The Effectiveness of Microfinance Services Provided by Card, Inc. into Selected Household Beneficiaries in Muntinlupa City

Abstract

The objective of this study is to determine the effectiveness of microfinance services provided by Card, Inc. into selected household beneficiaries in Muntinlupa City. The researcher used descriptive design, wherein a researcher-made questionnaire was employed. Frequency and Percentage Distribution, Weighted Mean, ANOVA, t-Test, and f-ratio were utilized as statistical tools. The respondents’ assessment on the effectiveness of microfinance services provided by Card, Inc. in terms of services provided and accessibility of loans/credit were ‘very effective’. Statements “able to avail or access loans/credits on time” with the highest weighted mean of 3.67 and “contribute to health and educational programs’ with the lowest weighted mean of 3.50. In terms of products provided, services provided, accessibility of loans or credit and organizational management, the assessments were the same when grouped by profile. Services provided and accessibility of loans/credit were ‘very effective’, while products provided and organizational management were considered ‘effective’. There was no significant differences in the respondents’ assessments on the effectiveness of microfinance services provided by Card, Inc. when grouped by profile, while it is statistically different when grouped by one variable with an average annual household income. It is recommended that Card, Inc. should focus on the areas of products provided and collaboration with other sectors. To be an effective institution for poverty-alleviation, Card, Inc. needs to have leaders that are capable of expanding microfinance services. The government and private sectors must tie up to create an appropriate supervisory and regular framework to make them more efficient and viable. Also, Card, Inc. must enhance the existing education committee to facilitate improvement of member’s skills in livelihood activities. Aside from the enterprise loan, Card, Inc. may consider the provision of housing loans to its low income member to improve and repair existing homes. There is need to regular access the economic status of the members to avoid the drifting away from the focus of the poor and low income households. Further studies may be done on the effectiveness of microfinance services to the household beneficiaries.