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Comprehensive Guide to Pag IBIG: Contribution, Online Verification, and Loans in 2020

Updated May 21, 2020

 I think you will agree with me when I say:

 Filipinos of various generations value homeownership. And we associate Pag IBIG contribution and loans with affordable housing loans.

 As you raise your own family, you get the growing desire to have your own home where your children can live comfortably, safely, and securely. For others, they want to give a comfortable home to their parents, who have sacrificed so much to provide a better future.

 And among millennials nowadays, owning a house shows independence and financial stability.

 But wait… there’s more:

 Pag IBIG is more than housing programs. It brings more benefits to Filipinos who want a secure financial future and a better retirement.

 If you are not using these benefits, then you are missing out.

 Find out how it helps Filipinos with their finances, homeownership, and everyday needs.

 This article has two parts: how it works and what the benefits you can enjoy.

 How the Pag-IBIG Fund Membership and Contribution Works

  • How Pag IBIG Fund works
  • Who Can Be a Pag IBIG Member
  • Step by Step Pag-IBIG Online Verification
  • Five Easy Ways to Get Your Permanent Pag IBIG Number
  • Pag IBIG Contribution Table
  • How to Increase and Check Your Pag IBIG Contribution Online

Guide to Pag-IBIG Fund Benefits 

  • A Step-by-Step Guide to Claim Your Contributions
  • Your Step-by-Step Guide to Modified Pag-IBIG II (MP2)
  • A Step-by-Step Guide to Pag-IBIG Housing Loan
  • Your Step-by-Step Guide to Pag-IBIG Salary Loan
  • A Step-by-Step Guide to Pag-IBIG Calamity Loan

What is Pag IBIG Fund?

Ever wonder what the word stands for?

 Employed Filipinos see it as a mandatory contribution deducted from their payroll.

 Pag-IBIG means Pagtutulungan sa Kinabukasan: Ikaw, Bangko, Industria at Gobyerno.

It is an agency that provides a national savings program. It is possible with the combined efforts of the four sectors in our society: 

  • Individuals (You),
  • Banks,
  • Industry, and
  • Government.

Also, it can be defined as the keeper of your savings until you reach 65 years old.

 It is your emergency fund in times of need.

 It’s so easy to say that you can just save your extra cash, but having mandatory savings automatically deducted from your salary is a big help.

Currently, it serves the employed, self-employed with informal income, the overseas Filipino Workers (OFWs), and non-earning spouses.

 Aside from Housing Loans, it also offers:

 Multi-Purpose Loans,

  • Calamity Loans, and
  • Modified Pag-IBIG II (MP2) programs.

 It helps members grow their money too.

 The Fund earns by investing at least 70% of its investible funds in various channels like housing finance.

 Additionally, it utilizes funds for its Short Term Loan Programs in government securities, time deposits, and corporate bonds. The money it grows from investing is then used for the benefit of the members.

Is HDMF and Pag IBIG the Same?

Technically, HDMF and Pag-IBIG Fund are the same.

 Filipinos get confused about whether the HDMF and the Pag-IBIG Fund were different or had the same roots back when Executive Order No. 538 mandated the merging of the Home Development Mutual Fund (HDMF) with the National Home Mortgage Finance Corporation (NHMFC).

Together, the operating agencies provide Filipinos with the most affordable housing loans from the government.

Yet, on December 14, 1980, when it (as we now know it) was once again made independent from the NHMFC. Even now, Filipinos and government offices still use HDMF and Pag-IBIG Fund interchangeably.

Can You Be a Pag IBIG Member?

Being a member is a practical step if you want to secure your future homes.

You can either be a mandatory member or a voluntary member.

