Metro Manila (CNN Philippines) — Pag-IBIG Fund disbursed ₱50.79 billion in cash loans in the last ten months, breaking its record for the highest amount of cash loans released for any January to October period. The amount released benefitted 2,281,042 Pag-IBIG Fund members, also a record high.
From January to October, the amount of short-term loans released by the agency increased by 12 percent or ₱5.5 billion compared with the ₱45.29 billion released during the same period in 2022. The number of members assisted through the program also increased by 6 percent or 127,494 more than the 2,153,548 members from the previous year as more members utilized the agency’ s online channel, the Virtual Pag-IBIG, to apply for cash loans. During the period, 743,362 members filed their loans online, an increase of 266,281 borrowers or 56% percent year-on-year.
“We are happy to report that Pag-IBIG Fund continues to provide Filipino workers with assistance on their immediate financial needs through our cash loans. The record-high amount of loans we released, as well as the highest ever number of members aided through these loan programs, show that our short-term loans are among the top choices of Filipino workers in gaining additional funds for their needs. All these are part of our efforts in heeding the call of President Ferdinand Marcos, Jr. to provide the best service to the Filipino people,” said Secretary Jose Rizalino L. Acuzar, who heads the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.
Pag-IBIG Fund’s Short-Term Loan Program includes the agency’s Multi-Purpose Loan (MPL) and Calamity Loan. Under the Pag-IBIG MPL, qualified members can borrow up to 80 percent of their total Pag-IBIG Regular Savings, which consists of their monthly contributions, their employer’s contributions, and accumulated dividends earned. The proceeds can be used to pay for tuition fees, medical expenses, minor home improvement, a family trip, or even serve as business capital. Borrowers may choose between a 24 and 36-month payment term, with the first payment deferred for two months. The Pag-IBIG Calamity Loan, on the other hand, is available to members residing or working in areas declared under a state of calamity. In the past years, the agency has returned more than 90 percent of its income, mostly derived from interest on loans, to members in the form of dividends.
Of the total amount of cash loans released by the agency, ₱48.32 billion were in the form of Pag-IBIG MPLs which helped 2,131,435 members, while ₱2.48 billion were in the form of Calamity Loans which in turn aided 149,607 members.
Pag-IBIG Fund Chief Executive Officer Marilene C. Acosta, meanwhile, cited reliability and ease of access as the main drivers for the strong growth of Pag-IBIG’s Short-Term Loans. She noted that with more members applying for loans using the Virtual Pag-IBIG, the amount of cash loans released by the agency from January to October through online applications surged to ₱16.65 billion, an increase of ₱6.51 billion or 64% year-on-year.
