MANILA, PHILIPPINES, 24 July 2025— For many Filipinos, borrowing money has long been a way to get through tough times. It can help to pay for food, tuition, medicine, or bills when income falls short. These needs remain real and urgent. But as the economy shows signs of stability, it’s also time to ask: Can loans be more than just a last resort?

According to the Bangko Sentral ng Pilipinas’ latest Lending Trends and Practices Report (Q1 2025), the majority of borrowers still take out loans to address daily expenses and emergencies. However, the same report notes a rising awareness of credit’s potential for “asset-building” and “productive use.” This is a good sign that the mindset around borrowing may slowly be shifting.

While uncertainty still lingers such as job security and rising household expenses, the easing of inflationary pressures has provided a window for more Filipinos to breathe and think beyond survival. As financial tools become more accessible and borrowing options more transparent, there’s a growing opportunity to reshape the narrative: borrowing not just to survive, but to grow.

Turning Loans into Livelihoods

For many aspiring entrepreneurs, the biggest hurdle is the capital. A small loan can help cover the initial costs of starting a microbusiness, whether that’s a sari-sari store, a food cart, or an online reselling venture. These small-scale businesses don’t require large investments, but they do need a starting fund for inventory, equipment, or basic supplies. With a bit of capital, a side hustle can grow into a steady income stream.

As digital platforms and informal marketplaces grow, so do opportunities for self-employment. From local food delivery to secondhand goods and mobile e-loading, borrowers now have more ways to put their loans to productive use. When borrowing is done responsibly, it can empower individuals to take control of their livelihood, and lay the foundation for future financial independence.

Investing in Skills for Long-Term Growth

Borrowing can also be a stepping stone to personal and professional development. Short courses or training programs in areas like project management, digital marketing, bookkeeping, or even welding  can open doors to better job opportunities or freelance work. The upfront cost may feel intimidating, but a loan can help bridge that gap as they can turn education into a long-term asset.

With more online learning options and flexible certification programs available, improving or unlocking skills can further lead to a higher-paying and more stable work. Loans, when used with purpose, can help Filipinos build careers that offer both dignity and growth. 

Using Credit to Improve Quality of Life

While some use loans to increase income, others use them to create a more secure and comfortable home life. This could mean buying a secondhand appliance to replace a broken one, covering tuition to keep kids in school, or funding repairs that make a house safer and more livable. These aren’t luxury expenses but they’re steps toward building a better, more stable life.

Credit can also help individuals bridge seasonal gaps in cash flow, especially for workers with irregular income or small business owners during lean months. By easing short-term strain, loans can help people avoid riskier financial alternatives like pawning valuables or relying on informal lenders. 

As more Filipinos explore the idea of borrowing to grow, reliable credit becomes even more important. Digital lenders like JuanHand offer a convenient and accessible way to borrow, especially for those who may not qualify for traditional bank loans. With just a smartphone, borrowers can apply, get approved, and receive funds, often within minutes, thanks to the ease of minimal requirements, no long lines, and a judgment-free process. When paired with clear terms and financial education tools, online lending can become more than a quick fix; it can be a stepping stone toward personal progress and financial empowerment.