Mandatory Pag-IBIG Members

  • Private employee – You must work in a private company and be covered by the Social Security System (SSS). In addition, private employees must not be older than 60 years old.
  • Household helper – You must earn at least ₱1,000 a month by rendering domestic services. This category includes drivers, gardeners, cooks, and other similar jobs.
  • Filipino seafarer – Upon signing the standard employment contract, a seafarer must be a member. The foreign ship owner and the manning agency will act as the employer.
  • Self-employed – Whatever your trade, business, or occupation, if you are earning at least ₱1,000 and not over 60 years old, you have to be a member
  • Expatriate – Foreign citizens living and working in the Philippines are mandated to be a member.
  • Uniformed members of the Philippine National Police, Armed Forces of the Philippines, the Bureau of Jail Management and Penology, and the Bureau of Fire Protection
  • Government employees who are mandated by law to be covered by Pag IBIG Fund
  • Filipinos employed by foreign-based companies

Voluntary Pag-IBIG Members

Filipinos 18 to 65 years old and not mandated to be a member can be voluntary members.

  • Non-working spouses unless they are engaged in a vocation or employment that is subject to mandatory coverage.
  • Leaders and members of religious groups
  • Unemployed members who want to continue their membership
  • Public officials or government employees who the GSIS does not cover
  • Filipino employees of an international organization or foreign government but have no administrative agreement with the Fund.

Step-by-Step Pag-IBIG Online Verification

Want to be a member?

All eligible Filipinos can be a member and get a Pag IBIG number.

“How can I get my Pag-IBIG number online?” you’d ask.

Nowadays, you can easily do it online in the comforts of your own home.

No need to join the crowd in a branch. Just follow these simple steps:

Step 1: Visit the Pag-IBIG Fund website

To start your registration, you need to visit www.pagibigfund.gov.ph.

Scroll down until you see the “e-services” option.

pagibig e-services

It will direct you to the online services page, where you have to choose “Membership Registration.”

Click on the image.

pag ibig online verification

Step 2: Proceed to Online Membership Registration

It will direct you to the “Online Membership Registration” page.

The registration is only for new members who want to register their membership information. If you have no existing online membership yet, click the “Continue” button.

pag ibig online registration

Step 3: Fill in your personal details

Key in your full name and date of birth.

If you do not have a middle name, don’t forget to tick the box “No Middle Name.” Do not type in N/A or Not Applicable.

Check if everything is accurate and has the proper spelling before entering the captcha code.

Click “Proceed” if done.

pag ibig online membership registration 2

Step 4: Fill in the details in the Application Form

Take the time to fill in all the needed information in your online membership application form. Make sure that you have filled in all the necessary details.

You will see eight tabs that you need to fill up:

  • Member Info
  • Address
  • Other Info
  • Contacts
  • Heirs
  • Employment History
  • Member Category; and
  • the Summary

Remember that the system automatically logs out if the page has been idle for 15 minutes. So if this happens to you, you can just log back in and finish the application.

All of your information must be accurate. Key in the captcha and then click “Submit.”

pag ibig online registration 3

Step 5: Save your Temporary Pag IBIG ID Number

Once you click submit, it will direct you to a new page where you can get your Registration Tracking Number (RTN).

It is your temporary ID number which you can use to start tracking your registration.

Also, you will get a text confirming that you have finished your online application.

How to Get Your Pag IBIG Number (Paano kumuha ng Pag IBIG number?)

That is why you have to request your permanent Pag IBIG MID Number. Then receive it via text, call, email, or chat. It may take two to three days for it to process your application and verify your personal details.

Here are five ways to get your Pag IBIG Number.

1. Send a Request via Text Message

To request your permanent Pag-IBIG MID number, simply text:

IDSTATYour RTNYour Birthday in MM/DD/YYYY.

Sample: IDSTAT 123456789123 12/24/1979

If you are a Globe or TM subscriber, send it to 0917 888 4363.

For Smart, Talk n Text, Sun, and Red Mobile users send your requests to 0918 898 4363.

2. Talk to a Pag IBIG Customer Representative

You may also call (02) 724-4244 to talk to the customer services representative. This service is open 24/7.

Expect to provide your full name, mother’s maiden, birth date, and address. It is to verify that they are giving your Pag IBIG MID Number to the right person.

3. Send an Email

If you have an active email (Google/Yahoo), you may send your request to contactus@pagibigfund.gov.ph. Don’t forget to include your full name, birth date, and address.

