Pag-IBIG Fund considers postponing increase in decades-old contributions
Officials of Pag-IBIG Fund recently announced that they may put on hold the plan to raise the decades-old monthly contributions of its members in consideration of the plight of workers and businesses amid the pandemic.
Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development and the 11-member Pag-IBIG Fund Board of Trustees, has instructed the Management of Pag-IBIG Fund to consult stakeholders again to discuss the possibility of delaying the January 2021 implementation of the P50-increase to the agency’s decades-old P100 monthly contributions or savings.
“We recognize that a number of our members and several businesses are experiencing financial hardships brought about by COVID-19. We understand their plight and we want to help them in any way we can. That’s why we are studying the possible delay of the P50-increase in the members’ monthly savings right now. This is our contribution to the efforts of the administration of President Rodrigo Roa Duterte to alleviate the financial burden of our fellow Filipinos during these challenging times,” said del Rosario.
In November 2019, the Pag-IBIG Fund Board approved the staggered increase of the members’ monthly savings from P100 to P150 by January 2021, and to P200 by January 2023. The approved increases also apply to their employers’ share. Both labor and employer groups expressed support for the move as Pag-IBIG Fund officials held months of public consultations before approving the increase. Stakeholders took note that Pag-IBIG Fund contributions remained unchanged for three decades already.
“The adjustments in members’ monthly savings were meant to provide the necessary additional funds to sustain the growing demand for housing. In the last five years, the demand for Pag-IBIG Fund housing loans steadily grew at an average rate of 17.5 percent annually. We expected then, that raising the monthly savings gradually by P50 will infuse more funds so that Pag-IBIG can continue to offer the lowest rates in the market and help more members acquire homes of their own. But again, the study and consultations were done in 2019. The continuing pandemic this 2020 has changed all that. So I urged the Pag-IBIG Fund Management to renew consultations with our stakeholders,” del Rosario explained.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti, meanwhile, said that they will start consulting stakeholders again in the coming weeks following del Rosario’s call.
“We will be in talks again with labor unions, non-government organizations and employer groups and we will consider their stand before we proceed. It is important for us to consult them and hear their voices before we decide. As managers of the Filipino workers’ fund, we need to consider the plight of our members and business owners during the pandemic,” Moti said.
He further added that “Pag-IBIG Fund’s strong financial position allows us to consider delaying the increase in our members’ monthly savings. At the current monthly savings rate of P100, in addition to our housing and short-term loan payment collections, we have more than enough funds to support the home loan needs of our members. We would like to assure our members and stakeholders that we remain true to our commitment to serve them, especially amid the challenges we are facing today.” (END)
Pag-IBIG Fund earns COA’s highest opinion anew for 8th straight year
For the eighth consecutive year, Pag-IBIG Fund has again earned the highest opinion from the Commission on Audit (COA) for the presentation of its financial statements, top officials announced on Tuesday (Sept.8).
State auditors, in a letter dated August 28, informed the agency that it has rendered its highest rating – referred to as an unmodified opinion – on the fairness of the presentation of Pag-IBIG Fund’s financial statements for the year 2019.
“This is yet another milestone in Pag-IBIG Fund’s history. Consistently earning the highest opinion from COA for eight consecutive years serves as proof that Pag-IBIG Fund – the Filipino workers’ fund - is being managed properly. We have been true to our promise of upholding excellence and integrity in serving our members and other stakeholders as we heed the call of President Duterte in ensuring that public offices, especially those that provide social services like ours, are corruption-free,” said Secretary Eduardo D. del Rosario, Chairman of the Department of Human Settlements and Urban Development (DHSUD) and of the 11-member Pag-IBIG Fund Board of Trustees.
From 2012 to 2017, COA has rendered unqualified opinions on Pag-IBIG Fund’s financial statements and unmodified opinions for the years 2018 and 2019. Auditors use both the unqualified opinion and unmodified opinion, which are the highest opinions that COA can give to a government agency or corporation, to mean that the financial statements of a company or agency are presented, in all material respects, in accordance with applicable financial reporting frameworks.
“We have been saying for several years that we have achieved our best year ever. But 2019 stands out as the most special. In terms of performance, we reached our highest ever net income of P34.37 billion. We also posted a record-highs in housing loan takeout worth P86.74 billion which benefitted 95,276 borrowers, and in short-term loans totaling P53.83 billion which assisted 2.59 million members. With our 2019 performance capped by this unmodified opinion from COA, this shows that we have achieved our best performance ever in terms of both numbers and the integrity in our operations. In 2020, with the economic slowdown, we may not see such record-breaking numbers but two things are for sure – first, the economic slowdown will not stop us from extending benefits to our members and second, is that we will remain transparent in our operations and in serving our members with excellence and integrity,” Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said. (END)
Pag-IBIG loan policies set to help borrowers keep homes amid pandemic
Top officials of Pag-IBIG Fund on Wednesday (Aug.19) assured borrowers that the agency’s loan policies are designed to help them keep their homes, especially during the pandemic.
“We heed President Duterte’s call to prioritize the welfare of our fellow Filipinos during these challenging times. We want to help members keep their homes, especially now because that is the safest place they can be. Pag-IBIG Fund extends favorable terms to our home loan borrowers. We give them several remedies to save their properties in case of default. Our remediation process also gives borrowers at least one year to update their accounts,” said Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.
