Family Of 12 Faces Eviction For Not Paying Bank Loan

[MaCe 3]

Family of 12 faces eviction for not paying bank loan

E-von Yeung

Wed, Nov 07, 2007

A FAMILY of 12 has been sent packing, literally, from their flat next month for not keeping up with bank loan payments.

Mr Mohd Ali, 40, his wife Latipah, 35, and their 10 children will soon be evicted from their home, in which they have lived for more than four years.

According to Mr Ali, they owe the bank about $10,000 in arrears and have been unable to pay up.

'We want our family all together. We have some financial problems also. I have a lot to pay,' said Mr Ali.

The picture is bleak. Mr Ali said he earns only about $800 a month as a cleaner, his wife has a heart problem and is unable to work, and they have 10 children to support as well as medical bills to pay.

Already, servicing the bank loan for their 3-room flat in Yishun takes more than $800 a month, he said.

Homeless again

Four years ago, the family had been homeless for two years, living at Busoorah Street and sleeping on cardbard boxes.

They would go to the nearby Sultan mosque for their showers.

The family of 12 had also slept outdoors at Yishun Town Gardens for a month.

From the youngest child, who is two years old, to the eldest, who is 17 years old, the kids had to stop school at times, for up to two years at end.

Both husband and wife fear the possibility that social services might take their children away from them.

'I'm worried we don't have a home. I'm worried about my kids. Every night I pray that God will protect my family,' said Mdm Latipah.

Mr Ali already had problems keeping up with payments to the bank OCBC since the second year they moved in.

Despite receiving a total of about $16,500 worth of aid since March 2004 - from the Community Development Council (CDC), the Islamic Religious Council of Singapore, Yishun Family Services Centre and MP Mr K Shanmugam, among others - Mr Ali's heavy debt did not go away.

Financial prudence key

Mr Ali said his family had moved out of their rental flat more than 4 years ago.

They already had difficulties in meeting the monthly rental of about $300 but yet, Mr Ali went on to buy his sister's flat in Yishun by taking a $150,000 bank loan.

This decision proved to be a burden too heavy to bear.

Sembawang GRC MP Mr K Shanmugam said that financial management is important when making decisions on property purchases.

He told straitstimes.com: 'When we make financial decision which are bad or imprudent, it's not possible for someone else to come and bail you out.

'But we must try to do the best we can because there are children involved. Our task is to not sit and moralise, but to try and help in whatever we can.'

On behalf of the family, Mr Shanmugam has already appealed to OCBC to grant them more time to repay the bank loan.

He has also written to HDB to expedite a request for a rental flat.

After reviewing the case, HDB has shortened the usual waiting period of 3 1/2 years to six months.

OCBC Bank's Head of Consumer Secured Lending Gregory Chan told straitstimes.com that it is only after exhausting 'all reasonable possibilities' that 'the bank resorts to foreclosure'.

Extensions can be granted on a case-to-case basis, on compassionate grounds, he said.

straitstimes.com understands that OCBC has already extended the original date of eviction from Nov 16 to Dec 31.

The HDB has said it will not and cannot intervene because a loan is a private contract between a mortgager and the bank.

Families like Mr Ali's who are facing financial difficulties do have various alternatives to get help, according to Singapore Children Society's Senior Counsellor Noor Sida Abdullah.

'If they have school-going children, we can assist them with the School Pocket Money Fund. If they require financial assistance, that's where we can link them to the CDC, to self-help agencies. We also work closely with the MP, if they need advocacy.'

But Ms Sida said financial prudence is paramount, and early intervention - or seeking help - before debts become too big to handle.

Still, for Mr Ali and his family, it seems that all avenues of help for this family have been explored, and wandering homeless on the streets may soon become a tragic reality.

10 kids! !!

[applefreak 1]

sigh... what was the man thinking?

[MaCe 3]

sigh... what was the man thinking?

I felt the bank very ORHSIM....knowing that this guy can never service the $150k loan yet .....

