Investment is a fundamental pillar in the establishment of CFI as a cooperative. Just like when it started, the major capital structure of CFI are pooled funds from the members in the form of Share Capital, Time deposits and Regular Savings deposit.
These funds enable the COOP to lend to members at faithly reasonable terms and rates while allowing owners of these funds regular and decent returns in the form of dividends and interests.
As a result, CFI is always faced with the challenge of meeting the expectations of its members for a fair and decent return on their investments while providing its borrowing members’ loans under easier payment terms and conditions.
As a member, he is allowed to make equity contributions to the capital fund of the COOP in the form of Share Capital.
At present, the minimum equity contribution a member is required to put up Is P2,000.00. However, he is allowed to increase it up to a maximum of P200,000.00 for every year of membership.
The share capital contribution of a member is entitled to receive dividends from the surplus capital of the Cooperative earned at the end of the year in proportion to its amount.
Dividends have regularly generated for the COOP members fairly higher returns than deposit placements.
Dividends are tax-exempt pursuant to the Cooperative Code of the Philippines.
Money placements of members with the cooperative for a certain period of time. This can either be in the form of Regular Savings or Time Deposits.
Money placements of members without a fixed term and can be withdrawn at any time without any pre-termination penalties, However, in order for it to earn interest is computed every quarter and monthly interest will accrue only if the placement is not withdrawn during the quarter/Presently, this type of deposit earns a tax-exempt interest of 3% per annum.
Money placement of a member with the cooperative for a term of one year with a pre-termination penalty in case it is withdrawn before the end of the term.
Presently, Time deposits earn a tax-exempt interest of 5% per annum.