MANILA - Bank of the Philippine Islands (BPI) on Tuesday unveiled its new "all-in" home financing product with the option of paying zero upfront fees.
Loan fees can be included in monthly amortization allowing clients to "maintain their savings while at the same time afford their dream home," BPI Family Savings Bank president said in a virtual briefing.
"They do not have to sacrifice what they have saved to afford the downpayment on their dream home. They can continue to save and have something for the rainy days," Go said.
Finance charges are usually about 3 percent of the total loan amount. With the average housing loan of P3.5 million, clients won't need to pay P105,000 upfront using the "all-in" product, BPI Head of Retail Loans Dennis Fronda said.
"You don’t have to shell out big amount of money right away, allowing you to allocate funds to other financing priorities," he said.
Interest rate ranges from 6 percent to 7.25 percent depending on the loan period, the bank said.
Payments will also be automatically paid through an auto-debit arrangement (ADA) account with BPI, the bank said.
Fronda said the loan can be applied to over 10 partner developers, including Ayala Land and SMDC, among others.
The all-in housing product will be a permanent offering, BPI said. It is now available in all BPI and BPI Family Savings Bank branches across the country.
BPI also expected "improved consumer confidence" in taking out home loans as the COVID-19 cases in the country decline.