[Cantona7 0]

I felt the bank very ORHSIM....knowing that this guy can never service the $150k loan yet .....

Emm... go question hw can $800 income apply for $150k loan is really too risky. !!

The bank shld hv wait for them to move into the rental unit then vacant the hse.

[applefreak 1]

think if the bank didn't foreclose they won't even start to apply for the rental unit

read the article reporting this family a few years back

really !!

so many ways to resolve the issue but all just sit there and do nothing

[Cantona7 0]

HDB rental is it only One room if yes. Then I can see why Mr Ali took the risk to borrow 150k cos hw to squeeze so many ppl in one small unit. Hai....

[applefreak 1]

no lah, got 3 and 4rm for rental loh

and he was paying $300 so def not the 1rm

[TPY 0]

no lah, got 3 and 4rm for rental loh

and he was paying $300 so def not the 1rm

Really pity on them. Can only fast fast think of below

Fast fast sell off the flat.

HDB fast fast give them a rental,

The 10 kids fast fast grow up.

[therat 18]

don't know what the man thinking..

wife not working and dare to give birth to 10 childrens....

salary $800.. dare to apply Bank Loan for 150K..

Who to blame..

when thing went wrong, he expect ppl come and help him..

ppl own him , is it?

No one ask him to give birth to 10 children. No one force him to take bank loan of 150K

Unless really someone force him to have "activties" with his wife

unless really someone force him to take bank loan

IMO, he ask for

[TPY 0]

don't know what the man thinking..

wife not working and dare to give birth to 10 childrens....

salary $800.. dare to apply Bank Loan for 150K..

Who to blame..

when thing went wrong, he expect ppl come and help him..

ppl own him , is it?

No one ask him to give birth to 10 children. No one force him to take bank loan of 150K

Unless really someone force him to have "activties" with his wife

unless really someone force him to take bank loan

IMO, he ask for

In the fifties, sixties, 10 kids are normal. That time society do not have so much education opportunities and old thinking of having the more is the merrier, no money to prevent conceiving may have resulted in this.

It is a old deep traditional, and chicken and egg problem that has been passed down since decades.

I can still remember the campaign motto of " 2 is enough".

Come to think of it, really feel sympathy to the 10 children, can they choose their parent and not to born in this family?

[applefreak 1]

sorry to say that i also dun pity the children

the eldest is already 17 but not doing anything to help the situation

i've started working since 14 and my education didn't suffer as a result !!

[MaCe 3]

don't know what the man thinking..

wife not working and dare to give birth to 10 childrens....

salary $800.. dare to apply Bank Loan for 150K..

Who to blame..

when thing went wrong, he expect ppl come and help him..

ppl own him , is it?

No one ask him to give birth to 10 children. No one force him to take bank loan of 150K

Unless really someone force him to have "activties" with his wife

unless really someone force him to take bank loan

IMO, he ask for

I remember a documentary on population - the indians.

those educated/middle class indians when interviewed KPKB that it's the poor class that produces the MOST!!!. And it's true....everywhere, not just india - china, sg, malaysia...etc

[TPY 0]

sorry to say that i also dun pity the children

the eldest is already 17 but not doing anything to help the situation

i've started working since 14 and my education didn't suffer as a result

Do we have a family of 10 and being the eldset? How can we understand one's pain and sores if we are not in their shoe. Just imagine, how can a man ever understand a woman's labor pain? Tha same theory applies. So be open, tries to be empathy. Always give the benefit of doubts.

[Maeryn 0]

Interesting why with a monthly income of $800 he didnt apply for HDB concessionary loan and went to get a bank loan instead?

[TPY 0]

Interesting why with a monthly income of $800 he didnt apply for HDB concessionary loan and went to get a bank loan instead?

If the man cannot think rationale but how come the bank follow his wish and lent him so much money?

Bank cannot re-coup back the money who to blame? Can only say when the man borrow , bank didn't check his financial eligiblility properly. Bad dept sure if enough background work is done.