Pag-IBIG released P15.82B cash loans in first quarter of 2023

Home Development Mutual Fund or Pag-IBIG Fund on Thursday said it has released P15.82 billion worth of cash loans from January to April this year.

In a statement, Pag-IBIG said the cash loans released in the first four months of 2023 grew by 5% from P15.10 billion released in the same period last year.

The fund said the cash loans it disbursed has helped 728,653 members with their financial needs.

“We are happy to note that through our Pag-IBIG Multi-Purpose Loan, we were able to aid more than 700,000 Filipino workers to gain added funds to tend to their needs," said Secretary Jose Rizalino Acuzar, who leads the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.

Under Pag-IBIG’s Multi-Purpose Loan or MPL, qualified members can borrow up to 80% of their total Pag-IBIG regular savings, which consists of their monthly contributions, their employer’s contributions, and accumulated dividends earned.

Pag-IBIG said the proceeds of the loan can be used by members to pay for tuition fees, medical expenses, minor home improvement, a family trip, or even serve as capital for small businesses.

The loan is payable in 24 or 36 monthly installments, with the first payment deferred for two months.

Pag-IBIG said the MPL has an interest rate of 10.5% per year.

In total, the fund said it has so far released P16.44 billion in short term loans which benefited 766,258 members in January to April.

The amount includes the amount released under the MPL and the P620 million in Pag-IBIG Calamity Loans released to aid 37,605 members.