Formula

Fixed Variables:
INT = 20% or 1.20
Term = 3 months or 6 payouts (15th/30th)

Total Loan = Principal x Int Rate 
Php 15,000.00 x 1.20 = Php 18,000

Loan Repayment Computation:
Total Loan / term
Php 18,000 / 6 = Php 3,000.00

General Guidelines

1. Know your group’s mission-vision or goal.
2. Commitment is your membership fee not unless group has amended a different setup.
3. Keep track of your contributions manually in order to tally with the ledger maintained by your committee.
4. You should be able to ask what the cash position is. A cash position is a report that shows total cash collection from membership funds, contributions, and loan remittances less release of new loan or Cash On Hand at a specific point in time for example the cash position for 12/13/2013.
5. Since the borrowers are also the members, you should also know the chronology of members who have applied for a loan and when they were released and how many members are lined up.
6. An impukan must be as transparent as possible since it is every member’s money that is being used.
7. A healthy impukan group is a group that regularly calls for a meeting to discuss cash position, profit earnings, problem status if applicable. Every one’s voice must be given equal importance as the next member and the committee must be able to address every members concern in a timely manner or be put to a vote.

Sample Loan Agreement

LOAN AGREEMENT

_____________________________

I, _____________________________ of legal age, with residential address at _________________________________________________________________________________,

do hereby promise to pay  _____________________________, the trustee of an impukan group,  of legal age, with residential address at _________________________________________________________,

the full amount of  _____________________________ THOUSAND & 00/100 pesos or (Php ___________) with an interest rate of TWENTY PERCENT or (20%) payable within three (3) months.

I hereby authorize _____________________________, as my attorney-in-fact to specifically hold in her possession my ATM account and, specifically: ___________________________Branch Card No. _______________________ Exp. ________ S/A#__________________ to withhold funds and to pay my loan in accordance with our agreed schedule of payments.

___________________________                                          ___________________________

Borrower                                                                          Co-maker

Conforme:

___________________________

Lender

Member Data Record

A member data records consists of the following:

1. Legal Name (based on your SSS, Driver's License, Passport, ...)
2. Proof of billing (under your name)
3. Contact numbers (mobile and/or landline)
4. Email Address
5. 3rd Party Account --> preferably EON especially for those acquiring a loan
6. Picture (to be taken by an officer on mobile)
7. Signature Specimen (to be taken by an officer on mobile)

How to request for a loan?

1. Please go to your Loan Account Officer and accomplish a Vale Form indicating loan amount and purpose.

2. Allow a day or two for the officer to give your schedule of loan release and turn over your payroll ATM (PIN reset to 0000).

3. Apply online for a EON card, if you need assistance please contact , , to request in your behalf online.

What if a borrower does not pay?

To the Founding Members:

This is to address the number one concern of the group which is “what if the borrower dodges and skips town?”

Just to put a bit of ease in your minds, this invitation was only extended to one residence. By one residence, this means you are all found in one workplace. You all know each other, you all work in the same building, and any one of you can easily verify the tenure and salary of each and every member. Plus all of you already have a proven credit history. The borrowers are also the members. These factors in and by itself is already a control measure to minimize the risk of a bad debt.

On top of this, there is also a process that will be followed to do our best to collect. First, the individual contribution and interest earnings will be deducted. Second, confirm if the individual has a co-maker or not. If there is a co-maker we collect from the co-maker, if not we go to the baranggay for assistance.  

For baranggay assistance:  Step 1. Blotter. Step 2.  File a complaint . Step 3 the baranggay will attempt to invite the individual to settle. Either we settle in the baranggay or the baranggay will endorse the complaint to small claims court. 

It is true lending is high risk, high yield. Either there is a gain or there is a loss. But the whole point why this group was created was simply to promote savings and to borrow money against our savings at a lower interest rate. 

This is a membership, a group venturing together in a lending business exclusively among ourselves. It is within our powers to minimize bad investments. You are free to file a complaint to disqualify a member and make your case to the committee. 

If you have your doubts, please follow your instinct.

Thank you,

M

Notice of Meeting: December 06, 2013

Impukan Committee

Notice of Meeting

December 06, 2013

A regular meeting of the Impukan Committee is tentatively scheduled at PCC  Starbuck 2nd floor at  midnight on release date of 13th month pay.

I.    Call to order

II.    Roll Call

III.    Open to members to address Impukan Committee

IV.    Agenda/Open issues

1.    Member Data Record

2.    Issuance of Vale Forms

3.    Proposed Credit Rating Score

4.    Review of additional FAQ's

V.    New business

1.   Impukan Committee Oath Taking

2.   Signing of Disclaimer of Committee Members as Lenders

3.   Review of December 15 Collections (membership and contributions)

4.   Review of December 15 Loan Release 

5.   Open Discussion

VI.    Adjournment

How to Get an EON Card

Dear ________________________,

This is in reference to your Php ____________ loan, which is scheduled for release on or before ________________________.

