me to borrow money,
  2. there are ways to not be enslaved by loans and,
  3. it is possible to live happily with debt, if one borrowed money responsibly.

Resultado de imagen de responsible loan

Image courtesy of: http://mzansilive.co.za/

The importance of taking the time to honestly reflect

So far, no debt has financially strained me to a cracking point. I guess the reason is because I think more than twice before acquiring a loan of any kind. All the scary stories and the horrible experiences I witnessed from peers and friends have served as a starting point in each and every debt decision I’ve ever made.

I usually go by the motto, “If you can’t buy it in cash, you can’t afford it”. So whenever faced with a buying dilemma, first I evaluate the usefulness or the value of what I’m going to buy:

-How long will I use/enjoy the item?

-Will its value increase our decrease over time?

-Can I sell the item if I find it of no use to me in the future?

Secondly, I examine my current financial standing:

-Why can’t I afford it?

-Is it a problem of liquidity (availability of cash or other means of payment), or a matter of really not having enough resources to purchase the item?

-Can I perhaps save for it today and buy it in the future? Or would the item increase in price by the time I have enough money saved?

Lastly, I make sure that paying for such debt would not cause a great dent on my future quality of life. Technically, this could be achieved none other than by sitting in front of a calculator, pen and paper (or a spreadsheet) and start crunching the numbers.

When choosing a creditor, go with the one who offers the best terms of payment FOR YOU

You might ask, “How is it even possible to have a debt and live comfortably?”. It IS possible.

The first condition certainly would be to not overwhelm yourself with loans. Borrow only the amount that you are able to return.

Equally important is that this could be achieved if you invest time and effort in searching for a creditor whose terms of payments suit your situation.

Below, I’ve made a list of the most important purchases I’ve made on credit. All of them have one thing in common: I got them at 0% interest rate. This is where the time and effort came in: once I set my mind to getting something extra-special that needs a financial sacrifice (debts make you sacrifice your future purchasing capacity), I start browsing the market (virtually and physically) for different kinds of offer. Personally, I prefer to go to a physical store and talk to the salesperson. I’ve always gotten the best deals through one-on-one negotiations.

Some stores give you the option to determine how many installments (usually in months) you need to pay the credit off. In these cases, I always chose the least possible. The soonest I can get out of the debt, the better.

Past credits to stores:

  1. Bed: 8 months
  2. Thermomix: 3 months
  3. Wedding earrings: 3 months
  4. House appliances (dishwasher, refrigerator and microwave oven): 4 months

Credit card debts (payable 3 months after purchase):

  1. Plane tickets
  2. Hotel reservations

Outstanding debt:

  1. Student Loan

The role of emergency savings

It’s important for me to briefly discuss something about my outstanding debt.

As I’ve said, I don’t pay interest for this loan. So every month, a flat rate gets deducted from my bank account. This would go on until the principal amount has been paid off; and according to the terms I signed, it would still take some time before I see that day arrive. This is to say that the greatest risk I face is the suspension of my steady revenue flow before fully paying the loan; in my case, it will be unemployment.

Truth be told, I actually faced this situation not long ago. I lost my job, but luckily I was eligible to receive unemployment allowance. However that too, was a limited source of income. So when it got depleted, I had to tap my savings- my emergency savings. I had to set aside such amount that would allow for one whole year of payment for this loan while I search for a job. (I simply decided that it would take me one more year before getting back to work.)

Fortunately I am now back to having a salaried employment, and it didn’t take me one year!

Resultado de imagen de responsible debt

Image courtesy of: https://www.agingcare.com

So now, until that debt gets paid off, I consider each monthly installment just as I budget fixed household costs (ie: rent, electricity, water, food, etc…), like what my friend Edward mentioned in this post. At the same time, I exert a conscious effort to increase my savings, especially my emergency savings.

I am aware that most people’s idea of having emergency savings is for it to be used during a health crisis, a natural calamity or the death of a loved one. But emergency savings also have to cover whatever household needs there are when the regular flow of income is interrupted, or reduced.

DO NOT TAKE UP LOANS FOR THINGS YOU DON’T REALLY NEED

Half a year after having a regular job with a stable salary deposited in my bank account, I also started to receive letters from the bank informing that I have automatically secured a 3,000-Euro loan! I also got an instant approval to avail a “golden” credit card from the same bank. To top it all, my husband also got the same letters!

