OFW Loan Guide: Where to Borrow Money
OFWs have multiple ways to meet their financial needs.
We get a lot of inquiries from Overseas Filipino Workers (OFWs) who wish to apply for a personal loan or a housing loan, but do not have a clue about whom they are going to approach or how to begin with their inquiries. Some don’t also know which agencies of the government or even private organizations they should be talking to. Being based abroad limits their means and even capabilities to communicate their needs with the various financial institutions here in the country.
Over $24.35 billion worth of remittances have been sent to the Philippines last year. So it isn’t surprising that local lenders have been more than willing to accommodate OFWs who are looking to borrow cash.
We’ve compiled 12 local banks and state-backed institutions that extends a helping hand to OFWs and their families who are in need of financial assistance in the form of personal, auto and housing loans:
1. BDO Unibank (BDO)
BDO offers Personal, Home and Auto Loans to OFWs through its Asenso Kabayan Program. Borrowers should at least be 25 years old but not more than 65 years old upon the maturity of the loan. You should be employed for at least 2 years abroad for skilled workers, and at least 3 years for domestic helpers taking home at minimum P10,000 gross monthly for Personal and Home Loans, and P50,000 per month for Auto Loan.
Borrowers can submit their application to callcenter@bdo.com.ph. You must also have an initial minimum deposit of P100 for peso account and $100 for dollar account to qualify for the loans. All forms can be downloaded at www.bdo.com.ph.
2. Bank of the Philippine Islands (BPI)
BPI grants Personal Loan, Housing Loan and Auto Loans to OFWs working abroad for at least 2 years and earning a minimum of P30,000 per month for Personal and Auto Loans, and a minimum of P40,000 for Housing Loans. Borrowers should be at least 21 years old and not more than 60 years old upon the maturity of the loan. You must be physically present at the BPI branch to sign the loan documents once it is approved. To apply online, visit www.bpiloans.com.
3. Chinabank
OFWs employed for at least 3 years and earning a minimum of P50,000 per month can apply for a Housing Loan at Chinabank. You must be at least 21 years old and not older 65 years old upon loan maturity, without any adverse credit findings such as court cases, bouncing checks, unpaid loans, cancelled credit cards, etc. For more information, check out www.chinabank.ph.
4. East West Bank
EastWest Bank offers Home and Auto loans to OFWs between 21 years old and up to 65 years old upon loan maturity, who earns a minimum of P40,000 monthly income. You can fill out the application form at www.eastwestbanker.com and submit necessary documents to csloans@eastwestbanker.com.
5. Land Bank of the Philippines
Land Bank offers home loans to OFWs through its Bahay Para sa Bagong Bayani Program. Borrowers holding a live contract from a reputable company, 21 years old but not more than 65 years old upon loan maturity, and without any CI/BI adverse findings are qualified to apply for the loan. Interested applicants can visit www.landbank.com for more information.
6. Philippine National Bank (PNB)
PNB offers home loans for OFWs based in Singapore, Japan, New York and Los Angeles, through its Own a Philippine Home Loan program. Borrowers based in Singapore must have a minimum gross annual salary of SGD 48,000 and your Total Debt Servicing Ratio must not exceed 60% of Gross Monthly Income.
Meanwhile, OFWs based in Hong Kong and Saudi Arabia can avail of PNB’s Global Filipino Auto Loan program. You should be at least 21 years old and not more than 60 years old upon loan maturity to qualify. PNB also requires interested borrowers to have worked abroad for the last 2 years. You can visit www.pnb.com.ph for more details.
7. Philippine Savings Bank (PSBank)
PSBank has a Own Your Home and Drive Your Car program for OFWs who aspire to buy property and cars. Borrowers have to be 21 years old and up to 65 years old upon the maturity of the loan. You must have worked for at least 2 years and earning a combined family income of P30,000 to qualify for a home loan. PSBank also requires a residential real estate property for collateral. Visit www.psbank.com.ph for more information.
8. Rizal Commercial Banking Corporation (RCBC)
OFWs working for at least 2 years in a permanent capacity can apply for a housing loan at RCBC. Borrowers have to be at least 21 years old upon application but not more than 65 years old upon loan maturity. You can visit www.rcbcsavings.com for more information.
9. Security Bank
Security Bank offers housing and auto loans to OFWs who have worked abroad for at least 2 years and are least 21 years old, but not more than 65 years old upon loan maturity. Borrowers must be earning a combined household income of at least P50,000 for housing loans; a minimum monthly income of P40,000 for brand-new car buyers; P20,000 for pre-owned car buyers.
Interested borrowers must complete the necessary documents and scan them. Fill out the online application form at www.securitybank.com and upload the documents.
