Published: October 16, 2020 | Updated: November 17, 2020 | Posted by: Moneymax | Government Services
The Pag-IBIG fund is known for its affordable housing loans. It allows members to get their dream house without having to pay hefty interest rates. However, did you know that there are other Pag-IBIG benefits you can claim? Keep on reading to learn about these benefits and how you can avail them.
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Established in 1978, the Home Development Fund (HDMF) is a government-owned and controlled corporation under the Department of Human Settlement and Urban Development. Popularly known as the Pag-IBIG Fund, the agency addresses affordable home financing for Filipinos. Apart from housing loans, members can also enjoy numerous Pag-IBIG benefits such as calamity and multi-purpose loans, provident benefits, and death benefits.
Your Pag-IBIG contribution depends on your employment status and whether you’re an OFW or. Here’s a quick overview:
|Monthly Salary||Rate for Employees||Rate for Employers||Total|
|At least PHP 1,000 to PHP 1,500||1%||2%||3%|
|Above PHP 1,500||2%||2%||4%|
|At least PHP 1,000 to PHP 1,500||1%|
|Above PHP 1,500||2%|
This is for OFWs with employers subject to mandatory Pag-IBIG coverage.
|Monthly Income||OFW Rate||Foreign Employer Rate||Total|
|PHP 1,500 and under||1%||2%||3%|
|Above PHP 1,500||2%||2%||4%|
And for OFWs whose employers are exempted from Pag-IBIG coverage.
|Over PHP 1,500||2%|
One of the many Pag-IBIG benefits you can get is a savings facility that serves as Pag-IBIG contribution benefits. This is where your monthly contributions go. If you’re an employed Pag-IBIG member, your monthly savings is immediately doubled. It will also grow with more dividends annually. You can earn more dividends by increasing your monthly Pag-IBIG contribution.
The Pag-IBIG MP2 program is a voluntary savings facility for active or former Pag-IBIG members who wish to earn even higher annual dividends. You can enroll in this Pag-IBIG savings program even if you already have a regular Pag-IBIG savings membership. MP2 has a minimum savings amount of PHP 500.
Your Pag-IBIG mutual fund investment earns tax-free dividends at a rate higher than the dividend rate of the regular programs. These dividends are from 70% of the Pag-IBIG Fund’s annual net income.
One of the many Pag-IBIG benefits you should know is the Pag-IBIG Loyalty Card Plus. Launched in 2014, the Pag-IBIG Loyalty Card program provides additional services and perks to its members. You can enjoy discounts and rewards in more than 300 Pag-IBIG partner establishments.
The agency is known to offer housing loans to its contributing members. Pag-IBIG, however, offers two housing loan programs—the Affordable Housing Loan (AHP) for Minimum Wage Earners and the End-User Home Financing Program (EUF).
Read more: How to Apply for a Pag-IBIG Housing Loan
When you get a Pag-IBIG housing loan, you’re required to get a Mortgage Redemption Insurance (MRI). This non-life insurance from Pag-IBIG ensures that your mortgage is covered in the event of death or critical illness. However, you need to pay for the MRI premiums yourself.
If you live in an area affected by a calamity, you can apply for a Pag-IBIG calamity loan. This one of the many Pag-IBIG benefits you can enjoy as a member. It aims to aid members in calamity-stricken areas in case of flood, fire, or any other disaster. You can borrow up to 80% of your total Pag-IBIG savings, consisting of your monthly contributions
Take note that your area must be declared under a state of calamity by the Office of the President or your Local Sanggunian. You should also file for a calamity loan within 90 days from the declaration of a state of calamity. However, if you have an existing Pag-IBIG loan, your payments must be updated to take this Pag-IBIG benefit.
Do you know that Pag-IBIG also offers a salary loan? Also known as the Pag-IBIG multi-purpose loan, this Pag-IBIG benefit is a short-term loan you can use to fund a home renovation, bills payments, tuition and many other loan purposes. You can borrow up to 80% of your total Pag-IBIG Savings, payable in 24 months.
As a contributing member, you can get your Pag-IBIG savings upon retirement at age 60 (optional) or 65 (mandatory). You can also claim for provident benefits if you’re at least 45 years old. However, your contributions must be equal to 20 years or 240 months to be eligible.
If you are a legal heir or beneficiary of a deceased Pag-IBIG member, you can claim for death benefits if the member did not claim their savings benefits when they were still alive. Pag-IBIG doesn’t offer funeral or burial benefits, unlike SSS, where death benefits and retirement benefits are separate.
If you have immediate concerns and inquiries, you may reach Pag-IBIG at 724-4244 (Pag-IBIG). Pag-IBIG will give your complaints/inquiries considerable attention according to the following:
|Duration||Nature of Concern|
|1 Hour||Pag-IBIG Hotline Queries|
|3 Working Days||Simple queries (general information)|
|10 Working Days||Policy and Loan Queries (Queries that require coordination with other Pag-IBIG Offices)|
Knowing about Pag-IBIG benefits can help you maximize your membership. Aside from a mortgage, you can get a calamity or multi-purpose loan from the agency. You may also get provident or retirement benefits if you’re at least 45 years old. The agency’s regular and MP2 savings programs can also help you earn high dividends annually.
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