Home Development Mutual Fund Law of 2009 for Over Seas Filipino Worker part. 2

1. What is the benefit of Pag-ibig member ?

A. Benefits of the savings

• No tax will be imposed on members' savings

• Earned annual dividend annually added to members' savings

• The savings remain in the name of the member even if he moves the company, loses work, or becomes self-employed

• The government guarantees the savings, to pay for and refund the members' contribution paid regardless of the incidence of PAG-IBIG

Monthly Contribution	Total expenses after 20 years if the Pag-IBIG Fund's dividend rate is 5%
P100	P 31,419.33
P300	P 94,259.79
P400	P 125,679.72
P1,000	P 314,199.29
P1,200	P 377,039.15

B. Short-Term Loans (Multi Purpose and Calamity Loans)

It can be repaid for the sudden need for tuition, minor home repair, business capital and so on. The following is an example of how much you can borrow under the Multi-Purpose Loan (MPL) Program.

Monthly Contribution	No. Of Months	Can Be Loan With Multi-Purpose Loan
P100 to P300	24 months to 60 and 61 to 120 months	P1,440  to P10,800 P4,270 to P25,200
P400 to 600	24 months to 60 and 61 to 120 months	P5,760 to P21,600 P17,080 toP50,400
P700 to 900	24 months to 60 and 61 to 120 months	P10,080 to P32,400 P29,890 to P75,600
P1,000 to 1,200	24 months to 60 and 61 to 120 months	P14,400 to P43,200 P42,700 to P100,800

* This computation is based solely on employee and employer contributions, and does not include the annual dividend earned by your savings

C. Housing Loan (Housing Loan)

The housing loan can be used for any of the following:

 • buying land;

• buying a home;

 • drying or housekeeping;

 • home improvement or repair;

 • when refinancing a loan from a bank acceptable to the Pag-IBIG Fund; And

Loan Package	Interest Rate	Monthly Contribution
P400,000	6%	P2,398.20
P750,000	7%	P4,989.77
P1 Million	8.5%	P7,689.13
P1.25 Million	9.5%	P10,510.68
P2 Million	10.5%	P18,294.79
P3 Million	11.5%	P29,708.74

Monthly Contribution	Employer Counterpart	Maximum Loan
P100 to 300	100	Up to P700,000
P400 to P600	100	P800,000 to P1.3 Million
P700 to P900	100	P 1.4 Million to P1.9 Million
P1,000 to P1,200	100	P2.0 Million to P2.5 Million

2. How much is the contribution rate?

The contribution of all members, including OFWs, is based on the following:

Monthly Income	Percentage of Monthly income
	Employee Contribution	Equivalent Employer Contribution
P1,500 and Below	One percent (1%)
P1,500	Two percent (2%)	Two Percent (2%)

Monthly income of five thousand pesos (P5,000) used for contributing contributions. That is to say, the highest premium of the member and his employer is P100. However, a member can increase his or her monthly rate for a larger amount. If a member has no employer, he or she can take or pay the employer counterpart.

3. Should a foreign employer also provide adequate contribution?

A foreign employer does not have to provide a portion of the contribution, unless he or she wants to.

4. Can the member drop out more than the prescribed contribution?

Yes. It is encouraged that the member to continue more than the contribution set forth by law. It is better for a member to save more money because he will get more than 20 years after his / her membership, including tax-free dividends and guaranteed by the government.

5. Where can I make pay my contribution?

Paying for Pag-IBIG representatives based on Embassy or Philippine Consulates. You can also pay any accredited banks or remittance partners. Just visit the Pag-IBIG website for a complete list of accredited collecting banks and remittance partners

6.When can I get the total savings of a member registered under Pag-IBIG I?

The member may claim his / her total accumulated value (TAV) after 20 years and after he has paid 240 monthly contributions. You can also return her TAV before 20 years in any of the following reasons:

• 15-year optional withdrawal (member must have 180 monthly unpaid premium and he / she has no debt. Membership must continue after deduction.)

 • reaching the age of 60;

• mandatory retirement at age 65

• total disability / insanity;

 • leaving work due to illness or illness;

• permanently removing the Philippines; And

• death.

7.What will the member get when his / her membership ends?

He will get his total savings consisting of his monthly premium, the equivalent contribution of his employer (if any), and his earned premium income.

8.If the member dies, what will happen her benefits?

His heirs will receive all his benefits but will lose his obligations to Pag-IBIG. His heir will also receive an additional death benefit.