Know what part of our financial system

Continuing to comment on how it works and is structured our financial system, this time I will refer to the savings system, a matter which to date has been a major problem in providing security for the government to small savers, since in the past they have broken their savings efforts, because everywhere are always the vivales and left on the street many of these people.

Therefore, I now offer:

In this new field involving the Savings and Loan Associations, Federations and Confederations. Then mention how you made each of them.

Institutions are shaped by the Cooperative Savings and Loan and Finance Companies People. The first are companies formed to operate under the General Law of Cooperative Societies and the latter are corporations formed to operate under the General Law of Commercial Companies. Both are governed also by the Law of Popular Savings and Loan and applicable laws. These entities are considered as financial intermediaries therefore should be authorized by the Ministry of Finance and Public Credit, and the National Banking and Securities Commission (NBSC).

These entities will target the savings and loan, ie they may raise funds from the general public (customers) or their partners, and then put through financing to micro, small and medium enterprises (clients) and any of the partners required.

Each Federation will consist of a minimum of 10 Savings and Popular Credit and must be authorized by the NBSC. Shall be the function to the enforcement of legal framework and shall exercise the powers of supervision and monitoring of ancillary manner, the powers that have the CNBV, ie, each Federation should monitor and supervise ancillary manner to each of the Entities are affiliated to it, and also all those unaffiliated assigned by the Commission. This function must take place through a Steering Committee, which is authorized by the NBSC.

Like each Confederation Federation shall be constituted with the voluntary group of at least five federations, and must be authorized by the NBSC. Confederations should be exercised administrative powers Protection Fund, besides being the organ of the federal government partnership for the design and implementation of programs to facilitate the activity of savings and loan.

Protection Fund This primary goal will cover deposits of individual savers' money, considering the amount of principal plus accessories.

Both confederations and federations can also perform the following activities:

Act as legal representatives of their affiliates,

Provide technical, legal, financial and training support to its affiliates (you)

Contract loans in order to channel them to the Federations and affiliated entities that require it,

Promote improvement and operational and technical capacity of its affiliates.

To date, there are still some Savings and Loan institutions through which at first the federal government tried to protect savers, as to its organization and operation of express authorization required by the Ministry of Finance and Public Credit, more than that have also been under the supervision of the Commission Nacional Bancaria y de Valores.

In these circumstances, these entities (SAPS) have an obligation to be dictated by certified public accountants, and deliver the document to the NBSC, like the return for income tax purposes, should be delivered dictated by a registered accountant in the register the Treasury itself. With this the government felt that such requirements exist and the delivery of regular reports to regulators, depositors and members of the same would be more protected.

Importantly, many thanks to the popular savings and low-income people in areas where the bank does not provide financial services, access to credit, which many of them allowed them to be great entrepreneurs of both the commercial field, as in the industrial and service provision.

Thanks to these thrifts popular people can have access to credit to repair, expand and build their homes, for what it is and have been critical to the economic development of large, medium and small communities across the country .

Testing the potential of this sector of people to some extent forgotten by the big commercial banks, we note the success that has achieved the Banco Azteca, which to date has more than four million small savers accounts, and each days the institution sees positive results in their business to such a degree that has already gone beyond our borders, have a presence in Panama and Peru, where many people, like in our country, have welcomed the presence of the financial institution.

To date, the federal government has approved in this field (thrift) institutions that provide similar services to which Banco Azteca has been providing, among which we mention: Banco Wal-Mart de Mexico (855 stores), Bancoppel (478 stores Copel), Banco Facil (chain of 97 stores Chedraui), Famsa and Autofin Bank, which operate with Barclays Bank, Prudential Bank (Prudential Apolo with 17 branches), as we can see, the attack on Financial Services for the coming year will be very strong, therefore, users of these (small investors) have to learn every day to know how to select the institution best service given that no major risks (as they will be supervised and monitored by the CNBV) can have better, more profitable, they may eventually make better business, to have better life, they should always investigate, compare and choose the best option in terms of financial services will require.

Dr. Luis Nunez Alvarez.



source: economia.com.mx