Promoting the role of savings and loan groups

On a day in early July, when the sectors and localities were still busy with the work of merging and operating the two-level local government, the Thanh Thuy Social Policy Bank Transaction Office was not outside the common tasks. The office coordinated with the new government and organizations of the merged commune in the old Thanh Thuy district to bring policy capital to the right subjects. Today is also the day that comrade Le Vu Kieu Oanh, Head of the Business Planning Team of the Thanh Thuy Social Policy Bank Transaction Office, went to check and compare loan households. Oanh shared: "On the 22nd of every month, bank staff are present at the commune very early to disburse and collect interest periodically, so I know the commune like the back of my hand." Oanh and the Head of the Savings and Loan Team took us to the family of Ms. Dinh Thi Nhan, in zone 19, Tu Vu commune. With two buckets of feed for both pigs and chickens in her hands, Ms. Nhan greeted us with a bright smile. Ms. Nhan is the wife (guardian) whose loan application was approved for a person who had completed a prison sentence of 100 million VND. With the capital, the family invested in raising pigs, fighting cocks and building a biogas tank. With the money, Ms. Nhan's family reinvested and paid interest and principal according to regulations.

The family of Ms. Dinh Thi Nhan, zone 19, Tu Vu commune invests in raising crossbred fighting chickens and pigs to develop the economy .

Pouring a cup of hot, shimmering lemon-yellow water from the lotus buds to invite us, Ms. Nhan said: I picked and brewed these lotus buds on May 5 (insect killing day). Only on this day in the year are the lotus buds and leaves picked, brewed, and dried to make tea the most delicious. Ms. Nhan was born in 1968. In the story of accessing policy loans to do business, Ms. Nhan is always grateful to the Party and the State for having a highly humane policy, "leaving no one behind", especially those who have completed their prison sentences to give them the opportunity to contribute to the development of their families, society, and community. She said: "Everyone in life makes mistakes, but the most important thing is that my husband knows how to correct his mistakes, leaving behind the unhappy past to look forward to the future." Ms. Nhan's grandchild, about 10 years old, politely offered her and the guests a tray of rice popcorn that had just popped outside the village entrance, still crispy. The summer rain suddenly came and then stopped to give way to sunlight, just like Nhan's family: After the rain, the sky is bright again.

Tu Vu commune was merged with 3 communes: Dong Trung, Hoang Xa and Tu Vu with an area of nearly 38km2, a population of nearly 19,000 people. The transaction office of the Social Policy Bank is currently implementing 12 credit programs in the commune with an outstanding loan of more than 215 billion VND, 109 Savings and Loan Groups (TK&VV), with 3,598 borrowers. The Savings and Loan Group of Area 19 of Tu Vu commune, headed by Mr. Dao Xuan Quang, is managing 9 credit programs with an outstanding loan of nearly 5.3 billion VND with 60 members, including loan programs such as: Poor households, Near-poor households, Employment, Students... In recent years, the TK&VV Group has no overdue debt or outstanding interest. The savings deposit balance is over 200 million VND; 100% of borrowing households have monthly savings deposits with more than 100,000 VND/month/member. Borrower members are all conscious of paying interest and debt on time, avoiding overdue debt and bad debt.

Mr. Dao Xuan Quang said: “After the members have their documents approved and receive capital, the group will check the use of capital and urge debt collection according to regulations. For members who borrow capital and face difficulties due to natural disasters, epidemics, etc., the group will promptly coordinate to encourage and advise on production and business plans, helping them overcome difficulties to have a source of income to repay their debts. For members who have left their place of residence and are at risk of overdue debt, the group will promptly report to the entrusted organization and bank staff to deploy timely and effective solutions.”

Identifying the important role of savings and credit groups in social credit activities, in recent years, the Thanh Thuy Social Policy Bank Transaction Office, together with communes and 4 associations and unions, has expanded its network of activities to residential areas; organized training for part-time staff (Chairman of the Commune People's Committee is a member of the Board of Directors' Representative Board, officers of socio- political organizations, officers of the poverty reduction committee; area heads, management boards of savings and credit groups). Up to now, the Transaction Office manages 3 communes with 11 transaction points with 245 savings and credit groups. As of July 3, the total outstanding debt reached nearly 507 billion VND, reaching 99.45% of the plan, an increase of nearly 23 billion VND compared to December 31, 2024. The growth rate reached 4.56% with 245 savings and credit groups, 8,405 households with outstanding loans, average outstanding loans of nearly 2.1 billion VND/Savings and Credit Group; 60 million VND/household.

In addition to training for cadres of associations, unions, commune poverty reduction committees, heads of committees and management boards of savings and credit groups entrusted by banks, the Thanh Thuy Social Policy Bank Transaction Office regularly inspects and reviews the operation of savings and credit groups in the locality; actively guides groups on lending processes and procedures, savings deposits, records, monitors and supervises households to effectively utilize loan capital; coordinates with local authorities and socio-political organizations to regularly review, evaluate, classify and have plans to strengthen the groups. The quality of activities of savings and credit groups is increasingly improved, becoming an "extended arm" of the Social Policy Bank, effectively managing capital, helping thousands of households escape poverty.

Thuy Hang

Source: https://baophutho.vn/phat-huy-vai-tro-cua-to-tiet-kiem-va-vay-von-236167.htm