15 Best Loan Provider up to ₱10M in Philippines

Choosing a personal loans can be challenging. Waiting for a personal loan application to go through can be frustrating – take a glance at these fast approval finance options and apply online.

Learn how to decide between a range of loan offers to find the best personal online loans for your financial situation. As a parent, there might have been a time when you have fallen short of budget to sustain the needs of your family, such Friendly interest rates as to cover your children’s education expenses.

Or perhaps you or any of your family member is going to work abroad, and you lack the sufficient money to pay for all the costs.

It might also be that there was an unexpected accident or emergency situation that had you needing to cover all the hospital bills and you lack the money to pay for all of it.

In those instances, and in many other instances, a personal loan is a viable way to fund your financial needs.

What is a personal loan? Here’s a guide

A personal loan, technically speaking, is a form of bank loan that can be availed by borrowers for them to meet their financial needs.

But, as a borrower, whether or not you would be granted of a loan depends on your credit history and your ability to pay using your personal income. Be that as it may, personal loans are more than just this technical definition of it.

This is because a personal loan can help you during your toughest financial times, whether you be an employee, self-employed, expat/foreigner, or an Overseas Filipino Workers.

As a matter of fact, personal loans are arguably one of the most flexible loans there is as it is not entirely based on you securing a collateral, it is usually a matter of your credit worthiness as a borrower and your minimum income.

Why Should I Consider a Personal Bank Loan over other Alternative Options?

In the Philippines, one of the most common ways to borrow instant money is through “5-6” lending, which serves as an informal quick cash loan.

Considering that the processing time for banks loans may require longer waiting time and that the lending conditions and requirements, including the financial documents and the minimum income requirement, of banks can be quite stringent, it is comprehensible why people resort to ‘5-6’ lending.

However, many do not realize that instead of it helping them get through the financial challenges, it may be one of the reasons why you may fall deeper into debt.

In contrast, while bank loans may have a stringent process and has a longer approval time, is is definitely worth the wait and the effort.

But why?

There are a 3 number of reasons why. Let me get you into some of those.

1. Friendly interest rates

Informal lenders, such as “5-6” lending, may charge up to 20% interest rate per month. Here’s a trivia. The reason why it’s called 5-6 is because for every ₱5.00 that you borrow, you have to pay back ₱6.00. With this said, if you are to borrow ₱50,000.00 from 5-6 lending, you shall repay ₱60,000.00. The interest rate then is appallingly 20%.

Five words. That is painstakingly too much.

“But is it not the same for bank loans? They do charge interest too, right?”

You may have been asking this question right now. Well, the answer is yes. Banks do charge interest rates, but NOT as large as “5-6” lending does.

Case in point, in contrast to informal lending, such as 5-6, where the minimum interest is 20%; with banks loans, you can avail a loan with an interest rate that is as low as 9%. With our help, we can help you find the most ideal bank loan option that you can avail with lesser interest rate.

To illustrate this further, here is an example. If you are to borrow ₱50,000.00 from a bank, with the right bank loan product, you will only need to repay back around ₱55,000.00 thereby enabling you to save ₱5,000.00 You can do a lot with the ₱5,000.00 that you get to save. Truly. But, then again, it all boils down to finding the right bank loan product for you, which we can help you find on the succeeding chapters.

No hidden costs/charges

It is invariably violable of the borrower’s right, but there are informal lenders who intentionally does not make it clear how much interest you are obliged to pay. That is against the law, particularly the Truth in Lending Act or RA 3765, but these informal lenders are able to get away with it precisely because they are informal, not legitimate lenders, and therefore the transactions cannot be sufficiently monitored by the tasked government agencies.

This leaves the borrower helpless and with no option but to succumb paying for whatever amount the lender says the borrower has to pay for.

In contrast, with banks being formally recognized and legitimate lending institutions, it is easier to track the transactions. And so if it is the case that they violate the law, that they fail to give you a clear statement in writing of the loan amount and the annual interest package, you can file a complaint easily.

But filing complaints are rare instances when it comes to bank loans, as they almost always disclose how much the loan amount is and the annual interest package. With this said, it is safe to say that bank loans can give you more security.

Lesser tendency to fall into the cycle of debt

Informal lenders are more than willing to lend more than what you can actually afford to pay back, which is quite tactical, on the part of lenders.

This is because since you opted to avail how much you can actually pay back, as a borrower, you are more likely to fail in paying on time, which also means that you are obliged to take a larger interest. There may even be a time that you have to avail another 5-6 loan so that you get to pay back your original loan. That is how you get to fall into the cycle of debt.

In contrast, banks will only allow you to borrow how much you can actually pay back, as they also take into consideration your source of income and your assets, which would lessen your tendency to fall into the cycle of debt.

The Best Personal Loan in the Philippines

1. Bank of the Philippine Islands (BPI)

bpi bank logo

WEBSITE www.bpipersonalloans.com
ADDRESS Tower One, Ayala North Exchange 6796 Ayala Avenue corner Salcedo St., Legaspi Village, Makati City 1229
International Calls (+632) 889-10000
Domestic Long Distance (+632) 889-10000
Mobile Phones in the Philippines (+632) 889-10000; or (+632) 889-10000
Domestic Toll-free Number (PLDT) (+632) 1-800-188-89-100
International Toll-free Numbers  See the list

As a matter of fact, BPI is the third largest bank in the Philippines in terms of assets, and as of 2017 has 839 branches and 22 kiosk branches nationwide BPI has been hailed in 2016 by The Corporate Treasurer as the “Best Bank in the Philippines” in terms of cash management, risk management, and trade finance.

  • Loan Amount: Minimum of ₱20,000.00, maximum of ₱1,000,000.00 (subject to your paying capacity)
  • Approval Duration: Within 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 30 months, 36 months
  • BPI interest rate: 14.40% annual interest rate with a fixed add-on interest rate of 1.20% per month

Moreover, it was awarded as the Best Private Bank With Commercial Banking Abilities in the Philippines by the leading business and finance magazine, Euromoney.
BPI offers a wide range of banking and financial services, and among which are its loan products, which include:

  • BPI Auto Loan
  • BPI Housing Loan
  • BPI Ka-Negosyo Loan
  • BPI Personal Loan
  • BPI Personal OFW Loan

But since this guide is about personal loan, we will talk about BPI personal loan a bit more. Now, to know more about BPI personal loan, keep on scrolling.

Why choose BPI? Advantages and Benefits

  • The interest rate for BPI personal loan is fixed, and so you need not worry about your monthly installment changing, as the monthly installment for BPI personal loan never changes.
  • BPI personal loan offers flexible payment terms (12 months, 18, 24, 30, or 36) you can take advantage of. This makes it easier for you to choose a payment term that fits your budget.
  • Among the banks being discussed, BPI offers one of the most competitive interest rates, which is as low as 14.40% annually with a monthly add-on interest rate as low as 1.20%.

