Higher PAG-IBIG contribution

allows housing-program fund

TAGBILARAN CITY, Bohol, Feb 3 (PIA) –In the urgency of keeping up with the skyrocketing demand for low cost but decent housing for the Filipino, Home Development Mutual Fund (HDMF), or commonly known as PAG-IBIG Fund, implements this month an ingenious way to widen the government’s support base for its housing programs.

By implementing an increase in monthly contributions this February, the government through HDMF would be able to realize a commitment of P250B for the national housing program in the Pambansang Pabahay para sa Pilipino Program (4Ph), shared HDMF Bohol marketing manager and information officer Leonardo Cirujales, at the weekly Kapihan sa PIA.

At the live streamed public affairs program of the Philippine Information Agency in Bohol, Cirujales admitted the announcement may catch PAG-IBIG Fund members un-aware, he said the contributions rate increase from P100 to P200 would also be complemented by a similar increase of P100 from the employers, effectively increasing the possible loan amount which can be availed by members.

The amount is based on the 2% of the Maximum Fund Salary which is now pegged at P10,000.

It may be recalled that President Ferdinand Marcos and the Department of Human Settlements and Urban Development cited the need to fill the 6 million housing backlog and the need for decent homes for the Filipinos.

Through the 4Ph, DHSUD is set to build a million houses every year for the next six years, something that needs stable fund base, and for PAG-IBIG, it means it can continue to offer its trademark low amortization rates for members, Cirujales pointed out.

Current estimates, PAG-IBIG says the fund can build about 225,000 houses, and with housing track record of the PAG-IBIG fund, with fiscal management, the fund reinvestment program can still widen its financing base for another 700,000 housing units, according to its press briefer.

Beyond that, members who put in twice their monthly contribution rate starting this month would now have P400 credited in its regular savings.

A part of the member’s regular savings forms a pool which the member can borrow through the PAG-IBIG Multi Purpose Loan, he said.

The same is true for government employed, overseas Filipino seafarer and Kasambahay earning P5,000.00, according to Pag-IBIG Fund sources.

For those self-employed business owners, professionals without employers, their monthly contribution rate would be P400, while those self-employed like market vendors, transport sector workers, service providers and informal sector workers pay 1% of earnings if that is below P1,500, or 2% if earning above P1,500, based on the PAG-IBIG notices, handouts and posters.

Kasambahays earning less than P5,000, their employers shoulder both shares at 3% if their salaries are below 1,500 and 4% if salary is below 1,500. (rahc/PIAbohol)

BUWAN NG PAG-IBIG. PAG-IBIG Fund Bohol marketing manager and information officer Leonardo Cirujales bared that the increase in membership’s monthly contribution gets implemented in February this year, and while it may cost bigger for employees, it also quadruples the member savings per month, increases the member’s loanable amount, and helps the government to continue to offer low amortization for the government’s housing program. (rach/PIABohol)