Malayan Bank starts microfinance lending

Malayan Bank is pouring in more funds for its microfinance business this year in a bid to join the major players in the thrift and savings banking system.

Malayan Bank senior vice president Philip Madrigal said they intend to allot about 30 percent of its total loan portfolio or some P100 million for microfinance-related ventures.

Madrigal said the bank is new in this business, joining the bandwagon of banks offering microfinance loans only last year.

"We started April of last year with only a small microfinance fund in our Laguna branch. Now, we plan to be more aggressive and offer it to all our branches," he said.

Aside from widening the bank’s social corporate responsibility, he said providing microfinance services is also a vital component of its enhanced strategy to venture more into non-traditional banking businesses.

"One of the main thrusts of Malayan Bank is to offer its services to the micro and small entrepreneurs," he boosted.

The bank official said they are not only offering loans but also accepting deposits through its pioneering and consumer-friendly Doble-Doble sa Power Saver savings plan.

Its microfinancing loan package offers as low as P5,000 up to P150,000 while its Doble-Doble sa Power Saver deposit package accepts as low as P35 daily.

The deposit program answers the need of those who want to start a retirement fund, prepare for their children’s education, or start a micro or small business.

It offers superior yield, low and affordable monthly contribution, flexible maturity terms, guaranteed interest earnings, accessible credit, and with PDIC insurance coverage.

The bank also launched an OFW special facility called Paglingap sa Kapuso savings program which is an investment plan aimed to provide financial assistance to overseas Filipino workers (OFWs) by helping manage their household finances in the Philippines and be able to save part of their earnings abroad.

It is on its 10th year as a savings and mortgage bank. Its principal shareholders include the owners of GMA-7 Network, Majalco Group, and Liberty Flourmills.