Another way to send an email request is to fill in the Email Us form on the official website.

Make sure that your contact number and email address are both active. You will receive a confirmation message acknowledging that it received your email.

4. Request Through Chat Support on Facebook

Pag IBIG now has a chat support system to assist its members. Simply follow Pag IBIG on their Facebook account. Then, send a private message including your full name (including your middle name), date of birth, mother’s full maiden name, and your Registration Tracking Number.

5. Visit the Nearest Pag IBIG Branch

If there is a nearby branch and you prefer personal assistance, then you can visit the branch. Bring a valid government ID for verification and faster transaction.

Pag-IBIG Contribution Table 2020

How much is the monthly contribution? Is your company deducting the right amount from your salary?

Every employee, employer, OFW, and a voluntary member must know the required monthly contribution. This way, you can maximize the Pag IBIG benefits when you need them the most.

pag ibig contribution table

How Much is The Pag IBIG contribution?

Your contribution should be at least 1% of your monthly salary.  Your employer will contribute an equivalent to 2% of your monthly salary. That is, if you are earning less than ₱1,500 a month. Meanwhile, if you make more than ₱1,500 a month, your mandatory contribution is 2% of your salary but not more than ₱100.

Even if you earn more than ₱5,000, the company should only deduct ₱100 as your mandatory Pag IBIG contribution unless you have requested to increase it. After that, your employer will contribute an equivalent to 2% of your monthly salary.

How to Increase Your Pag IBIG Contribution

Take note that you can voluntarily increase your Pag IBIG contribution to P2,950. Simply tell your payroll or HR officer that you want to increase your monthly contribution, and they will deduct it from your salary.

How to Check Pag IBIG Contribution Online

Pag-IBIG members can verify their paid contributions in four (4) different ways:

  • Call Pag-IBIG Fund 24/7 hotline at 724-4244
  • Send an email to contactus@pagibigfund.gov.ph
  • Send a personal message to Pag-IBIG Fund Facebook page at facebook.com/PagIBIGFundOfficialPage
  • Personally visit the nearest Pag-IBIG branch

Currently, only Overseas Filipino Workers (OFWs) can check their contributions online. If you are an OFW, simply follow these steps:

Step 1: Visit the Pag IBIG website

Use a browser and make sure that you have good internet connectivity before you start.

Visit the Pag IBIG website and click the “e-services.”

Click the image of the OFW Member’s Contribution Verification.

pag ibig ofw contribution

Step 2: Type in your Pag-IBID MID number and name

Ensure your Pag-IBID MID number and name are correct before entering the captcha code and proceeding.

Step 3: Click “View Membership Savings”

Check your contribution details. It includes the month and amount of contributions that you have made.

Benefits of Increasing Your Pag IBIG Contribution

You can get approved for a higher loan amount. While the mandatory contribution is only up to P100, you can request an increase of up to ₱2,950. For example, let’s say you want to get a housing loan for a house worth ₱4 million. If you want to get a housing loan of as much as ₱4 million, you have to pay a monthly contribution of ₱2,000 a month.

The same goes for Multi-Purpose Loans (MPL). The MPL loan amount is up to 80% of your total contribution. Thus, the more monthly contribution you pay, the higher the loan amount you can acquire.

pag IBIG Housing Loan Amount

What is the Total Accumulated Value (TAV) of Pag IBIG Fund?

The member’s Total Accumulated Savings or TAV is comprised of the members’ monthly savings, employer counterpart share, and total annual dividend earnings.

When to Claim Your Pag IBIG Contributions?

Pag IBIG FUND guarantees to refund your total accumulated savings consisting of your overall contributions, the employer counterpart contributions, and the dividend earnings credited to your account.

There are six circumstances when the Fund members can withdraw their contributions:

1. Membership Maturity

The membership maturity is based on the 20 years of membership from the initial date of the first contribution.

You must have remitted at least 240 monthly membership contributions at the time of membership maturity.

