Financing Programs Loans and Financing Programs for Micro, Small and Medium Enterprises

Micro-Housing Loan Facility

Program Objective: To support the government's effort to improve the quality of life of the poor thru financial assistance for housing improvement such as house repairs, renovation or expansion.

Eligible Borrowers:

• PCFC to MFI - accredited MFI partners
• MFI to Borrower - Low Income families in urban and rural areas

Loan Purpose:

• PCFC to MFI - to finance the MFI's relending program for its end-clients
• MFI to Borrower - to finance home improvement (repair, renovation, completion, expansion)

Type of Credit Facility: Term loan (non-revolving) available within one year from approval of credit facility

Terms/Requirements

Loan Amount:

• PCFC to MFIs - based on 85% of credit needs of end clients as indicated in the Housing Availment Plan (HAP)
• MFI to Borrower - in accordance with MFI's credit policies and end-clients repayment capacity (cash flow) but shall not go beyond P150 Thousand inclusive of end-clients other loans with the MFI. (Labor may be provided as counterpart of end-clients.)

Interest Rate and Service Charge:

• PCFC to MFI
  • For PNs with term of 1 year and below -11% p.a. plus 1% service fee
  • For PNs with terms of more than 1 year - 12% p.a. plus 1% service fee
• MFI to Borrower - based on MFI's credit policies and guidelines

Maturity and Mode of Payment:

• PCFC to MFIs - up to 5 years inclusive of 6-month grace period on principal for PNs with terms of 2 years or more; quarterly amortization on principal and interest
• MFI to Borrower - based on MFI's credit policies and guidelines but not to exceed 5 years

Contact Details:

People's Credit and Finance Corp.
2/F  Accelendro Bldg.  395 Sen. Gil Puyat Ave., Makati City
Phone (632)897.8521 : 752.3745 Local 125 Local 134 Local 144 Local 156
e-mail: info@pcfc.ph
Web: www.pcfc.gov.ph