DAVAO CITY (PIA) – The Cooperative Development Authority (CDA) XI has urged the public to explore and consider cooperatives for saving money and making investments, aside from traditional banking institutions.
Speaking at the Kapihan sa Bagong Pilipinas on December 3, CDA-XI regional director Glenn Garcia highlighted the “advantageous setup” of cooperatives, which allows members to avail of loans while saving money at higher interest rates.
He added that investments in cooperatives have greater benefits through interest on shared capital and patronage refunds, which members can get annually.
“Unlike other financial organizations, including banks. Sa coop pwede kang maka-utang, pwede kang magsave, and then ibabalik sayo every end of the year yung investment mo in the form of interest on shared capital and patronage refund,” he explained.
(Unlike other financial organizations, including banks. In the coop, you can borrow, you can save, and then your investment will be returned to you at the end of every year in the form of interest on shared capital and patronage refund.)
Being a people’s organization, Garcia said cooperatives are tax-exempted, enabling members to maximize financial gains.
Also, in cooperatives, Garcia noted that members are considered co-owners, giving each member direct space and voice in governance and policy-making.
“Yung highest policy-making body sa isang cooperatives are the members. So the members have a direct opportunity to participate in the governance of the coop and in setting policies. Unlike sa corporate setup na pag minor shareholder ka,wala kang say doon sa pag set ng policies,” he explained.
(The highest policy-making body in a cooperative is the members. So, the members have a direct opportunity to participate in governance and policy-setting. Unlike corporate setups, you have no voice in setting policies if you are a minor shareholder.)
However, Garcia emphasized that individuals can only fully enjoy the benefits of a cooperative if they enlist themselves as members of certain cooperatives.
“We highly encourage the public kung gusto ninyo magjoin sa coop, we advice na magjoin kayo sa existing coop hanapin nyo yong coop na existing na nag o-offer ng services na relevant sa inyo,” he shared.
(We highly encourage the public if you want to join the coop, we advise you to join the existing coop, look for an existing coop that offers services that are relevant to you.)
He added, “Ang mga coop naman natin they are in the mode of accepting more members (Cooperatives are always in the mode of accepting more members),” although each cooperative has its own policies and qualifications in terms of accepting new members.
Garcia specifically encouraged young adults to join cooperatives, pointing out that most cooperative members today belong to older age groups, and cooperatives need to sustain their business with more members coming from the younger population.
He added that having members from the younger population allows the cooperative grow and sustain.
Meanwhile, Engr. Rhandy Corro, CDA-XI acting supervising cooperative development specialist, said that while membership to a cooperative requires age qualifications, there are laboratory cooperatives that were put up where individuals aged 18 years old and below can invest and save money.
Corro said that laboratory cooperatives are usually in schools. They are part of bigger cooperatives, aiming to teach students or young people on how cooperative work.
Corro urged parents to have their children join laboratory cooperatives. “Habang bata pa, dapat sa early as 20 years old magpamember na or yung mga below 18 na mag join sa laboratory coops, kung may laboratory cooperative na nasa kanilang lugar,” he added.
(As early as 20 years old, they should join a cooperative, or those under 18 years old, they should join laboratory cooperatives, if there is a laboratory cooperative in their area.) (ASO)