Now, 20 years is a very long time, and many of us have had gaps when we cannot pay for our Pag IBIG contributions. So, what should you do if you have contribution gaps?

  • Suppose your gap is two years or less. Then, simply pay for the gap and receive 100% of your savings, including the amount you have paid to cover the gap.
  • If your gap is more than two years, you are still required to pay for that gap before you can claim your savings. You can then withdraw your lump sum minus the money you paid for the gap. Wait for the period equivalent to the period of the gap to pass before you can claim the money you paid for the gap.

2. When Your Retire

Pag IBIG members are required to claim their Pag IBIG savings upon reaching the age of 65.

But in case of early retirement, you can also claim it under these circumstances.

If you are at least 60 years old, you can claim your Pag IBIG total accumulated savings, but you must provide a certified copy of your birth certificate.

If you had an early retirement at the age of 45 but not older than 60, you can also claim your Pag IBIG savings provided that you have:

  • a Notarized SSS Certificate of Early Retirement (for private employees),
  • a GSIS retirement Voucher (for government employees), or
  • an Order of Retirement (For AFP).

3. Permanent and Total Disability or Insanity

The following disabilities are considered total and permanent. Therefore, having these will be sufficient grounds for the member to claim the Fund benefits.

  • Continuously total disability lasting for more than 120 days;
  • Complete loss of sight (both eyes);
  • Loss of two limbs;
  • Complete paralysis of two limbs (permanent);
  • Brain injury resulting in imbecility or insanity; and
  • Such other cases are adjudged by a duly licensed physician and approved by the Board of Trustees.

4. Separation From The Service Due to Health Reasons

Sometimes, members can no longer render work due to severe health conditions.

These are illnesses, injuries, or physical and mental impairments that involve continuous care from a health care provider.

To claim your Pag IBIG savings, you must present a Physician’s certificate with a medical abstract.

5. Permanent Departure From The Country

If you decide to live abroad permanently, you can claim your savings.

You will need to provide a clear copy of your Passport with an Immigrant Visa or its equivalent and a Notarized Sworn Declaration of Intention to Depart from the Philippines Permanently.

6. Death

If a member dies, the Fund savings will be divided among the declared heirs as mandated by the New Family Code.

The claimant must provide the following:

  • Certified True Copy of Member’s Death Certificate
  • Proof of surviving heirs (must be notarized)
  • Certified True Copy of Birth Certificate of Surviving Children
  • Proof of relationship with the deceased such as a Certified True Copy of Member’s Marriage Contract or Birth Certificate.

How to Withdraw Your Pag IBIG Contribution

Step 1: Prepare the basic requirement that you will need to claim your Pag IBIG Total Accumulated Value.

  • Application for Provident Benefits (APB) Claim form.
  • Two valid IDs or your PAG-IBIG Loyalty Card
  • One valid ID of the member
  • Special Power of Attorney (SPA) if you are a representative

Step 2: Visit a Pag-IBIG branch

Visit the branch where your contributions have been consolidated. Currently, it has no centralized records. It means it will not record your contribution to one branch in another if you moved to another area unless you made a consolidation request to keep your records updated.

Make sure you have consolidated contributions in the branch where you submit your form.

Step 3: Get your Provident Benefits Acknowledgement Receipt.

Once you get verified, their representative will issue you the Provident Benefits Acknowledgement Receipt. It will indicate when you can claim your check. Also, you have the option to have your claim credited to your bank account.

Modified Pag-IBIG II (MP2)

Want to invest your money at a lower risk?

If you are a risk-averse person, then MP2 may be a good idea to start saving money.

Pag IBIG 1 is the usual savings in Pag IBIG that will let you borrow a low-interest housing loan and salary loan.

Modified Pag IBIG 2 can be defined as a voluntary savings program that matures after 5 years. It is designed to have a higher yield than the Pag-IBIG I membership program. However, this program is strictly for savings. You can’t avail a loan against your MP2 savings.

