MANILA, Philippines — Pag-IBIG on Thursday (September 9) announced that it will lengthen its payment term to three years from the previous 24 months or two-year period.
Department of Human Settlements and Urban Development (DHSUD) Secretary Eduardo del Rosario said they provided a longer payment period to give borrowers more time to pay off their loans, and more importantly, to make monthly payments lower.
This is amid the difficulties faced by members during the coronavirus disease (COVID-19) pandemic.
“During these difficult times, we continue to improve our programs to respond to the needs of our members,” he said.
Pag-IBIG Fund’s cash loans come in the form of a Multi-Purpose Loan (MPL) and a Calamity Loan (CL) for areas under a state of calamity and are payable for 24 months or two years.
According to Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy Moti, with the extended payment period, members who will take a P20,000.00 loan amount can reduce their monthly payment to P734.57 a month for MPL, and P615.72 a month for a CL.
Previously, the monthly payment for the said MPL and CL amount were P1,016.52 per month and P897.23, respectively.
With payments spread out over a longer period, monthly payments were brought down by 28% for the MPL and 31% for the Calamity Loan.
“We recognize that these are challenging times, and we are doing all we can to help our members as the health emergency continues,” he said.
“We are poised to help more members in the coming months, now that the extended payment term has made our cash loans even more affordable,” Moti added.
From January to July alone, Moti reported that Pag-IBIG has released P25.42 billion in cash loans to aid more than 1.1 million members.
“We also made the process of applying for loans safer and more convenient by accepting loan applications online via the Virtual Pag-IBIG. This is Lingkod Pag-IBIG at work, especially when members need us most,” Moti further said. –AAC
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