Pag-IBIG is an acronym which stands for Pagtutulungan sa Kinabukasan: Ikaw, Bangko, Industria at Gobyerno. To avoid confusion, Pag-IBIG is actually one and the same with the Home Development Mutual Fund or HDMF in short, which is corporation-owned and also controlled by the Philippine government.
Many people are in doubt about PAG-IBIG fund program. But what’s really inside of PAG-IBIG that makes it worthy for all Filipinos? Well, this program is divided into three categories:
All Filipinos are eligible to enjoy PAG-IBIG fund benefits & programs.
PAG-IBIG is best known for its housing loan category. They provide affordable financing to Filipinos who dream to have a decent place to live. PAG-IBIG is have a partnership with local Real Estate Developers in the Philippines, making it possible for Filipinos to avail a house through their loan program.
PAG-IBIG also provide short-term cash loan for its members, which is classified in two types.
This type of loan caters people who experienced casualties due to calamity or disaster (flood, fire, etc.) This serves as a financial aid after the occurrence of a calamity or disaster.
Everyone has needs to cover, and sometimes a monthly paycheck isn’t enough. This type of loan is for people who want to borrow money for all sorts of reasons, it can be a personal purchase or a capital for business. Related: Virtual Call Center Jobs in the Philippines
PAG-IBIG also provides savings program, which is known as provident savings. The employee’s monthly savings which includes employer’s share and total annual dividend earnings make up the TAV or Total Accumulated Savings.
The member will be able to claim the provident savings after 20 years (membership maturity) with 240 monthly contributions, event disability, retirement, and termination from work due to health reasons, a departure from the country, or even death.
Features:
Here’s how your contributions to Pag-IBIG are calculated.
| Monthly Contribution | (%) of Monthly Compensation |
| Employee Share | Employer Share |
| P1,500 or less | 1% |
| Over P1,500 | 2% |
How much housing loan can a member acquire from PAG-IBIG based on their contributions?
| Monthly Contribution | Loan Amount |
| P200 | Up to P500,000 |
| P250 | P500,000 – P600,000 |
| P300 | P600,000 – P700,000 |
| P350 | P700,000 – P750,000 |
| P400 | P800,000 – P900,000 |
| P450 | P900,000 – P1,000,000 |
| P500 | P1,000,000 – P1,100,000 |
| P550 | P1,100,000 – P1,200,000 |
| P600 | P1,200,000 – P1,300,000 |
| P650 | P1,300,000 – P1,400,000 |
| P700 | P1,400,000 – P1,500,000 |
| P750 | P1,500,000 – P1,600,000 |
| P800 | P1,600,000 – P1,700,000 |
| P850 | P1,700,000 – P1,800,000 |
| P900 | P1,800,000 – P1,900,000 |
| P950 | P1,900,000 – P2,000,000 |
| P1,000 | P2,000,000 – 2,100,000 |
| P1,500 | P3,000,000 – P3,100,000 |
| P2,000 | P4,000,000 – P4,100,000 |
| P2,500 | P5,000,000 – P5,100,000 |
| P2,950 | P5,900,000 – P6,000,000 |
How much is the minimum contribution?
The minimum monthly contribution for Pag-IBIG is Php200 and the maximum will be Php2,950.
How many years of contributions to qualify for Pag-IBIG Loans?
In order to be qualified for Pag-IBIG loan, the member must have accomplished at least 24 months of contributions.
How to compute Pag-IBIG contributions?
An employee earning Php 5,000 or higher per month will have a deduction of 2%. The deduction will be shared by both employee and employer. The combined amount will be your total monthly contribution to Pag-IBIG.
Note: Employer and employee will share top at Php 100 each.
How does Pag-IBIG earn money?
The Home Development Mutual Fund or Pag-IBIG is like the usual Mutual Fund, which gets invest contributions from its members in variety of financial platforms. Their goal is to grow and earn with the said capital.
How to increase Pag-IBIG contributions?
If you are an employed member, reach out to your company’s HR department and that you would like to contribute more than the minimum monthly contribution of Php100.
The process will be simple as you only need to sign a form for an increase contribution request. OFW and self-employed members don’t need to complete this paperwork, they can just simply increase their monthly contributions.
In order to be a member of Pag-IBIG, you need to submit the following requirements:
(Professionals, Freelancers, Small Business Owners, Consultants)
(for individuals who opt to pay their contributions on their own)
(for professionals with government-issued licenses practicing their expertise)
(for individuals who own franchises of businesses)
Read more: NBI Clearance Online Application & Registration Guide 2019
(for unemployed individuals but married to someone who owns a business)
(for individuals who are currently unemployed but married to an active member through his/her employer)
(Filipinos who work abroad or reactivating members)
(for individuals who are currently unemployed but want to continue their contribution)
Using your phone or computer, go to www.pagibigfund.gov.ph and click the “Online Services” tab.
