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20% interest per annum payable monthly tax free pdic insured?

Can anyone tell me how if indeed they can do it: rural banks can pay 20% per annum, tax exempt, pdic convered, five years maturity, interest payable every month; so that it is double your money after five years: on say a deposit of one million pesos, you get two millions plus. See this internet link:

Rural banks under the Legacy Financial Group offering 20% p.a.
http://www.pinoymoneytalk.com/forum/index.php?topic=4621.0


How come big commercial banks can't or won't do the same?

What do you guys say?


Susmariosep
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Comments

  • theprofessortheprofessor Member PExer
    Hi susmariosep, it's all yes answers to all your questions. The reason commercial banks cant give that is because they are dependent on prices of bonds while rural banks are specializing in the governments program of microfinancing on Small & Medium Enterprises (SMEs) (see Entrepreneuer magazine August 2006 iisue). Rural banks also get very good tax incentives from BSP on this program. I have studied this for the past 3 years together with my MBA students ( 1 in fact is now connected with BSP ). If you wish to get a copy of the Frequently Asked Questions (FAQ) email jimmylucero@yahoo.com This can be thoroughly discussed to the detail.
  • susmariosepsusmariosep Member ✭✭
    Rural banks must be making good money and quick with this 20% interest scheme.


    So, what is preventing big secure commercial and universal banks like Banco de Oro from putting up rural banks and going into the same act, to the benefit of both their clients and themselves and of course the people served by rural banks?

    Any law against big secure commercial universal banks setting up also several rural banks?

    If I control a big secure commercial universal bank I would undertake this idea; for then my clients would be more reassured that their money is safe and productive, more profitable than deposited in the standard commercial universal banks.


    Susmariosep
  • metropolitanmetropolitan the truth hurts, does it? PExer
    Can anyone tell me how if indeed they can do it: rural banks can pay 20% per annum, tax exempt, pdic convered, five years maturity, interest payable every month; so that it is double your money after five years: on say a deposit of one million pesos, you get two millions plus. See this internet link:

    Rural banks under the Legacy Financial Group offering 20% p.a.
    http://www.pinoymoneytalk.com/forum/index.php?topic=4621.0


    How come big commercial banks can't or won't do the same?

    What do you guys say?


    Susmariosep

    i've been rural banking since 2001, since then i have no regrets. i've also renewed by time deposit. i get a higher interest rate and better service. [meaning hindi snob ang mga tellers, officers at manager unlike some very big banks]

    rural banks give so much for time deposits because they charge so much for loans. while some rural banks can guarantee 20% p.a. tax-free their time deposits, their loans charge as high as 42% p.a. in interest. therefore, they charge so much for loans to afford that 20% interest for depositors.

    why don't you visit a rural bank in your area? they can answer your questions in full and better detail.
  • burmanburman tropical pomology PExer
    can you list all the rural banks in luzon?
  • burmanburman tropical pomology PExer
    metropolitan, so you mean when they attract depositors because of the 20% time deposit interest per year for 5 years, they use the money for borrowers then charge them for 42% per annum of interests? wow, rural banks are really making big money. 20% goes to there depositors and 22% goes to them.

    Can you give stable rural banks in Luzon especially Metro Manila or Central Luzon? Thanks
  • i want this. can someone give me the faq. this is a good investment.

    email me please laptopboy2005@yahoo.com
  • bluetheherobluethehero unsung hero PExer
    meron po sa BSP website ng directory ng mga rural banks sa pinas.
  • That's correct. Rural banks were created and existed for a purpose. Microfinancing for SMEs. There are rules to be followed from BSP to access tax incentives of these rural banks. Try to visit for answers to your questions http://philbankingproducts.blogspot.com/
  • bluetheherobluethehero unsung hero PExer
    in addition, if im not mistaken, kaya rin mababa ang interest rates ng commercial banks is because of their overheads. sa dami rin ng branches nila e.
  • metropolitanmetropolitan the truth hurts, does it? PExer
    burman wrote: »
    metropolitan, so you mean when they attract depositors because of the 20% time deposit interest per year for 5 years, they use the money for borrowers then charge them for 42% per annum of interests? wow, rural banks are really making big money. 20% goes to there depositors and 22% goes to them.

