* THRIFT BANKS ACT

OF 1995
REPUBLIC ACT NO. 7906
* 1. Recognize the indispensable role of the private sector, to
encourage private enterprise, and to provide incentives to
needed investments;
* 2.Promote economic development pursuant to the socio-
economic program of the government, to expand industrial
and agricultural growth, to encourage the establishment of
more private thrift banks in order to meet the needs for
capital, personal and investment credit or medium and
long-term loans for Filipino entrepreneurs;

*Declaration of Policy
* 3.Encourage and assist the establishment of thrift bank
system which will promote agriculture and industry and at
the same time place within easy reach of the people the
medium and long-term credit facilities at reasonable cost;
* 4.Encourage industry, frugality and the accumulation of
savings among the public, and the members and
stockholders of thrift banks; and
* 5.Regulate and supervise the activities of thrift banks in
order to place their operations on a sound, stable and
efficient basis and to curtail or prevent acts or practices
which are prejudicial to the public interest.

*Declaration of Policy
* THRIFT BANKS shall include savings and mortgage banks,
private development banks, and stock savings and loans
associations organized under existing laws, and any
banking corporation that may be organized for the
following purposes:
a. Accumulating the savings of depositors and
investing them;
b. Providing short-term working capital, medium and
long-term financing to businesses; and
c. Providing diversified financial and allied services for
its chosen market and constituencies.

*DEFINITION
* Stock Corporation
* ESTABLISHMENT OF THRIFT BANKS
- Certificate of Authority issued by the Monetary Board
* BANK MANAGEMENT
-Fit-and-Proper Rule
* DIRECTORS and OFFICERS
-Qualifications and Disqualifications

*ORGANIZATION
* 40% voting stock owned by Filipino citizens
* Combined Capital Accounts
- Not less than an amount equal to 10% of its risk
assets

*OWNERSHIP &
CAPITAL REQUIREMENTS
* Issue
mortgage and chattel mortgage certificates, buy
and sell them for its own account or for the account of
others, or accept and receive them in payment or as
amortization of its loan;
* Purchase, hold and convey real estate under the same
conditions as those governing commercial banks;
* Engage in quasi-banking and money market operations;
* Open domestic letters of credit;
* Extend credit facilities to private and government
employees;

*POWERS
* Accept savings and time deposits;
* Open current or checking accounts;
* Act as correspondent for other financial institutions;
* Act as collection agent for government entities;
* Act as official depository of national agencies and of
municipal, city or provincial funds;
* Rediscount paper with the PNB, LBP, DBP and other
government-owned or controlled corporations.

*POWERS
* Accept savings and time deposits;
* Open current or checking accounts;
* Act as correspondent for other financial institutions;
* Act as collection agent for government entities;
* Act as official depository of national agencies and of
municipal, city or provincial funds;

* Rediscount paper with the PNB, LBP, DBP and other

government-owned or controlled corporations.

*POWERS
* Issue
mortgage and chattel mortgage certificates, buy
and sell them for its own account or for the account of
others, or accept and receive them in payment or as
amortization of its loan;
* Purchase, hold and convey real estate under the same
conditions as those governing commercial banks;
* Engage in quasi-banking and money market operations;
* Open domestic letters of credit;
* Extend credit facilities to private and government
employees;

*POWERS
* Extend credit against the security of jewelry,
precious stones and articles of similar nature;

* Offer other banking services as provided in Section 72

of RA No. 337 and RA No. 6426, as amended;

*POWERS
* LIMITATIONS ON LENDING AUTHORITY
-Non-risk assets should not exceed 15% of unimpaired
capital and surplus of the bank
-Total indebtedness of any borrower upto 15% of the
unimpaired capital and surplus of the bank

* INVESTMENT IN ALLIED UNDERTAKINGS

*SUPERVISORY POWERS
of the MONETARY BOARD

*SUPERVISION
* Reserve Requirement Differential

* Liberalized Branching Rules

* Notices of Statement of Condition

*INCENTIVES
* TAX EXEMPTIONS
* EXEMPTION from PUBLICATION REQUIREMENT
* EXEMPTION from NOTARIAL CHARGES
* EXEMPTION from REGISTRATION FEES