Benefits of MP2

  • It is for active and former Pag IBIG 2 members with a regular source of income such as monthly salary and pension. However, even OFWs and pensioners are welcome to enroll.
  • The minimum contribution is ₱500 per month, but you can also choose to make a one-time remittance.
  • The government guarantees the contribution and earnings. It means there is a lesser risk compared to other forms of investments.
  • The MP2 monthly contribution has no limit. It lets you save as much as you want. But if you want to remit an amount exceeding ₱500,000, you must do it personally or via a manager’s check.
  • Unlike in banks, the dividends you earn in MP2 are tax-free. The average dividend is 6.9%, but it reached 8.11% in 2018.

MP2 computation

Frequently Asked Questions on MP2

When can I withdraw my MP2 Savings?

There are two ways to claim the payout: You can withdraw in a lump sum after five years or choose an annual MP2 dividend payout. It means you can withdraw the dividends yearly.

Can I withdraw my MP 2 savings before it reaches the five-year maturity period?

Yes, you can also withdraw your savings in a lump sum before it matures in cases of:

  • Total disability or insanity
  • Separation from service because of health
  • Death or the member or an immediate family member
  • Unemployment due to layoff and/or closure of the company
  • Retirement (if a member is not yet retired)
  • Critical illness of the member
  • The OFW member goes back to the Philippines

Can I have more than one (1) MP2 Account?

Yes. Members are allowed to open multiple MP2 Savings Accounts.

What happens if I fail to withdraw my MP2 savings after it reaches the five-year maturity?

If unclaimed, your MP2 savings will continue to earn dividends, but the rate will be the same as Pag IBIG 1.

After two years, it will no longer earn any dividend.

What happens if I skip my monthly contribution to MP2?

You can simply contribute more in the coming months if you skip your contribution. The savings will remain under your MP2 account. And there will be no penalties.

Can I withdraw my savings anytime?

If you choose the annual MP2 Dividend payout and then decide to pre-terminate your savings, you will receive your total savings but not the dividend you earned.

If you chose the compounding of MP2 Dividends (5-year maturity) but suddenly want to withdraw your savings, you can only get 50% of the dividend.

How Can I enroll in MP2?

Submit the MP2 Savings Application Form to the nearest branch. Do not forget to bring your valid government ID, passbook, or ATM card to your nominated bank account.

How will I pay for my MP2 account?

You can remit to your MP2 account via these channels:

  • salary deduction
  • over-the-counter in any branch
  • Bayad Center
  • G-Cash
  • Moneygment Mobile App
  • 7-11
  • Coins.ph
  • Overseas Remittance

Pag-IBIG Housing Loan

Pag-IBIG Housing Loan is the most affordable housing loan for Filipinos.

Regular members can borrow as much as ₱6 million. Moreover, the law prohibits Pag IBIG from increasing its interest rate beyond 2% per year. On the other hand, banks do not have a cap on their interest rates.

How to Apply for Pag-IBIG Housing Loan

Buying a house is the usual dream for many Filipinos. It has become a status symbol showing that you are financially mature enough to handle such a costly purchase.

You must be practical enough to get the most affordable housing loan available.

There are two ways to apply for a housing loan:

  • Developer-Assisted means a developer assists you with your housing loan application.
  • Retail is when a member applies directly to Pag IBIG.

Considering that you are reading this part of the article, we will assume that you are already a member. If not, you have to register online first and satisfy the required number of contributions before you can proceed.

Step1: Know the Purpose of the Housing Loan

You can use the Pag IBIG housing loan for various purposes that involve a residential property.

  • Purchase a fully developed residential lot not exceeding 1,000 square meters
  • Buy a house and lot, condominium unit, or a townhouse inclusive with a parking lot.
  • Construction of a house on a lot you already own
  • A home renovation that is expected to increase the value of the property
  • Refinancing an existing housing loan Provided that the loan is not in default.
  • A combination of any of the above housing loan purposes. But it is only limited to the following situations:
  1. You have bought a fully developed lot not exceeding 1,000 sq.m. and want to build a house on it.
  2. Or you bought a residential unit, and you want to have it renovated.
  3. You might want to refinance an existing housing loan and have your home renovated.
  4. Or you want to refinance an existing loan used to purchase a lot, and you also want to build a home on it.

