When my husband’s copra business went bankrupt in 1987, I felt I had to do something to help out.
At first, I sold dried fish on the sidewalks in my neighbourhood in Gubat, Sorsogon. In 1990, I was able to get a space in the dried fish section of the town public market.
With the store, I was faced with the problem of how to fill its shelves with goods. My twin sister, married to a U.S. Navy man, obliged with $300 working capital. That was good for a start, but I had to scrounge around for funds to increase my volume of goods.
I joined a credit coop in our community which lent me a total of P18 thousand. Due partly to complacency, I became delinquent in my repayments after having paid P12 thousand. When I was about to settle the balance, I learned that my share capital amounting to P9 thousand had already been applied to my loan balance and yet, I still had to pay P6 thousand.
Feeling dejected, I resorted to the local 5-6 Bombay plying our area who provided the amount I needed. However, I had a difficult time repaying the loan. For the P30 thousand I borrowed, I had to pay a daily instalment of P1,200. There were days I wasn’t able to pay the instalment and other days there was scarcely food on the table for my family.
Loans from a micro-finance institution helped. This was PALFSI. For me it was a God send.
PALFSI is the People’s Alternative Livelihood Foundation of Sorsogon, Inc., a program of the Social Action Center in the Diocese of Sorsogon.
Despite my record of credit delinquency, I was encouraged by then PALFSI loan officer Sister Rose Villaruel to try to borrow. She asked me to present my predicament to Sister Adelia Oling, the chief executive officer. With her kind understanding, I was approved for a loan of P10 thousand. Eager to clear my credit slate, I was able to repay the loan in five months. That was in 1995.
In 1996, I borrowed another P10 thousand for the business. In the middle of trying to repay the amount, I was diagnosed with myoma and had to undergo hysterectomy.
Sick and financially drained, I started to default on repayments again. Through the guidance of PALFSI coordinator Eva Piojo, I was able to negotiate for a reinstatement of my loan which then had a balance of P3 thousand. At the same time, I was lent another P10 thousand to sustain our business, with a repayment period of six months.
In 1998, the Grameen banking system was introduced to the clients of PALFSI. Under the system, the initial loan amount is P2 thousand, but I was given a P6 thousand loan. By then, I was really determined to do my best as a business woman and as a borrower.
The confidence given me by PALFSI allowed me to redeem my dignity. It took me time to rebuild my credit record. I didn’t want to blemish again. In time, my loan limit rose to P50 thousand.
With help from PALFSI, I slowly expanded my business. From being only a retailer, I have become a wholesaler of daing. I now sell to the whole province of Sorsogon. In time, I had to rent a 36-sq m warehouse to accommodate my wholesale business. Now with cash to spare, I was also able to buy two tricycles. I use one to deliver the goods to nearby towns, while a driver plies the other from which I earn “boundary” money.
In 2002 and 2003, I was awarded the “Bilis Unlad Proyekto” by the PALFSI.
Contributed by:
Luz Escandor
Gubat, Sorsogon
