James Paul
With millions of Pinoys working in different parts of the globe, they play an integral role in strengthening our country’s economy. So it shouldn’t come as a surprise that many banks and lending firms in the Philippines have loan programs and other financial products specifically designed for OFWs. But if you’re working overseas and you want to apply for an OFW loan, it’s best to think about it thoroughly first. Below are some of the factors you need to consider.
Eligibility
You need to meet certain requirements to avail OFW loan facilities. These would vary depending on the bank and lending firm, but the basics are all the same.
- Be 21 to 60 years old at the time of the loan maturity.
- Overseas Employment Certificate (for both land- and sea-based OFWs), or Seafarers Registration Certificate (for sea-based OFWs only).
- Recent Passport.
- Working Visa.
- Proof of Residence (your utility bills will do).
- Valid government-issued IDs.
- Employment Contract
Make sure to submit these and other requirements to the bank or firm you choose when applying for a loan.
Reason
Also have a valid reason for applying for an OFW loan. Pinoys abroad and at home have plethora of excuses why they need extra money. It could be because a loved one got suddenly hospitalized. Or you need financial assistance as you attempt that business venture you’ve been dreaming about for so long. Whatever your reason is, it must be perceived by the bank or lending firm as valid. Otherwise, your application might get rejected.
Co-Maker
Basically, a co-maker is a person who will promise to settle your OFW loan if you’re unable to do so. They can be extremely helpful if you can’t meet some of the criteria listed above (i.e. you’re underaged and what-not), as well as if you’re applying for a collateral loan. Plus, they can help increase your chances of getting approved and getting a higher amount. Just remember to put your agreement with your co-maker on paper. That way, both of you can avoid financial problems and conflict.
Program
With many banks and firms offering OFW loan packages, you might have a hard time choosing the right one. So make sure to review each of them based on your personal needs. Make a list of the programs you like and compare them with each other. Then pick the one that seem best for you.
Remember These Factors
Even Pinoys abroad need a little financial boost sometimes. So if you’re looking for a loan either to meet an emergency expense or kick-off your planned business, better keep in mind the factors mentioned above before applying.
