Economic Resource Center for Overseas Filipinos

Get personal financial planning information and assistance.  Check Frequently Asked Questions (FAQs).

Rationale for Personal Financial Planning Services

Many Filipinos have resorted to overseas employment as a solution to the survival of their families in the Philippines. Thus, promoting the idea of savings may be quite difficult, especially when a substantial portion of the earnings of many OFWs are already allocated for basic needs such as food, shelter, clothing and education. Whatever may remain goes to the OFWs own needs, or may be saved for emergencies, and ironically, luxury items.

On the other hand, there are also a good number of OFWs whose families' needs are relatively well cared for, and therefore, have more disposable income, and are more susceptible to the idea of savings, investment and Financial and Estate planning.

At any rate, ERCOF believes that financial planning is still possible regardless of one's level of income or need, through the promotion of a Culture of Resource Management or Personal Financial Literacy,  which basically means planning for one's future and maximizing one's resources. In that way, the end result is not only saving, but also a productive change in attitude in the way Overseas Filipinos and their families manage and spend hard earned income. ERCOF provides linkages to institutions that will assist them to adapt faster to this culture

Capital Buildup. Links to community-based financial services and programs, can help OFWs, who may wish to purchase agricultural or residential property, improve existing homes, or start a rural-based enterprise. This facility would also be beneficial to OFW organizations or OFWs belonging to the same community, who may wish to invest in post harvest facilities, mechanized farm implements, or other means that will improve farm productivity.

Health Coverage. Enrollment of relatives in health maintenance organizations means that our relatives' medical needs are addressed at the time they need it, or minimize medical emergencies because of preventive treatment. This also spares the extra remittance charges each time money is sent, let alone needless worry because our loved one could not be attended to until the money arrives. There are now Philippine companies and institutions that make available to the public, products and services that are inexpensive but have value-for-money. ERCOF provides the linkages between the OFWs and these institutions. (These are in the links section.)

Legal Counseling on Property Acquisition. This represents one of the frequent uses of remittances. However, there are many cases of failed or defective purchases and waste of hard earned money, because of faulty titles, improper documentation, and other problems that have resulted from unfamiliarity with laws. ERCOF's legal counseling, legal referral service and FAQs are designed to give basic helpful directions to inform or warn OFWs of potential dangers to ensure that the OFW buyer makes informed choices and decisions. ERCOF also has links with the proper government agencies to monitor whether properties offered abroad by property developers are not suffering from legal or financial impediments that may affect their ability to provide title or completion of facilities.

Property Reacquisition. In many rural areas, people are frequently constrained to mortgage land or other property at unusually high interest rates or other oppressive conditions, in order to defray the recruitment and travel expenses of a relative going on overseas employment. ERCOF may provide not only legal counseling in the event this may be necessary to prevent foreclosures of property, but also linkages to rural-based financial services which could assist in restructuring such loans, or even taking out loans, at more reasonable rates, prior to the departure of an overseas worker.