*EXEMPTIONS
* PROHIBITED ACTS
-Fine of not more than P10,000 or imprisonment for
not less than 6 months but not more than 10yrs, or
both, at the discretion of the court

*PROHIBITIONS
* Minors as Depositors
* Return of Deposits
* Deposit Insurance
* Annual Fees
* Implementation
* Annual Report

*GENERAL PROVISIONS
* AS OF MAY 25, 2015, THERE
ARE A TOTAL OF 70 THRIFT
BANKS IN THE PHILIPPINES
WITH 1,981 OFFICES

THRIFT BANKS in the

PHILIPPINES
* 1ST Valley Bank, Inc. A * BPI Globe Banko, Inc. A Savings
Development Bank Bank
* Banco De Oro Savings Bank, Inc * Business and Consumers Bank (A
* Bank of Makati (A Savings Dev't. Bank)
Bank) Inc. * CARD SME Bank, Inc. A Thrift Bank
* Bank One Savings and Trust * Century Savings Bank Corporation
Corporation * China Bank Savings, Inc
* Bataan Development Bank * City Savings Bank
* Bataan Savings and Loan Bank * Citystate Savings Bank, Inc
* BDO Elite Savings Bank, Inc
* Comsavings Bank
* BPI Direct Savings Bank, Inc
* Cordillera Savings Bank, Inc.
* BPI Family Savings Bank

*LIST OF THRIFT BANKS

IN THE PHILIPPINES
* Dumaguete City Development Bank * Inter-Asia Development Bank
* Dungganon Bank, Inc. (A * Legazpi Savings Bank, Inc.
Microfinance Thrift Bank) * Lemery Savings and Loan Bank, Inc.
* Equicom Savings Bank, Inc. * Life Savings Bank, Inc.
* Enterprise Bank, Inc. * Luzon Development Bank
* Farmers Savings and Loan Bank, * Malasiqui Progressive Savings and
Inc. Loan Bank, Inc.
* First Consolidated Bank, Inc. (A * Malayan Bank Savings and Mortgage
Private Dev't. Bank) Bank
* Hiyas Banking Corporation (A * Maritime Savings and Loan
Thrift Bank) Association, Inc.
* HSBC Savings Bank (Phils), Inc. * MBank Philippines (A Thrift Bank),
* ISLA Bank Inc
* Merchants Savings and Loan
Association, Inc.

*LIST OF THRIFT BANKS

IN THE PHILIPPINES
* Metro-Cebu Public Savings Bank
* Microfinance Maximum Savings Bank
(Maxbank)
* Northpoint Development Bank, Inc.
* Opportunity Kauswagan Bank, Inc. (A
Microfinance TB)
* Optimum Development Bank, Inc.
* Pacific Ace Savings Bank
* Pampanga Development Bank
* Penbank, Inc. (A Private Development
Bank) (Formerly Peninsula Rural Bank, Inc.)
* Phil Star Development Bank, Inc.
* Philippine Business Bank, Inc., A Savings
Bank
* Philippine Postal Savings Bank, Inc.
* Philippine Resources Savings Banking Corp
*LIST OF THRIFT BANKS
IN THE PHILIPPINES
* Philippine Savings Bank
* Planters Development Bank
* PNB Savings Bank
* Producers Savings Bank Corporation
* Progress Savings and Loan
Association, Inc.
* Queen City Development Bank
* Quezon Coconut Producers Savings
and Loan Bank, Inc.
* RCBC Savings Bank, Inc.
* Sampaguita Savings Bank, Inc
* Security Bank Savings Corporation
* Sterling Bank of Asia, Inc. (A
Savings Bank)
*Sun Savings Bank, Inc.
*The Palawan Bank (Palawan
Development Bank, Inc.)
*Tong Yang Savings Bank, Inc
*Tower Development Bank
*UCPB Savings Bank
*United Overseas Bank Philippines
*University Savings Bank
*Village Bank, Inc. (A Thrift Bank)
* Wealth Bank - A Development
Bank
* World Partner's Bank (A Thrift
Bank)

*LIST OF THRIFT BANKS

IN THE PHILIPPINES