The Home Development Mutual Fund (HDMF), or Pag-IBIG, said it had received more multi-purpose loan (MPL) availments in the first seven months of 2015, due to more Pag-IBIG branches of the agency opened nationwide.
Pag-IBIG said availments for the fund’s multi-purpose loans (MPL) have increased by 4 percent during the seven-month period, more than double the 1.9 percent increase recorded for the whole year of 2014.
The housing fund said it had released P24.51 billion for MPL availments from January to July 2015, higher than the P23.67 billion it released in the same period of last year.
It said some 1.17 million members availed of the MPL for the first seven months of the year.
Pag-IBIG has opened 47 branches since 2013 and currently has a total of 85 branches and service offices nationwide. It aims to reach a total of 117 branches before the year ends.
The MPL, a short-term loan payable in 24 months, is designed to help finance member’s immediate needs. This allows members to borrow up to 80 percent of their savings that can be used to pay for medical emergencies, tuition fees, or even a vacation.
The fund’s total budget allocation for the MPL service is about P45 billion for this year.
Pag-IBIG Fund President and Chief Executive Officer Atty. Darlene Berberabe said the growth in number of MPL availments is a result of the agency’s efforts to connect with its members.
Berberabe said the fund has sent out letters to its members, stating their Total Accumulated Value, which is like a bank’s statement of account that details their Pag-IBIG savings.
She also noted that Pag-IBIG has opened new branches and service offices in the second quarter, making the agency “closer to its members and better able to help more of them in their times of need.”
“As more members realize the amount of savings they have with Pag-IBIG, they are encouraged to use their savings to fund their various needs like tuition, emergency medical needs, or even recreational activities,” said Berberabe.
She added, “And with our wider network, we have received more MPL applications through our new branches. We also receive applications for MPL when promoting our Loyalty Card in various offices and localities.”
“There is strong demand for MPL from Pag-IBIG members and many of our MPL borrowers want to renew their loans to continue enjoying their benefit. Some even save more so that they can borrow more in times of emergency,”said Berberabe.
She added that it is now more convenient for members to avail of an MPL due to the agency’s wider network of branches.