Nowadays, membership with the Home Development Mutual Fund (HDMF), better known as “Pag-IBIG Fund,” is mandatory for overseas Filipino workers (OFWs). As members, they can access affordable housing loans and high-earning savings programs. Meanwhile, for Filipino immigrants, permanent residents, and naturalized citizens abroad, membership with Pag-IBIG is voluntary.
For OFWs in Taiwan, they can access Pag-IBIG Fund services through the Manila Economic and Cultural Office (MECO). When it comes to paying contributions, they can choose between “over the counter” and online options, including the Virtual Pag-IBIG platform.
Taiwan OFW’s Guide to Paying Pag-IBIG Contributions
What is Pag-IBIG, its benefits, and how can members pay their contributions? Here’s an overview to answer these questions:
What is Pag-IBIG?
The term Pag-IBIG stands for “Pagtutulungan sa kinabukasan: Ikaw, Bangko, Industriya, at Gobyerno.” Also called Home Development Mutual Fund (HDMF), Pag-IBIG is a state-owned corporation providing housing loans and savings programs to Filipino workers. It is managed by the Department of Human Settlements and Urban Development (DHSUD) of the Philippine government.
For workers in the Philippines, Pag-IBIG operates branches across different regions and provinces in the country. As for Filipinos abroad, it provides services through Migrant Workers Offices (MWOs) and similar entities. In Taiwan, these services are available at the Manila Economic and Cultural Office (MECO), which provides visa services, passport services, notarial services, assistance to nationals, and more.
Vision and Mission
Based on the official website of Pag-IBIG, its vision statement is for “every Filipino worker to save with Pag-IBIG Fund, to achieve their dream of home ownership, and to improve their quality of life.”
Notably, the mission of Pag-IBIG is “to generate more savings from more Filipino workers, to administer a sustainable Fund with integrity, sound financial principles, and with social responsibility, and to provide accessible funds for housing of every member.”
Programs and Benefits
The Pag-IBIG Fund offers these programs and benefits to its members, both inside and outside the Philippines:
Pag-Ibig 1 Savings Program
The Pag-IBIG 1 Savings Program is the “regular savings” program of the agency. Every month, members pay a contribution of PHP 200, which goes into this savings program, which offers higher annual dividends compared to commercial banks. When members retire, they are entitled to receive the Total Accumulated Value (TAV), including their monthly savings, dividend earnings, and their employers’ counterpart (if applicable).
Modified Pag-IBIG 2 (MP2) Savings Program
The Modified Pag-IBIG 2 (MP2) Savings Programs offers even higher annual dividends (compared to Pag-IBIG Savings 1). Contributions start at PHP 500 a month, deposited into the member’s MP2 account. After a five-year maturity period, the member can withdraw his/her savings, or decide to invest it again to earn some more.
Housing Loan
Pag-IBIG members can borrow up to PHP 6 million through its Housing Loan program. This amount may be used to purchase a house, purchase a house and lot, build a house, or improve a house. It may also be used to refinance existing housing loans, or to finance a combination of different housing purposes.
Health and Education Loan Programs (HELPs)
The Health and Education Loan Program (HELP) is a program that allows Pag-IBIG members to borrow up to 80 percent of their regular savings. Designed to help finance health as well as education-related expenses, this loan is credited directly to the hospital or school for quick processing.
Multi-Purpose Loan (MPL)
As the name says, the Multi-Purpose Loan or MPL is intended for a variety of purposes, such as house improvements, children’s education, or additional capital for businesses. Similar to HELPs, the loan amount could be up to 80 percent of members’ regular savings. This loan is payable over a period of two years.
Calamity Loan
For members who have been affected by typhoons, floods, earthquakes, or other calamities, the Calamity Loan is definitely a big help. Just like HELPs and the MPL, this loan allows members to borrow up to 80 percent of their regular savings, to be paid over two or three years.
How to Pay Pag-IBIG Contributions
Pag-IBIG Fund contributions may be paid in two main ways: “over the counter,” or online. To make over the counter payments, OFWs can pay their contributions at branches and collecting agents of Asia United Bank (AUB), Philippine National Bank (PNB), and Ventaja International Corporation.
Pag-IBIG Remittance Centers in Taiwan
Pag-IBIG members in Taiwan can pay their contributions through the Instant Peso Padala (IPP) service of LBC Express. They can also make over the counter payments through the branches and collecting agencies of Pag-IBIG’s partner banks: AUB, PNB, Ventaja.
How to Pay Pag-IBIG Contributions Online
To pay Pag-IBIG contributions online, OFWs can use the Virtual Pag-IBIG website. First, they will need to create a Virtual Pag-IBIG account, then, they can use the website to pay contributions, check their contribution and loan records, and make other transactions.
To make a payment using the Virtual Pag-IBIG website, members need to have a digital wallet like GCash or Maya, or a bank card such as Visa or MasterCard.
Video: Virtual Pag-IBIG Mobile App
Aside from having a website, the Virtual Pag-IBIG platform has a mobile app that members can use to pay their contributions. They can also use this to check their loan records and view their savings. Check out this video for more details about this mobile app:
Contact Information: MECO Taiwan
For inquiries related to Pag-IBIG Fund, OFWs can contact the Manila Economic and Cultural Office (MECO), the Philippines’ representative office in Taiwan. Here are their contact details:
Address: 2F, Chang Hong New Era Building, 55 & 57 Zhouzi St., Neihu District, Taipei, Taiwan
Telephone: +886 2 2658 8825
Website: https://www.meco.org.tw/
Facebook: https://www.facebook.com/MECO.official
Google Map:
Speaking of housing, if you’re looking for a place to stay in Taiwan, read this guide on finding affordable housing as an OFW.