What
are the basic things I need to know about Direct Housing Loan?
The
following are the basic information you should know about Direct Housing Loan:
- Eligible borrowers
are Filipino citizens. Foreign nationals are allowed for condominium purchases only. However, a purchase of house and lot
or vacant lot will be considered if a foreign national is married to a Filipino citizen and an Affidavit of Support and Waiver
of Rights over the collateral property are executed by the foreigner.
- Borrower's age
should be at least 21 but not more than 65 years old upon maturity of the loan.
- Principal borrowers
must have an income source as a regular employee or from a business with a minimum profitable operation of 2 years.
- The amount of
loan you can borrow depends on your income (capacity to pay) and the appraised value of the collateral.
- The minimum gross
monthly income requirement is P40,000.00 (combined for married applicants).
- The maximum loanable
amount vs. appraised value of collateral is 80% for house and lot but not to exceed P5.0M (provided applicant is employed
and purpose is for owner-occupancy). However, loan amounts may still vary based on verified income and appraised value of
the collateral.
- The loan term
is the number of years you can amortize your loan and it depends on the type of loan you are applying for:
- Maximum of 20
years for acquisition, construction, home improvement or renovation.
- Maximum of 10
years for refinancing, business expansion and personal consumption.
- Maximum of 15
years for Expat Pinoy (OFW).
The
interest rate that will be applied to your loan will be the prevailing Savings Bank rate at the time of loan release.
How
do we go about applying for a Direct Housing Loan?
This
primer includes a list of requirements and an application form. Please find below simple instructions:
Fill-out
the application form below completely and accurately. Collate all necessary documents based on the list of requirements.
- Submit complete
requirements with the application form by contacting us through our details in this website. Bank credit evaluation process
only starts on the day complete requirements are received by the Account Officer (incomplete requirements will delay the application
process).
Within
5 banking days after you have submitted complete requirements, you will be advised by the Account Officer (AO) on the status
of your application. By then, you will find out if your application is approved.
What
happens to my documents if my loan is not approved?
Your
Account Officer will return all the documents that you have submitted in the event that your loan is not approved.
What
fees do I have to pay?
An
appraisal fee is required to be paid upon submission of complete requirements. This also covers the cost of credit investigation
and title verification. It is non-refundable. Upon approval of loan the following fees will be charged:
- Mortgage Registration
fee (for the annotation of the loan, to be paid prior to loan release).
- Mortgage Redemption
Insurance (MRI) premium.
Fire
/ Lightning / Earthquake Insurance premium (for collateral with improvements only).
If
I am applying for a construction loan, how will it be released to me?
For
construction loan and major renovation, the release of the proceeds is on a staggered basis. The loan release will be in accordance
with the required percentage of completion. A schedule of release will be made available to you. Construction must be finished
within one (1) year, otherwise, the Bank has the option to call your loan due and demandable.
How
do I go about having my existing housing loan refinanced by Direct Savings Bank?
Upon
loan application, you must provide us with a Statement of Account indicating your outstanding balance from the other bank,
and latest six (6) months official receipts of payment of loan amortization. If your amortization is debited from your account,
we require the six (6) months bank statements or photocopy of your passbook. Upon loan approval, we will issue a bank guaranty
to inform the other bank of your approved loan.
My
husband is an Expat Pinoy (OFW), can we apply for a housing loan?
Yes.
For Expat Pinoys, we can offer a loan term of up to fifteen (15) years to pay. In addition to the basic requirements that
are listed in this primer, you are requested to submit:
- Your spouse's
certificate of employment / employment contract duly authenticated by the Philippine Consulate Office (for direct hires only).
Crew
contract and exit pass from POEA (for seaman).
I
am a Filipino working abroad, can I apply for a housing loan?
Yes,
provided that you can submit your certificate of employment as well as employment contract duly authenticated by the Philippine
Consulate Office. Also, you need a co-maker and attorney-in-fact who is residing in the Philippines.
Your attorney-in-fact can be your wife or a relative who also has the capacity to pay. He / she needs to submit a Special
Power of Attorney duly executed by you and his / her Income Tax Return (Please refer to list of additional requirements).
I
am formerly a Filipino citizen and now a citizen of another country, can I apply for a housing loan?
Yes,
but only for purchase of condominium units. However, under the Balikbayan law, you may purchase land of not more than 1,000
sq. m. provided that you intend to stay here for at least two (2) years and you have a source of income in the Philippines. You will be asked to execute a sworn
statement showing your intention to reside in the Philippines.
Upon application, you will need to indicate the following information:
The
date you lost your Filipino citizenship.
I
am separated, can I apply for a housing loan?
If
you are legally separated and can submit copies of the court decision regarding your separation, we can process your loan
having you as the sole borrower without requiring your estranged spouse to sign. However, if you are not legally separated,
your estranged husband / wife must sign on all documents.
Can
I still apply for a loan if a different party owns the collateral?
Yes,
you can still apply provided that the owner of the property is willing to be your co-borrower / co-mortgagor. He / she must
fill out a separate application form and must meet the age requirement. Upon loan approval, he / she will be required to sign
on all documents. However, this will be treated on a case-to-case basis.
Once
I am granted a loan, how do I pay for the monthly amortization?
There
are several convenient ways to pay:
- Auto Debit
Arrangement
Just enroll
your housing loan account with any bank branch or Express
Banking Center. On your due
date, every month, the bank will automatically deduct from your savings or current account the amount of your monthly
amortization and mortgage redemption insurance (MRI).
- Express Phone
Simply dial the number to call that will
be provided to you by the bank and listen to the easy-to-understand instructions you'll be hearing over the phone. Just
enroll your housing loan account number with bank Check Free Payment facility at any bank branch or Express Banking Center.
- Express Online
Simply log-on to bank website and
access your transaction through the user-friendly instructions that you will see. Just enroll your housing loan account number
and you will be instructed on how to settle your housing loan bill.
Express
Teller ATM
Pay your amortization
through the ATM 24 hours a day, 7 days a week. Simply enroll your housing loan account number with our Check Free Payment
Facility at any banking center.
Once enrolled, you may visit any of our Express Teller ATMs and you will be prompted by the machine with step-by-step instructions
on how to transfer funds from your account to settle your housing loan bill.