Prior to loan release, you are required to secure an EON Card from Unionbank because your loan and salary will be transferred to this account. The EON card will cost you Php 350.00.

How to apply:

1. Apply for an EON card online: http://www.unionbankph.com/index.php?option=com_content&view=article&id=1143&Itemid=249

Employer City/Province: FORBES PARK [SOUTH] --> Closest since Taguig does not appear anymore.

Pickup Branch: Bonifacio Global City 

2. Reference Number will be sent to you via SMS and Email.
3. Please bring the following when you pick up your EON Card:
1. Copy of the Email reference number from Unionbank
2. 2 valid ID’s (SSS, Driver’s License, Passport, …)
3. Proof of billing with your name on it
4. 1 piece any size picture ID
5. ATM Fee of Php 350.00 (annual fee is due every June Php 150.00
6. Claim EON card at Unionbank (BGC branch or of your preferred branch), New Accounts table.
7. Deposit a minimum amount of Php 200.00 on the card. 
1. Check Balance Fee Php 2.00 (from UB ATM, maybe more from other Bank ATMs)
2. Withdrawal Fee Php 12.00 (from UB ATM, maybe more from other Bank ATMs)

Once you have secured your EON Card, pease regisiter online immediately and scan to email the front and back (signature required) of the card and email to , ,

Please take action now and pick up the card before ________________________.

Thank you,

M

Minutes of the Meeting November 24, 2013 16:00

Impukan

Minutes of the Meeting

November 24, 2013

I.    Call to order

M2 called to order the regular meeting of the Impukan at 4pm on November 24, 2013 at M1's residence.

II.    Attendees

The following persons were present: Impukan Committee: M1, M2 and M3

III.    Approval of minutes from last meeting

N/A – last discussion were for officers to volunteer and almost canceled the venture due to no interested officers. Miaka nominated Marie.

Special importance made that the Committee is vital in a group and transactions need to be transparent and physical presence is essential for the group.

IV.    Agenda/Open issues

1.       The Officers: Duties and Responsibilities

a.     There are three (3) officers responsible for the group, the Head of Committee also acting Chief Finance Officer (M1), Auditor/Loan Approval Officer (M2), Cashier (M3). The committee is open to 2 more officers however, no other volunteers stepped forward. The function of the additional 2 is for redundancy in the event of an officer is on leave.

a.     CFO – Overall responsibility is to delegate tasks to the officials of the group their functions and duties; implement proper monitoring measures in system control; maintain the integrity of the official books, QuickBooks and MS Excel applications and ensure the receipts and disbursements of funds are accounted for, and the preparation of documentation and summary report. The bank account/s is under the name of the CFO alone.

b.     Loan Approval Officer – Overall responsibility is to approve of loans based on credit history and character reference; update of member database; issuance of Vale Forms.

c.     Cashier – Overall responsibility is to collect member cash contributions using the stamped carbonless cash vouchers and deposit to UnionBank, and to prepare and submit the summary of the invoice numbers.

2.       The commission of the group is five percent (5%) of the gross earnings and will be divided equally to the officers at the end of each cycle (quarter) or may be carried over to the next cycle.

3.       Additional compensation for the committee is an open discussion. For clarification, to be an officer is to protect member contributions against each other, dedicating time and sacrifice for out of pocket expenses which may not be necessarily reimbursed or liquidated immediately because priority is to have the group profit earnings intact. Only the seed money from membership fees may be used for the mean time.

4.       Discussion of arms length distance on personal lending. An agreement to prioritize group’s lending business. Personal lending is only allowed at 10% per month and only if the group has no funds available to release the member or if the borrower’s credit standing is questionable.

5.       Discussion on Impukan Loan Agreement – Verified with a lawyer, the group’s name although unregistered is still legally binding and must assign CFO name as trustee is valid. Notarized Loan Agreements unnecessary not unless borrower credit standing becomes questionable and may be borne at the group’s expense at a later time. Requirement of proof of billing and government issued ID is mandatory.

V.    New business

a)    Member Data Record – members will need to submit proof of billing and a government issued picture ID to be placed on file.

b)    Unionbank EON Card is mandatory for members acquiring a loan.

VI.    Adjournment

M2 adjourned the meeting at 19:00.

Minutes submitted by:  M1

Minutes approved by:  The Impukan Committee

What is "impukan"?

Impukan, what is it?

