In my previous article, I have discussed the top online cash mart or marketplaces that most OFWs go to secure a loan. But in this article piece, I tackle the different types of OFW loan that one can avail depending on their status: whether they’re abroad, a first-time OFW, allotment/remittance loan, balik-mangagawa or balikbayan.

Working overseas give many Filipinos the opportunity to receive higher salaries and prepare for a better future for their families.

But sometimes, their salary is not enough to cover larger expenses and they need quick cash assistance, which is where OFW Cash Mart (marketplace) like Loansolutions comes in. You’ll be able to find the solution to your immediate cash problem by finding financial institutions specialized in offering loans to OFWs. Did you ever realize that there are several types of OFW loans? 

Pinoy Abroad Loan

When your family needs immediate cash, OFW Cash Mart Loansolutions suggests that you try to secure a Pinoy Abroad Loan, which is available to seafarers and land-based OFWs, who should be the main borrower.

To qualify, the borrower must still have 4 months remaining in their employment contract and their minimum salary should be P30,000. Loanable amount (maximum is P250,000) that can be availed is 100% – 150% of the basic pay and the projected allowances and overtime pays. Pinoy Abroad Loan carries an interest rate of 2.49% and a 3% processing fee. It is payable in 3-12 months.

Basic documentary requirements include the submission of 2 valid IDs, 3 pcs. 2×2 picture, latest proof of billing and documented source of income such as a business permit or pay slips in the last 8 months.

Allottee Loan or Remittance Loan

There are times when allotment or remittance from OFWs is late in coming. It could be because the relative working overseas is yet to be paid. Sometimes the family left in the Philippines needs cash immediately for an emergency.

There are specific OFW Cash Mart / Marketplaces that specialize on allottee loans and remittance loans to bonafide OFWs without collateral. It is a legitimate transaction that allows an OFW family member to receive cash before the scheduled allotment is sent.

The loanable amount is between P15,000 and P150,000 and carries a 4% interest. Depending on the amount you are borrowing, the loan is payable between 3 and 6 months.

The borrower has to present the following:

• Birth certificate (if single) or a marriage contract (if married)
• Proof of remittance for OFW of at least P25,000 or proof of sources of income, copy of Allotment Slip for seamen
• POEA Information Sheet of Beneficiary Allotment Certificate for Allottee (original copy)

First-Time OFW Loan

If you are going overseas to work for the first time and need financial help to process all your required documents and travel tickets, Loansolutions has a list of credible lenders you can approach to apply for a first-time OFW loan. It’s a Cash Mart or Marketplace for OFWs, especially for first time OFW applicants. This type of loan is short-term. First-time OFW loan applicants should have authentic documentation to prove that they are processing their documents for overseas employment, including the purchase of flight tickets.

Balik-Mangagawa Loan

This type of loan is also available for workers who want to go back overseas but don’t have enough funds to process their documents or to pay for flights can also avail of OFW loans available to them. Most OFWs under this category are those who are re-hired or on leave of absence and have to go back to work.

Balikbayan Loan

Do you want to come back home and make your dream to start a business come true? You can avail of a business loan from Landbank. The bank, together with other organizations and institutions offer the OFW Reintegration Program, especially created for OFWs who are planning to return to the Philippines and start a new business venture. The maximum loanable amount is P2M at .65% interest a month. The payment term is up to 7 years.