The Home Development Mutual Fund (HDMF) or Pag-ibig said it has doubled the maximum amount of housing loans that members can avail of while lowering its interest rates in a bid to make housing more affordable to more Filipinos.
Atty. Darlene Marie Bernabe, Pag-IBIG Fund president and chief executive officer, announced the changes in the Fund’s housing loan program at the 11th Employers Confederation of the Philippines (ECOP) membership general meeting held at the Henry Sy Sr. Auditorium, St. Luke’s Medical Center, Global City, Taguig.
“Pag-IBIG doubled the maximum loanable amount for housing loans (HL) to P6 million, reduced HL interest rates from 11.5 percent to 6.5 percent, provided subsidized HL interest rate to minimum wage earners at 4.5 percent, reduced calamity loan interest rate from 10.75 percent to 5.95 percent, the lowest in the market, and increased Pag-IBIG’s
viability as provider of housing finance by outsourcing collection,” Bernabe said.
“What’s remarkable about these reforms is that we achieved these without increasing the monthly premium of P100,” she added.
She also reported that the Fund’s membership base has grown significantly over the last five years, from 8 million members registered in 2010 to 15.6 million members as of July this year.
In addition, she said the Fund’s network has grown from 38 branches in 2010 to 77 branches currently, with the goal of having 117 branches by the end of 2015.
Pag-ibig said that its efforts to excel in its services has gained approval from third-party agencies such as the German firm TÜV SÜD, which renewed Pag-IBIG’s ISO 9001:2008 certification for its membership registration process in 2014, and the Commission on Audit, which issued an unqualified opinion on its financial statements for 2012 and 2013.
The Fund also noted that the Civil Service Commission gave passing marks to all Pag-IBIG branches and offices included in the 2013 and 2014 Anti-Red Tape Act Report Card Surveys.
In 2014, Pag-ibig posted a net income of P16 billion and declared P11.35 billion in dividends with a dividend rate of 4.18 percent.