    Can you give stable rural banks in Luzon especially Metro Manila or Central Luzon? Thanks

    when you save in a bank you are in effect loaning your money to the bank which they use to loan to other people.

    i know the bank of makati is one of the largest (i'm not a depositor there).

    here is a list of NCR rural banks from the PDIC site http://www.pdic.gov.ph/database/memberbanks/current/ncr.asp
  • theprofessortheprofessor Member PExer
    Hello burman and laptopboy2005, try viewing http://philbankingproducts.blogspot.com/ your questions can be answered there as I also viewed it. You may send your email to the prescribed addresses found in the blogspot. Bank time-deposits insured by PDIC earning 20% p.a.(Tax-Free) on 5-yr. program can really give growth to hard-earned money and beat "inflation"
  • you101you101 Member PExer
    does thrift banks also give such interest rate? how are they different from rural banks?

    also, is interest rate of rural bank always 20% or does is it also dependent on market conditions?
  • susmariosepsusmariosep Member ✭✭
    Hi susmariosep, it's all yes answers to all your questions. The reason commercial banks cant give that is because they are dependent on prices of bonds while rural banks are specializing in the governments program of microfinancing on Small & Medium Enterprises (SMEs) (see Entrepreneuer magazine August 2006 iisue). Rural banks also get very good tax incentives from BSP on this program. I have studied this for the past 3 years together with my MBA students ( 1 in fact is now connected with BSP ). If you wish to get a copy of the Frequently Asked Questions (FAQ) email jimmylucero@yahoo.com This can be thoroughly discussed to the detail.
    If you wish to get a copy of the Frequently Asked Questions (FAQ) email jimmylucero@yahoo.com This can be thoroughly discussed to the detail.

    Better still, you can put your materials here in this PinoyEx forum for everyone to read and discuss.

    If you fear that it might be prohibited by the owners of this forum to publish your materials, then I suggest that you just make a summary of the most attractive information you have found, and put it here in this thread.

    But I am sure there is no rule against publishing your findings completely here, if you do it by installments, because you are not violating any copyright laws.

    Besides, you are doing it for public information, not selling your service as some kind of agent soliciting placements in behalf of rural banks you represent.


    Susmariosep
  • susmariosepsusmariosep Member ✭✭
    Hi susmariosep, it's all yes answers to all your questions. The reason commercial banks cant give that is because they are dependent on prices of bonds while rural banks are specializing in the governments program of microfinancing on Small & Medium Enterprises (SMEs) (see Entrepreneuer magazine August 2006 iisue). Rural banks also get very good tax incentives from BSP on this program. I have studied this for the past 3 years together with my MBA students ( 1 in fact is now connected with BSP ). If you wish to get a copy of the Frequently Asked Questions (FAQ) email jimmylucero@yahoo.com This can be thoroughly discussed to the detail.
    when you save in a bank you are in effect loaning your money to the bank which they use to loan to other people.

    i know the bank of makati is one of the largest (i'm not a depositor there).

    here is a list of NCR rural banks from the PDIC site http://www.pdic.gov.ph/database/memberbanks/current/ncr.asp

    I like to know which rural banks you put your money in and how much interest they pay; how long have you been depositing money in each and how good are they in paying you the monthly interest.

    Thanks for your useful information. You are one good informant.


    Susmariosep
  • susmariosepsusmariosep Member ✭✭
    Hi susmariosep, it's all yes answers to all your questions. The reason commercial banks cant give that is because they are dependent on prices of bonds while rural banks are specializing in the governments program of microfinancing on Small & Medium Enterprises (SMEs) (see Entrepreneuer magazine August 2006 iisue). Rural banks also get very good tax incentives from BSP on this program. I have studied this for the past 3 years together with my MBA students ( 1 in fact is now connected with BSP ). If you wish to get a copy of the Frequently Asked Questions (FAQ) email jimmylucero@yahoo.com This can be thoroughly discussed to the detail.
    Rural banks must be making good money and quick with this 20% interest scheme.


    So, what is preventing big secure commercial and universal banks like Banco de Oro from putting up rural banks and going into the same act, to the benefit of both their clients and themselves and of course the people served by rural banks?

