Title
GSIS Housing Loan Term Changes
Law
Gsis No. 2
Decision Date
Jan 8, 2003
The GSIS Board approves new terms for housing loans through conduit banks, establishing an 8.5% pass-on rate, a maximum 5% spread for banks, and a loan term of up to 25 years for eligible GSIS members.
A

Q&A (GSIS Resolution NO. 2)

The pass-on rate to the banks/PFIs shall be fixed at 8.5% for the term of the loan.

The banks/PFIs shall be allowed a maximum spread of five percent (5%).

The maximum term is twenty-five (25) years, depending on the age of the borrower.

The calculation of the loan term shall follow the guidelines set under the 'Bahay Ko' Program.

The principal borrower/applicant under the program must be a GSIS member.

The credit line shall be granted only to banks willing to participate in the Housing Program and the request for a line shall be in multiples of P50 Million, subject to limits under Section 6 of Board Resolution No. 372 dated 09 December 1999.

Union Bank of the Philippines, Asiatrust Bank, Development Bank of the Philippines, Allied Bank, Land Bank of the Philippines, and United Coconut Planter's Bank.

Lending through banks/PFIs shall be governed by Board Resolution No. 169 dated 06 June 2000, except as amended by the provisions stated in this resolution.

Most of the banks granted credit lines have already been transacting with the GSIS; others have filed applications and passed the review under the guidelines of Board Resolution No. 372 dated 09 December 1999.

The resolution was adopted on January 8, 2003, during Board Meeting No. 1.


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