According to del Rosario, home loan borrowers who may encounter financial difficulties as a result of the pandemic can avail of Pag-IBIG Fund’s loan restructuring and penalty condonation programs. The programs are meant to help borrowers update their loans and avoid foreclosure.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti added that unlike most financial institutions, Pag-IBIG Fund’s rules on penalty are more compassionate towards borrowers. The agency computes penalties based only on unpaid dues instead of the outstanding loan balance.
“Due to the economic slowdown, we expect to see default rates climb in the next few months. We want to assure our borrowers that we take into consideration their unexpected loss of income as a result of the pandemic. We at Pag-IBIG Fund remain committed to enable Filipino workers not only to buy homes, but to keep their homes. COVID-19 will not change that,” said Moti.
In the first half of the year, Pag-IBIG Fund deferred more than P15 billion in total loan payments when it granted an automatic grace period to all its 4.77 million borrowers, in accordance with the Bayanihan to Heal as One Act and its Implementing Rules and Regulations.
The agency also granted qualified borrowers a three-month loan payment moratorium from March 16 to June 15, 2020, giving them longer reprieves without incurring additional penalties and other charges. (END )
Pag-IBIG Fund cash loan application now online, execs say
In a move to ease and fast-track loan applications, Pag-IBIG Fund has improved its online service portal to accept applications for its cash loan program.
According to top officials of the agency, several improvements were made to the Virtual Pag-IBIG during the quarantine period in the first half of the year to allow members to apply for a Multi-Purpose Loan (MPL) or a Calamity Loan, online.
“We heed the call of President Duterte to implement online systems to provide faster service to the public. The Virtual Pag-IBIG is one of the biggest projects undertaken by the Pag-IBIG Fund under his administration as we move as one towards the widespread use of e-governance to better serve the public, especially during extraordinary times such as these,” said Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.
Launched in December 2019, the Virtual Pag-IBIG made it possible for members to transact with the agency online, with a live chat function available 24/7. Since its launch, the Virtual Pag-IBIG has been visited by 2.43 million members, which include overseas Filipinos from over 222 countries, who were able to secure a Pag-IBIG Fund Membership ID (MID) number, enroll for an MP2 Savings account, or access their savings and loan records online, without having to go to a Pag-IBIG Fund branch. The Virtual Pag-IBIG also features an online payment facility that allows members to pay for their loans and remit their monthly savings using their PayMaya wallet or their credit cards.
On June 1, the Virtual Pag-IBIG was enhanced to accept online applications for the agency’s MPL and Calamity Loan. Since then, the agency has already approved over P188.6 million from loan applications received online.
According to Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti, cash loan applications are processed, on average, in less than two days if these are submitted via their online service platform.
“The Virtual Pag-IBIG is game-changer for us. While nobody was ready for this pandemic, the launch of the Virtual Pag-IBIG late last year was timely because it allowed us to continue serving our members even during the imposition of community quarantines. And, as we adapt to the new normal, we hope that our move to make cash loan applications available via the Virtual Pag-IBIG would allow our members to experience faster transactions without leaving the safety of their own homes,” Moti said. (END)
Pag-IBIG Fund earns P22.8 B in H1 2020
Top officials of Pag-IBIG Fund reported on Monday (27 July) earnings of over P22.8 billion in the first half of 2020.
From January to June, Pag-IBIG Fund’s gross income reached P22.82 billion, driven mainly by earnings from its housing loans and Short-Term Loans (STL), otherwise known as cash loans, and trading gains from its investment activities.
The agency’s net income, meanwhile, amounted to P14.14 billion.
"Coming from a record-breaking year in 2019, Pag-IBIG Fund’s performance in the first half of the year remains decent despite the impact of community quarantines implemented to fight the spread of COVID-19. We are sure to endure these extraordinary times and continue to provide social services to more Filipino workers and continue helping the government with the nation’s economic recovery under the lead of President Duterte," said Secretary Eduardo D. del Rosario of the Department of Human Settlements and Urban Development (DHSUD) and Chairman of the 11-member Pag-IBIG Fund Board of Trustees.
The agency ended 2019 with its highest ever gross income of P56.90 billion and net income of P34.37 billion. In the first six months of last year, it had already posted P24.59 billion and P16.04 billion in gross and net incomes, respectively. But as the pandemic induced economic slowdown in the first few months of 2020, Pag-IBIG found its gross and net incomes dip by 7 percent and 12 percent, respectively, in the first half of this year compared to the same period last year.
"We had our best year in 2019 and that’s a tough act to follow with the challenge posed by this year. We have been enjoying a string of ‘best-year ever’ and we were poised to achieve another one this year, that is until the pandemic happened," said Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti.
But while the pandemic caused the agency to post lower incomes from housing loans and cash loans this year, he remains hopeful as he pointed out that they are already seeing signs of recovery in the second quarter as quarantines were either eased or lifted. Home loan releases have been on the rise in the last two months. From a low P.88 billion in April, home loan releases increased to P1.2 billion in May and jumped even further to P2.9 billion in June.
"We in Pag-IBIG Fund are confident because our financial position remains stable and strong, even amid these challenging times. A slowdown in business is expected as the pandemic impacted both the availment and payment of our loans, but Pag-IBIG continues to be strong. What is important to us now is being a reliable partner to our members and stakeholders on our shared road to recovery. That is the Lingkod Pag-IBIG way," Moti added. (END)
Pag-IBIG home loan releases rise as economy reopens
Pag-IBIG home loan releases increased over the last two months as officials cited the continuous enhancements to the agency’s loan programs while making services more accessible to members amid the pandemic.