    Any law against big secure commercial universal banks setting up also several rural banks?

    If I control a big secure commercial universal bank I would undertake this idea; for then my clients would be more reassured that their money is safe and productive, more profitable than deposited in the standard commercial universal banks.


    Susmariosep

    Does anyone here know why owners of big secure commercial banks do not put up rural banks (if in fact they don't), seeing that it is such a good business all around, everyone wins and big at that.

    Is there any law against the owners of big secure commercial banks to venture into putting up rural banks, and thereby also enjoying the highly profitable option of offering time deposit on 20% interest p.a., tax exempt, PDIC insured, interest payable monthly, on the requirement of five years maturity?

    If a rural bank is founded by owners of big secure commercial banks, then it is even more reassuring to otherwise timid depositors to put their savings in it.


    I don't think I have read any pertinent reaction to my query in this regard.


    However, someone might know of big secure commercial banks also being owners and operators of rural banks which make available interest of 20% p.a. on time deposit. In which case I would like to know their names.


    Susmariosep
  • metropolitanmetropolitan the truth hurts, does it? PExer
    Does anyone here know why owners of big secure commercial banks do not put up rural banks (if in fact they don't), seeing that it is such a good business all around, everyone wins and big at that.

    Is there any law against the owners of big secure commercial banks to venture into putting up rural banks, and thereby also enjoying the highly profitable option of offering time deposit on 20% interest p.a., tax exempt, PDIC insured, interest payable monthly, on the requirement of five years maturity?

    If a rural bank is founded by owners of big secure commercial banks, then it is even more reassuring to otherwise timid depositors to put their savings in it.

    I don't think I have read any pertinent reaction to my query in this regard.

    However, someone might know of big secure commercial banks also being owners and operators of rural banks which make available interest of 20% p.a. on time deposit. In which case I would like to know their names.


    Susmariosep

    iba lang ang market ng mga rural bank at commercial bank. if commerical banks don't put up a rural bank its up to them, its their business decision, we live in a market and free economy. its like asking CathayPacific to make its Manila-Hong Kong trips as cheap as Cebu Pacific's. just because one rural bank is giving 20% per annum its not a signal that everyone will join the band wagon.

    a rural bank owned by a commercial bank is not an guarantee of good performance and prudence.

    anyway, may masmahusay na money making scheme ang mga commerical at thrift banks...Credit Card
    with an average annual credit card interest rate of 42% and a savings rate of 1% per year panalo ang mga bangko.
  • susmariosepsusmariosep Member ✭✭
    I wish more people would be interested in giving their opinions and above all their information on what this 20% interest of some rural banks is all about.

    As of this writing there are 291 people who have viewed this thread and presumably read every message so far. If you are reading this message I am now writing, please share some time and effort to make known your opinion and give us whatever information that could be useful.

    If you think that it is all a scam on the part of the proponents of this scheme, then you can do everyone a great service by telling us so; because we want to see how people who are experienced in life and knowledgeable about human nature, specifically motivation, react to this idea.

    I myself can't believe it, but I am always ready to read and think of the most improbable of reported facts and imagined ideas.

    If however you have benefited from such a scheme and you feel you would be doing a great favor to people to also partake of this scheme, then from your altruistic heart, please also contribute your experience and likewise your explanation of how the plan has worked for you, and it is all honest and legal and truly earns money for people who do need to come to more money than what they are already in possession of, for their legitimate purposes like improving their homes and getting better health care or meeting decently their medical expenses.


    We are not here to debate and appear smart to be able to put up all kinds of arguments however vacuous just to be able to gainsay someone's else positions, but of no genuine worth to enable anyone here to increase his knowledge of how money earns money, and also as important how to be cautious with scam artists who promise big returns, yet they are the ones who in the longer term and very soon leave you with nothing of your original outlay in cash, except some measly monthly interest payments which made you so glad at the start.


    Perhaps I am the inexperienced innocent here, to be even taking the trouble to start this thread when the whole world knows that it is practically impossible for any bank to pay you 20% interest on time deposit of five years, tax free, risks free from PDIC insurance, and monthly interest payable on schedule.

