Rollout of TODA Loan in Central and Northwest Luzon

As the FICOBank’s Tricycle Operators and Drivers Assistance (TODA) Loan had its successful six-month pilot testing at the Head Office and Santiago Branch (April to October 2010) and simultaneous rollout in all operating units in Northeast Luzon on October 26, 2010, the Bank since then aggressively promoted its TODA Loan to a wider market. Although the loan ceiling is not that high, as compared to the cap of the same type of loan product offered by other providers, TODA Loan inched its way to penetrate the market, as it is competitively priced (with no service charge) and has a shorter turnaround time (at most one hour) in completing a transaction—from filing of application to disbursement of loan proceeds.

Considering the huge, and still snowballing, number of tricycles operating within the primary and secondary service areas of the branches of FICOBank in Central and Northwest Luzon, TODA Loan was eventually introduced into the bankwide marketplace on May 2, 2011, one year after its pilot testing in Central and Southern Isabela. This corporate initiative has multi-pronged business objectives, first and foremost of which is to capture a big chunk of the market—both absolute and relative market shares.    

Prior to the official launching of TODA Loan in the area, a Product Orientation for the frontliners and backroom staff of the operating units in Central and Northwest Luzon was held at the Plaza Letecia in Cabanatuan City, Nueva Ecija on April 9, 2011. During the said orientation, Mr. Emilio U. Rico, Jr., Senior Vice President for Operation and Banking Services, delivered his opening remarks. Mr. Dionicio A. Marquez, Jr., Acting Head of the Credit Department, Dr. Robert R. Palac, Head of the Business Development Department, and Mr. Leo E. Limbos, Marketing Assistant, served as resource persons (RPs). A question-and-answer session was facilitated in each presentation by the RPs to shed light on the issues/concerns raised by the participants and to make any gray areas clear. The highlight of the training event was the commitment-making session, in which each branch has declared its commitment up to year-end in terms of account generation and loan volume. The day’s activity was wrapped up by Mr. Ronald C. Busto, Area Manager for Central and Northwest Luzon, through his closing remarks.

Without a speck of doubt, the product features of TODA Loan are competitive. In relation to industry and competitors’ practices, TODA Loan is uniquely positioned in the minds of the target clients as “Todo-bilis na pautang para sa mga tricycle drivers at operators.” With its reasonably-priced interest rate and within-your-means amortization plan, the loan client’s household budget will never be affected. Aside from this, the client may immediately re-avail the said loan upon payment of at least 80% of the principal. Most importantly, the possibility of the mortgaged tricycle unit to be foreclosed by the Bank is remote with these nice-to-have product attributes. Through the TODA Loan of FICOBank, thousands of trikers in Central and Northwest Luzon have now more reasons to smile.

With its competitive edge, and what it can do to ease the plight of the tricycle operators and drivers, TODA Loan can easily carve its niche in the marketplace. Its distinct product concept and unique selling proposition are expected to be spread by “word of mouth” of satisfied clients; thereby, raising public’s awareness and generating more accounts. The area head and branch managers of FICOBank in Central and Northwest Luzon are confident to saturate the market up to year 2015.