"We fully support the administration’s efforts, led by President Duterte, in helping our fellow Filipinos achieve their dream of homeownership even during these challenging times. And, with our recent offering of promo rates on our housing loan, we expect even more members to secure their own homes in the coming months. This also plays a major part in our country’s road to recovery because as more members secure homes, the more jobs it would generate for our fellow Filipinos," said Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development (DHSUD) and the 11-member Pag-IBIG Fund Board of Trustees.
Pag-IBIG Fund started the year on a high note with home loan releases reaching P5.5 billion in January, then rising further to P6.5 billion in February, exceeding the amount released for the same months last year by 17 percent. With such accomplishments in the first two months of 2020, Pag-IBIG was on track to release P100 billion in home loans by the end of the year.
But with the rise of the Covid-19 infection in March and the implementation of strict quarantine measures imposed in Metro Manila and other parts of the country for national safety, home loan releases dipped to P3.8 billion in March and P.88 billion in April.
In May, as quarantines were either eased or lifted, the numbers started to improve when home loan releases increased to P1.2 billion in May and jumped even further to P2.9 billion in June.
In total, Pag-IBIG Fund has released over P20.80 billion from January to June to finance the acquisition of 20,631 homes for its borrowers. Out of the total amount, 91 percent or P18.94 billion were released as socialized and low-cost home loans for the benefit of 20,084 Pag-IBIG Fund members, which include members who belong to the minimum-wage and low-income sectors.
“In the last few years, under the administration of President Duterte, Pag-IBIG Fund achieved a string of ‘best year ever.’ Since 2016, we have broken our record for home loan releases each year. We were getting ready for our best year yet in 2020 but it took a pandemic to slow us down. The improvement in our numbers in the past two months shows how responsive and well-positioned Pag-IBIG Fund is, and we are confident that we are on our way to recovery. Our numbers may not be recordbreaking like in the past years, but this is only temporary. For Pag-IBIG, 2020 will be a story of strength, resiliency and service to members as we tackle the challenges of the ‘better normal’,” said Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti. (END)
Pag-IBIG Fund offers promo rates on home loans to boost economy
Top officials of Pag-IBIG Fund announced on Thursday (July 09) that they are offering promo rates on their home loans of as low as 4.985 percent per annum until the end of the year, in a move to help members acquire homes and help boost the national economy amid the pandemic.
The agency is offering special low rates of 4.985 percent per annum under a 1-year repricing period and 5.375 percent per annum under a 3-year repricing period. These are its lowest-ever rates under its Regular Housing Loan program, and are available to members getting new home loans until the end of 2020 only.
These further reduced the agency’s previous rates, already pegged at a low 5.375 percent per annum for the 1-year repricing and 6.375 percent per annum for the 3-year repricing period. Meanwhile, interest rates for its Affordable Housing Program, available for low and minimum-wage earners, remain at its lowest with a subsidized home loan interest rate of 3 percent per annum.
“By offering these special rates to our members, we are spurring economic activity in the housing industry, which has a ripple effect on the national economy. This is a winwin situation because our members get to take advantage of these home loan rates, while their purchase of their homes will help generate more jobs to help get our economy back on track. This then, is our contribution to our nation’s journey to recovery, as led by President Duterte,” said Secretary Eduardo D. del Rosario of the Department of Human Settlements and Urban Development (DHSUD) and Chairman of the 11-member Pag-IBIG Fund Board of Trustees.
With the Pag-IBIG Board’s approval of the promo rates on July 9, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that the special rates shall take effect immediately and shall be enjoyed by incoming home loan borrowers until December 29, 2020
“We review our rates regularly and have never repriced it upward under the Duterte administration. Our ever-improving quality of portfolio has allowed us to keep the rates low under our Risk-Based Pricing Model. But this time, we are offering something special. In consideration of the impact of the pandemic on the livelihood of our members, we reduced our home loan rates by as much 100 basis points for the next six months because we want to help members who are thinking of buying a home to take advantage of our lower-than-lowest rates. Even amid the pandemic, now is the best time to buy a home with a Pag-IBIG Housing Loan” Moti said. (END)
Pag-IBIG Fund extends remittance deadline for employers to June 30
Pag-IBIG Fund is giving employers more time in the remittance of the Pag-IBIG monthly savings (contributions) and short-term loan payments of its employees, as businesses slowly resume operations upon the easing of quarantine rules around the country.
“We have extended the deadline and are giving employers up to June 30 to remit their employees’ Pag-IBIG monthly savings and short-term loan payments, so they have more time to process their payrolls during this period. This is yet another way that we are helping businesses and their employees, as we continue with our nation’s journey to recovery under the lead of President Duterte,” said Secretary Eduardo D. del Rosario, head of the Department of Human Settlements and Urban Development and the 11-member Pag-IBIG Fund Board.Read more.
The extension, he added, covers remittances due for the months of March, April and May 2020 and shall assist nearly 312,000 employers nationwide, both from the private and government sectors.
Meanwhile, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that this is the second time that the agency extended its payment deadline for employers. And while they have opened all their branches and made electronic payment channels available, this payment extension is expected to spread out the volume of transactions from both employers and members.