Step 2: Choose the Right Pag IBIG Housing Loan Program Based on Your Monthly Salary

Did you know that Pag IBIG offers two types of loans?

Affordable Housing Loan Program

The Affordable Housing Loan Program is exclusively offered to members earning less than ₱17,500 monthly.

If you are qualified for this housing loan, you can borrow up to ₱750,000 and enjoy an interest rate as low as 3% for the first five years.

Regular Housing Loan Program

Pag IBIG’s Regular Housing Loan Program is offered to Filipinos earning above-average gross monthly income. Under the regular program, you can borrow as much as ₱6 million with an interest rate as low as 5.375% (1 year) up to 10% (30 years).

Three factors determine how much you can borrow if you apply for the Regular Housing Loan Program. It will consider these four. The lowest value will be your loanable amount.

  • The actual loan amount that you need.
  • Your desired housing loan amount.
  • The loan-to-appraised value ratio.

Step 3: Check the Pag-IBIG Housing Loan Eligibility Requirements

The Pag IBIG housing loan is available for members who can qualify for these eligibility requirements.

  • You must be an active Pag IBIG Fund Member with at least 24 monthly savings. You can pay the lump sum of the required 24 monthly savings to get qualified.
  • The maximum age of the Pag IBIG Housing Loan applicant is 65 years old. You must not be older than 70 upon the maturity of the loan.
  • Has a legal capacity to acquire real property.
  • Has a satisfactory credit check of Pag IBIG Fund
  • Have no default on previous housing loan from Pag IBIG
  • In case you have an existing housing loan with Pag IBIG, you must update the loan 
  • You must not have any outstanding Pag IBIG multi-purpose or calamity loan.

Step 4: Gather All the Required Documents and Fees of Pag IBIG Housing Loan

  • Processing Fee:
  1. P1,000 upon the filing of the application (non-refundable)
  2. P2,000 appraisal fee upon the filing of the application (non-refundable)
  3. P2,000 deducted from the loan proceeds
  • Basic Housing Loan Requirements
  1. Duly accomplished Pag IBIG Housing Loan Application Form with recent ID photo
  2. Photocopy (front and back) of one valid ID
  3. A Certified True Copy of the Transfer Certificate of Title (TCT). If you are purchasing a condominium unit, you have to present the TCT of the land together with a true certified copy of the Condominium Certificate of Title (CCT).
  4. Updated Tax Declaration and Updated Real Estate Tax Receipt
  5. Contract-to-Sell
  6. Vicinity Map
  7. Proof of income

pag ibig applicable proof of income

Step 5: Submit All the Requirements to Pag IBIG

There are two ways to start your housing loan application:

Online Application

Members can now start their housing loan application online through the Online Housing Loan Application (OHLA). Simply visit the OHLA website. Then, click on the “Click here to Apply.”

pag ibig online housing loan application

Then Log in with your Pag IBIG MID or RTN, first name, and last name. Enter the captcha code and click “Continue” to proceed.
online housing loan application 2

Expect to be directed to the appointment page, where you have to key in your personal information, loan request info, and preferred branch that you want to visit on a set date and time.

Once you click “Submit,” you will receive a confirmation letter containing your set schedule. You will also receive a text message with your reference number or Housing Loan Application Tracking Number.

Setting an appointment online is highly recommended to Pag IBIG members living in NCR, where most branches are usually crowded.

If you live in other areas, you can just visit the nearest branch even without an appointment.

Over-the-Counter Application

If you live within NCR, you can personally file your Pag IBIG housing loan application at Servicing Department, 2/F JELP Business Solutions, 409 Shaw Blvd., Mandaluyong City; or at any Pag-IBIG branch offices.

If you live outside NCR, you can go to the nearest branch.