Frequently Asked Questions about BPI Personal Loan:

Q: My gross monthly income is below the minimum income requirement, can I still proceed with the application?
A: Yes, you can still proceed with the application. However, the credit valuation, as well as approval process, is subject to the eligibility criteria, and so you have no chance of getting your loan approved.So, yes, you can proceed, but it is more of a waste of time. To better assess your readiness for a loan, here is a link for BPI’s loan readiness test: www.bpipersonalloans.com/selfassess

Q: I have no BPI savings account . Can I still be allowed to apply?
A: Yes, you can still apply for a loan from BPI. But once your loan is approved, BPI will request you to open a BPI account, as that is where they would deposit the loan proceeds.

Q: I am an OFW, and I am currently residing abroad for work. Can I apply for a BPI Personal Loan?
A: Yes, you can apply online via BPIexpressonline. Simply follow the guidelines for online loan application above. However, if it is the case that your loan is approved, you must be physically present to sign all the documents in any BPI branch in the Philippines.

Q: I am an OFW, and I was recently notified by BPI that my loan is approved. However, my arrival day in the Philippines is two weeks from now. Would BPI still grant me my personal loan?
A: Yes, BPI would still grant you the personal loan. Your loan is valid for one month from the date of approval. And so you have until 30 days to spare to arrive to the Philippines, so that you can sign all the documents you need to sign in any BPI branch.

Q: How do I pay for monthly installments?
A: Payment of monthly installment is via automatic debit (ADA) from your BPI deposit account. This automatic debit (ADA) will run monthly on your schedule due date.

Q: I am a foreigner married to a Filipina. Can I apply for a BPI Personal Loan?
A: As of now, BPI Personal Loan is only available for Filipino citizens. If it is the case that you want to avail a loan, one option you have is to ask your Filipina wife to work on the application process named after her. But this option is not advisable though.

But there is no need to worry, there are several other local banks that can provide your personal loan needs as a foreigner.


citi bank logo

WEBSITE www.citibank.com.ph
ADDRESS G/F Citibank Center, 8741 Paseo de Roxas corner, Villar Streets, Makati City 1200, Philippines, 1226 Metro Manila
CONTACT DETAILS (02) 8995 9999

Globally, Citi is the leading global bank with more than 200 million customer accounts in more than 160 countries around the world.

Aside from being known for its corporate and investment banking, trade finance and services, wealth management solutions, credit cards, and insurances, Citibank is likewise notable for its personal loan service, which can help you achieve your goals. Whether that be to attain your home renovation plans, or educational dreams, Citibank can make those possible for you. It is also useful especially during emergency situations.

  • Loan Amount: ₱20,000.00 to ₱2,000,000.00
  • Approval Duration: Within 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 30 months, 36 months
  • CitiBank interest rate: 2.40%

Why choose Citibank? Advantages and Benefits

  • Citibank has one of the fastest approval duration, which is as fast as 24 hours. Just make certain that you are able to submit all the documents needed to avoid any form of delay from happening.
  • Citibank offers one of the most flexible payment terms. You can choose from a minimum loan tenure of 1 year to a maximum loan tenure of 5 years.
  • The maximum loan amount Citibank permits is up to ₱2,000,000.00. How much they would allow you to borrow is subject to your paying capacity though.
  • In Citibank Personal loan, there is no need to put up a collateral.
  • Citibank provides 2 modes of disbursement. You can choose between branch pick-up or having it delivered to your billing address.

Citibank Fees and Charges:

  1. Processing Fee: ₱1,750.00
  2. Stamp Fee (applicable for loan amount above ₱250,000.00 or if the loan amount is for business purpose): you shall pay a document stamp tax worth ₱1.50 for every ₱200.00 of the loan amount. This will be deducted from your loan proceeds prior to release.
  3. Late Payment Charges: late payment fee of ₱500.00 or 6% of the past due amount
Frequently Asked Questions about Citibank Personal Loan

Q: What is the minimum age requirement to be allowed to avail Citibank personal loan?
A: In a Citibank personal loan, the minimum age requirement is 21 years old, but you should not be more than 65 years old upon loan maturity

Q: I have not received any call from Citibank notifying me whether or not my loan application is approved. What do I do?
A: In case there is no one from Citibank notifying you of the status of your loan application, you can contact Citibank’s citiphone via the numbers below to ask for an update:

  1. For applicants based in Metro Manila: 995 9999
  2. Metro Cebu: 234 9999
  3. Other Provinces: 02 995 9999
  4. From Abroad: +63 2 995 9999

Q: Would it be okay if I assign someone to receive my loan proceeds on my behalf?
A: Unfortunately, you cannot assign someone to receive your loan proceeds on your behalf. For your security, Citibank only considers you as the sole person eligible to get your own loan proceeds.

Q: Can foreigners apply for Citibank’s personal loan? Or only Filipino citizens can apply?
A: Certainly, foreigners can apply for Citibank personal loan. However, as a foreigner, you are required to have a valid Philippine billing address to avail one.

3. Eastwest Bank

eastbank logo

WEBSITE www.eastwestbanker.com
ADDRESS Tower One, Ayala North Exchange 6796 Ayala Avenue corner Salcedo St., Legaspi Village, Makati City 1229
Customer Service Hotline (+632) 8888-1700
Domestic Toll Free 1-800-1888-8600
US Toll Free 1-866-828-6296
Corporate Office Trunk line (+632) 8575-3888

Legally known as East West Banking Corporation, East West Bank was founded in 1994 in Manila. It was the first bank granted by the Bangko Sentral ng Pilipinas (BSP) with a commercial banking license ever since the liberalization of banking in the mid 1990s. And ever since its establishment, Eastwest bank has been continuously growing and expanding its operation to cater to the banking needs of more and more Filipinos and even foreigners, as well.

  • Loan Amount: ₱25,000.00 to ₱2,000,000.00
  • Approval Duration: Within 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 30 months, 36 months
  • EastWest interest rate: 1.49% to 1.89%

Just within 2 decades and a half, the bank was able to emerge as one of the fastest growing universal banks in the Philippines, with 447 stores to date, including EastWest Rural Bank. And as of March 2018, East West Bank is the 12th largest bank in the Philippines in terms of assets, the 5th biggest issuer of credit card, and the 4th largest auto loan provider in the country today.

Aside from auto loans, also notable is East West Bank’s personal loan product, which requires no collateral and offers a fixed equal monthly installment.