“We recognize the key role that our employers play in ensuring that our Filipino workers maintain their active membership with Pag-IBIG Fund. That’s why we are giving them another 15 days to remit the Pag-IBIG monthly savings and short-term loan payments of their employees, without incurring penalties and interest. We hope that this move would help ease their concerns, as their businesses resume and as the nation transitions to the ‘new normal’,” Moti said. (end)
Pag-IBIG Fund sets P10B construction fund to build more homes, boost economy
Pag-IBIG Fund has increased to P10 billion its home construction fund in a bid to encourage production of housing units for its members and help boost the national economy.
“We have allocated P10 billion for our House Construction Financing Line (HCFL) Program to ensure not only the continuous production of more socialized and low-cost homes to address the housing needs of our members, but also to serve as stimulus to the housing industry, which have broader effects on our economy. This, then, is Pag-IBIG Fund’s contribution to our nation’s recovery efforts, led by President Duterte, during these challenging times,” said Secretary Eduardo D. del Rosario, head of the Department of Human Settlements and Urban Development, and the 11-member Pag-IBIG Fund Board.Read more.
Del Rosario added that they have originally set aside P2 billion for the HCFL, but the Pag-IBIG Fund Board approved via referendum on May 20 an additional P8 billion to the construction fund to further boost production of housing units, which include socialized and low-cost homes.
“This is a win-win situation for everyone involved because home construction has a high multiplier effect. Not only will this be able to construct more houses to address our members’ housing needs, this would also benefit our fellow Filipinos with the jobs that the construction would generate,” said del Rosario.
Meanwhile, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti reported, for the first time in a few years, a dip in the home loan releases in the first four months of 2020 as construction of projects and completion of housing units financed under agency’s home loan programs slowed down amid the quarantine.
He added that Pag-IBIG started the year strong when home loan releases reached P5.5 billion in January and P6.5 billion in February. Home loan releases started to dip when the agency disbursed P3.8 billion in March and only P882 million in April, coinciding with the strict quarantine measures imposed in Metro Manila and other parts of the country.
Despite this, Moti further reported that the agency has so far financed 16,585 homes, with 97.5 percent or 16,170 of these classified as socialized and low-cost units.
“While we continue to do what we can in providing our members the opportunity to have their own homes, the dip in the numbers during the past months means that we are serving fewer members. We at Pag-IBIG cannot let that continue. Last year, we reported our best first quarter ever in terms of home loan releases with P17.2 billion disbursed in only three months. The drop in home loan releases during this period is only temporary and we expect to recover as we gradually transition to the new normal,” Moti said. (END)
Pag-IBIG Fund grants grace period to almost 4.8 million borrowers amid quarantine
Pag-IBIG has granted a grace period on loan payments of all its borrowers during the enhanced community quarantine, in compliance with the Bayanihan to Heal as One Act, top officials of the agency announced on Monday (April 27).
The Implementing Rules and Regulations (IRR) of Republic Act No. 11469, commonly known as the Bayahinan to Heal as One Act, provides borrowers of all lenders in the country which include Pag-IBIG Fund, a 30-day extension for loan payments which can be further extended until the end of the ECQ period.
"Following the Bayanihan Law and the directive of President Duterte to alleviate the burden of Filipinos during this pandemic, we are happy to announce that we have deferred loan payments of our 4.77 million borrowers for the duration of the quarantine. All of them are automatically covered by the grace period so they don't have to apply for this anymore," said Secretary Eduardo D. del Rosario, who heads both the Department of Human Settlements and Urban Development and the 11-member Pag-IBIG Fund Board of Trustees.Read more.
With the grace period, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that they have allowed the deferment of loan payments amounting to over P15 billion from 713,225 housing loan borrowers and over 4 million cash loan borrowers.
"Pag-IBIG Fund has always put sustainability over profitability. And for us, sustainability starts with taking care of our members given that the Pag-IBIG Fund is owned by its members. Pag-IBIG is always ready to help whatever the situation, and this pandemic is no exception," Moti said.
"Our members' welfare is of primary importance to us, which is why we initiated in March a moratorium program, which is a separate program from the grace period prescribed under the law," he added.
Under Pag-IBIG Fund's moratorium program, qualified borrowers are given a longer loan payment reprieve of three months, with all penalties and interests waived. Members eligible to apply are borrowers of Pag-IBIG Housing Loan, Multi-Purpose Loan (MPL), or Calamity Loan, whose incomes have been impaired by the ECQ or by the loss of jobs or closure of businesses as a result of the declarations of state of calamity or state of public health emergency in their area.
"Our moratorium program provides longer payment relief to members who have lost their jobs or business during the quarantine. But since this is optional, members have to apply for it online. Whichever the case may be, either the grace period or our moratorium program, our borrowers now have one less thing to worry about," Moti said. (END)
Pag-IBIG Fund: Two programs providing loan relief available to members
Top officials of Pag-IBIG Fund on Thursday (May 07) reiterated that the agency has made available two programs aimed to provide members relief on loans with its automatic grace period on loan payments in accordance with the Bayanihan to Heal as One Act and its 3-month moratorium program on all loans.
"We are one with the administration's effort, led by President Duterte, to provide borrowers relief on their loan payments during the Covid-19 pandemic. The automatic grace period on all loan payments following the Bayanihan to Heal as One Act and the 3-month moratorium on all Pag-IBIG Loans will allow our members to prioritize their welfare and that of their families during these challenging times. While these two programs are separate, both seek the same objective of providing financial relief for our members," said Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development and the 11-member Pag-IBIG Fund Board of Trustees.Read more.
