Founded in 2004, the Center for Community Transformation Savings and Credit Cooperative (CCT) is a subsidiary of the The Center for Community Transformation Group of Ministries, faith-based nonprofit development organization that is dedicated to transforming the lives and communities by providing services to the poor through a holistic development approach anchored in Christian principles. CCT reaches micro-entrepreneurs, service workers, itinerant vendors, orphans, indigenous peoples, landless agricultural workers, fisher folks and abandoned children in urban poor communities. In addition, the Center for Community Transformation operates training and development programs, clinics and disaster relief operations. CCT also runs a generic pharmaceutical distribution business called Tindahan Para Sa Bayan which allows micro entrepreneurs to access low cost medicine while funneling any extra income to social service projects.

CCT has a very strong social mission and specifically targets the poor. Average loan size for CCT borrowers is very small at $117 (although the maximum loan amount is about USD$2,000). While about 80% of its loans are for micro-businesses, CCT also funds educational loans (Study-Now-Pay-Now Plans) and housing loans. Recently, CCT also opened their services to the rank-and-file employees of partner companies for educational and housing purposes. As a cooperative, its clients are its co-owners and a large portion (70%) of the profits is returned to its client-members in the form of dividends and patronage refunds.

CCT has 19 centers that have transformed into Community Center model. A one-stop shop for all services to different poverty groups. Street people job training centers, micro enterprise services, water filtration, Visions of Hope schools, medical and dental services etc. CCT also has Savings and Credit Association groups, which are designed to serve the poorest of the poor for those members of the communities who cannot participate in the microfinance program. The purpose of the program is to introduce these people to the savings scheme to begin to learn financial discipline; how to save, bible study/character development, how to become good stewards of their resources and change their perspective towards handling finances. These services are provided at the new CCT Community Centers.

As of 2010, CCT had 133 branches throughout the Philippines and had over 130,000 microentrepreneur clients. Typical microentrepreneurs posted by CCT on Kiva include grocery store owners, fish sellers, trash collectors, food producers, transportation and agricultural businesses.

CCT Response to Typhoon’s in Philippines

Of CCT’s 70,000 borrowers, 4,803 have been affected by the recent typhoons. Twenty-six members of the CCT staff also were affected. CCT quickly responded to those affected with distributions of food, basic medicines, clothes, blankets and foam mattresses. CCT continues to support its partners and borrowers affected by flooding.

 Management

The CCT management team has deep understanding of microfinance operations and the financing industry in the Philippines. 

Ruth Callanta, President and CEO, is a social development practitioner who used to sit on the Board of World Vision International, the global arm of an international relief and development organization, and one of the founders of Alliance of Philippine Partners in Enterprise Development (APPEND) an MFI network in the Philippines.

The Board of Directors of CCT is composed of respected businessmen and academicians. Its Chair is Professor Ronald Chua, a micro finance specialist of the Asian Institute of Management – the leading business school in Asia, and its Treasurer is Alice Gohoc, property developer.

CCT has over 380 full-time employees plus volunteer business mentors and community leaders that work with borrowers throughout 11 regions, 20 provinces, 49 cities throughout the Philippines.

Learn More:

• Visit our Website: http://www.cct.org.ph/

• Join our lending team: "Team CCT-Philippines"

• Visit one of our blogs - http://cctcommunitycenters.blogspot.com and http://cctkaibiganvillage.blogspot.com

 

September 11, 2011

As part of an ongoing effort to fully migrate risk ratings to our new and enhanced risk rating system, Kiva has conducted a re-assessment of the level of risk posed by this institution.

During this re-assessment, our analysts were able to gather updated operational and financial information about the institution, as well as speak with key members of the staff. 

The information gathered during this process, together with the Kiva's new risk rating system and half-star support, has led us to revise CCT's risk rating from 4 to 3 stars. The analysts have found that CCT's risk variables, reviewed in the new risk rating model, were most representative of a 3-Star rating.

We have prepared a blog post with more information on Kiva's new and enhanced risk rating system, along with a chart showing the relative magnitude of the overall changes for Kiva's portfolio.  To view that, please go here: http://www.kiva.org/updates/kiva/2011/09/07/kiva-risk-ratings-now-with-half-stars.html.

CCT has been informed of our analysts’ findings and their corresponding change in rating.

 



Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Jun 24, 2009 Oct 12, 2005
Total Loans $3,933,475 $587,357,225
Amount of raised Inactive loans $0 $588,950
Number of raised Inactive loans 0 506
Amount of Paying Back Loans $621,800 $120,516,975
Number of Paying Back Loans 1,096 127,444
Amount of Ended Loans $3,311,675 $466,251,300
Number of Ended Loans 6,706 592,934
Delinquency Rate 4.03% 4.77%
Amount in Arrears $14,535 $3,778,832
Outstanding Portfolio $360,741 $79,211,559
Number of loanDelinquent 91 20,687
Default Rate 0.43% 1.14%
Amount of Ended Loans Defaulted $14,092 $5,336,912
Amount of Ended Loans $3,311,675 $466,251,300
Number of Ended Loans Defaulted 67 16,802
Currency Exchange Loss Rate 0.00% 0.08%
Amount of Currency Exchange Loss $2 $480,684
Refund Rate 0.23% 0.77%
Amount of Refunded Loans $9,100 $4,496,750
Number of Refunded Loans 15 5,041

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 91.83% 74.16%
Average Loan Size $504 $418
Average Individual Loan Size $504 $656
Average Group Loan Size $688 $1,829
Average number of borrowers per group 2 8
Average GDP per capita (PPP) in local country $1,175 $3,432
Average Loan Size / GDP per capita (PPP) 42.91% 12.19%
Average Time to Fund a Loan 3.25 days 5.58 days
Average Dollars Raised Per Day Per Loan $155.30 $74.97
  Average Loan Term 4.48 months 10.32 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 8,738 293,430
  Journaling Rate 100.00% 42.43%
  Average Number of Comments Per Journal 0.01 0.08
  Average Number of Recommendations Per Journal 0.08 1.89

Borrowing Cost Comparison (based on 2012 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 65% PY 46.00% PY 33.64% PY
  Profitability (return on assets) 6.4% 4.8% -1.40%
  Average Loan Size (% of per capita income) 6.70% 8.00% 41.35%

Country Fast Facts

Field Partner Staff

Sheila Grace Cayabyab
Nat De Jesus
Edwin Delos Santos
Jay Erwin Faminial
Marilyn Martin
Allan Pardico
Michael Salili
Michelle Taway
Adeluisa Tolentino
Lala Yaun
Jinjin Yu