We just threw those in the garbage.

My husband and I could’ve enjoyed the “easy” money back then. But we decided to be frugal and live within our real means.

On Personal Loans

My attitude towards personal loans is even more strict and rigorous than with the formal ones. As far as relationships go, I try very hard not to let money get in the way. Actually, the best way to preserve a relationship is to set money matters aside. But when times get tough, to whom would one go for help? To a friend or family member, right?

In my limited experience on personal loans, I’ve always carefully chosen the people who I plan to borrow money from. They should be financially comfortable enough to lend the amount I will ask, without having to sacrifice their quality of living. They should also be people I greatly trust and who trust me equally. Additionally, I choose those who I believe are unafraid to call my attention in case I forget to pay, or give them the incorrect amount.

It’s very important to be clear that the money being passed from one person to another is eventually going to be returned the other way around. If you’re lucky to have a friend or family member who would insist that the money be a gift instead of a loan, then enjoy! Otherwise, be clear on the terms of payment: interest rate, installments, “deadline”, and so forth. Trust me, it’s not worth losing a loved one over money.

Responsible borrowing

Acquiring loans responsibly takes a lot of time and effort, just like any other “adulting” activity. Although compared with other “adulting” decisions, this will cause a direct and immediate effect on your quality of life in the near future- once the payments set in.

It would seem boring and tiresome but it’s worth thinking more than twice before deciding to take up a loan. Then once the decision has been made, it becomes even more important to take a moment to search for the most suitable creditor and to plan your new budget considering the periodic installments.

Borrowing responsibly also means being prepared for various risks that might mean having difficulty in making the payments (such as being unemployed). For this reason, it’s important to factor in an additional amount in one’s emergency savings when preparing the new budget.

One risk worth remembering is the temptation of acquiring an “easy” loan with seemingly “comfortable” terms and conditions. I have never heard of anybody live comfortably with a loan that was used for something they didn’t really need.

Lastly, responsible borrowing entails mixing personal and financial affairs the least possible. Though when inevitable, another round of reflection, research and budgeting has to be made, all in order to be able to live happily even when indebted.

Resultado de imagen de responsible borrowing

Image courtesy of: http://www.smartcampaign.org/

Adulting and Money Management (3.2): The Money That I Owe by guest blogger Gino

Foreword by Colorfulifesite admin:

Gino’s experience differs a lot from that of Edward, not only because of the generational gap but because of the way the former decided to approach his debt dilemma. The fact that he has not had time to save enough money to be considered “financially stable” is a great factor in his decision to pay his debts with another loan. Now normally, people are advised against this because as you might already guess, it does pose a risk of entering into a debt cycle from where it could then be very hard to exit. It takes discipline, focus and great will power to not fall into a credit trap. Most importantly, Gino did not only take another loan to pay his initial debt- he also made it a point to earn additional money from various sources of income. But I don’t want to get ahead of myself. Dear reader, learn and enjoy!

***

Karessa asked me why I volunteered to be a guest blogger in Colorfulifesite Blog. The truth is I’m really eager to inform people about how I somehow recovered (slowly) and survived from my personal financial crisis. I would also like to share my experience, in case it could give them options on how to solve their debts.

Resultado de imagen de debt

Image courtesy of: http://www.fitslimstrong.com/

The Backstory:

Several years ago, my friends and I set up a corporation. It was the first business venture of my life. Needless to say, I was new to the corporate world and had not even the fundamental knowledge of things. I just took the opportunity. It was a “strike while the iron is hot” kind of thing. I was excited and impulsive at the same time that I didn’t even bother to educate myself, believing that I could learn along the way. Likewise, I joined the business world without any “financial muscle” because supposedly my contribution would be my skills. (Actually, the majority of the founders didn’t have money to invest. All we had were our Information Technology or IT skills.) This was why we needed an investor to sustain the various costs of this venture: marketing expenses, logistics, employees, and so forth.

One of the founding members met a potential financier who we all thought was an angel investor. After me and my friends agreed on his participation, he gave us a big amount of money as seed funds. We divided the financial responsibility and assigned each one an amount to be paid to the angel investor when the time came. All along, we believed that we would pay him back upon the success of the company’s project. After the papers were signed, the corporation became a legitimate one.