Why Choose East West? Advantages and Benefits

  • The annual interest rate for Eastwest personal loan per annum, which is 22.68%, is fixed. Its fixed monthly installment is also fixed.
  • With EastWest Personal Loan, there is no need to put up a collateral for you to avail a loan.
  • There is also no need for you to have your co-maker of guarantee so that you can avail.
  • EastWest Personal loan offers flexible disbursement options: either you pick it up at the head office or the bank, or they get the money deposited to your bank account.
Frequently Asked Questions about East West Personal Loan

Q: For us to be able to apply, are we required to have our own credit card?
A: Before, having your own credit card was a requirement to be eligible to apply for an East West personal loan. However, East West changed their policy and now accepts personal loan from applicants with no credit card. However, the interest rate would be higher if you have no credit card existing for at least 12 months. So applying for East West personal loan without existing credit card is not advisable.

Q: How do I pick my loan proceeds?
A: Loan proceeds will be released via a manager’s check, which you must personally pick from an East West Bank head office.

Q: Can foreigners apply for East West Personal Loan?
A: Yes, foreigners can apply for Eastwest personal loan provided that they are permanently residing in the Philippines.

4. Security Bank

Security Bank logo

WEBSITE www.securitybank.com
ADDRESS 6776 Ayala Ave, Legazpi Village, Makati, Metro Manila
Service hotline (+632) 8888-1700
 Toll-free for PLDT landline  1-800-1-888-1250

Formerly known as Security Bank and Trust Company, Security was actually the very first private, Filipino-owned commercial bank after the second World War. Almost 67 years after it was founded in June 1951, it established a formidable reputation as 10th of the top universal banks in the Philippines.

  • Loan Amount: ₱30,000.00 to ₱1,000,000.00
  • Approval Duration: Within 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 30 months, 36 months
  • Security Bank interest rate: 1.39% to 1.69%

In 2012, Security Bank was even rewarded two of the most prestigious banking awards globally. It was awarded as the Strongest Bank in the Philippines by the Asian Banker of Singapore. But not only that. It was also awarded by the Financial Times in London as the Bank of the Year in 2012.

Security Bank offers a wide range of services, and among which are its loan products. Security Bank’s loan products include:

  1. Car Loan
  2. Employee Loan
  3. Home Loan
  4. Personal Loan

Why choose Security Bank? Advantages and Benefits

  1. Security bank offers flexible loan amount, which can be as high as ₱2 million pesos. This is subject to the buying capacity of the borrower.
  2. The monthly add-on rate is as as low as 1.39% per month.
  3. There is no need to put up a collateral to avail the loan.
  4. There is no need to have a guarantor to avail the loan.
Frequently Asked Questions about Security Bank Personal Loan

Q: What are the available methods of payment?
A: Payment of the monthly amortization is through a postdated check.

Q: Can foreigners apply for Security Bank’s personal loan?
A: As of now, Security Bank’s loans is available only to Filipinos. So as foreigner, you are eligible to apply yet.

5. Sterling Bank of Asia

Sterling Bank of Asia logo

WEBSITE www.sterlingbankasia.com
ADDRESS  Sterling Bank Corporate Center, 8004 Ortigas Avenue, Greenhills, 1500, San Juan City, Philippines
CONTACT DETAILS (+632) 8721-6000 or (+632) 8672-6300

Sterling Bank of Asia Inc., commonly known as Sterling Bank, is a savings bank that provides personal and corporate banking services to its clients in the Philippines. The formation of Sterling is primarily motivated by a mandate by the government to create a specialized financial institution to fuel the growth and development of small and medium enterprise sectors (SME). As of now, Sterling Bank has 47 branches nationwide. And in its years of operation, it earned its place as one of the top 10 thrift banks in the Philippines.

  • Loan Amount: Minimum of ₱50,000.00, Maximum of ₱1,000,000.00 (₱1 million)
  • Approval Duration: 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 36 months
  • Interest Rate: 1.4%-1.45% interest rate

Sterling Bank’s deposit services include savings account, checking account, time deposits, and consumer loans. Among its offered consumer loan are salary loan, home loan, personal loan, and auto loans. But since this site is about personal loan, we will delve deeper into Sterling Bank’s personal loan product.

May your reason for availing a personal loan be to renovate your house, expand your business, pay your monthly bills, or to fund a vacation, Sterling Bank personal loan is here to make that happen for you.

Why choose Sterling Bank? Advantages and Benefits

  1. Sterling Bank personal loan offers a flexible loan-able amount, which is up to 1 million pesos. How much you would granted a loan depends on your paying capacity as a borrower.
  2. There is no need to have a guarantor nor put up a collateral in Sterling Bank.
Frequently Asked Questions about Security Bank Personal Loan

Q: What are the available methods of payment?
A: Payment of the monthly amortization is through a postdated check.

Q: Can foreigners apply for Security Bank’s personal loan?
A: As of now, Security Bank’s loans is available only to Filipinos. So as foreigner, you are eligible to apply yet.

6. BDO Unibank

819px BDO Unibank logo

WEBSITE www.bdo.com.ph
ADDRESS 12, Benguet Centre, ADB Ave, Ortigas Center, Mandaluyong, 1552 Metro Manila
Call Center +63 2 8631-8000 (or 8838-2364)
Domestic Toll Fee No 1800-10-8382364

Banco De Oro, legally known as BDO Unibank, is the largest bank in the Philippines in terms of total assets, which amounts to ₱2.49 trillion as of September 2017. It also has one of the largest distribution networks with 2,542 ATM machines operating nationwide making it easily accessible wherever you are in the Philippines.

Moreover, as an OFW, BDO is an ideal option for it has 29 overseas remittance and representative centers across Asia, Europe, North America, and the Middle East. BDO Unibank even has a branch in Hong Kong.

BDO Unibank offers a wide range of banking services, and these include credit card services, remittance, finance and leasing, retail banking, private banking, loan and deposit products, and a lot more. But since this guide is about BDO personal loan, we will delve into the personal loan aspect more. But for you to have an overview of the loan products offered by BDO, BDO’s loan products include:

  1. Auto Loan
  2. Home Loan
  3. Personal Loan
  4. SME (Small and Medium Sized Enterprises) Loan

As for their personal loan, BDO offers a personal loan exclusive for OFWs, aside from their loan options for employed, self-employed, and foreign nationals residing in the Philippines. This loan option for OFWs and seafarers is what makes BDO a unique and exceptional choice for the said people. Aside from this, BDO also offers a wide range of corporate, commercial, and retail banking services. From cash management, insurance, leasing and finance, loan and deposit products, remittance, and banking, BDO can be your go-to personal loan option.

Why choose BDO Personal Loan? Advantages and Benefits

  • BDO offers a loan with a flexible loan amount, which ranges from Ten Thousand to 3 Million pesos.
    BDO is one the few local banks that offers the highest maximum personal loan amount.
  • The monthly payment is fixed for BDO personal loan. The effective per annum rate ranges from 25-27%, with an add-on rate as low as 1.25%.
  • BDO personal loan is ideal for OFWs and seafarers as it offers a personal loan product especially tailored to cater to the needs of OFWS and seafarers. They call it the BDO Kabayan Loan. For more information about BDO Kabayan, refer to our guide on how to apply for BDO personal loan.


