Baler, Maureen S. et. al. 4 0
The efficiency of credit operations of Department of Engineering and Public Works Savings and Loan Association Inc., as perceived by its members for the year 2002 / 6 6 Baler, Maureen S.; Calinao, Bernadette L.; Gernale, Irosh M.; Guillamon, Al A.; Oracion, Princess P.; Pementera, Judith A.; San Juan, Haydee C. and Soriano, Jenalyn L. - - - 118 pp. 28 cm. - - - - - . - . - 0 . - . - 0 .
Research Paper: (BSBA major in Banking and Finance) - Pamantasan ng Lungsod ng Maynila, 2002.
5
ABSTRACT: The researchers were interested to know the efficiency of the credit operations of a Savings and Loan Association. In relation to this, we chose Department of Engineering and Public Works (DEPW) Savings and Loan Association Incorporated as our point of discussion because in its fifty years in service, it has maintained a good reputation and was regarded by the Bangko Sentral ng Pilipinas (BSP) as one of the efficient and good standing savings and loan associations in Manila. Anothing thing is its accessibility to the researchers. It is located at the Manila City Hall, which is very near to them. The investigation was conducted to determine the relationships between the collection and loan policies of the associations and the perception of the members to those policies to determine the efficiency and affectivity of the credit operation of the association. STATEMENT OF THE PROBLEM Using the members of DEPW Savings and Loan Association In., the researchers sought the answer to the following questions: The study focused on the efficiency of credit operations of Department of Engineering and Public Works Savings and Loan Association, Incorporated (DEPW-SLAI) as perceived by its members for the year 2002. More specifically the research aims to answer to the following problems: Specific Problems: 1. The perception or attitude of the members to the following policies a. Documentary and other requirements b. Length of Processing c. Interest Rate d. Collection policies and methods e. Benefits 2. The significant differences in the perceptions of the respondents on the loan policies in terms of their: a. Age b. Civil status c. Gender d. Salary Grade e. Salary Bracket f. Length of years of membership in the association 3. The perception of the members on the efficiency of credit coperations of DEPW-SLAI 4. The problems encountered by the members. 5. The analysis of the financial condition of DEPW-SLAI HYPOTHESIS This study was guided by the following hypothesis: a. There are no significant differences in the perception of the members in terms of loan policies as to the given variables: 1. Salary Grade 2. Salary 3. Civil Status 4. Age 5. Length of years in membership METHOD OF RESEARCH This study was descriptive - normative in design since the present study was concerned with the present situation of the credit operations of Department of Engineering and Public Works Savings and Loan Association, Incorporated (DEPW-SLAI). The descriptive method interprets and describes what is. It is fact-finding with adequate interpretation. It is concerned with conditions of relationships that exist; practices that prevail; beliefs, processes that are going on; effects that are being felt or trends that are developing. It involves the description. Its process goes beyond the mere gathering and tabulation of data. It involves the description. Its process goes beyond the mere gathering and tabulation of data. It involves the description, recording, analysis and interpretation of the present nature, composition or processes of phenomena. The focus is on the prevailing conditions, or how a person, group or thing behaves or functions in the present. It often involves some type of comparison and contrast. The method of collecting data used was the normative survey. It is a fact-finding study with adequate and accurate interpretation. It is used to collect demographic data about people's behaviour, practices, intentions, beliefs, attitudes, opinions, judgments, interests, perceptions, etc. and then such data are analysed, organized and interpreted. It reveals what is typical, average, or normal against which behaviour or performance of an individual can be judge or evaluated and problems for which timely remedial measures may be instituted. Its results may be used for prediction and through it, researchers can get their responses easily. The instruments used to collect data were the questionnaire and interview. The questionnaire was the principal data gathering tool for this study because it is easy to construct, distribute and tabulate. And in line with that, the respondents were professionals and very literate. They can answer and fill up the questionnaire with ease. Another instrument used was the interview. The researchers used this to gather first-hand, complete and authentic information. And the respondents can ask questions and clarify points, which are unclear to them. It is flexible. The researchers made the following tests to evaluate the informations gathered. Frequency and percentage distribution, and mean was used to measure the central tendency and variability of the samples compared. Hypotheses on significant differences on