There are a lot of financial institutions around, but banks are probably the most popular. In today's world, banks are well-known organisations that serve as deposit and loaning facilities for customers. Recently, digital banks have even popped up and operate mostly online.
When it comes to getting a loan, most people think of banks since they've been around so long.
But there's a question! Are you a good candidate for a bank loan? In this article, we take a deep dive into Philippine banks and bank loans. Check out the types of bank loans in the Philippines and the requirements for bank loans.
Types Of Bank Loan Philippines | Check It Out
Be sure to research the different types of loans available before applying. The following are some of the country's most popular bank loans.
Personal Loan: There are two types of personal loans, secured and unsecured. In contrast to other types of loans, personal loans can be used for a variety of purposes, such as medical expenses, home renovations, etc. Personal loans start at PHP 20,000 and go up to PHP 2 million.
Housing Loan: You can get a housing loan when you are buying a property, renovating one, building a new one, buying a lot, paying off a mortgage, and for similar reasons. Due to the large amount of money involved in housing loans, documentation requirements are stricter than usual.
Car Loan: In the same vein as a housing loan, a car loan is for people who want a new car and something that makes payments easier, or for some other reason such as using your car as collateral for a loan, getting a better deal on a loan you already have, etc. Car loans usually last about 5 years maximum.
Business Loan: An enterprise loan is what you use to begin a new business or expand an existing one. Small business loans are available in a variety of forms, including long- and short-term commercial loans.
Philippines Bank Loan Requirements
It is important to determine whether you are eligible for a Bank Loan Philippines before you apply. You must meet the requirements.
Must be at least 21-65 years old
Must be a Filipino residing in the Philippines
Must have a working landline number
Must be employed or self-employed with a minimum amount of monthly income (this would depend on the bank or type of loan being offered)
Valid government ID
Documents that prove income, such as your latest income tax return (ITR), Certificate of Employment, or latest 1 month's pay slip
For those self-employed, it’s a little tougher, because you’d need to show an Audited Financial Statement (AFS), Business Permit, DTI Certificate, or SEC Registration, a list of references, your latest bank statements from the last 3 months, and your latest GIS if you have a corporation
In the Closing
Hopefully, this article will be fruitful for you to know how to get a bank loan in the Philippines. For giving your time to this article, we are very glad to help you. We will further also deliver correct and quick information to you.