MANILA, Philippines -- State-run Home Development Mutual Fund, or Pag-IBIG Fund, announced it had tied up with Bank of the Philippine Islands (BPI) on an online platform for payment of loans and contributions of fund members.
Fund president Romero Quimbo said the new platform would make it easier for Pag-IBIG, the government-run housing provident fund, to process about P4 billion in monthly cash flows from housing loan payments or members? contributions.
Quimbo said physical traffic was becoming a key challenge for Pag-IBIG, which has 45 offices handling seven million members nationwide. ?We?ll be happy if 25 percent of our cash flows can be converted into online transactions,? he said.
The tie-up with BPI will complement an existing online platform with another commercial bank, Union Bank of the Philippines, he said.
Pag-IBIG has allotted P30 billion for new low-cost housing loans this year.
In 2007, it allocated P21 billion for housing loans but ended up lending P24 billion. These were retail loans averaging P475,000 per borrower. Edited by INQUIRER.net