the perceptions of respondents were tested making use of the Chi-square test. We uysed the chi-square test to answer the hypothetical questions because it is a versatile statistical test named after the chi-square distribution is derived under the assumptions of normality of population. This is also used to find out whether or not a sample distribution conforms with the hypothetical normal distribution, to find out whether or not an observed proportion is equal to some given ideal or expected proportion, and lastly, to test the independence of one variable from another variable. FINDINGS This study was conducted for the purpose of determining the efficiency of the credit operations of DEPW Savings and Loan Association Inc. The descriptive method research was utilized and the normative survey technique was used for gathering data.The questionnaire and interviews as the instrument for collecting data. A 10 percent representative sample of the members total population was the respondents. The inquiry was conducted during August 2002 to September 2002. Majority of the members of the DEPW - SLAI responded that the documentary requirement for granting a loan is enough. There are adequate requirements and forms needed in granting of their loans. These papers needed by the Association are basically accessible and can be acquired easily. In terms of the length of processing the respondents said that it is fast, meaning the members can easily know the result of his/her loan. In return the members can easily work basic necessities that needed financing on. They will not encounter hassles in getting funds for their specific purposes of loaning to the Association. Based on the investigation, the interest rate is high compared to the average commercial lending rate, but still with BSP's limit. It is fixed at 15% since 1983. The association cannot do anything about it because it is prescribed and fixed by the Central Monetary Authority. It is important for the occasion to adhere the policies of BSP. As the researchers had observed, the members still loan from the association even though it has high interest rates. Their perception on the interest rates does not affect their need to loan in the association. Based on the study the collection policies of the savings and loan association on the DEPW are strict. The association collects the funds loaned through the salaries of the members. Due to this fact, the loaned funds are surely collected which can be used for the investments of the association. Based on our investigation, majority of the respondents perception showed that there was no significant difference in the policies in terms of their age. The data pertaining to the civil status if the respondents presents that majority of them has no significant difference in the loan policies of the Association. There is no significant difference in the perception of the respondents in terms of their gender. In terms of the respondents salary grade there is also no significant difference in the perception of the respondents. The data concerning on the length of processing of loans summarizes that majority of the factors of the loan policies of the Association presents no significant difference in the perception of the respondents. The proponents of this study found out that there are certain problems that arise during the operations of the Association. Some of these are the proxy elections and the miscommunication between some of the members and the officers of DEPW-SLAI regarding some of their policies. CONCLUSIONS In the light of the foregoing findings, the following conclusions can now be made: - The DEPW-SLAI officers are effective in the implementing their loans policies therefore members are more comfortable in applying for their loans. They are not very strict in the application and granting of loans so the members can easily avail of the loan. - The loan requirements are easy to accomplish and gather. Making the necessary documents be viewed immediately by the officers. - The length of time processing the loan is good enough to approve the loan so that it will be on the hands of the member who will utilize the money. - The interest rate is high but it is prescribed by the Bangko Sentral ng Pilipinas and is somewhat beneficial to the members because it also increases their dividends received. - The respondents taking into consideration their age had no significant perception on the loan policies of the savings and loan association. - The civil status of the respondents as the major factor considered by the researchers played no significant difference in the perception of the members. - The difference in the salary bracket of the members is not the determining factor in acquiring loan from the Association. Though some members earned higher salaries still they consider making loans to the Association because as the income of an individual increases his consumption also increases thus financial necessities arises. - Because of the unilateral respond if the members of the DEPW-SLAI in their perception in terms of their age, they all agree that the association is effective in helping them with their financial necessities when it arises.