Click on “Membership Registration” and you will be redirected to a form.
Fill up the form with your name and date of birth. Then the system will check if you already have an existing account. They will provide a code which you can use to proceed on the next page.
Now you must complete your Pag-IBIG online application form. Make sure that you will complete this thoroughly and accurately.
Once you’ve completed all the required fields, check the details for errors, then submit your online registration form. After this, you will be redirected to a new page confirming your successful registration. As soon as the confirmation page flashes on your screen, a SMS confirmation will be sent to you.
You will get a Pag-IBIG RTN (Registration Tracking Number), which can help you track the progress of your registration. The RTN can also serve as your temporary Pag-IBIG ID number).
Note: It usually takes 2 working days before you get verified, then you can have your permanent Pag-IBIG MID Number.
Follow these easy steps on how to get Pag-IBIG Number. Send SMS using this format:
IDSTAT<space>[Your RTN Number]<space>[Birthdate MM/DD/YYYY]
Example: IDSTAT 123456789101 08/28/1990
And send it to:
Type www.pagibigfundservices.com, then click the tab for “OFW Member’s verification”
Pin your MID number.
If you get an error message, try using another internet browser version.
1. Treat your Pag-IBIG contributions as Assets, not “just” a mandatory deduction from your monthly salary.
2. PAg-IBIG contributions must be up to date
3. Get Pag-IBIG Savings Program
| Monthly Contribution | Return in 5 YRs | Return in 10 YRs |
| P500 | P34,921.79 | P81,655.02 |
| P1,000 | P69,843.58 | P163,310.05 |
| P1,500 | P104,765.37 | P244,965.07 |
| P2,000 | P139,687.16 | P326,620.10 |
| P5,000 | P349,217.90 | P816,550.25 |
| *If dividend is set to 6% by Pag-IBIG |
4. Higher Contributions = Higher dividends from savings and higher approval rates for qualifying for bigger loans
If you are contributing more than the minimum amount, it will increase your chance of getting approved for bigger loan amounts. And also, the more amount you put in your savings, the higher dividends you get in the future.
5. Grab a Pag-IBIG Loyalty Card
Yes, Pag-IBIG does have loyalty card. You can fill out this form and submit to the nearest Pag-IBIG branch in your area.
Here’s another tip most members are not aware of. You can actually pay for the full 24-month contribution upfront, enabling you to become a member and be eligible for loans, without the need to wait for 2 years! Cool, huh?
Pag-IBIG housing loan can help you in buying a residential house and lot or condominium, and even doing major home renovations. Choose the option that will fit your needs.
You may choose between two payment programs: affordable housing loan program and the regular housing loan program.
Keep in mind that though that the loanable amount will depend on Pag-IBIG’s assessment of your application.
So while there is a Pag-IBIG Fund Housing Loan Affordability Calculator available online, it can only give you a rough estimate of what you can get and not the exact amount.
See to it that you are actually eligible for the loan. There are certain requirements you have to meet such as:
Apart from seeing to it that you’re eligible, you have to submit the fees and documents needed for the application process, and upon the loan’s release.
Php2,000 (for appraisal)
Php1,000 for re-filing or reevaluation (if applicable).
If you want to see the complete list of requirements for a housing loan with Pag-IBIG, click here.
You can set an appointment online or walk in the branch nearest you. Those who have an appointment can take advantage of a priority lane wherein they can process their documents faster.
Wait for the Housing Loan Application Tracking Number and the appointment schedule that you will receive via text and via email respectively.
Missed payments or arrears in your PAG- IBIG housing loan can give you sorts of problems in the future. And if your arrears accumulate, it can even result to cancellation and foreclosure of your property.
Pag-IBIG registration information online is not available at this moment. However, you can still be able to update your records by going to any Pag-IBIG branch near you.
Here’s how:
Everyone knows about Pag-IBIG loans and saving programs, but only few are talks about how they enable prospective homeowners to buy properties at a cheaper price, which is by auctioning Pag-IBIG acquired assets.
It is typically auctioned to the public at a way more affordable price in an effort to get back the defaulted home loan. Though they are not new, these make good investments since acquired assets are being sold for a cheaper price.
Know everything you can about the property.
Gather information from neighbors, meet up with former owners, and seek help from legal experts. This will clear up your mind about the real condition of the property or area.
Be mindful of the expense.
Check possible hidden cost.
Do an ocular.
You need to see the property in flesh to inspect the house or unit, as well as the area surrounding it.
Have an expert look at it.
Bring a real estate expert upon visiting.
Prepare for the future, give your family a comfortable life and a decent house to live in. Pag-IBIG Fund can help you to have affordable housing and short-term loans, which comes with a secure form of saving money.
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