  • Loan Amount: Minimum of ₱10,000.00, maximum of ₱1,000,000.00 (subject to your paying capacity)
  • Approval Duration: Within 1-2 working weeks
  • Loan Term: 6 months, 12 months, 18 months, 24 months, 36 months
  • Interest Rate: Fixed rate of 17.07% per annum, 1.25% add-on interest rate per month if the loan term is 12 months or more (1.30% add-on interest rate per month for 6 months loan term)


880px HSBC logo

WEBSITE www.hsbc.com.ph
ADDRESS 3058 GF HSBC Centre, 5th Avenue West, Bonifacio Global City, Taguig City 1634
Call Center (02) 8858-0000 or (02)7976-8000
Domestic Toll tru PLDT +1-800-1-888-8555
Overseas +800-100-85-800
International toll-free + (International Access Code) 800-100-85-800

Hongkong and Shanghai Banking Corporation (HSBC) is one of the world’s largest banking institution with 38 million customers worldwide. Its network covers 66 countries across the globe. It has branches in Africa, Asia, Europe, Middle East, And North America.

In the Philippines, HSBC has been around for over 140 years already, and it has a network of branches in Metro Manila, Cebu, and Davao. HSBC is 15th among the largest banks in the Philippines in terms of assets.

Why choose HSBC? Advantages and Benefits

  • Take advantage of HSBC promos when you choose their personal loan. Promos can include SM gift passes for loans amounting to ₱100,000.00 and up.
  • HSBC provides competitive interest rate for their personal loan. It can be as as low as 14.52%
  • You can make extra repayments anytime you want.


  • Loan Amount: ₱30,000.00₱500,000.00
  • Approval Duration: 5-7 banking days
  • Loan Terms: 6 months, 12 months, 18 months, 24 months, 36 months
  • Interest rate: 14.52%-15.48%
Frequently Asked Questions about HSBC Personal Loan

Q: To avail a personal loan from HSBC, is it required for me to have a guarantor or co-maker?
A: There is no need to have a guarantor to be able to avail HSBC personal loan.

Q: Is putting up a collateral required in HSBC personal loan?
A: No, there is no need to put up a collateral for you to be able to avail.

Q: Where can I get my loan proceeds from HSBC?
A: You can get your loan proceeds by personally going to the bank.


1200px RCBC logo

WEBSITE www.rcbc.com
ADDRESS RCBC Plaza 6819 Ayala Avenue, Makati City 0727, Philippines
Call Center (+632) 8877-7222
For Domestic Toll Free 1-800-10000-7222
For International Toll Free (Int’l Access Code)+800-8888-7222

Established in 1960, the Rizal Commercial Banking Corporation (RCBC) was licensed by the BSP for both commercial and investment banking. And 58 years after it started its operation, RCBC has grown continuously and is now 10th of the largest private domestic bank in the Philippines.

As of 2016, it has over 481 branches and 1,488 ATMs nationwide.

RCBC offers a wide scale of financial services, and among which are its loan products, which include:

  1. RCBC Business Loan
  2. RCBC Car Loan
  3. RCBC Personal Loan (MyCash Loan)
  4. RCBC Housing Loan

But since our primary focus is personal loan, we will talk about RCBC’s personal loan option. So what is it that makes RCBC personal loan stand out?

Why choose RCBC? Advantages and Benefits

  • RCBC makes convenient your payment option as it offers an Auto Debit Arrangement (ADA) with your RCBC savings/checking account so that you would no longer need to go to the branch to pay for your monthly amortization.
  • Aside from that, RCBC also offers flexible payment terms as short as 6 months and as long as 36 months.
  • RCBC offers free financial advice from RCBC experts.
  • Though one of the eligibility requirement is for you to be a principal card holder, in RCBC, you don’t need


  • Loan Amount: Minimum of ₱50,000.00, maximum of ₱1,000,000.00 (subject to the paying capacity of the borrower)
  • Approval Duration: 5-7 banking days
  • Loan Terms: 6 months, 12 months, 18 months, 24 months, 30 months, 36 months
  • Interest Rate: 15.60% interest rate per annum
Frequently Asked Questions about RCBC Personal Loan

Q: Can foreigners apply for RCBC personal loan too?
A: Yes, foreigners can apply for RCBC personal loan too provided that they satisfy the eligibility requirements for foreigners.

Q: What are the options available when I pay my monthly amortization in RCBC?
A: RCBC gives you an option whether to pay via an Automatic Debit Arrangement (ADA), but you can also opt to pay issuance of postdated checks through your RCBC checking account.


850px UCPB logo

WEBSITE www.ucpb.com
ADDRESS Ground Floor, UCPB Corporate Offices Building, 7907 Makati Avenue, Makati City
CONTACT DETAILS (02) 8811-9000, (02) 8811-9241, (02) 8811-9242, (02) 8811-9243, (02) 8811-9244, (02) 8811-9245

Originally referred to as ‘Cocobank,’ United Coconut Planter’s Bank (UCPB) is a bank that primarily caters to the needs of coconut farmers, but now extends its services to other clients as well.

It also caters to the banking needs of OFWs, employed individuals, and self-employed individuals.

Throughout its 55 years in operation, UCPB has established a formidable reputation in providing efficient customer service and advanced financial products. As a matter of fact, it belongs to one of the top 20 universal banks in the Philippines, and now has 188 branches and 279 atm machines nationwide.

UCPB offers a wide range of financial services, and noteworthy among those are its loan products, which include:

  1. BizEasy Loan (business loan)
  2. DrivEasy Loan (auto loan)
  3. HomEasy Loan(housing loan)
  4. Your Easy Salary Loan (personal loan)

Why choose UCPB? Advantages and Benefits

  • UCPB YES loan offers flexible payment terms, which allows you to pay in accordance with how much downpayment you can afford to pay.
  • UCPB requires no collateral.
  • If you are in dire need of a salary loan ranging from ₱50,000-₱300,000 UCPB offers a salary loan that lets you apply with friendly payment terms of up to 3 years.
  • You don’t need to have a credit card, you just have to be a current account holder whose gross monthly income is at least ₱30,000.00 for Metro Manila based and ₱15,000.00 for provincial based applicants.
  • There is no need to have a guarantor nor a co-maker to be able to avail the loan


  • Loan Amount: minimum of ₱50,000.00, maximum of ₱300,000.00
  • Approval Duration: 5-7 banking days
  • Loan Terms: 12 months, 18 months, 24 months, 36 months
  • Interest Rate: 18% per annum, 1.5% monthly add-on interest rate

Best Alternative to Bank Loan in the Philippines

Moreover, we will also list here the online lending companies’ and platforms’ available loan options, the documentary and eligibility requirements, and a guide on how to apply for the online lending companies’ loan options. We hope this could help.