Earlier in the week, the agency reported granting an automatic grace period to all its 4.77 million borrowers, deferring more than P15 billion in total loan payments. This move by Pag-IBIG Fund, following the Bayanihan to Heal as One Act, defers all loan payments which fall due during the period of the Enhanced Community Quarantine (ECQ) and allows payment on its next due date without incurring any penalty. The mandatory grace period further allows the staggered payment of the accrued interest on the unpaid principal within the remaining life of the loan.
Meanwhile, the agency continues to offer its moratorium program to members with Pag-IBIG Housing Loan, Multi-Purpose Loan (MPL), and Calamity Loan whose incomes have been impaired due to the Enhanced Community Quarantine (ECQ) or by the closure of businesses as a result of the declarations of state of calamity or state of public health emergency in their area. Made available as early as mid-March, the program provides a three-month payment extension on loan payments which fall due from March 16 to June 15, 2020, without incurring penalties and other charges.
"Just a day after the declaration of the ECQ was first made, we immediately offered a 3-month moratorium on all our loans to help our members, particularly those whose incomes would be affected during this period. The program in fact, grants immediate approval to moratorium applications of home loan borrowers who are minimum or low wage earners, and borrowers with socialized housing loans. The program also provides immediate approval to moratorium applications of borrowers who have diligently kept their accounts updated," said Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti.
He said that since the moratorium program's availability, the agency has received as many as 12,400 applications in a day, with nearly 80% of all applications already approved. Applications for the moratorium program can be filed online via the Virtual Pag-IBIG (link: https://www.pagibigfundservices.com/virtualpagibig/LoanMoratorium.aspx), with members needing only to provide their Pag-IBIG Housing Loan Account Number, for those with home loans, or their Pag-IBIG Membership ID (MID) number, for those with MPL or Calamity Loan.
"While we have automatically granted a grace period on all loan payments in accordance with the Bayanihan to Heal as One Act, our members have the option for a longer payment extension on their loans by applying for our 3-month moratorium program. We have also made the application process for our moratorium program safe and easy, as members may apply online through our Virtual Pag-IBIG portal. Patuloy pong makakaasa ang aming mga miyembro na kami sa Pag-IBIG Fund ay makakasama nila, lalo na sa pahanon ng krisis. Patunay po dito ang agarang pagkakaloob namin ng grace period na ito, at ang pag-alok ng moratorium na higit pa sa naaayon sa batas, upang lubos na makatulong sa kanila," Moti added. (end)
Pag-IBIG Fund approves cash loans worth P716M to over 37,900 members during community quarantine
Pag-IBIG Fund has so far approved cash loan applications of 37,901 members affected by the community quarantine, top officials announced recently.
"In support of the government's efforts and following the directives of President Duterte to take care of the welfare of our fellow Filipinos, especially during this pandemic, we approved cash loans amounting to P716.26 million to help our members with their finances during these challenging times. We expect the number of members helped and the amount approved to increase in the coming days as processing continues,” said Secretary Eduardo D. del Rosario, who heads both the Department of Human Settlements and Urban Development and the 11-member Pag-IBIG Fund Board of Trustees.Read more.
The agency's cash loans, also known as short-term loans (STL), are composed of the Calamity Loan and the Multi-Purpose Loan (MPL). The STL programs serve as a readily-accessible and affordable source of funds where qualified members can borrow up to 80 percent of their total savings in Pag-IBIG Fund.
In light of the pandemic, the agency acted quickly to move the application process for both its Calamity Loan and MPL online. Members, or employers acting on their behalf, were allowed to submit loan applications through email. The move was made to minimize disruption in service during the Enhanced Community Quarantine (ECQ).
On March, 20, just three days after the ECQ was imposed in the National Capital Region and the rest of Luzon, Pag-IBIG Fund was already accepting applications via email.
According to Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti, they have received 221,851 cash loan applications via email as of April 15.
"Our members have come to rely on our cash loans for emergencies and this time, it's no different. That's why we moved the application process online and set up multiple email addresses to receive applications by area. Our offices may be closed but our operations continue. We are receiving as many as 10,000 email applications in a day which is a lot to process considering we are operating on a limited capacity but we are always ready to serve our members. We recognize our members’ need for assistance and we will do our best to help them. That is our pledge as Lingkod Pag-IBIG," Moti said.
Pag-IBIG Fund Offers three-month moratorium on all loans
Pag-IBIG Fund is offering a three-month moratorium to its member-borrowers to help defray their expenses during the enhanced community quarantine being implemented by the government in its fight to contain the Covid-19 virus.
"President Duterte is exerting all efforts to lead the nation in fighting the corona virus. Pag-IBIG Fund supports the President's efforts and understands the plight of its members in these challenging times. Our Board of Trustees saw this as an urgent measure and immediately voted for the grant. This moratorium will help alleviate our members’ worries so that they could focus on providing for the basic necessities and safety of their families," said Pag-IBIG Fund Chairman and Department of Human Settlements and Urban Development Secretary Eduardo D. del Rosario.Read more.
Eligible to apply for the moratorium are Pag-IBIG Fund Housing Loan, Multi-Purpose Loan, and Calamity Loan borrowers with payments due on March 16, 2020 until June 15, 2020. Presently, only those residing in Luzon and in the National Capital Region can avail of the offer.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that the welfare of their members is Pag-IBIG Fund's priority.