This is a proposal for the formation of a lending cooperative through “impukan”. This is similar to the local “paluwagan” wherein a member gives cash contribution for a fixed amount of time. The difference between “paluwagan” and “impukan” is that individual contribution is disbursed all at the same time with interest earnings. It will earn interest because each member contribution is recycled as a byproduct of a loan that earns interest. This is how the term “impukan” which traditionally is like “Impok ng pera sa bangko” is coined

Advantages:

1.    Member contribution is your savings.

2. Allow your money to earn for you.

3. Borrow money at a smaller interest rate.

How much is the contribution?

Minimum amount is Php 500.00 per cut off.  The member has the option to contribute a bigger amount. Sample Computation below:

Php 500.00 x 2 = Php 1,000 per month

Php 1000.00 x 10 months = Php 10,000.00 + interest earnings.

There is also an option to give a one-time contribution.

How does it earn interest?

A member is entitled to get a loan at a discounted rate of 20% for 3 months to pay. A non-member needs to pay 10% per month for 3 months.

How to become a member?

This proposal is only offered to clients with an existing credit history. For interested parties, please send an email, text or call to advice of the intention to be part of the group. To refer interested but non existing clients, send an email to , , with basic information such as complete name, address, landline, mobile number, email address, and DOB.

Membership Fee:

The commitment is the Membership Fee Php 500.00 and it is non-refundable. It will be used as seed money to cover some capital expenditures (CAPEX) and/or operational expenditures (OPEX) brought about by this venture.

Committee

The organizer, , will be the Head of the Committee.  The goal is to have an administration that is as transparent as possible and have at least 2 members (minimum of 3 max of 5) to sit on the committee to handle sales (loan approving officer) and audit. Control of funds and disbursement and counter balance will be handled by the Head of the Committee. The books are open and any member may raise questions at any time. Quarterly Earnings will be reported to the members via email.

The committee will be compensated 5% commission on quarterly earnings to ensure transparency and interest of the group is accounted as accurately as possible.

Duration

Contribution will begin from December 15, 2014 until October 30 2014. This is the cut off to close the books by December 2014.

FAQs:

Q: Can I withdraw membership at any time?

A: Yes, interest earnings will also be pro-rated. Release of funds will depend on availability and timing,

Q: Can I offset my existing loan against my contribution and earnings?

A: Yes

Q: Is there a passbook?

A: No. A Statement of Account (SOA) for your contributions will be emailed every 15^th and 30^th of the month. If a member is remiting by cash to any of the committee members you must request for a receipt or check against the SOA which is emailed every 15^th and 30^th of the month.

Q: Is the membership fee separate from the contribution?

A: Yes. Membership is a one time non-refundable fee.

Q: How do I become an officer?

A: An ideal candidate is one who has no outstanding loan, or is towards the end of their loan, or due for loan re-newal. An oath needs to be taken and signed by the committee members to ensure that the interest of the group is prioritized over personal interest/s.

Q: Will Client –Confidentially Privilege be maintained?

A: This group is like a partnership that is jointly owned through membership, so the answer is no. The group will know everybody and payment history will be dutifully disclosed as needed in order to assist in prioritizing loan release.

Q: Can a non-member acquire a loan?

A: Yes but the rate is 10% per month only members get the discounted rate and must have a member co-maker that will vouch for the borrower and be the fall back in the event of non-payment.

Q: What is the penalty for extended loans?

A: For members add on 6.67% per month and non-members 10% per month.

Q: Will committee members continue to be a lender outside of the group?

A: Yes, only if the group funds will not be enough to accommodate the loan and that the rate maintains at 10% per month and not discounted.

Comments and Suggestions:

