Maximum Allowable On-Lending Interest Spread
- Banks and PFIs are permitted to charge an on-lending rate allowing a maximum spread of 5% over the pass-on rate.
Loan Term and Borrower Age Considerations
- The maximum loan term is 25 years, subject to the borrower's age.
- Loan term calculations shall follow the guidelines set under the “Bahay Ko” Program.
Credit Line Allocation and Eligibility
- Credit lines are granted only to banks that express willingness to participate in the Housing Program.
- Initial credit line requests must be in multiples of PhP 50 million.
- The credit line limits are subject to the provisions of Section 6 of Board Resolution No. 372 dated 09 December 1999.
- Initial participating banks granted a PhP 50 million credit line each include 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.
- Most of these banks were already transacting with GSIS; others have passed application review as per Board Resolution No. 372 guidelines.
Governing Policies and Principal Borrower Eligibility
- Lending through banks/PFIs is governed by Board Resolution No. 169 dated 06 June 2000, except as amended by this resolution.
- The principal borrower under the program must be a GSIS member.
Adoption and Effectivity
- The Board approved these changes on 8 January 2003 during Board Meeting No. 1.