The cost is that by not being able to extend bank loans on part of its deposits, economic activity is compromised. Bank Capital Another idea is that a bank need not fund its extension of bank loans only with deposits in its liability structure. It can also raise some other forms of non-demandable liabilities.
I am happy to note that thrift banks continue to contribute to the strength of the overall banking industry. The collective assets of TBs reached Php961.13 billion as of November 2015 after growing annually by 10.71 percent for the past five years.