10. United Coconut Planters Bank (UCPB)
OFWs employed for the last 12 months with a minimum gross monthly income of P30,000 can apply for a home loan at UCPB. Visit www.ucpb.com to learn more.
11. Home Development Mutual Fund (HDMF, Pag-IBIG)
OFWs who have remitted at least 24 monthly contributions can qualify to avail of Pag-IBIG’s affordable housing loan. New members may, may alternately pay the 24 monthly contributions in lump sum. Borrowers must be below 65 years old, without any outstanding Pag-IBIG housing loan nor multi-purpose loan in arrears. As an additional requirement, you should not have had a Pag-IBIG housing loan that was foreclosed, cancelled, bought back due to default or subjected to Dacion en Pago. For more information, visit www.pagibigfund.gov.ph.
12. Social Security System (SSS)
Certified OFWs who have at least 36 monthly contribution and 24 continuous contributions can apply for a Direct Housing Loan Facility for OFWs offered by SSS. To qualify, borrowers must not have a previously granted SSS housing loan, or receiving final SSS benefits. The spouse of an existing borrower may still qualify for an SSS housing loan if the loan had been obtained before their marriage and the loan isn’t delinquent. You can visit www.sss.gov.ph for more information.
Lenders offering home loans for OFWs
| Lender | Loanable Amount | Loan Terms |
| BDO | P500,000 up to 80% of the appraised value of property | Up to 20 years |
| BPI | Minimum of P400,000 Maximum of 80% of appraised value for house and lot; 60% for vacant lot or residential condominium | Maximum of 25 years for house and lot Maximum of 10 years for vacant lot, residential condominium |
| Chinabank | 80% of the appraised value | Up to 25 years for a house and lot; 15 years for a vacant lot; 10 years for a condominium unit |
| EastWest Bank | Minimum of P500,000 | Up to 30 years |
| Land Bank | Minimum of P500,000 but not more than 80% of the appraised value of the property | Maximum of 20 years for OFW with co-borrower; 15 years without a co-borrower |
| PNB (Only for OFWs based in Singapore, Japan, Los Angeles and New York) | Singapore: up to 70% of verified selling price or appraised value of the property Japan: Minimum of P500,000 for lots and P1 million for house & lot Up to 60% of the appraised value for vacant residential lot; 80% for residential house & lot, townhouse, rowhouse or condominium unit New York and Los Angeles: Up to 80% of verified selling price of property | Singapore: Up to 20 years Japan: Up to 10 years New York and Los Angeles: Up to 20 years for purchase of house and lot, townhouse condominium unit, rowhouse or apartment unit; 10 years for purchase of lot |
| PSBank | Minimum of P500,000 up to 80% of the property's appraised value with a cap of P25 million | Up to 10 years for residential lot purchase; 25 years for house and lot, townhouse, duplex or condo |
| RCBC | Minimum of P300,000 up to P10 million | Up to 20 years |
| Security Bank | Up to 80% of appraised value of desired property | Minimum of 1 year Up to 25 years for house & lot; 20 years for townhouse or duplex; and 15 years for residential vacant lot, or condominium unit |
| UCPB | Minimum of P500,000 | Up to 20 years for acquisition of house and lot, townhouses and condominium units; 10 years for acquisition of vacant lots |
| Pag-IBIG | Up to P750,000 | Up to 30 years |
| SSS | Up to P450,000 for socialized housing loan; P2 million for low-cost housing loan | In multiples of 5 years up to 15 years Maximum of 5 years for members who are 60 years old at the time of application |
Lenders offering car loans for OFWs
| Lender | Loanable Amount | Loan Terms |
| BDO | Minimum of P100,000 up to 80% of the vehicle purchase price for brand new vehicles; and 70% of appraised value for pre-owned vehicles | 1-6 years for brand new vehicles; 1-4 years for pre-owned |
| BPI | Minimum of P200,000 | 1-6 years depending on the type of vehicle |
| EastWest Bank | Minimum of P200,000 | 12 to 60 months |
| PNB (For OFWs based in Hong Kong and Saudi Arabia) | Minimum of P400,000 up to 80% of the purchase price for brand new vehicles | Up to 60 months |
| PSBank | Minimum of P100,000 | 12 to 60 months |
| Security Bank | Up to 80% of purchase price | 12 to 60 months |
Lenders offering personal loans for OFWs
| Lender | Loanable Amount | Loan Terms |
| BDO | P10,000 to P500,000 | 6, 12, 18, 24, or 36 months |
| BPI | Up to 3x of gross monthly income, ranging from P20,000 up to P1 million | 12, 18, 24, 30 or 36 months |
With a variety of available loan sources, OFWs can have a peace of mind that their families will live in houses of their own and live a comfortable life even if they are continents apart.
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