Unfortunately, things eventually started to go downhill due to the company’s internal issues. These issues imploded up to a point where I had to personally borrow money from loan sharks just so I could pay our employees’ salaries. I was confident I could pay the loan sharks, but little did I know that a deeper financial trouble was about to blow up in our faces:

What we thought was an angel investment was actually not. It turns out we signed a document stating that he was loaning money to the corporation, not investing! Furthermore, the terms stated that the loan should be paid within a year.

To top this all off, I have acquired credit card bills as well as other personal debts to settle.

Resultado de imagen de loan shark

Image courtesy of: https://es.123rf.com

Thankfully, the debt to the “investor” was cleared by the person who invited him to the corporation. Still, I found myself looking at an important financial dent.

The Debt Story:

I had to start getting rid of the accumulated debt I still have. So what I did was that I sold everything I could and pawned some of my belongings. That gave me some “starting money” to do something about my debts.

Resultado de imagen de debt

Image courtesy of: http://www.kiplinger.com/

Likewise, I returned to my parents’ house to save on rent and started recycling some things, like my old computer. Most importantly, I got help from my family in getting a loan to pay the loan sharks. My mom helped me get loan from cooperatives (Credit Unions) that give a lesser interest rate and a longer period payment plan. Loan sharks’ conditions of payment were tougher than a bank’s, so it was of my great interest to get them off my case as soon as possible. That’s the bad thing about getting a loan that doesn’t require any type of verification such as tax declaration, employment record, etc… Anyway I paid a big part of my debt through those cooperatives.

According to Investopedia,

A credit union is a member-owned financial co-operative. These institutions are created and operated by their members and profits are shared amongst the owners.

… (They) represent an alternative to banks and possible solutions to common complaints about traditional banking institutions… (It is) a savings and loan entity formed by a group of people who share some common characteristics, such as a profession or geographic location. The members of the group pool their money to provide loans and demand deposit accounts to other members. Credit unions are not-for-profit entities that are owned and founded by their members; they function as democracies, with each member having a say in how the credit union is run.

As a matter of fact, we borrowed from 3 credit unions. On 2 of them, my mom was the account holder while the other one is under my younger brother’s name. I did this because they were the only ones who were qualified to apply for a loan.

Part of the money I used to pay the cooperatives was earned through online jobs. I had to work double shifts and with multiple employers. All of these, without counting other jobs, so all in all that required me to work for 10-16 hours a day. I went on getting local contracted jobs too, like designing small business solutions for small enterprises. The pay was small but at least I got something, rather than nothing. (It also helped me build more contacts.)

As I mentioned before, I got some money came from pawning and selling my belongings. Some proceeds from the sold stuff were used to get along with my everyday life. I’m not even talking about spending for leisure; I meant something more commonplace like buying food and paying for fare. This money also allowed me to pay some of my other personal, smaller debts.

Then my father said he will pay some of my debt from one of my mom’s cooperative account and I can pay him whenever I could, without interest. I was relieved!

After that, I got a chance to enroll in an MBA course to educate myself on how to properly run a business. While I was in school I kept on accepting online work and working for local clients mostly to pay my school tuition, my dad, my mom and my brother. To this day I’m still not 100% clear of my debt but it’s more manageable compared to what had happened to me few years back.

-The End-

Colorfulifesite’s Note: Gino has long since learned his lesson regarding the need to be financially literate and equipped before entering a business venture. He is currently a Managing Partner at a couple of startups focused on helping small enterprises get the best adapted business solutions.

Sources:

  1. Credit Unions, Investopedia, available at: http://www.investopedia.com/articles/pf/08/credit-union.asp

What’s on a reader’s mind (2)

A very dear reader from Canada wishes to share his experience in “adulting” and money management.

However, before I move on to divulge his wise words, let me first mention how I have never met anybody online as kind and as frank as Mr. Edward Hillyer. We met in Facebook. We have a common friend who used to actively publish politically-flavored posts in his wall. It was in the comments’ section where we started out politely arguing about the different topics we enjoy. Now I believe that I may proudly say that we are friends… friends in the sense that I would seek his advice, and he would generously give it; friends in the sense that he would tell me nice stories about his childhood and his family, and I would ask him for more similar anecdotes.

