(NAR) VOL. 24 NO. 4 / OCTOBER - DECEMBER 2013
I. OBJECTIVES
The program aims to:
II. COVERAGE
These guidelines shall cover all Pag-IBIG I members.
III. DEFINITION OF TERMS
For the purpose of implementing this program, the following terms shall be defined as follows:
IV. LOAN PURPOSE
To provide loan facility to Pag-IBIG members in payment for the following:
V. BORROWER ELIGIBILITY
A Pag-IBIG Member may avail of the Pag-IBIG HELPs, provided he satisfies the following:
VI. LOAN AMOUNT
A qualified borrower shall be entitled to the lowest of the following:
1. |
Loan Entitlement
Equivalent to ninety percent (90%) of TAV less outstanding balance on MPL and/or Calamity Loan, if any. |
2. |
Capacity to Pay
An eligible borrower’s loan shall be limited to an amount for which statutory deductions, monthly repayment of principal and interest, and other obligations will not render the borrower's net take home pay to fall below the minimum requirement as prescribed by the General Appropriations Act (GAA) or company policy, whichever is applicable. The member’s net take home pay refers to the member’s monthly compensation net of statutory deductions, other authorized deductions, outstanding loan obligations, and computed monthly repayment for loan being applied for. Statutory deductions shall refer to income tax withheld as well as contributions/premiums for GSIS/SSS, Pag-IBIG and PhilHealth. |
3. |
Actual Need; or |
4. |
Desired loan Amount |
VII. INTEREST
The loan shall be charged an interest based on the full risk based pricing framework.[1]
VIII. LOAN PERIOD
The loan shall be repaid over a period of six (6) months or twelve (12) months at the option of the borrower, with two (2) months grace period.
IX. LOAN RELEASE
The loan proceeds shall be released through check payable to the Partner- Merchant for the account of the beneficiary of the Pag-IBIG HELPs.
If the provider is not a Partner-Merchant, check shall be payable to the borrower.
X. LOAN PAYMENTS
2.1 | Over-the-Counter; |
2.2 | Thru accredited collection partners; and |
2.3 | Other modes that may be approved by Pag-IBIG Fund in the future. |
6.1 |
Suspension from work; |
6.2 |
Leave of absence without pay; |
6.3 |
Insufficiency of net take home pay at any time during the term of the loan; |
6.4 |
In case of resignation or termination,
wherein outstanding balance is not fully settled by the separation pay;
provided, an agreement has been made between the employer and the
borrower to effect the deduction of the loan amortization payments from
the separation pay. |
XI. PENALTIES
XII. APPLICATION OF PAYMENTS
1.1 Penalties; if any
XIII. DEFAULT
The borrower shall be in default in any of the following cases:
XIV. EFFECTS OF DEFAULT
In the event of default, the outstanding loan obligation shall become due and demandable. Likewise, the outstanding loan obligation from MPL and/or Calamity Loan shall also become due and demandable. Said loan obligations shall be deducted from the TAV credited to the borrower after exerting all collection efforts prove unsuccessful.
XV. OTHER PROVISIONS
1. |
Number of Borrowers A maximum of three (3) qualified Pag-IBIG members may apply for separate Pag-IBIG HELPs, to benefit a single beneficiary. |
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2. |
Multiple Employers |
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2.1 |
An eligible member who is an
active member under more than one employer shall have only one
outstanding Pag-IBIG HELPs at any given time. |
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2.2 |
At point of application, the member shall choose which employer shall deduct and remit his Pag-IBIG HELPs EMI. |
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3. |
Aside from submitting a duly
accomplished application form, the borrower shall be required to submit
additional documents corresponding to the loan purpose: |
|
3.1 |
For Educational Expenses
- An assessment form or its equivalent (in original copy) from the educational institution. |
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3.2 |
For Medical Expenses
- Statement of account / hospital bill, net of PhilHealth and discounts. |
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3.3 |
For maintenance medication:
- A quotation from the company or drug store; and |
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3.4 |
For Healthcare Plan from accredited HMO
- An assessment form from the accredited HMO |
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4. |
Loan Renewal |
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4.1 |
For loans with a repayment term of six (6)
months, the borrower may be allowed to renew his Pag-IBIG HELPs upon
payment of at least four (4) posted EMI. |
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4.2 |
For loans with a repayment term of twelve
(12) months, the borrower may be allowed to renew his Pag-IBIG HELPs
upon payment of at least eight (8) posted EMI. |
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4.3 |
The proceeds of the new loan shall be
applied to the borrower’s outstanding Pag-IBIG HELPs obligation and the
net proceeds shall then be released to the partner-merchant. |
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5. |
The Pag-IBIG HELPs shall be treated as a separate and distinct loan facility from the MPL and/or Calamity Loan. |
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6. |
Availment of Pag-IBIG HELPs after TAV Offsetting
If TAV offsetting has been effected on the borrower’s defaulting Pag-IBIG HELPs, he may apply for a new Pag-IBIG HELPs after two years from date of TAV Offsetting. Replenishment of the member’s TAV after offsetting of the Pag-IBIG HELPs shall not be allowed. |
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7. |
Membership Termination |
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7.1 |
In the event of membership termination prior to loan maturity, the outstanding loan obligation shall become due and demandable. |
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7.2 |
The outstanding loan obligation shall be deducted from the TAV of the borrower. |
XVI. ESCALATION OF ISSUES
Any issue in the interpretation and implementation of these guidelines shall be resolved by the Department Manager III concerned or shall be escalated to the next higher approving authorities.
XVII. AMENDMENTS
Senior Management may amend, modify or revise certain provisions of these guidelines, provided the amendments, modifications, and revisions thereof are in furtherance of the objectives of this program and consistent with the mandate of the Pag-IBIG Fund under its charter and existing laws.
XVIII. EFFECTIVITY
These guidelines shall take effect upon availability of the program.
ATTY. DARLENE MARIE B. BERBERABE
Chief Executive Officer