Question & AnswerQ&A (OWWA MEMORANDUM OF INSTRUCTION NO. 008)
The Educational Loan for Displaced Marine Radio Officers (MROs) is monetary assistance extended to displaced Radio Operators who wish to pursue a Bachelor of Science in Marine Transportation (BSMT) to re-tool and upgrade their skills and continue their careers as seafarers.
Only displaced Marine Radio Officers (MROs) are covered by this educational loan program.
Key requirements include: the applicant must have at least one OWWA contribution; the co-maker must have an annual income of at least P60,000; and a MRO who availed of the special livelihood loan cannot avail of this educational loan and vice versa.
Applicants must submit original and two photocopies of: Seaman’s Service Record Book, proof of being a Marine Radio Officer, school registration card signed by the registrar, two 1"x1" pictures, clearance of outstanding loan, co-maker’s payment guarantee documents (income tax return, withholding tax certificate, or Certificate of Employment and office ID), accomplished application form, and a notarized promissory note.
The Manpower Development Division (MDD) evaluates credentials, the applicant secures clearance from the Accounting Division, then proceeds to the Regular Loan Programs Division (RLPD) where the application is issued and evaluated. The Supervising Officer reviews and recommends approval, and finally, the RLPD division head approves or disapproves the loan application.
The maximum loan amount is P22,000.00 with a 4% administrative handling charge deducted from the principal. A penalty of 1% per month is imposed on late monthly installment payments.
The loan is payable in ten equal monthly installments starting five months after course completion, with a grace period of four months. Failure to pay two consecutive installments makes the entire loan amount due and demandable.
If the grantee stops or cannot finish the course for any reason, loan repayment will commence two months after ceasing attendance, and no deferment is allowed.
Loan checks are made payable directly to the school where the grantee is enrolled, and payments are based on the terms agreed upon with the CHED-accredited school under the Memorandum of Agreement.
For payment of tuition fees, the grantee must submit an approved application form (first release only), the school's statement of account, and an enrollment list from the school.