Wise borrowers are empowered members

BALANGA CITY, Bataan – The SIDHAY multi-purpose cooperative has been educating its members through different seminars for them to be empowered especially in terms of borrowing.

The speaker, Ms. Alma Poblete of SIDHAY Education Committee explained that the primary purpose of a cooperative is investment, but the fact remains that, if a member is joining a cooperative, the first question he/she asks is “how much can he/she borrow or loan from the cooperative”.

Ms. Poblete emphasized that since borrowing is one of the services of cooperatives, the members should be wise enough as to when, whom and how to borrow, which is the very purpose of the seminar.

During the seminar, the members were also made to realize that since borrowing is indispensable, the board of directors of the cooperative, needs to carefully screen the borrowers on the 5 C’s… Capacity to pay, Collateral, Character, Capital and Condition prevailing at the time. This, according to Ms. Poblete is beneficial not only to the borrower so as to be fully assisted but also to the cooperative to be assured of the return of investment.

The most important topic discussed is on the rights of the borrower. The Lending Act was fully explained, which boiled down to the concept that a good borrower becomes a good contributor to the good standing of the cooperative, hence a wise borrower is an empowered member.