When you get there, make sure to do these three steps:

  • First, submit two copies of the duly accomplished application form together with the requirements.
  • Pay both the processing and appraisal fees.
  • Provide your receipt to the Loans Origination-Housing Business Center/ Support Division-Servicing Department/Members Services Branch servicing counter. Then, wait for the Housing Loan Application Acknowledgement Receipt (HLAAR).

Step 6: Receive Your Approval of Your Pag IBIG Housing Loan

It usually takes around 17 days before you receive your application status.

Pag ibig housing loan Processing Time

Once you receive your NOA, you must sign the loan agreements and complete the additional requirements.

If you fail to provide the needed additinal NOA requirements within 90 days , you will receive a Notice of Deficiency instead of a check.

How to Claim the Loan Proceeds at the Pag IBIG Fund?

It will give you a call once your check is ready for pick up. You will need two valid IDs to claim your check at the Cash-Disbursement Division-Loans Support Services Department/Members Services Branch.

You will need to bring 12 PDCs (post-dated checks) if you opt to pay your loan through post-dated checks.

If you can’t pick up your check, your authorized representative must present a notarized Special Power of Attorney (SPA) and two valid IDs for each of you and the representative.

If the loan purpose is to Purchase of Residential Unit, Lot Purchase, or Purchase of Lot and Construction of House, the seller can pick up the check.

Pag IBIG Salary Loan

The Pag IBIG Salary Loan or Multi-Purpose Loan is a program that provides financial assistance to members.

You can use it for minor home improvement, livelihood, utility bills, medical expenses, car repair, vacation, tuition fees, or new appliances and furniture.

How to apply for Pag IBIG Salary Loan?

Here are the steps to getting a Salary Loan:

Step 1: Know the Pag IBIG Salary Loan Requirements

  • Any Pag-IBIG Fund member who has made at least 24 monthly contributions or savings.
  • You must have completed at least one contribution for the last 6 months
  • If you have any existing Pag IBIG loan, it must not be in default as of the date of application.
  • Have sufficient proof of income.
  • Photocopy of at least two (2) valid IDs

Step 2: Find out How Much You Can Borrow

The qualified members shall be allowed to borrow an amount based on the following.

  • Your desired loan amount.
  • Loan Entitlement is 80% of your Total Accumulated Value (TAV). Find out the total contributions made to your account, and 80% of that will be your loanable amount.
  • Borrower’s Net Take Home Pay (NTHP) or capacity to pay.

Step 3: Fill up the Multi-Purpose Loan Application Form (MPLAF)

  • You can get the application form in any branch or download it from the official website. Duly accomplish one form.
  • Complete the “Promissory Note” found at the bottom part of the form. You will need two witnesses to sign the form. If your relatives will sign, make sure their surname is different from yours.
  • Accomplish the Certificate of Net Pay Details. It is on the second page of the application form.
  • If you are self-employed, you need a photocopy of your Business Mayor’s Permit, Commission Vouchers, and other valid proof of income.
  • Do not forget to attach a photocopy of the payroll account/disbursement card/deposit slip. 

Step 4: File Your Application Form to a Pag IBIG Office

Submit your completed application form and documents to the nearest branch. You will be issued a Pag-IBIG Citi Prepaid Card. It is where your loan proceeds will be credited.

The processing time can take from one to two weeks. If your contribution records are not consolidated, it will take up to 23 working days.

Step 5: Receive your loan proceeds

  • Borrower’s Pag IBIG disbursement card
  • Borrower’s bank account through Landbank’s payroll credit system
  • Check payable to the borrower
  • Other acceptable modes of disbursement

Multi-Purpose Loan Interest Rate and Payment Term

The interest rate is 10.5% per annum. You can pay your salary loan up to a maximum period of 24 months.

Your loan payment will start three months after you receive your loan proceeds.

If employed, your company must remit your payment on or before the fifteenth (15th) day of each month. Also, you can pay directly to the fund via auto-debit arrangement, over-the-counter payment, and remittance to the Pag-IBIG office.

How much is Pag IBIG 2nd Loan Amount?

Once you can repay six (6) monthly amortizations, you can be eligible to apply for a new salary loan from them. Your outstanding balance will be deducted from your loan proceeds.