10. CashMart PH

CashMart PH logo

WEBSITE cashmart.ph
ADDRESS 53 Bayani Road, Fort Bonifacio Taguig City, Metro Manila, Philippines 1630
CONTACT DETAILS (02) 829 0000

To give you a brief overview, Cashmart is SEC (Security and Exchange Commission) licensed private lending company originally established in 1969 in Singapore. And since then, it was able to establish a formidable reputation as a company that offers a wide range of ethical and affordable with a fast loan process and with transparent terms.

Recognizing the necessity to extend their trustworthy service to their neighboring countries, Cashmart made available their loan solutions to the Filipino people. And thus, the establishment of CashmartPh.

Pross of Choosing Cashmart.ph

  • Cashmart is one of the online lending companies with a low interest rate with a weekly loan term option, which is at 0.8%. . So the repayment amount can be divided into three weekly schedules.
  • Cashmart is in partnership with some of the most trusted local banks in the Philippines, including BDO, BPI, and Metrobank. And so, securing access to the funds is convenient and made easier.
  • Cashmart’s website has a 256-bit verified encryption, which is one of the most secure encryption methods in safeguarding the information of the users against possible cracking of sensitive records.
  • Has multiple loan repayment channels to choose from, which include Bayad Center, 7-Eleven, LBC, SM Payment Center, etc.
  • Cashmart has almost always been applauded for their fast transaction process and excellent customer service by their loyal and verified customers, which is a testament that they are true to their commitment.

How to Apply for Cashmart’s Loan Solutions

  • Step 1: Fill out the application form. The company representative will call you within a day to notify you of the status of your application.
  • Step 2: Wait until your documents will be verified by our specialists.
  • Step 3: Sign the contract with all terms and conditions and get your money.
Cashmart Loan Options Available
  • OFW loan
  • minimum of ₱5,000.00 maximum of ₱30,000.00 loanable amount
  • 1.1-2.5% interest rate
  • Personal loan
  • minimum of ₱5,000.00, maximum of ₱50,000.00 loanable amount
  • 0.8-3.5% of interest rate
  • Salary loan
  • minimum of ₱5,000.00, maximum of ₱30,000.00 loanable amount
  • 0.8-3.5% of interest rate
  • loan terms: 3-5 weeks (weekly repayments. 2-4 weeks (bi-weekly repayments, 28 days (one time repayment)

11. FundKo: P2P Lending for all Filipinos

FundKo logo

WEBSITE fundko.com
ADDRESS 3rd Floor Guevent Building #52 D.M. Guevara St. corner Calbayog St. Mandaluyong City, Philippines
CONTACT DETAILS 0908 933 2653
EMAIL cs@fundko.com

FundKo is a SEC registered, peer to peer platform where people can invest their money or borrow money. So what it does is it matches people who need funds with other people who have excess cash. Fundamentally, FundKo is a subsidiary of Guevent Investments Development Corporation (GIDC), which is a company that has more than 50 years of experience in financing, transportation, and real estate in the Philippines.

Now, as a lending platform, in FundKo, by going direct to peers, the borrower can enjoy better rates. On the other hand, lenders earn higher than bank deposit rates. What makes FundKo stand out is that it gives you a feeling of ‘community’ because the process that underlies it is built under the presumption of people helping other people. Fundko, here, serves as sort of an intermediary as it takes care of the document verification, credit and background checks, loan agreements preparation, monthly collections and repayments management.

Pros of Choosing Fundko

  • FundKo has an online portal that makes it easier for borrowers to monitor the status of their loan.
  • All transactions are paperless
  • Usually positive customer service reviews, such as having attentive and efficient loan officers

Cons of Choosing Fundko

  • The website can be quite tricky to navigate, as a first timer. And so you may need to alot an extra time to familiarize yourself on how it works.
  • Though the approval time frame of 3-5 days is fast, the funding process takes a lot of time to be accomplished.

How to Apply for a FundKo Personal Loan

  • Step 1: Fill out the application form and submit the requirements online. You can access the website above.
  • Step 2: Register a new account by putting in your full name, email address, and preferred password.
  • Step 3: FundKo will send a confirmation to your email address. So please check your email, and confirm.
  • Step 4: Once your account has been activated, kindly click this link: www.fundko.com/application/fundko and fill out the necessary information.
  • Step 5: FundKo will send you a text message stating your Loan ID and secret code (please keep this for identity verification purposes) if your application is successful.
Loan Options Available
  • Business Loan
    – Loanable Amount: Minimum of ₱20,000.00, maximum of ₱1,000,000.00
    – Loan Terms: 3 months, 6 months, 9 months, 12 months
    – No collateral required for small business loans
  • OFW Loan
    – Loan terms: 3 months, 6 months, 9 months, 12 months
    – No need for collateral
  • Maternity Loan
    – To cover pregnancy-related consultations & supplements or to be prepared for a cesarean operation
    – Loan Amount: Minimum of ₱20,000.00, maximum of ₱200,000.00
    – Loan Term: 12 months
    – Payable within 12 months
    – Interest is as low as 1.25% per month
  • Working Student Loan
    – available to employed individuals looking to pursue further studies
    – Loanable Amount: Minimum of ₱20,000.00, maximum of ₱50,000.00
    – Loan Terms: Payable within 3-6 months
    – Interest rate is as low as 2% per month
  • Personal Loan
    – perfect for funding your home renovations, business ideas, and other projects
    – Loanable amount: minimum of ₱20,000.00, maximum of ₱200,000.00
    – Interest Rate: 1.25% interest rate per month
    – Loan terms: 3 months, 6 months, 9 months, 12 months
    – No need for collateral

12. Esquire Financing Inc.

Esquire Financing Inc logo

WEBSITE www.esquire.com.ph
ADDRESS Tower 1, 31st Floor Penthouse High Street South Corporate Plaza, 26th St, Taguig, 1634 Metro Manila
Taguig (02) 8811 8888
Davao (08) 2221 0082
Cebu (03) 2254 8204
 Sta. Ana (02) 8242 7672 / (02) 8585 2539
 Biñan (02) 8404 2166

Esquire Financing Inc. is an SME-lending company offering fast, hassle-free, non-collateral business loans especially tailored to fit the needs, goals, and cash flows of each small and medium-sized business owners.

The establishment of Esquire Financing Inc. was a response to the growing needs of small and medium-sized business owners. There are over 1 million registered businesses in the Philippines today, and 99.6% of which are small and medium sized business owners. They employ 70% of the workers, and 32% of the GDP is attributed to them.. Yet, only 20% gets access to the formal financing institutions in the Philippines.

