Just recently, the state housing fund or more commonly referred to as the Pag-IBIG reported the increase in the loans. The increase ranged from the regular Multi-Purpose Loans or the MPL; Housing Loans; and the like. Eduardo D. del Rosario, the head of the Department of Human Settlements and Urban Development or the DSHUD as well as the Pag-IBIG Fund Board of Trustees, said that they are calling for the aid of President Duterte to help out their members in getting and applying for loans.
He said that with Pag-IBIG’s Loan Policies relaxed, borrowers will have more time to update their accounts.
We heed President Duterte’s call to prioritize the welfare of our fellow Filipinos during these challenging times. We want to help members keep their homes, especially now because that is the safest place they can be. Pag-IBIG Fund extends favorable terms to our home loan borrowers. We give them several remedies to save their properties in case of default. Our remediation process also gives borrowers at least one year to update their accounts.”
Due to the situation that we are in now, home loan borrowers can come across different financial difficulties. This basically means that they might find it difficult to update their accounts; whereas the main goal of their loans is to help those who are in need.
More Compassionate to Borrowers
In addition to that, Acmad Rizaldy P. Moti, Chief Executive Officer (CEO) of the Pag-IBIG Fund said that as opposed to other financial institutions, the penalties, rules, and policies of the loans of Pag-IBIG are more compassionate and more understanding towards borrowers.
This is because of the fact that they only compute and include penalties based on the unpaid dues – not on the outstanding loan balance. He continues to say that they are widely expecting to see the loans increase within the next few months. With Pag-IBIG’s loan policies relaxed, they’re sure that they’ll be more compassionate towards their members.
Due to the economic slowdown, we expect to see default rates climb in the next few months. We want to assure our borrowers that we take into consideration their unexpected loss of income as a resultof the pandemic. We at Pag-IBIG Fund remain committed to enable Filipino workers not only to buy homes, but to keep their homes. COVID-19 will not change that.”
What are the Relaxed Policies of the Pag-IBIG Loans?
Going back to the previous announcement they made; they would release Pag-IBIG Housing Loan Promos that would be effective until the end of this year. Other than this, they also would provide certain guidelines on the other loan types such as the Multi-Purpose Loan (MPL), and the Cash Loan.
What do you think about the fact that they are rooting to have Pag-IBIG’s Loan policies relaxed for the good and the benefit of the members?