Pag-IBIG Benefits and Programs

Are you planning to build your own house? Make some repairs and renovations? Or perhaps you are keen on building up your savings for retirement? If you are a Pag-IBIG Fund member, you can do any of these things simply by availing of their benefits and programs.

The Pag-IBIG Fund, also known as the Home Development Mutual Fund (HDMF), is a Philippine government corporation providing affordable house financing as well as savings programs for Filipinos. To members in the Philippines and abroad, it offers regular housing loans, calamity loans, multi-purpose loans, regular savings, and the MP2 savings program.

Pag-IBIG Benefits and Programs

Benefits of Being a Pag-IBIG Member

In 2009, Republic Act No. 9679 (a.k.a. “Home Development Fund Law of 2009”) was passed, expanding Pag-IBIG Fund coverage to all Filipino workers regardless of status. These include self-employed persons and overseas Filipino workers (OFWs), along with Filipino immigrants and residents abroad, and even Filipinos who are naturalized in other countries.

If you are a Pag-IBIG Fund member, you can avail of the following benefits and programs:

1. Pag-IBIG Regular Savings

Pag-IBIG Regular Savings is a mandatory membership program that requires a minimum monthly contribution of PHP 100. As a member, your savings account could earn an annual interest rate that is much higher (7.61% as of 2017) than those in most banks nowadays. The higher you save each month, the bigger the savings and loan bracket you can apply for.

2. Pag-IBIG MP2 Savings

In addition to your regular savings, you can save more and earn higher dividends through the Pag-IBIG MP2 Savings program. For a minimum amount of PHP 500 per month, you can expect to earn tax-free dividends at a higher rate (average of 7.65% from 2016 to 2018) than that of the regular savings program. You can also opt for a one-time savings contribution instead of the monthly option.

Another great thing about this program is that it is open to pensioners and retirees who were former members of Pag-IBIG Fund. As for your savings and dividends, you can choose to withdraw these after the 5-year maturity period. Another option would be through an annual pay-out to be credited to your account with the Development Bank of the Philippines (DBP), Land Bank of the Philippines (LBP), or other banks accredited by Pag-IBIG Fund.

3. Pag-IBIG Housing Loan

If you are an active member with at least 24 months of savings, not older than 65, you can apply for a Pag-IBIG Housing Loan for the following purposes: (a) purchase of a residential lot; (b) purchase of a residential house and lot; (c) construction of a house; (d) improvement of a house; (e) refinancing of an existing housing loan; or (f) a combination of loan purposes.

Under this program, members can borrow up to PHP 6 million for a loan term of up to 30 years, depending on the pricing and period agreed upon by Pag-IBIG Fund and the member.

4. Pag-IBIG Fund Calamity Loan

If you are a member affected by calamities such as typhoons, earthquakes, and other natural disasters, you can apply for financial assistance through the Pag-IBIG Calamity Loan. With a low interest rate of just 5.95% per annum, this loan is payable within 24 months. All you have to do is accomplish a Calamity Loan Application Form, submit supporting documents, acquire an acknowledgement receipt, and receive your loan proceeds on the scheduled date.

5. Pag-IBIG Multi-Purpose Loan

The Pag-IBIG Fund Multi-Purpose Loan is offered to members with any urgent financial need, e.g. medication, children’s tuition fees, etc. You can borrow up to 80% of your Pag-IBIG Regular Savings, and the loan can be processed within just 2 days. Simply accomplish a Multi-Purpose Loan Application Form, submit the supporting documents, get your receipt, and receive your loan on the set date. The loan shall be paid over 24 months.

6. Pag-IBIG Loyalty Card

The Pag-IBIG Loyalty Card is basically a reward card that offers discounts on a various items: groceries, restaurant bills, medicine, hospital bills, tuition fees, and fuel expenses in more than 300 partner-establishments in the Philippines. It also serves as a cash card where members can receive their MP2 Savings dividends, Multi-Purpose Loan proceeds, and other benefits.

7. Virtual Pag-IBIG

Virtual Pag-IBIG is a new online portal where member can access Pag-IBIG Fund services anytime, anywhere. It also features a chat function, where an agent is always ready to answer your queries and concerns. Notably, here are the things you can do through this platform:

  • Register as a member of Pag-IBIG Fund and acquire your permanent Membership ID (MID) number;
  • Open a Pag-IBIG MP2 Savings account;
  • Remit your Pag-IBIG Fund Regular Savings and MP2 Savings;
  • View your records for Pag-IBIG Fund Regular Savings and MP2 Savings, including annual dividends earned;
  • Schedule an appointment to submit documents for a Pag-IBIG Housing Loan application;
  • Apply for a Pag-IBIG Calamity Loan or Multi-Purpose Loan;
  • Pay for your Pag-IBIG Housing Loan, Calamity Loan, or Multi-Purpose Loan;
  • Check the loan status of your Pag-IBIG Housing Loan, Calamity Loan, or Multi-Purpose Loan;
  • View loan records, including payments made and the outstanding balance of your Pag-IBIG Housing Loan, Calamity Loan, or Multi-Purpose Loan;
  • Apply for an interest-rate repricing of your Pag-IBIG Housing Loan;
  • View the transaction history and account balance of your Pag-IBIG Loyalty Card; and
  • Chat with a Pag-IBIG Fund service agent about your questions and concerns, anytime, anywhere.

In addition to the above features, the following services will be added to the Virtual Pag-IBIG portal soon:

  • Application for the merging/consolidation of Member’s Records;
  • Virtual Pag-IBIG for Employers, which will enable companies to endorse and track their employees’ loans online; and
  • Virtual Pag-IBIG for Developers, which will enable partner-developers to validate if a member qualifies for a Housing Loan based on the necessary requirements.
Pag-IBIG Benefits and Programs
Image Credit: Supplied

Through these benefits and programs, all Pag-IBIG members — including OFWs in Dubai and other places around the world — can look forward to buying their own property, constructing their dream home, making house improvements, or building up their savings.

DISCLAIMER: The above details are presented for information-sharing purposes only. To learn more about the benefits and programs available to Pag-IBIG Fund members, please visit the Pag-IBIG Fund official website. Likewise, to know more about the government agency’s new online platform, please visit the Virtual Pag-IBIG official portal.

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