"Pag-IBIG Fund's mandate is to promote the security of its members, either by providing a loan facility for their permanent shelter, or a savings plan that allows them to prepare for the future. The Lingkod Pag-IBIG service is not just about providing excellent results, it's about providing tapat na serbisyo, mula sa puso. Our goal, therefore, is to meet their needs and empower our Filipino workers. Thus, we will do what we can to ensure that they will not be put in a difficult situation especially in trying times such as these,” Moti said.
Pag-IBIG Fund will start receiving applications once the community quarantine has been lifted. Members may submit their application at the nearest Pag-IBIG Fund branch until June 15, 2020.
Pag-IBIG Fund resolves all 8888 hotline calls, complaints reduced by 78%
Pag-IBIG Fund executives on Wednesday (Mar.04) announced that all concerns received through the 8888 citizen’s hotline last year have been resolved as the agency continues to heed the President’s call for government institutions to improve the delivery of their services.
“In line with President Rodrigo Roa Duterte’s directive that all government agencies must be efficient and responsive to the people’s needs, we are happy to report that we have resolved all 2,196 calls from the 8888 hotline in 2019. Rest assured that we will continuously provide even better and more efficient service to our members as the months go by,” said Eduardo D. del Rosario, Chairperson of the 11-member Pag-IBIG Fund Board of Trustees and Secretary of the Department of Human Settlements and Urban Development (DHSUD).Read more.
He emphasized that out of the 2,196 concerns received in 2019, only 26% or 575 were actual complaints. That number is 78% lower compared to the 2,582 actual complaints received by the agency in 2018. Del Rosario further noted that the number is even more impressive when related to the more than 27.71 million transactions received by the agency in 2019.
This drop in the number of complaints and the service improvements made by the agency were further affirmed by customer satisfaction surveys conducted in June 2019 and October 2019 by the Philippine Survey and Research Center (PSRC), which showed that 91% of Pag-IBIG members and employers were satisfied with the service provided by Pag-IBIG Fund.
Meanwhile, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that the agency also received fewer 8888 calls last year, from 5,075 in 2018 down to 2,196 in 2019.
“If we look at the numbers, we can see a 57% decline in the number of calls. Meaning, there was a vast improvement of service in a span of just one year. And, as we look deeper, we can see that the type of calls also improved. In 2018, 51% of the calls were complaints. But in 2019, only 26% of the calls were complaints,” Moti said.
He added that numbers are expected to improve further in 2020. In January, the agency received 120 calls from the 8888 hotline. Out of the 120 concerns, only 29 or 24.17% were complaints while 88 or 73.33% of the calls were requests for assistance and simple inquiries. The rest of the calls were commendations.
“It’s still early but we are confident that calls made through the 8888 hotline will continue to drop, especially with the availability of the Virtual Pag-IBIG, our online service portal which is basically a Pag-IBIG Fund branch that never closes and is always accessible. Members can now check their records and loans status, and do their transactions online, anytime, anywhere via the Virtual Pag-IBIG. And with our new and improved system, we can now process cash loans in less than 2 days. So, whether you are online or offline, you can expect better service from Pag-IBIG Fund,” Moti said. (END)
Pag-IBIG Fund finances over 27,000 homes for low-wage earners in 2019
Pag-IBIG Fund has financed 27,145 socialized homes for minimum-wage and low-income members in 2019, its top executives said recently.
The number of socialized home loans make up 28% of the total 95,276 home loans released by the agency last year. Meanwhile, in terms of amount, socialized home loans summed up to P10.64 billion, which is 12% of the record-high P86.74 billion home loans released by the agency in 2019. Read more.
“The Affordable Housing Loan Program, which is Pag-IBIG Fund’s socialized housing loan program, is designed specifically to help minimum and low-wage workers buy or build a home of their own. This is our way of adhering to President Rodrigo Roa Duterte’s call for government institutions to carry out programs that address the needs of the underserved sector,”said Secretary Eduardo D. del Rosario, Chairperson of the 11-member Pag-IBIG Fund Board of Trustees and Secretary of the Department of Human Settlements and Urban Development (DHSUD).
The Affordable Housing Program (AHP) is for members who earn up to P15,000 a month within the National Capital Region (NCR) and members who earn up to P12,000 per month outside the NCR. Under the AHP, Pag-IBIG Fund offers a subsidized rate of 3% per annum for socialized home loans up to P580,000.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that the 3% rate is the lowest in the market which the agency is able to offer due to its tax-exempt status, as prescribed under Republic Act No. 9679 or the Home Development Mutual Fund (Pag-IBIG Fund) Law of 2009
“Because of our Charter, Pag-IBIG Fund can afford to offer the lowest rates for the home loans of minimum and low-wage workers. We first offered the 3% rate in May 2017 and until now, that rate still stands, as we seek to help more members realize their dreams of owning a home. Aside from keeping our interest rates low, we also reduced the insurance premiums, which keeps the monthly amortization at an affordable P2,445.30 for a socialized home loan of up to P580,000. And what’s more, qualified borrowers will never have to put out cash for equity under our Affordable Housing Program. All of these are part of our efforts to provide the best home financing program for our members who earn minimum wage,” Moti said. (END)
Pag-IBIG Fund home loan releases up 15% to record-high P86.7 B in 2019
Home loan releases of Pag-IBIG Fund posted double-digit growth for the 4th consecutive year with the agency setting new record-highs in housing accomplishments in 2019.