    If I am the inexperienced bumpkin here, just please tell me so, in order that I will if nothing else learn that I have been giving time and trouble to a treacherous idea proffered by unscrupulous swindlers, that every Juan who has lived in Manila knows all about.

    Thanks for your attention.


    Susmariosep
  • susmariosepsusmariosep Member ✭✭
    Our good friend, Metropolitan, you said earlier: "Why don't you visit a rural bank in your area? they can answer your questions in full and better detail."

    That is what I did and the one in charge of products told me they offer 9.5% for time deposit of five years, covered by PDIC, and monthly interest payable, but it is not tax exempt.

    I told the person that I read in the web and also from people in web forums that they have earned from 20% interest, etc. The person told me it is very risky for the depositors, because he cannot imagine how in the case of his bank they can afford to pay 20%.

    So, if you, Met, have personally earned 20% interest, please tell us here what rural banks you patronize, and how many months you have been earning monthly payments on the 20% interest.

    I must admit that the rural bank in my area giving 9.5% interest is really much higher than the commercial banks I know. And that is one piece of information that is truly useful to me and to anyone like myself.


    Susmariosep
  • tekton12tekton12 Member PExer
    Hi Susmariosep,

    I haven't checked the link, so I can't say whether this thing is legit. However, 20% per annum risk free sounds too good to be true. That's probably why I didn't bother to check the link, since I know I will probably find a loophole somewhere.

    The best investors in the world will salivate at returns of 20% per annum. Even David Swensen, Yale's portfolio manager for 20 years, a guy who has all the money, research staff, and computers at his disposal, can only manage to return a measly 16% per annum. You are correct to be cautious about this.
  • susmariosepsusmariosep Member ✭✭
    iba lang ang market ng mga rural bank at commercial bank. if commerical banks don't put up a rural bank its up to them, its their business decision, we live in a market and free economy. its like asking CathayPacific to make its Manila-Hong Kong trips as cheap as Cebu Pacific's. just because one rural bank is giving 20% per annum its not a signal that everyone will join the band wagon.

    a rural bank owned by a commercial bank is not an guarantee of good performance and prudence.

    anyway, may masmahusay na money making scheme ang mga commerical at thrift banks...Credit Card
    with an average annual credit card interest rate of 42% and a savings rate of 1% per year panalo ang mga bangko.

    I came across a new bank in my trips during the Lenten season, a bit outside the trade center of a city in Metro Manila. It is called the "ESB Equitable Savings BanK (A Fully Owned Subsidiary of Equitable PCIB Bank). Has anyone come across this bank? Is it a rural bank? I will contact this bank to ask them about any 20% interest on time deposit of five years.

    a rural bank owned by a commercial bank is not an guarantee of good performance and prudence.

    You are correct; however, if the commercial bank owner has a solid reputation of integrity and reliability plus of course long years of more than half a century in doing sound productive banking, then as I said earlier it is a basis for assurance that the subsidiary rural bank is not into highly risky operations, therefore bordering on scams and swindles.


    Money is what everyone is into. If a commercial bank is possessed of the skills of rural banks in doing business in rural districts, and there is money to be made there, then it is going to put up rural banks.

    Basically I would imagine that if big commercial banks don't set up rural banks, it's because they don't have the know-how.

    I am an office worker and I know there is money to be made as a meat vendor in a public market -- I know a lot of market vendors who live in big homes in my village, but I don't go into selling meat because I don't know the business.

    Now if I have good idle funds and someone wants to go into business in selling meat because he has been working for a meat stall operator, then I will lend him money to start his own business, and thereby earns from his undertaking.

    ===================

    Good friend, Met, that is the kind of knowledge and experience from you in your messages here that is useful to people like myself.

    So, will you just tell us what rural banks you are doing business with and you are very satisfied for doing business with them, because they pay you very attractive interest rates, tax exempt and risks free?


    By the way, come to think of it, perhaps a lot of prosperous rural banks are in fact controlled by owners of big commercial banks, only they don't say so in their name sign boards.

    =================

    My purpose in this thread is to get information on the more attractive interest rates paid by rural banks compared to those paid by commercial ones, so that I can earn more interest than that paid by commercial banks.

    Isn't that what everyone should be interested in who needs money -- and who does not?


    Susmariosep
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