Pag-IBIG Calamity Loan

The Pag IBIG calamity loan is cash assistance given to Fund members who have been devastated by unforeseen calamities like a flood, fire, typhoons, volcanic eruption, and similar instances.

If your area is declared to be under the State of Calamity, you will have an opportunity to apply for a calamity loan.

You should file for a calamity loan within 90 days after your area is declared in the State of Calamity.

How to Apply for Pag-IBIG Calamity Loan?

Step 1: Get to Know if You are Eligible

  • With at least 24 monthly Pag-IBIG payments
  • Had made at least 1 monthly contribution for the last 6 months before the loan application
  • Your area is declared to be in the State of Calamity
  • If you have an existing Pag IBIG loan, your account must not be in default
  • Has sufficient proof of income

Step 2: Secure the Calamity Loan Requirements

  • Duly completed Pag-IBIG Calamity Loan Application Form (CLAF)
  • At least two valid IDs
  • Proof of income

Step 3: Submit the Requirements to any Pag IBIG branch.

Visit the nearest branch and submit all your required documents. Ensure all your documents and copies are clear and readable to ensure a smooth process.

The processing of your loan will only start if you can present the complete requirements.

Calamity Loan Interest Rate and Payment Term

Applicants can borrow as much as 80% of the total accumulated value (TAV). On the other hand, the interest rate is 5.95 per annum.

You can pay the loan over a maximum period of 24 months. You can start paying 3 months after you receive your loan.

If you received the proceeds of your calamity loan in January, you could start paying on or before the fifteenth (15th) day of April.

You can also settle your loan in advance, even before the maturity of your loan.

How to Ensure a Faster Transaction with Pag IBIG?

Over the years, we always have had the same sentiments: government processes are slow, and it usually takes days to weeks before you can get what you request. It is no exception. So how can you ensure that the processing of your benefits will be faster?

Always Submit Clear Copies of Documents

You may be able to present the complete paperwork, but have you checked each page’s readability? The documents you pass to their office are scrutinized to validate your information. Of course, this is to avoid identity theft from claiming your benefits. If the copies of your documents are not clear enough, you might have to go back to submit better copies, and this means you would waste your time and effort.

Check All Your Details in Your Application Form

Discrepancies in information can prolong your loan or lump sum. Before submitting your application form, check the spelling of every piece of information. Also, it is better to write in print than in cursive. It helps avoid confusion in your spelling. For example, your “u” could look like a “v” if you’re not careful enough.

Ensure Your Monthly Contribution Has Been Remitted

Pag IBIG loans have lesser requirements compared to banks, but this facility is strict with the required number of monthly contributions.

If you are employed, you still have to check if your employer is remitting your contributions every month. Simply send an email request, a private Facebook message, or call the Pag IBIG hotline to check your contribution details. You will also see how much more you have to remit to qualify for a loan.

Pay Your Existing Pag IBIG Loans on Time

Members who want to apply for a loan must not have a Pag IBIG housing loan, MPL, or calamity loan account in default.

Whether you have a housing loan, salary loan, or a calamity loan, paying your installment on time is important to avoid penalties and negative records as a borrower. In addition, paying on time will increase your creditworthiness as well and will quicken your loan process.

Final Thoughts on Pag IBIG Funds

The Pag IBIG Fund provides various opportunities to help us reach our dreams and have a better future. From a housing loan to a modified savings program and salary loans, it can surely give us hope that someday we will have a home we can call our own and enough savings to live comfortably during our retirement years.

Ensure that your contribution records are always updated and consolidated to get the best out of your Pag IBIG benefits. It makes your transactions faster. Add to that, if you got a loan, be sure to pay on time to avoid penalties and other late payment charges. You will also find it easier to get another loan if you have good payment records for your short-term loans.

Take advantage of the opportunities offered by Pag IBIG. Share about them with your families and friends so they can enjoy and optimize their benefits too.

RELATED: Newest Pag-IBIG Loyalty Card Benefits

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