5
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6 --0-- 2 --------
0 2 --
--20------
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----2
/ 2
/ 2
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/
The efficiency of credit operations of Department of Engineering and Public Works Savings and Loan Association Inc., as perceived by its members for the year 2002 / 6 6 Baler, Maureen S.; Calinao, Bernadette L.; Gernale, Irosh M.; Guillamon, Al A.; Oracion, Princess P.; Pementera, Judith A.; San Juan, Haydee C. and Soriano, Jenalyn L. - - - 118 pp. 28 cm. - - - - - . - . - 0 . - . - 0 .
Research Paper: (BSBA major in Banking and Finance) - Pamantasan ng Lungsod ng Maynila, 2002.
5
ABSTRACT: The researchers were interested to know the efficiency of the credit operations of a Savings and Loan Association. In relation to this, we chose Department of Engineering and Public Works (DEPW) Savings and Loan Association Incorporated as our point of discussion because in its fifty years in service, it has maintained a good reputation and was regarded by the Bangko Sentral ng Pilipinas (BSP) as one of the efficient and good standing savings and loan associations in Manila. Anothing thing is its accessibility to the researchers. It is located at the Manila City Hall, which is very near to them. The investigation was conducted to determine the relationships between the collection and loan policies of the associations and the perception of the members to those policies to determine the efficiency and affectivity of the credit operation of the association. STATEMENT OF THE PROBLEM Using the members of DEPW Savings and Loan Association In., the researchers sought the answer to the following questions: The study focused on the efficiency of credit operations of Department of Engineering and Public Works Savings and Loan Association, Incorporated (DEPW-SLAI) as perceived by its members for the year 2002. More specifically the research aims to answer to the following problems: Specific Problems: 1. The perception or attitude of the members to the following policies a. Documentary and other requirements b. Length of Processing c. Interest Rate d. Collection policies and methods e. Benefits 2. The significant differences in the perceptions of the respondents on the loan policies in terms of their: a. Age b. Civil status c. Gender d. Salary Grade e. Salary Bracket f. Length of years of membership in the association 3. The perception of the members on the efficiency of credit coperations of DEPW-SLAI 4. The problems encountered by the members. 5. The analysis of the financial condition of DEPW-SLAI HYPOTHESIS This study was guided by the following hypothesis: a. There are no significant differences in the perception of the members in terms of loan policies as to the given variables: 1. Salary Grade 2. Salary 3. Civil Status 4. Age 5. Length of years in membership METHOD OF RESEARCH This study was descriptive - normative in design since the present study was concerned with the present situation of the credit operations of Department of Engineering and Public Works Savings and Loan Association, Incorporated (DEPW-SLAI). The descriptive method interprets and describes what is. It is fact-finding with adequate interpretation. It is concerned with conditions of relationships that exist; practices that prevail; beliefs, processes that are going on; effects that are being felt or trends that are developing. It involves the description. Its process goes beyond the mere gathering and tabulation of data. It involves the description. Its process goes beyond the mere gathering and tabulation of data. It involves the description, recording, analysis and interpretation of the present nature, composition or processes of phenomena. The focus is on the prevailing conditions, or how a person, group or thing behaves or functions in the present. It often involves some type of comparison and contrast. The method of collecting data used was the normative survey. It is a fact-finding study with adequate and accurate interpretation. It is used to collect demographic data about people's behaviour, practices, intentions, beliefs, attitudes, opinions, judgments, interests, perceptions, etc. and then such data are analysed, organized and interpreted. It reveals what is typical, average, or normal against which behaviour or performance of an individual can be judge or evaluated and problems for which timely remedial measures may be instituted. Its results may be used for prediction and through it, researchers can get their responses easily. The instruments used to collect data were the questionnaire and interview. The questionnaire was the principal data gathering tool for this study because it is easy to construct, distribute and tabulate. And in line with that, the respondents were professionals and very literate. They can answer and fill up the questionnaire with ease. Another instrument used was the interview. The researchers used this to gather first-hand, complete and authentic information. And the respondents can ask questions and clarify points, which are unclear to them. It is flexible. The researchers made the following tests to evaluate the informations gathered. Frequency and percentage distribution, and mean was used to measure the central tendency and variability of the samples