Now, recognizing the difficulty entrepreneurs face when acquiring loans and the potential opportunity for these entrepreneurs to grow their local enterprises, Esquire Financing Inc. devised their loan feature that would address the concerns of the SMEs. They made their loan feature, FAST, HASSLE-FREE, AND NON-COLLATERAL making it easy for borrowers to avail the loan product.

Cons of Choosing Esquire Financing Inc.

  • The interest rate is subject to the approval of the credit committee. Depending on the length of the term you opted to choose and the loan amount, the rate may vary.

How to apply Esquire Loan

  • Step 1: Fill out an online loan application and wait for a call from a specialist.
  • Step 2: Complete application requirements and submit it to the main office of Esquire Financing.
  • Step 3: Claim your loan after 5 days (NOTE: Approved loans are mostly those with complete requirements. You will receive an email on the result of your application. As soon as it has been approved, an EFI Officer will contact you as regards the next step after the approval of your loan)

Esquire Financing Inc: Loan Options Available

  • Esquire Financing Business Loan
  • ₱100,000.00 to ₱10,000,000.00 loanable amount

13. Rykom Finance

WEBSITE www.rykomfinance.com
ADDRESS 709 Shaw Blvd, Pasig, 1800 Metro Manila
CONTACT DETAILS (02) 838 3416 or (2) 555-6789

Rykom Finance is one of the leading online platform in the Philippines. The main aim of Rykom Finance is to provide an accessible, efficient, safe, and transparent financial exchange platform for lenders and borrowers. It is currently being managed by FinTech Global Resources, Inc., which specializes in peer-to-peer lending.

Now, being peer-to-peer, it gets to do away from the intermediation of the financial institutions, which also means that you should not worry about additional fees.

Pros of Choosing Rykom Finance

  • Money Match has flexible payment terms. You can opt to pay with a loan term (6, 12, 18, or 36 months)that fits your current financial status)
  • With Money Match, you can get as low as 12% interest rate per year even without collateral
  • The approval duration only takes 3-5 working days.
  • The interest rate for Money Match’s secured loan option is only 0.917%** a month.

How to Appply Loan in Rykom Finance

  • Step 1: Provide all the necessary information in the online application form. (NOTE: Incompletion and inaccuracy would lead to a decline in application. So make sure that you prepare and scan all the documentary requirements. Speaking of inaccuracy, all the information will be adequately checked through credit investigation, so do not attempt to falsify any information).
  • Step 2: Upload clear copies of the document requirements. Note that your loan application will not be processed without these documents.
  • Step 3: After submitting all the necessary documents, you will be notified of the status of your application either through call or through email. So stay put and take note of the approval duration).
  • Step 4: Upon approval of your loan application, lenders will be notified of a new loan application up for auction. You have to accept a lender’s bid to get funded!
Loan Options Available Money Match Personal Loan
  • Loan amount: minimum of ₱25,000.00
  • Payment Terms: up to 36 months
  • Approval Time: 3-5 working days

14. Tala Philippines

tala philippines logo

WEBSITE tala.ph
ADDRESS Dr Uyguanco Ave, 188 San Isidro, Caloocan, 1427 Metro Manila
CONTACT DETAILS 0905 293 3163

Tala is a mobile technology and data science company that uses alternative data to deliver instant credit and help customers in building their financial identities through its smartphone app.

What makes Tala a unique option is that it is different from the traditional credit scoring. Tala’s built up proprietary underwriting models takes into consideration thousands of mobile data points, which include network diversity, social connectedness, geographic patterns, and financial transactions.

And then from there, it scores customers in real time, without necessarily relying on the borrower’s credit history.

Tala is headquartered in Santa Monica, but recognizing the needs of some other countries, it continued to expand its operation in different countries in the world. One of which is the Philippines. It also has branches in Kenya, India, Mexico and Tanzania.

Pros of Choosing Tala Philippines

  • Tala Philippines provides utmost convenience by enabling tracking of the status via a smartphone app
  • Tala Philippines requires minimal requirements, and the primary requirement is a government-issued valid ID and a facebook acount only.
  • The loan approval duration may take only less than 1 day.
  • Tala offers convenient cash disbursement options. It can be via Coins.ph e-wallet, bank deposit, and Padala Centers
  • Aside from that, Tala also has easily accessible loan repayment options: 7-Eleven, Coins.ph, Cebuana Lhuillier, or M Lhuillier
  • Tala is trusted by several verified customers. A proof to that is its high customer satisfaction: 4.7 rating on Google Play and positive customer reviews i.e., fast transaction and approval on facebook.
  • Step 1: Download the Tala Philippines app on your smartphone, and then register.
  • Step 2: Open the app in your smartphone, and click on “Apply Now.”
  • Step 3: Fill out the loan application form.
  • Step 4: Sign in to your Facebook account.
  • Step 5: Submit a photo or scanned copy of your valid ID.
  • Step 6: Accept the loan offer and choose your preferred repayment option.
Cons of Choosing Tala Philippines
  • Unfortunately, Tala is only available only to Android users, as of now.
  • First-time borrowers can loan only PHP 1,000. However, your loanable amounts increases in increments the more you build a good reputation of repaying your loan on time
  • For late repayments, you must pay for a hefty 8% penalty fee

15. First Circle

WEBSITE www.firstcircle.ph
ADDRESS 2nd Floor Net One Center, 3rd Avenue corner 26th Street, Bonifacio Global City, Taguig, Philippines
CONTACT DETAILS (+632) 8 580 3200
EMAIL info@firstcircle.com

First Circle is a Philippine-based financial technology lending company. And what it provides is that it gives strong businesses with supply chain financing to meet larger client demands and also to improve bargaining position with trading partners. First Circle was launched in 2016.

And since then, First Circle $1.3 million dollars and served thousands of small and medium enterprises (SMEs) from various industries. These enables SMEs to grow their business without worrying about lack of working capital.

First Circle is both accredited and endorsed by the Department of Trade and Industry and also the members of American and European Chambers of Commerce. It also partners with Lazada, Xend, GoNegosyo, PhilExport, Zalora and Zomato. Aside from this, First Circle is likewise a pioneer data provider to the Credit Information Corporation (CIC) and also the first fintech company to be licensed by the Securities and Exchange Commission (SEC) in the Philippines.

Pros of Choosing First Circle

  • Know all costs upfront so you never have to worry about hidden fees or charges.
  • In First Circle, it would only take 5 business days to process your application. So expect the status of your application to be updated to you within a week after process all the documentary requirements.
  • First Circle provides a marketplace in which you would know all costs upfront so you never have to worry about hidden fees or charges.
  • First Circle is trusted by several verified customers. A testament to this is its high customer satisfaction: 4.6 rating on facebook plus overwhelming positive customer reviews. It is often commended due to its fast and seamless transaction and also efficient customer service.

