Final Flashcards
It is the economic vehicle that provides banking services to people who otherwise would not be to avail of them and these people are usually those who live and work in the countryside (Ortega)
Rural banking
It may be practice in other countries, foreign literature in Finance does not indicate so
Rural banking
What is clear that in the Philippines, this is a government priority
Rural banking
It is one established and located in a rural area that provides banking and financial services to residents of such area
Rural bank
The places where the head offices and branches of a typical _\ proves that the provide services in the rural areas
Rural banks
Role of Rural Banks
New Rural Banks Act
Republic Act No. 7353
Promote rural develop with the end in view of attaining a more equitable distribution of opportunities, income and wealth; a sustained increase in the amount of goods and services produced by the nation for the benefit of the people and in expanding productivity as a key to raising quality of the life for all especially the underprivileged
The State hereby encourages and assist in the establishment of a rural banking system designed to make needed credit available
The fundamental purpose of the existence of rural banks
Provide credit access to farmers, fishermen, and the rural communities
It is any corporation engaged in the business of accumulating the savings of its members or stockholders and such accumulation together with its capital in the case of stock corporation, for loan and for investment in the securities of productive enterprises
Savings and loan associations
Securities of the government or any of its political subdivision, Instrumentalities or corporations
Savings and loan association
The law indicates that it shall be primarily engaged in servicing the needs of households by providing personal finance and long-term financing for home building and development
Savings and loan association
The two types of Savings and Loan Association
Stock
Non-stock
In addition to the powers granted under the Corporation Code of the Philippines, exercise all the powers and assume all the obligations of a savings and mortgage bank
SSLA
SSLA
Stock Savings and Loan Association
Services offered of SSLA
Exercise all the powers of a savings banks and mortgage bank
With the approval of the Monetary Board, perform services authorized by commercial banks
Their offer will only be limited by the individual capabilities
Services offered by Private Development Banks
Exercise the powers of a savings banks
The difference will be based on the capability to offer as many services as they can
