What is Pag-IBIG FUND?
Pag
I
B
I
G
– tutulungan sa Kinabukasan
– Ikaw
– Bangko
– Industriya
– Gobyerno
What is Republic Act 9679?
• An Act further strengthening the Home Development Mutual Fund,
and for other purposes
• Was approved into law by Pres. Gloria Macapagal-Arroyo on 21
July 2009
• Increased the scope of power and function of the Fund through the
Board of Trustees who are appointed by the President of the
Philippines
• Provided for the tax exemption status of the Fund
• Increased scope of mandatory membership coverage of the Fund
CORPORATE PROGRAMS
1. Membership Program
2. Provident Savings Program
3. Modified Pag-IBIG II Program
4. Lending Programs
4.1. Multi-Purpose Loan
4.2. Calamity Loan
4.3. Home Lending
4.4.1. Retail
4.4.2. Institutional/Wholesale
MEMBERSHIP PROGRAM
Mandatory Coverage and Membership of Employees
1. All employees compulsorily covered by the SSS
2. All employees subject to mandatory coverage by the GSIS
3. Uniformed members of the Armed Forces of the Philippines,
the Bureau of Fire Protection, the Bureau of Jail Management
and Penology, and the Philippine National Police
4. Filipinos employed by foreign-based employers
MEMBERSHIP PROGRAM
Mandatory Coverage of Employers
1. Employers of employees compulsorily covered by the SSS
2. Employers of employees subject of mandatory coverage by the
GSIS
3. The Armed Forces of the Philippines, the Bureau of Fire
Protection, the Bureau of Jail Management and Penology, and
the Philippine National Police
MEMBERSHIP PROGRAM
Voluntary Coverage
1. Spouses who devote full time to managing household and family
affairs;
2. Filipino employees of foreign government or international
organization, or their wholly-owned instrumentality based in the
Philippines
3. Employees of an employer who is granted a waiver or suspension
of coverage by the Fund under RA 9679
MEMBERSHIP PROGRAM
Voluntary Coverage
4. Leaders and members of religious groups
5. A member separated from employment, local or abroad, or ceased
to be employed, but would like to continue paying Pag-IBIG
contributions
6. Public officials or employees who are not covered by the GSIS
such as barangay officials
7. Other earning groups as may be determined by the Board
SALIENT FEATURES OF THE SAVINGS PROGRAM
 Doubles/triples your money
 Annual dividend earning
 Portability of Savings
 Return of Contributions
 Government-guaranteed contributions
Tax-Free
 Availment
of loan programs (long and short-term)
EXISTING CONTRIBUTION RATES
(since 1986)
Monthly Compensation
P1,500 or less
More than 1,500
Contribution Rates
EE
ER
1%
2%
2%
2%
Maximum monthly compensation
=
P5,000.00
A member may be allowed to contribute more than what is required should he or she
desire. The employer, however, shall only be mandated to contribute what is required
unless he or she agrees to match the member’s increased contribution.
GROUNDS FOR WITHDRAWAL OF SAVINGS
Upon the occurrence of any of the following contingencies, Pag-IBIG Fund
guarantees the refund of a members’ accumulated savings, which consist of
the member’s accumulated contributions, the employer counterpart
contributions (if any) and the dividend earnings credited to the member’s
account:
 Retirement (ages 45, 60, and 65)
 Death
 Permanent and total disability or insanity
 Permanent departure from the country
 Separation from the service due to health reason
GROUNDS FOR WITHDRAWAL OF SAVINGS
 Membership Maturity (20 years or 240 months of continuous
contribution)
 Optional Withdrawal
 Other causes as may be approved by the Board
MULTI-PURPOSE LOAN (MPL) PROGRAM
Short-term financial which can be availed by Pag-IBIG
members for any of the following:
a) minor home improvement
b) livelihood
c) medical
d) educational
e) purchase of appliance and furniture
f) other needs
LOAN AMOUNT
An eligible borrower's loan entitlement shall depend on the
number of contributions made, based on the following
schedule:
No. of Contributions
Loan Amount
24-59 months
Up to 60% of TAV
60-119 months
Up to 70% of TAV
At Least 120 months
Up to 80% of TAV
INTEREST RATE
10.75% per annum for the duration of the loan.
LOAN TERM
Maximum period of twenty-four (24) months with grace
period of 2 months for local accounts and 5 months for
centralized accounts.
LOAN RELEASE
Check
 LBP Account
 LBP Cash Card (in the pipeline)
 Citibank Cash Card (in the pipeline)

LOAN PAYMENT
1. Salary deduction for employed members
2. Over-the-counter at Pag-IBIG Branches, for voluntary members
3. Auto-debit arrangements with banks
4. Collecting Agents (IRemit, Ventaja, Philippine National Bank,
Asian United Bank, and Metro Bank)
5. Pag-IBIG Posts (in selected Middle East countries)
PIOG SATELLITE OFFICE
Asia-Pacific
Europe
Middle East
1.
2.
3.
4.
5.
6. Rome
7. Milan
8. Athens
9. Madrid
10. London
11. Abu Dhabi
12. Dubai
13. Kuwait
14. Qatar
15. Riyadh
16. Jeddah
17. Alkhobar
18. Bahrain
Singapore
Hongkong
Brunei
Taiwan
Korea
PENALTY RATE
½% of any unpaid amount for every month of delay.
