Everything You Wanted To Know About OFW Loans in the Philippines

If you are an Overseas Filipino Worker (OFW) and need money for certain financial requirements, getting loans now is easier than ever. Debt consolidation, repaying old payments, financing personal stuff, car acquisition, paying for home renovation – An OFW loan can be used for endless reasons. With low interest rates and easy payment terms, these advances have eased things for people in other countries beyond the Philippines.

Types of loans

OFW loans can be classified into three categories

  • If you are away from your home, you can still apply for a loan through Pinoy Abroad Loan. These advances are more like personal loans, without any collateral security, and are meant for both land and sea based citizens of the country.
  • For those who have a stable job outside the country can go for a Land-based OFW Loan. With flexible terms and conditions, these loans come with low interest rates. However, you need to be personally present during the application process.

  • The third choice is called a sea-based OFW loan, which is meant for seamen. This is also a collateral-free loan, which can be used for varied needs and is approved without too many hassles. Again, you need to be present for the application process.

Eligibility aspects

First things first, you need to be an OFW with a valid contract with your employer overseas. You must be 21 years old or older, with a salary of P20,000. Except for Pinoy Abroad loan, you must be present in the country to apply for such loans. You should also have a co-borrower for the loan, which should be someone close to you and related directly, and the concerned person should have a stable source of income. There are a few paper and photo requirements for the co-borrower, as well, which you can easily check online. Many online sites offer direct information on these loans, and you can easily compare the options.

Regardless of the financial situation, personal loans can simplify things for you considerably. There are no fixed reasons for taking these loans, and the lenders don’t typically bother about your requirements, as long as you fulfill the basic terms and conditions as laid by them. Have confusions about ofw loan application? Check online now, and you will find numerous good sites that will offer assistance for understanding the terms and other aspects that need attention. Don’t miss on checking the repayment terms in detail!