NRT 2011 May 23-24, 2011 Manila Session 5: A Fresh Perspective on Mobilizing Micro-deposits Banker's Perspective By: Lt. Gen. William K. Hotchkiss III (Ret.), President of Cantilan Bank

3. Micro deposits
 94% of total savings accounts
 13% of total amount
 PhP1443 – avg. deposit balance

4. General Savings Product Features
 P100 to open
 P500 to earn interest
 No limitations on withdrawal
 Except contractual savings
(students; bank employees; micro
borrowers’ savings)

5. Micro savings products
REACH VARIOUS MARKETS
 Students
 Rural miners
 Micro business owners
 Farmers & fisherfolk
 Bank employees
 Remittance beneficiaries
 Indigenous peoples

6. Contractual Savings
 For micro borrowers
Savings embedded in loan product is
deposited weekly/monthly with loan
payment
 For Cantilan Bank employees – practicing
what we preach:
Mandatory savings deposit every payday

7. Savings product for students
(Student Savers Club (SSC))
Product Features:
 For children 16 years old & below
 P200 minimum to open
 Free deposit lock box to store small savings
 Gifts are given as incentive on reaching
required ADB, including insurance
coverage for accidents

8. Savings product for students
• ver 5000 accounts
O
• 2444 avg amount
P
• ome accounts already over
S
P100,000
• arents actively participate in
P
increasing savings balance
• avings are brought to the
S
bank or bank coordinator goes
to school to pick up.

9. Sample SSC deposit accounts
Age Date Opened Account Bal., as Remarks
of 5/19/11 (PhP)
14 2001 88,476 Deposited by
parent
13 2005 40,5331 Parent
9 2001 54,134 Monthly deposit
8 2006 64,613 Savings box
11 2006 181,432 Parent

10. SSC Promotional Activities
 Booth display during
school events
 Summer workshops

11. PROMOTIONAL ACTIVITIES
 Financial Literacy Program
For mining employees, indigenous people,
MF clients, farmers and fisherfolk, civic &
religious organizations)

12. Orienta3on on Savings
for Rural Miners

13. PROMOTIONAL ACTIVITIES
 Involvement in various
community events (like
town fiestas, feeding
program, foundation day,
sports events)
 Medical outreach
activities

14. PROMOTIONS THROUGH RAFFLE
 Anniversary Raffle
a year-round activity conducted in all
branches
• Quarterly draws at branches
• Grand raffle with major prizes

15. Targets,
2015 1.4B
2015
600M
1B 2010
2010
Total Resources Deposit
 Generate low cost deposits (deposit mix: 70% regular savings
and 30% time deposit
 Develop ATM Savings Acct. with passbook
 Put up more ATMs in branches and MBOs
 Enhance product features of Student Savers Club
 Intensify marketing of existing remittance services and
campaign for deposits among beneficiaries
 Use FINANCIAL EDUCATION tools to encourage and teach
clients that they can use their cellphones to bank their savings.

16. THANK YOU!