I used to be reluctant in having a social media life but with a great discovery like Edward, I believe it’s worth all the trouble of meeting the weird and creepy people that roam around the internet.

I thank this dear friend for supporting my blog through actively participating in its Facebook page, as well as in my personal page.

I truly hope that you can learn as much from him as I do.

Thank you, Edward!

(The following comment originally appeared in the Colorfulifesite Blog’s Facebook page, dating 6th of February, 2017.)

My first comment on adulating [sic]* and money: If you have ever had a credit card, you will have noticed how a little here and a little there, (ten dollars for a pair on sunglasses, 20 dollars for a new top) will cause your receive your credit card bill with shock. How could just a few dollars here and a few dollars there add up to such a large bill? On the door to my father’s office was a quote ‘It all adds up’. You see this in your credit card bill that shocks you each month. This is the reality, it all (even small amounts) add up. With this knowledge as a given, why not be smart? It 2 +4 = 6, then 4 + 2 also = 6. This information is reversible. If you save a few dollars here, and a few dollars there, IT ALL ADDS UP, just as spending does on your credit card. This is a given. If you save money in your daily life, it will add up.

This was my reply, dating 8th February 2017:

Thank you for this simple yet monstrous truth, Edward. My personal experience with credit cards is quite nil because having been raised in a frugal household; we have always tried to avoid expenses (present and future). We only borrowed money if we didn’t have any other option at all. But I had a similar experience with my day to day life before my husband and I got married. We had good jobs and were living in the city center. So the temptation to get a beer here, have a bite there, etc… was always near. And we would usually give in to the “little” ones, until we realized that the 3x a week trips to have tapas at 2 EUR a glass of beer (we would end up having 3-4 glasses each) would sum up to 192 EUR a month! Imagine how much that would be in a year! So we started to save small coins and also stopped eating out too much. This was one of the ways we were able to save for our wedding (for my part, I was able to save for my dress, shoes, earrings and head accessory). Yes, we’re proud to say that we financed that marvelous celebration of our lives!

In a reply to one of my posts, (this time, in my personal Facebook page dating 22nd February 2017), Edward recounted an advice given to him by his father. Honestly speaking, I wasn’t prepared to be blinded by the light.

I joined Les Grands Ballets Canadiens at 17 years old as an apprentice. I was paid half the salary of a corps de ballet dancer ($75.00 a week). I managed on that fine. It was tight, but I did it. However, after three months with the company, they tore up my old apprentice contract and gave me a corps de ballets contract. I wrote to my father with excitement. ‘My salary has more than doubled. I now earn $155.00 a week!’ My father expressed his pleasure but mentioned… ‘If you got by on $75.00 a week, this means you could now save one whole salary each week.’ What a brilliant observation. However I did not follow his advice. I adjusted my standard of living to my larger salary. I had not ‘adulted’ yet. In youth, there is a tendency to spend all the money we have before our next pay day. It really does not matter what the salary is, we will be out of money by pay day. I was poor, then rich, then poor, then rich, then very, very poor, and now I am financially independent. Like others, I have been through it all. And, I learned from it all. When the endless value of money is recognized, we will prefer the money (security) to the fancy shirt, the latest shoes, the newest gadget and the expensive restaurant. I used to live in a three story house on two acres of land with a swimming pool and three cars for two people. Clearly I had far more than I needed. What do two people do with an acre of land each? Why would two people need three cars? Why would two people need three stories? I was working two jobs and was sick with the work. I felt I needed to reward myself for working myself to the bone. How very stupid of me. I earned $90,000 a year and was always broke before pay day! Now, I have no car, no smart phone, no cell phone, no television, no house, no iPad, no IPod, no MP3 player and no cell phone. What do I have? financial security and peace of mind. The value of this is far greater to me than any material thing.

*Edward’s computer would automatically and stubbornly replace the term “adulting” with “adulating”, and so he spent the whole time with the latter word. Colorfulifesite edited the rest of the typos.

-The End-

Don’t hesitate to comment on Edward’s ideas, or share your own experiences in “adulting” and money management!

Remember that you can write to: colorfulife@outlook.es, or use the Comments’ Section below, or you could also use this blogsite’s Contact Page to tell us your stories. Thank you!