According to top executives, home loans released by Pag-IBIG Fund amounted to P 86.74 billion last year, which is the highest amount ever released under the agency’s housing loan program. The amount released increased by 15% or P11.43 billion compared to the P75.31 billion released in 2018. Members who benefitted from the loan program also increased to 95,276 from the 90,375 who borrowed last year. Read more.
"We have again set a new record-high and achieved a new milestone in our home loan releases in 2019. We are also happy because the number of members who achieved their dream of owning a home through Pag-IBIG Fund also grew last year. We look forward to setting new records and milestones in our pursuit of providing decent and affordable home financing to even more Filipino workers this 2020. This is our commitment as one of the key players in President Rodrigo Roa Duterte's drive to uplift the lives of Filipino families," said Eduardo D. del Rosario, Chairperson of the 11-member Pag-IBIG Fund Board of Trustees and Secretary of the Department of Human Settlements and Urban Development (DHSUD).
Del Rosario added that out of the total amount, P10.64 billion were released as socialized home loans for the benefit of 27,145 Pag-IBIG Fund members belonging to the minimum-wage and low-income sectors.
Meanwhile, Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said that the growth of the agency’s housing operations has been remarkable, especially in recent years.
“Before, our home loan releases for the whole year never went above P50 billion. It took us 36 years to break that barrier when we released P57.31 billion in 2016. We challenged ourselves to do even better, which resulted to us breaking records each year after that. In fact, our home loan releases have been steadily growing at a double-digit pace for four consecutive years now. We are confident that demand for our home loans will continue and we expect our home loan releases to breach the P90 billion-barrier this year,” Moti said.
He added that the continued demand for the agency’s home loans can be attributed to its lowest-ever interest rates, high loan-to-appraisal ratio, long repayment period, and much improved insurance terms.
In total, Pag-IBIG Fund approved P109.04 billion in home loans to finance the acquisition of 113,574 homes. Of this, the amount of P22.3 billion represents approved home loan applications pending for takeout, the proceeds of which are ready for disbursement upon submission by borrowers of post-approval requirements. (END)
Pag-IBIG Fund celebrates Araw ng Pag-IBIG with 1,000 couples saying “I Do, I Do”
Pag-IBIG Fund holds today, February 14, its annual "I Do, I Do! Araw ng Pag-IBIG" mass wedding for the benefit of over 1,000 member-couples in 11 venues nationwide.
“This is how we celebrate Araw ng Pag-IBIG on Valentine’s Day. For the past nine years, Pag-IBIG Fund has helped member-couples formalize their union and, at the same time, enjoy the benefits of Pag-IBIG Fund membership. This is one of the many ways that we carry out President Rodrigo Roa Duterte’s directive of helping Filipino families, particularly those in the low-income sector, by providing them better access to social benefits,” said Secretary Eduardo D. del Rosario, Chairperson of the 11-member Pag-IBIG Fund Board of Trustees and newly-appointed secretary of the Department of Human Settlements and Urban Development (DHSUD). Read more.
In the National Capital Region, the wedding rites for this year's “I Do, I Do! Araw ng Pag-IBIG" will be conducted in Manila. Similar celebrations will also be held in Baguio, Isabela, Pampanga, Bulacan, Laguna, Bicol, Cebu, Negros Occidental, Cagayan de Oro and Davao. In light of the COVID-19 or coronavirus disease, the conduct of the mass wedding in these areas will strictly follow the recommendations of the Department of Health to ensure the health and safety of guests and participants. Measures include the deployment of medical teams to help implement screening and reporting protocols.
“Pag-IBIG Fund shares the aspirations of our members in uplifting their lives and that of their families. Our ‘I Do, I Do! Araw ng Pag-IBIG,’ event is part of our corporate social responsibility activities. We help members from the low-income sector who do not have the financial means to formalize their union and at the same time highlight to them the social benefits of Pag-IBIG Fund membership. This is our way of showing that Pag-IBIG Fund is not only a savings institution and a provider of home loans, but is also their partner in building happy families,” Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said.
Since its start in 2012, Pag-IBIG Fund has helped wed over 21,000 member-couples through the event. (END)
Pag-IBIG Fund reports record-breaking income, loan releases in 2019
Newly-appointed housing department secretary Eduardo D. Del Rosario took the stage on Friday (Feb.7) to report Pag-IBIG Fund’s record-breaking earnings, housing loan releases, and cash loan releases to its members, partners, and other stakeholders in this year’s Chairman’s Report.
“We are happy to report that Pag-IBIG Fund has again achieved an excellent year in 2019. We achieved record-highs in our key result areas while delivering responsive services to our members. By so doing, we continue to perform our mandate of effectively managing the Filipino workers’ savings, while providing affordable and accessible home financing programs for our members. This is in line with President Rodrigo Roa Duterte’s call for government to provide social benefits to more Filipinos,” said Secretary Eduardo D. del Rosario, Chairperson of the Pag-IBIG Fund Board of Trustees and the Secretary of the Department of Human Settlements and Urban Development (DHSUD). Read more.
In his report, del Rosario said that the 14.69 million active Pag-IBIG members collectively saved P50.38 billion in 2019, which is the highest on record. Compared to members’ savings collected in 2018, the amount jumped 25 percent.
More savings entrusted by members with Pag-IBIG Fund
The growth in members’ savings collections was largely due to the huge spike in the agency’s Modified Pag-IBIG 2 (MP2) Savings collections, which posted growth of 169 percent to P12.01 billion from the P4.47 billion collected in 2018.
