The cooperative can now be small banks and not just a place for collection and loan purposes of members. This is the new law for Cooperatives that is signed by President Gloria Macapagal – Arroyo.
From cooperatives that loans to it members, it will become a union of new proposed services that complies to the regulations of Bangko Sentral ng Pilipinas (BSP).
However, the Cooperative Code has not yet been made plain as to what services are offered in regulation to the trusted agencies, the cooperatives can open a current / checking accounts, be an agent of SSS or GSIS, and even loan foreign money.
Cooperatives can become depository banks according to the new law.
However, the cooperative still have to ask permission from the Cooperative Development Authority (CDA) and BSP in order for them to render these services.