Salary Loan Philippines Answers to 5 of Your Most Frequently Asked Questions

It can’t be avoided we all experience being short on cash at one time or another. However, there’s an easy fix to this problem. The answer salary loan Philippines!

If you need some cash to to pay your bills, buy a high ticket home appliance, make the downpayment on your dream car, pay for a well deserved family vacation in some terrific tourist destination in or outside the country, or to provide for any of your personal needs, you can count on salary loan Philippines to meet your needs, or at least a part of it.

We will try to answer some of your most frequently asked questions regarding salary loans throughout this article. Ready? Let’s start!

Am I eligible to qualify for a salary loan?
As a general rule, salary loans are offered to legal residents of the Philippines who are gainfully employed or those who have an acceptable and stable source of income. As such, even business owners can avail of this type of loan provided they meet the other lending criteria set by their chosen lending facilities.

As mentioned earlier, different banks have different criteria. While some banks offer salary loans to employed individuals who are earning at least P10,000 per month, other banks choose to do business only with those earning P15,000 per month. The length of employment also counts. While some require that you’ve been with your current employer for about six months and have a total two year work experience, other lending facilities may require you to be with your current employer for about a year or two before you qualify for a salary loan.

Where can I get a salary loan?
You won’t get stumped here. There are a lot of banks, both commercial and rural, offering salary loans Philippines. However, the criteria for eligibility and repayment terms may vary from bank to bank so it is advisable to do your research thoroughly to find out which lending facility best suits your needs and your personal situation.

So, how much can I expect to get once I applied for a salary loan?
Well, it also depends on how much your chosen bank has specified in their guidelines. Loanable amount often starts at P10,000 to P15,000 but then again, you may apply for a salary loan up to P500,000.00, depending on your needs and your capacity to pay.

How long do I need to pay for my loan?
This one is highly flexible, too, and depends on a lot of factors including your unique financial situation. Most lending facilities allow you to pay your loans in 6, 12, 18 and 24 months. Some even offer a 36 as well as a 48 month repayment period! However, you need to consider the interest rate. Generally speaking, the longer it takes you to pay for your loan, the higher the interest rate is.

What are the basic requirements required when applying for a salary loan?
Some of the most basic requirements include the following:
Completely filled up salary loan application form
Certificate of employment
Photocopy of your company ID
Photocopy of your latest Income Tax Return (BIR Form 2316)
Latest pay slip.

Remember, other documents may be required by the lending facility, so just prepare for it.

Due to the intense competition between lending facilities, a lot of banks are offering features designed to make your experience easier. A majority of the more established commercial banks have their own online portals and are providing online loan application. While some may simply offer downloadable application forms, others have taken a step further by allowing borrowers submit their loan applications online. Needless to say, this feature is a great time saver.

Some banks have also forged ties with a lot of companies. Why is this important? Well, if your company is accredited with a certain lending institution, the process of salary loan application is trimmed down considerably and you can almost be certain that your loan will be approved. You would not need any collateral since your employment will serve as your guarantee. And you’ll get a hassle-free payment scheme, too, since your monthly payments will be made via salary deduction!

These are times of economic hardships. But don’t worry. If you need to find a solution for your personal needs, there will always be a salary loan Philippines that will best suit your needs.