How to Apply for a Loan in First Circle

  • Step 1: Click the Button
  • Step 2: Answer a few simple questions to allow First Circle to calculate your risk. Everything will be facilitated online, so you can still come back to edit your profile information at any stage.
  • Step 3: If you are a first time applicant, you must submit the required documents. (NOTE: This will allow First Circle to understand your business and conduct a risk assessment. One of First Circle’s representatives will contact you to help with the application process, in case you are going to need one). After which, they will then tailor an offer that suits the needs of your business, while taken into consideration your financial situation)
  • Step 4: If you have submitted the required documents, and your business passes our underwriting requirements, we will send you an offer as soon as the application is processed.
First Circle Loan Options Available
  • Unsecured Business Loans
  • Loan duration: up to 6 months
  • The monthly add on interest rate is between 1.99% – 3.49% (NOTE: Interest rates will vary depending on the business profiles of both the applicant and the business associated with the purchase order or invoice)
  • The processing fee amounts to only 1.99% of the total loan amount

8 Effective Ways to Pay Off Any Loan Faster in the Philippines

Loans are a temporary provision of money that usually comes with an interest and further agreement of terms. Paying loans are sometimes toilsome and stressful. Beating the loan schedules and deadlines will not always be an easy task.

But with the proper execution of ways to pay our loans and bits of advice on how to add sufficient amount of money to our current funds and monthly income, we can deduct some of our monetary loads from our loans.

1. Through Checks

One of the basic ways to pay for a loan is through check. This is a way to transfer and transact with the bank without requiring too much effort and time. Checks are convenient to use. It does not require you to carry loads of cash for it to be transferred to the payee. You can also keep track of the record of the checks.

Checks are given by a bank when you open a checking account. By the issuance of a check, a person could pay the other party through the bank. It basically holds a power that orders the bank to release a specific amount of money from the given account for a specific payee.

However, some checks may bounce due to insufficient funds. Thus, the bank cannot release the money.

2. Through direct debit or salary loan

One may also try to transact through direct debit to salary loan. A salary loan is a short-term loan for the employees that should be paid in full or installments as automatically debited from their next paycheck.

It comes from the company or the social security system (for government employees, Government Service Insurance System). It also serves as a promise to pay through your salary by deduction.

3. By using your bonuses

People may also pay their loans by their bonuses. A bonus is a compensation or a reward for the employee for one’s work in a company which is given by the employers in their own discretion. This is an addition to the worker’s normal wage.

It is not only limited to current employees but also the prospective ones (i.e. signing bonus). A bonus may be given for many reasons. Some of these are being able to finish a mission or a project successfully, being in Christmas season, repaying for the loyalty and contribution of the employee, and serving for acts of generosity, motivation, and compensation.

However, this does not necessarily be existing. It is given voluntarily and usually randomly.

4. Freelancing Job

In order to pay for your loan, one may do a freelancing job. A freelancer is a person who is self-employed and is not within a full-time employment in a company or the government. Sometimes they engage in a company but only temporarily. Many also work independently by creating their own brand in their industry of specialization.

By being a freelancer, you may engage in writing some essays, articles, and papers that would be paid for a certain amount of money.

Some may also engage in personal and online tutorials which do not take many hours of the day. The services are more on the creative industries. It is different from the regular salary basis in regular employment.

There are more freelance jobs out there. Opportunities are out in the open and can be found online. In freelancing, diverse fields and works can be covered. One can write, program, design, draw, transcribe, translate, produce entertainment productions, or advertise. Other freelance jobs may include some customer service jobs, developer, photographer, part-time sales involvement and many more.

5. Sidelines (e.g. Online selling)

Sidelines can also be a good help for extra income, and perhaps to pay enough for the loan. You may venture to different forms of selling. One can find a vast amount of choices from this.

Engaging in online selling can be one. Online selling does not only take the form of a person being a medium of selling from the main store to the buyer but it could also be selling your pre-loved items, albums, display materials, collections, or furniture on Shopee, Lazada and other trusted online shops.

Instead of letting your things cramped in your house without being utilized, this way can serve in dual purpose: for your loans and for general cleaning and house organization.

6. Cut down family expenses

You may also want to cut your monthly expenses. But do not be too hard on yourself. Plan with a fixed percentage of your income for specific expenses. In the midst of planning, you need to find ways of cutting some of your expenses without compromising your basic needs. You may reduce your food expenses if you look for other quality brands for your food at cheaper prices.

A big saver for food expenses is when you cook your food at home and pack it for lunch or in-between meals. You may also cut your water and electricity bills by conserving them. Simple unplugging of unused devices can be a big help.

Also, for other expenses, you can utilize inexpensive or free sites for entertainment or apps. You must avoid buying too much of everything to avoid spoilage, surplus and unnecessary expenses.

7. Direct Selling

Another one is direct selling which usually can be found in main stores for selling cosmetic products such as Avon, Natasha and many more. It is a way to earn money easily while selling the commodity faster because of its low cost.

8. Craft-making

If you are artistic enough, you can engage in craft making and illustration to create some magnets, personalized shirts, shoes, bags or keychains, and artworks such as paintings, animations, illustration for books, projects, and assignments. You can also establish a mini-food stall outside your house for merienda or in-between meals and rice meals in a small container or box.

These are some of the ways on how to conveniently pay our loans. It will always differ on how we execute, take or perform the following. You may choose to do some when the burden of repayment or schedule for payment are pressuring you again.

After all, our goal is to pay our loans smoothly without sacrificing much our lifestyle and peace of mind.

Pros and Cons: Lending Companies Vs Direct Loan to the Bank in Philippines

Brief Overview of What Lending Means

Lending is the disposal of money or property with the expectation that it will be repaid or returned. The common types of loans include short-term and long-term commercial loans, hire purchase loans, working capital loans, credit cards, and fixed asset loans. We borrow and pay for our loans in different credit institutions.

People often borrow from banks, non-bank lending companies, and other financial institutions. But we can also borrow money or property on the daily basis from our acquaintances, friends, family and your savings.

Borrowing and lending is a critical transaction. That is why we need to become more knowledgeable about the risks and benefits we are about to enter when we borrow small to large amounts of money.

However, we may not be aware of what to expect and what to experience in these money-lending businesses. There may be good benefits and advantage that could invite you to borrow large amounts of money in these companies. But inevitably, there also disadvantages. For both in banks and in other lending companies, what is absolute is that we are not always free from some inconveniences along the way.

This section will provide a detailed explanation for this. The pros and cons for both bank loans and other lending companies will be presented.

Brief Overview of Banks

Banks are inevitably the most common place where you could lend money. People usually use bank loans for capital, for expansion or for recovery in businesses. It is said that bank loans are one of the most common forms of finance for small to medium-scale businesses.

A bank loan can also be called a bank advance. It is an advance of a certain amount of money to the borrower by the bank.