For borrowers paying their loans through automatic salary
deduction, penalties shall be cancelled/reversed only upon
presentation of proof that non-payment was due to the fault of
the employer. The said penalties shall then be charged against
the employer.
LOAN RENEWAL
Payment of at least six (6) amortizations
Borrower’s Eligibility
 Member must have made at least 24 monthly contributions
 With active Fund membership at the time of application with
the commitment from both the employee and employer to
continuously remit contributions at least for the term of the
loan.
CALAMITY LOAN PROGRAM
 80% of member’s total contributions
 Resident of a declared calamity-stricken area
 10.75% interest rate
 payable in 2 years
WHAT IS THE MODIFIED PAG-IBIG II PROGRAM?
 A voluntary savings program for Pag-IBIG members
 Open to all Pag-IBIG I members and OFWs with a
 Monthly gross income exceeding Php5,000.00
 Rate of contribution : Php500.00
 Term : five (5) years
 Savings are entitled to a preferential dividend rate
 Higher than that of Pag-IBIG I.
* Dividend Rate is 6%
HOME LENDING PROGRAMS
Lowest Interest Rate
Highest Loan to Collateral Ratio
Longest Loan Term
LOAN PURPOSE
The Pag-IBIG housing loan may be used to finance any of the following:
 Purchase of a fully developed lot
 Purchase of a residential house and lot, townhouse or
 condominium unit;
 Construction or completion of a residential unit on a
lot owned by the member;
 Home improvement;
 Refinancing of an existing loan; and
 Combination of loan purposes
BORROWER’S ELIGIBILITY
 Must be a Pag-IBIG member for at least 24 months
 Not more than 70 years old at loan maturity and must be insurable
 Has the legal capacity to acquire and encumber real property
 Has passed satisfactory background/credit and employment business
checks of the developer and Pag-IBIG Fund
 Has no outstanding Pag-IBIG loan, either as principal borrower or coborrower
 Had no Pag-IBIG housing loan that was foreclosed, cancelled, bought
back or subjected to Dacion En Pago
 Has no outstanding Pag-IBIG Multi - Purpose Loan in arrears at the time of
loan application.
3M
LOAN AMOUNT
Maximum of P3M, which shall be based on
the lowest of the following:
1. capacity to pay (40% of NDI*)
2. Actual need
1M
2M
3. Loan-to-collateral Ratio
4. Contribution
* Net Disposable Income
LOAN ENTITLEMENT BASED ON CONTRIBUTION
MONTHLY
CONTRIBUTION
LOAN ENTITLEMENT
(Effective April, 2009)
MONTHLY
CONTRIBUTION
LOAN ENTITLEMENT
(Effective April, 2009)
200
500T
850
1.7M - 1.8M
250
500T - 600T
900
1.8M - 1.9M
300
600T - 700T
950
1.9M - 2.0M
350
700T - 800T
1,000
2.0M - 2.1M
400
800T - 900T
1,050
2.1M - 2.2M
450
900T - 1.0M
1,100
2.2M - 2.3M
500
1.0M - 1.1M
1,150
2.3M - 2.4M
550
1.1M - 1.2M
1,200
2.4M - 2.5M
600
1.2M - 1.3M
1,250
2.5M - 2.6M
650
1.3M - 1.4M
1,300
2.6M - 2.7M
700
1.4M - 1.5M
1,350
2.7M - 2.8M
750
1.5M - 1.6M
1,400
2.8M - 2.9M
800
1.6M - 1.7M
1,450
2.9M - 3.0M
SAMPLE COMPUTATION
LOAN
INTEREST
MONTHLY
REQUIRED
NDI
PACKAGE
RATE
AMORTIZATION
(Amort / 40%)
P400K
6%
P2,398.20
P5,995.51
P750K
7%
P4,989.77
P12,474.42
P1.0M
8.5%
P7,689.13
P19,222.84
P1.5M
10.5%
P13,721.09
P34,302.72
P2.0M
10.5%
P18,294.79
P45,736.96
P2.5M
11.5%
P24,757.29
P61,893.21
P3.0M
11.5%
P29,708.74
P74,271.86
LOAN TERM
Loan Amount
Up to P3M
Term
Up to 30 yrs
HOUSING LOAN APPLICATION PROCESS
1. SUBMIT COMPLETE
APPLICATION DOCUMENTS
2. CLAIM NOA/LOG
(Notice of Approval/Letter of Guaranty)
3. SUBMIT DOCUMENTS FOR
CHECK PROCESSING
5. PAY THE MONTHLY
AMORTIZATION
4. LOAN RELEASE/TAKE-OUT
Our Contact Details:
Servicing Department
JELP Business Solutions Center
409 Shaw Boulevard
Mandaluyong City
Tel Nos. 724-4244 (PAGIBIG)
654-7230/654-9179
************************
6th Floor Justine Bldg. No 317
Sen. Gil Puyat Avenue
Makati City
Tel Nos. 812-4731 loc. 110
892-4382 / 894-2195
Fax No: 893-8874
Website: www.pagibigfund.gov.ph
THANK YOU!