Pag-IBIG hikes multi-purpose loans, access

Pag-IBIG Fund has made some updates to its popular Multi-Purpose Loan (MPL), making it easier for Filipino workers to borrow more, qualify faster, and enjoy greater flexibility. This is all part of Pag-IBIG’s commitment to supporting the financial needs of its members.

Members can now borrow up to 90 percent of their total Pag-IBIG Regular Savings, an increase from the previous 80 percent. This means that members with bigger savings can access larger loans. These changes also apply to other Pag-IBIG short-term loan programs, like the Health and Education Loan Programs (HELPS) and Calamity Loan.

The eligibility requirements have also been relaxed. Now, members only need 12 months of contributions to qualify, down from the previous 24 months.

Those who have loans under the old rules can still apply for a new loan based on the enhanced terms. These changes will be available starting 16 May.

Secretary Jose Rizalino L. Acuzar, chair of the Pag-IBIG Fund board of trustees, said, “We’re constantly improving our loan programs to better meet the needs of our members. With these updates, we’re ensuring more members can get the help they need faster.”

In addition to the bigger loan amounts and shorter eligibility periods, Pag-IBIG has also added a one-year repayment term to the existing two- and three-year options. This extra flexibility allows members to choose a repayment schedule that best fits their financial situation.

CEO Marilene C. Acosta pointed out that despite the enhancements, the loans are still affordable, with a low monthly interest rate of just 1.4583 percent. Plus most of the interest earned from MPL repayments is returned to the members as dividends, adding even more value to their loans.

“Our goal is to make sure our members can achieve their financial goals — whether it’s starting a small business, paying for school, covering medical costs, or making home improvements,” Acosta said.

In 2024, Pag-IBIG released a record-breaking P70.3 billion in loans to over 3.2 million members.

In 2025, the plan is to assist 3.6 million members with P95.3 billion in loans projected to be released.

“We’re always evolving to meet the changing needs of our members,” Acosta said. “These updates to the MPL program only strengthen our role as a trusted partner in helping Filipino workers build a more secure financial future.”