Active members of Pag-ibig Funds can apply for a Multi-Purpose Loan or MPL. This is part of Pag-ibig’s short term loan programs which members can availed of.
You can use the MPL Loan to finance any of the following need:
- House Repair
- Minor Home Improvement
- Home Enhancement
- Tuition/ Educational Expenses
- Health and Wellness
- Other purposes
ELIGIBILITY REQUIREMENTS for MPL Loan of Pag-ibig
Not all members of Pag-ibig Fund can automatically apply for the loan. You must first meet these requirements:
- You, as a member-borrower, must have made at least 24 monthly mandatory savings (MS) to Pag-ibig.
- You must also have 5 monthly mandatory savings for the last 6 months prior to date of your loan application.
- You can still apply even if you have an existing Pag-ibig House Loan or another MPL or Calamity Loan PROVIDED that you have religiously paid your monthly amortizations for your existing loans. If you have defaulted on your existing loans from Pag-ibig, you will not be approved for a new MPL loan.
REQUIRED DOCUMENTS TO APPLY
You must accomplish completely the Pag-ibig form called “Multi-purpose Loan Application Form” or MPLAF. You can download this form online on this link or visit any Pag-ibig Branch and ask for the MPLAF form.
You must submit photocopy of at least 2 valid IDs.
You must submit proof of income:
* FOR EMPLOYED member-borrow: The “Certificate of Monthly Net Income” portion at the back of the MPLAF application form must be accomplished by the employer or alternative, you can submit photocopy of your latest pay slip duly authenticated by your company’s authorized representative.
*For SELF-EMPLOYED or INDIVIDUAL member-borrower: You must present a photocopy of ANY ONE of the following: Business Mayor’s Permit or Commission Vouchers or Other valid proof of income.
WHERE TO SUBMIT Pag-ibig MPL LOAN APPLICATION?
If you are employed – file your application through your company’s Fund Coordinator or go directly at any Pag-IBIG office and submit personally with the accomplished MPLAF form and the required documents.
For self-employed / individual payors / voluntary member – you must submit your application form together with the required documents in any branch of Pag-ibig.
OR a latest innovation from Pag-ibig Fund – you can now file your short term loan application via ONLINE in the official website of Pag-ibig using the HDMF Transaction Card. (I’ve just checked this Pag-ibig online service earlier, it’s down for the day, you can try it some other day)
MAXIMUM AMOUNT YOU CAN BORROW from Pag-ibig
The loan amount you can borrow depends on how much is your Total Accumulated Value (TAV), here’s a table to see the percentage of loan amount:
For those who have made mandatory savings (MS) for 24 to 59 months – you can borrow up to 60% of TAV.
For those who have 60 to 119 months MS – you can borrow up to 70% of TAV.
For those who have at least 120 months MS – you can borrow up to 80% of TAV.
Example: A Pag-ibig member borrower has made 98 MS at P200 monthly. She doesn’t have any existing loan with Pag-ibig.
This member’s total TAV will be = 98 * 200 = P19,600.
This member can borrow up to 70% of TAV = P19,600 * 70% = P13,720
P13,720 is the maximum amount that our sample member can borrow from Pag-ibig under the Multipurpose Loan Program. The actual loan amount that will be granted could be lower.
HOW WILL YOU GET THE LOAN PROCEEDS?
For approved MPL loan applications, Pag-ibig Fund will released your loan via the following channels, depending on your preference as indicated during the loan application process:
- Disbursement Card, example: Land Bank of the Philippines Cash Card or Pag-IBIG Citi Prepaid Card
- Landbank’s Payroll Credit Systems Validation (PACSVAL)
- or other similar modes of payment
Pag-ibig Fund INTEREST RATE for MPL Loans
There is a flat interest rate of 10.75% per annum on MPL loans, paid equally for the duration of the loan.
PAYMENT or AMORTIZATION SCHEDULE
You can pay approved MPL loan within 24 months or 2 years on equal monthly payment.
This monthly amortization schedule comes with a grace period of 2 months. Your payment must be given / handed to Pag-ibig on or before the 15th day of each month starting on the 3rd month following the date on your check from Pag-ibig.
If you are currently employed, the monthly amortization for your Pag-ibig MPL loan will automatically be deducted from your salary.
If you are a self-employed or voluntary member of Pag-ibig Fund, you can make auto-debit arrangement using your bank account to pay for your Pag-ibig amortization. You can also choose to opt to pay over the counter in a bank.
WHEN CAN YOU APPLY FOR an MPL AGAIN?
Even if you have an existing MPL loan, you can file for a new Multi-Purpose Pag-ibig Loan if you have made at least 6 monthly amortizations. The proceeds of the new loan shall be net of the outstanding balance of the existing loan.
PAG-IBIG CONTACT NUMBER
If you have any inquiries, you can contact Pag-IBIG Fund though their hotline number any time of day – (02) 724-4244. If you prefer sending an email message, send it to email@example.com. There is no available mobile number or cellphone number for Pag-ibig loan inquiries.
Warning: Do not engage in any transaction with any person or company claiming to be connected with the Pag-ibig Fund. Go direct to a branch of Pag-ibig to protect yourself.
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