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“Assessment of Asset

Management of Foreclosed
Properties of Rural Banks in
Batangas Province Using Life
Cycle Approach. ”
INTRODUCTION
Republic Act 337/ General Banking
Act
Provide credits to :
Asset Management is a structured program to
minimize the life cycle costs of asset ownership
while maintaining required service level and
sustaining the infrastructure. The cycle
includes the plan, direct, measure and control.
THEORETICAL FRAMEWORK
Statement of the
Problem
1. What is the profile of the rural banks in Batangas province in terms of:

Frequency
1.1 years of and 20 and 21-30 31-40
Percentage below
operation

60 and
41-50 51-60 above
Frequency
1.2 Number of and
Employees Percentage 10 and below

16 and above 11-15


1000 and 2000-2999
1001-1999
Frequency below
1.3 Average number and
of Clients Percentage

5000 and
3000-3999 4000-4999
above
Frequency District 2
1.4 Geographical and
Location Percentage District 1

District 6 District 5 District 4 District 3


Frequency
1.5 Number of and 1-5 6-10
services offered Percentage

11-15 16 and
above
VERBAL
WEIGHTED
PLAN MEAN
INTERPRETATIO
N

Determines the condition/status of


foreclosed properties. 3.93 Excellent

DIREC
T
Offers reasonable interest rate for loans of
the property to be purchased. 3.50 Excellent

Provides discount for the foreclosed


properties. 3.50 Excellent
MEASUR WEIGHTED VERBAL
MEAN INTERPRETATION
E
The bank calculates the cost
associated w/ maintenance of the 3.78 Excellent
property.

CONTROL
Formulates several options and
strategies to cope up with the target 3.74 Excellent
results.

Updates the status of the 3.74 Excellent


foreclosed properties annually.
Is there significant difference on the asset management of foreclosed
properties when Rural Banks are grouped according to profile?

PLAN;
DIRECT;
MEASURE;
and
CONTROL
Recommendation
Rural banks should continue to determine the
condition/status of foreclosed properties as well as
create a plan for each foreclosed properties.

To those banks who do not strongly agree in assessing


the maintenance for every foreclosed property, they
should allocate time and fund in doing that because it
would attract buyers.
They should use social media to inform public about
foreclosed properties.

Rural banks should monitor the cost associated in the


shipping of foreclosed property/ equipment to identify
the total expenses incurred and to compute for the
profit or loss.
Rural banks need to continue formulating several
options and strategies to cope up with the target
results. And they should update the plan for the
foreclosed properties annually.

They should not use their contingency fund to cover


the expenses incurred in the asset management of
foreclosed properties.
AUSTRIA, HAZEL C.
MEDRANO, DAISY A.
PAPIO, JUDY ANN M.

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