compared. Hypotheses on significant differences on the perceptions of respondents were tested making use of the Chi-square test. We uysed the chi-square test to answer the hypothetical questions because it is a versatile statistical test named after the chi-square distribution is derived under the assumptions of normality of population. This is also used to find out whether or not a sample distribution conforms with the hypothetical normal distribution, to find out whether or not an observed proportion is equal to some given ideal or expected proportion, and lastly, to test the independence of one variable from another variable. FINDINGS This study was conducted for the purpose of determining the efficiency of the credit operations of DEPW Savings and Loan Association Inc. The descriptive method research was utilized and the normative survey technique was used for gathering data.The questionnaire and interviews as the instrument for collecting data. A 10 percent representative sample of the members total population was the respondents. The inquiry was conducted during August 2002 to September 2002. Majority of the members of the DEPW - SLAI responded that the documentary requirement for granting a loan is enough. There are adequate requirements and forms needed in granting of their loans. These papers needed by the Association are basically accessible and can be acquired easily. In terms of the length of processing the respondents said that it is fast, meaning the members can easily know the result of his/her loan. In return the members can easily work basic necessities that needed financing on. They will not encounter hassles in getting funds for their specific purposes of loaning to the Association. Based on the investigation, the interest rate is high compared to the average commercial lending rate, but still with BSP's limit. It is fixed at 15% since 1983. The association cannot do anything about it because it is prescribed and fixed by the Central Monetary Authority. It is important for the occasion to adhere the policies of BSP. As the researchers had observed, the members still loan from the association even though it has high interest rates. Their perception on the interest rates does not affect their need to loan in the association. Based on the study the collection policies of the savings and loan association on the DEPW are strict. The association collects the funds loaned through the salaries of the members. Due to this fact, the loaned funds are surely collected which can be used for the investments of the association. Based on our investigation, majority of the respondents perception showed that there was no significant difference in the policies in terms of their age. The data pertaining to the civil status if the respondents presents that majority of them has no significant difference in the loan policies of the Association. There is no significant difference in the perception of the respondents in terms of their gender. In terms of the respondents salary grade there is also no significant difference in the perception of the respondents. The data concerning on the length of processing of loans summarizes that majority of the factors of the loan policies of the Association presents no significant difference in the perception of the respondents. The proponents of this study found out that there are certain problems that arise during the operations of the Association. Some of these are the proxy elections and the miscommunication between some of the members and the officers of DEPW-SLAI regarding some of their policies. CONCLUSIONS In the light of the foregoing findings, the following conclusions can now be made: - The DEPW-SLAI officers are effective in the implementing their loans policies therefore members are more comfortable in applying for their loans. They are not very strict in the application and granting of loans so the members can easily avail of the loan. - The loan requirements are easy to accomplish and gather. Making the necessary documents be viewed immediately by the officers. - The length of time processing the loan is good enough to approve the loan so that it will be on the hands of the member who will utilize the money. - The interest rate is high but it is prescribed by the Bangko Sentral ng Pilipinas and is somewhat beneficial to the members because it also increases their dividends received. - The respondents taking into consideration their age had no significant perception on the loan policies of the savings and loan association. - The civil status of the respondents as the major factor considered by the researchers played no significant difference in the perception of the members. - The difference in the salary bracket of the members is not the determining factor in acquiring loan from the Association. Though some members earned higher salaries still they consider making loans to the Association because as the income of an individual increases his consumption also increases thus financial necessities arises. - Because of the unilateral respond if the members of the DEPW-SLAI in their perception in terms of their age, they all agree that the association is effective in helping them with their financial necessities when it arises.
5
2 = =
2
2 --0------
6 --0-- 2 --------
0 2 --
--20------
--------20--
--------20--
----2
/ 2
/ 2
/
/