“The phenomenal increase in our savings collections is critical to Pag-IBIG Fund’s growth because it is through the collective savings of our members that Pag-IBIG is able to extend more loans and more benefits at affordable rates to our borrowers,” del Rosario said.
Highest-ever home loans and cash loans
Pag-IBIG Fund further broke its housing-related accomplishments as it released a total of P86.74 billion to finance the homes of 95,276 members. Of these, P10.64 billion was released for socialized housing, benefitting 27,145 borrowers belonging to the minimum-wage and low-income sectors.
In terms of cash loans, Pag-IBIG Fund released a total of P53.83 billion to 2,593,538 members.
Assets and net income highest in Pag-IBIG history
Financially, Pag-IBIG Fund also showed better than expected performance, as its total assets amounted to P603.39 billion by end of 2019.
The Fund also posted a net income of P34.37 billion, the highest in its history. “The Chairman’s Report gives us an opportunity to update our members and stakeholders of what we have achieved in the past year, this is why we hold it every year. We want to apprise Filipino workers of our performance and tell them that their Fund is working for them. We are always excited because we always have good news for them. The Lingkod Pag-IBIG is not just a tagline for us, it is a work standard aimed at raising the bar each year, in the name of public service and transparency,” said Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti. (end)
Pag-IBIG Fund Calamity Loan ready for members affected by Taal unrest
Top executives of Pag-IBIG Fund announced on Thursday (Jan.16) that they have allocated Calamity Loan funds for 2020 to help members affected by calamities, including the Taal Volcano eruption.
“Pag-IBIG Fund has allocated calamity loan funds this year, which will help our members living in Batangas and Cavite following the destructive effects of the ashfall and earthquakes caused by the eruption of Taal Volcano. This is in line with the directive of President Rodrigo Roa Duterte to provide Filipinos with responsive social benefits during trying times,” said Secretary Eduardo D. del Rosario, who heads the Department of Human Settlements and Urban Development (DHSUD) and the Pag-IBIG Fund Board of Trustees. Read more.
Under Pag-IBIG Fund’s Calamity Loan Program, eligible members may borrow up to 80% of their total Pag-IBIG Savings, which consist of their monthly contributions, their employer’s contributions, and accumulated dividends earned. Affected members have 90 days from the declaration of a state of calamity in their area to avail of the loan.
Considering the plight of the borrowers, Pag-IBIG Fund is offering the Calamity Loan at a rate of 5.95% per annum – the lowest rate available in the market. The loan is payable over a period of 24 months, with the first payment deferred. Initial payment is due on the third month after the loan is released.
“We never want calamities to happen but when they do, we are ready to respond to the needs of affected members. In 2019, we released P1.51 billion to help 89,570 members affected by various disasters. For 2020, we hope to help more members with the allocated funds,” del Rosario said.
“Pag-IBIG Fund branches in Batangas and Cavite will remain open even as some of our offices and employees weren’t spared from the eruption. We are actively helping our employees there and bringing in supplies and added manpower, as part of our commitment to bring aid to calamity-stricken members,” he added. (END)
Pag-IBIG Fund to raise decades-old savings rate in 2021
After months of public consultations and getting the support of both labor and employer groups, Pag-IBIG Fund will soon raise the three decades-old P100 monthly savings rate of its members.
On November 6, the agency’s 11-member Board of Trustees approved the increase of the Pag-IBIG Fund members’ mandatory monthly savings from the current P100 to P150 by January 2021, and to P200 by January 2023. The same increase shall also be applied to the counterpart share shouldered by employers. Read more.
“For us to continue offering the lowest loan rates to our members, the Pag-IBIG Fund Board has thoroughly discussed as early as the first quarter of this year, the need to increase the monthly savings of our members. And, because President Rodrigo Roa Duterte has standing orders to consider the plight of the Filipino workers, we have decided to implement the adjustment over a staggered period to allow all our stakeholders to prepare,” said Secretary Eduardo D. del Rosario, Chairman of the Housing and Urban Development Coordinating Council (HUDCC) and Pag-IBIG Fund Board of Trustees.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti noted that the increase in the demand for the agency’s home loans may soon outpace the growth in its collections partly derived from the P100 monthly savings of its members. He said that the agency’s home loan releases alone have been growing at an average rate of 17.5% annually in the last five years.
“The demand for our home loans has grown tremendously through recent years. To give you a better idea, in 2014, our home loan releases totaled P40.5 billion but in 2018, the amount almost doubled to P75.3 billion. And we have been able to sustain the double-digit growth so far in 2019. Our home loan releases from January to October increased 13% year-on-year to P66.47 billion, Moti said.
“At the current monthly savings rate, in addition to our housing and short-term loan payment collections, we have more than enough funds to support up to 10% average growth rate in home loans. But we expect demand to remain strong with growth at around 15% annually in the coming years. Adjusting the monthly savings amount will provide the necessary additional funds to sustain the low loan interest rates we currently offer to our members,” he added.
Moti also said that they spent the past several months consulting the planned increase with labor unions, OFW non-government organizations (NGOs), employer groups, and other stakeholders.
“I’m happy to report that our stakeholders have expressed their support in raising the monthly savings of our members, as well as the counterpart share of employers. We thank them for recognizing that the increase in monthly savings is an increase in members’ benefits because every peso they save will go to their Pag-IBIG Fund Savings, entitle them to higher cash loans at low rates should they need it, and allow them to earn higher dividends annually,” Moti said. (END)