It is arguably the most common form of loan capital for an enterprise. It provides medium or long-term credit. It may also take the form of secured or unsecured.

Pros and Cons of Choosing Banks

The Pros:

  • Low and many fixed interest rates

Many of which offer low and fixed interest rates. It is good to loan in a bank due to the fact that it has low and fixed interest rates along with monitored monthly payments. In this sense, it is more reliable and cheaper to engage with banks for loans.

  • Increase in credit worthiness

Another advantage of bank loan is that the transaction may also be a stepping stone to establish a good relationship with the bank to ask not only for advice on loans but also for their other services.

The Cons:

  • Stringent loan requirements

Banks, however, may have lower interest rates compared to private lending companies but are strict in terms of loan requirements. We should make sure to make our payments on time to avoid the burden of repayments. Banks do not usually manage where you use your loan.

  • Bank loans with no collateral is too expensive

Banks usually do not require a collateral. In case you are unsure yet, a collateral is a security pledged for the loan repayment. But given that they do not require a collateral, they often charge high interest rates.

  • Rigorous application process

Also, banks do not release the loan too fast for everybody. Securing a bank loan requires a rigorous process, lots of paper works and weeks of waiting time. Banks are also strict when it comes to requirements, payment deadlines and mutual agreements.

With their strict requirements, banks sometimes do not approve the loans for businesses who failed to meet the standards of the bank. The ones who fail can come to private lending sectors but they will come across high-interest rates.

  • High late payment fees

When you cannot pay on time, you will suffer from the burden of repayment. This burden is made when we fail to pay for our loans on a specific schedule. In effect, the assets can be withdrawn.

It is also possible that there will be a negative reputation for you in the credit-related institutions. This is definitely a disadvantage on the borrower’s part.

Pros and Cons of Choosing a Lending Company

On the other hand, we can also borrow from the alternate lending companies or non-bank lending companies.

The Pros:

  • Do not have rigid, strict requirements

One of the pros of the alternative lending companies is the complete opposite of the bank loan.

These companies do not have rigid, strict requirements and hectic process in applying. Usually, starting small businesses do not seek loan capitals from the bank but from other lending companies because the process is not too strained.

Applying for the loan is guaranteed to be easy with only a few requirements as a demand. You can even secure financing even though you did not do well on bank loans.

  • Quicker approval time

Aside from an easy application, the approval is also quicker than in the bank loan. Banks often take time to verify financial data from the borrower and to check the requirements.

Whereas the lending companies do not use the borrower’s credit standing as a hindrance to letting the businesses borrow small to a large amount of money. In this way, alternative lending companies attract borrowers by the means of simplifying the application process.

  • Offers flexible loan terms without collateral

Alternative lending companies also exercise flexible loan terms and sometimes without collateral. These terms depend on their own devisal unlike the almost absolute schedule of the bank loans.

The Cons:

  • High interest rate

As much as it invites us to borrow money from these companies, it also makes us rethink our decisions upon seeing higher interest rates from that of the bank loan.

The interest rates from the private lending companies, as estimated, ranges from 4% to 7%. In contrast to the bank loan, the interest rates fall from the range of 1% to 2%. With the high interest, it may be hard to pay the installment on time. In the Philippines, some lending companies require a short repayment period.

The payment could be burdensome because of its high interest and the need to pay for it in a short amount of time.

  • Proliferation of scammers in the lending industry

Another thing to be cautious about is the proliferation of the scammers in the lending industry. Lots of transactions in scamming can be identified in online engagements.

Now that we are warned, it is better to directly engage to the employees of the private lending company who is responsible for the lending itself.

We must also be careful about providing our personal and business information. We must also be careful on the agreements being made for the loan and try to clarify the payment, schedule, and fees to be collected.

  • Less time consuming

No need to go through all the hassle of going to bank branches and waiting in line, which enables you to save more and more time.

Frequently Asked Questions

  1. What is the difference between secured and unsecured loans? What are the advantages of each?

Unsecured loans, such as personal loans, typically do not require a collateral. This is in contrast to secured loans, which is applicable to home loans and car loans, where you are obliged to put up an asset or collateral before you would be allowed to avail it.

Here, the bank will hold the title or the deed that you will use as a collateral, until you get to pay the home loan or the car loan in full. If there is an advantage in a secured loan, it is that it usually has a lower interest rate.

And so if it is the case that your personal loan application gets turned down, you may opt to vye for a secured loan.

  1. How long does it take for the processing of personal loan to get approved?

Normally, it takes 5-7 business days to process the approval of a personal loan. But it may take longer or shorter depending on how you comply with the rules set by the bank.

  1. Why is it that the Philippines have a relatively high credit interest rate?

This concern can be attributed to the fact that credit cards have no legal recourse if it is the case that the borrower does not pay.

Moreover, in the Philippines there is no centralized database so that banks can easily check on the borrower’s creditworthiness. And so there is a greater tendency for them to grant loans to people who have a low creditworthiness.

  1. What are loan terms?

Loan Term is a finance provided by the lender for a fixed duration of time and must be repaid in regular installments.

  1. How do the comparison websites earn money if their website is practically free of use?

The comparison websites, like eCompareMo and iMoney get to sustain their operation through a variety of channels, such as funds from investment entities.

They also earn revenue from their advertisers, while there are other comparison websites that was offered referral fees from banks.

  1. Can comparison websites like iMoney lend me money too?

No, comparison websites cannot lend you money. What they do, however, is they help their customers find the best banking loan option that fits their needs and circumstances.

  1. What are the ways to spot a scam lending company?

Identifying a scam lending company can be quite challenging. To give you some reminders, one of the telling way to spot a scam is if after telling you that you qualify for their loan, they ask you to give them money or deposit money to their bank account outrightly. You may also find them too aggressive in rushing you to make a decision with over-the-top promises.

Another telling way is if their email address appears like a generic email address, but is spelled incorrectly. They may also not have a contact information online. Also to take note of is when they outrightly guarantee you that your loan is going to get approved.

It is a scam as there is no legitimate lender who will guarantee a loan approval ever. But most importantly, one of the most telling ways to spot a lending scam is if their promises sound too good to be true, such as when they offer to provide you money more than what you applied for and they offer too much free gifts.

  1. How can OFWs apply for a personal loan even if they are working abroad?

There are banks that allow you to apply for a personal loan online. As to how you can apply, it is actually pretty simple. Visit the website of the bank. Fill out all the necessary information.

Scan all the necessary documentary requirements, and then if approved, the loan proceeds may be released to your beneficiary. Some of the banks that offer such an option are BPI and BDO Unibank.



I learned a lot about finance after working for a digital marketing company specializing in investing and trading stocks, forex, etc. After that, I got exposed to other verticals such as wealth management and personal finance, which further improved my understanding of the financial world.






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