Please send an email to , ,

Sample Cash Forecast

1	Begining Balance	-	-	-	200.00	200.00	800.00	Total Sales (20%)	34,800.00	33,060.00		1	Begining Balance	-	37,066.67	63,133.33	86,000.00	105,066.67	119,533.33	Total Sales (20%)	-	-		1	Begining Balance	-	-	11,000.00	25,200.00	43,200.00	65,800.00	Total Sales (20%)	-	-
								5% Fee	(1,740.00)											5% Fee	-											5% Fee	-
	(+) Contribution	15-Dec-13	30-Dec-13	15-Jan-14	30-Jan-14	15-Feb-14	28-Feb-14	Total	%	Profit Earnings	ROI		(+) Contribution	15-Mar-14	30-Mar-14	15-Apr-14	30-Apr-14	15-May-14	30-May-14	Total	%	Profit Earnings	ROI		(+) Contribution	15-Jun-14	30-Jun-14	15-Jul-14	30-Jul-14	15-Aug-14	30-Aug-14	Total	%	Profit Earnings	ROI
	Mia	50,000.00	-	-	-	-	-	50,000.00	63%	20,662.50	41%		Mia								#DIV/0!	#DIV/0!	###		Mia		-	-	-	-	-	-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
	Member	500.00	500.00	500.00	500.00	500.00	500.00	3,000.00	4%	1,239.75	41%		Member								#DIV/0!	#DIV/0!	###		Member							-	#DIV/0!	#DIV/0!	###
2	Total Contribution	55,000.00	5,000.00	5,000.00	5,000.00	5,000.00	5,000.00	80,000.00	100%	33,060.00		2	Total Contribution	-	-	-	-	-	-	-	#DIV/0!	#DIV/0!		2	Total Contribution	-	-	-	-	-	-	-	#DIV/0!	#DIV/0!
	(-) Loan												(-) Loan												(-) Loan
	Loan 1	(40,000.00)						(40,000.00)					Loan 1							-					Loan 1							-
	Loan 2	(15,000.00)						(15,000.00)					Loan 2							-					Loan 2							-
	Loan 3		(16,000.00)					(16,000.00)					Loan 3							-					Loan 3							-
	Loan 4			(19,000.00)				(19,000.00)					Loan 4							-					Loan 4							-
	Loan 5				(23,000.00)			(23,000.00)					Loan 5							-					Loan 5							-
	Loan 6					(27,000.00)		(27,000.00)					Loan 6							-					Loan 6							-
	Loan 7						(34,000.00)	(34,000.00)					Loan 7							-					Loan 7							-
	Loan 8							-					Loan 8							-					Loan 8							-
	Loan 9							-					Loan 9							-					Loan 9							-
	Loan 10							-					Loan 10							-					Loan 10							-
	Loan 11							-					Loan 11							-					Loan 11							-
	Loan 12							-					Loan 12							-					Loan 12							-
	Loan 13							-					Loan 13							-					Loan 13							-
	Loan 14							-					Loan 14							-					Loan 14							-
	Loan 15							-					Loan 15							-					Loan 15							-
								-												-												-
3	Total Loan	(55,000.00)	(16,000.00)	(19,000.00)	(23,000.00)	(27,000.00)	(34,000.00)	(174,000.00)				3	Total Loan	-	-	-	-	-	-	-				3	Total Loan	-	-	-	-	-	-	-
	(+) Sales												(+) Sales												(+) Sales
	Sales 1		8,000.00	8,000.00	8,000.00	8,000.00	8,000.00	40,000.00					Sales 1	8,000.00						8,000.00					Sales 1		8,000.00	8,000.00	8,000.00	8,000.00	8,000.00	40,000.00
	Sales 2		3,000.00	3,000.00	3,000.00	3,000.00	3,000.00	15,000.00					Sales 2	3,000.00						3,000.00					Sales 2		3,000.00	3,000.00	3,000.00	3,000.00	3,000.00	15,000.00
	Sales 3			3,200.00	3,200.00	3,200.00	3,200.00	12,800.00					Sales 3	3,200.00	3,200.00					6,400.00					Sales 3			3,200.00	3,200.00	3,200.00	3,200.00	12,800.00
	Sales 4				3,800.00	3,800.00	3,800.00	11,400.00					Sales 4	3,800.00	3,800.00	3,800.00				11,400.00					Sales 4				3,800.00	3,800.00	3,800.00	11,400.00
	Sales 5					4,600.00	4,600.00	9,200.00					Sales 5	4,600.00	4,600.00	4,600.00	4,600.00			18,400.00					Sales 5					4,600.00	4,800.00	9,400.00
	Sales 6						5,400.00	5,400.00					Sales 6	5,400.00	5,400.00	5,400.00	5,400.00	5,400.00		27,000.00					Sales 6						5,400.00	5,400.00
	Sales 7							-					Sales 7	9,066.67	9,066.67	9,066.67	9,066.67	9,066.67	9,066.67	54,400.00					Sales 7							-
	Sales 8							-					Sales 8							-					Sales 8							-
	Sales 9							-					Sales 9							-					Sales 9							-
	Sales 10							-					Sales 10							-					Sales 10							-
	Sales 11							-					Sales 11							-					Sales 11							-
	Sales 12							-					Sales 12							-					Sales 12							-
	Sales 13							-					Sales 13							-					Sales 13							-
	Sales 14							-					Sales 14							-					Sales 14							-
	Sales 15							-					Sales 15							-					Sales 15							-
4	Total Sales	-	11,000.00	14,200.00	18,000.00	22,600.00	28,000.00	93,800.00				4	Total Sales	37,066.67	26,066.67	22,866.67	19,066.67	14,466.67	9,066.67	128,600.00				4	Total Sales	-	11,000.00	14,200.00	18,000.00	22,600.00	28,200.00	94,000.00
5	Ending Balance	-	-	200.00	200.00	800.00	(200.00)					5	Ending Balance	37,066.67	63,133.33	86,000.00	105,066.67	119,533.33	128,600.00					5	Ending Balance	-	11,000.00	25,200.00	43,200.00	65,800.00	94,000.00