Housing Loan
Guidelines for Housing Loan
- Fill out an application form
- The applicant must be a ThoMEC member and a tenured employee with at least 10 years in service and must not be more than fifty five (55) years old at the time of application.
- An applicant, who is more than 55 years old, but not beyond 60 years of age, is subject to a shorter amortization period.
- The member applicant must have at least 250 paid up shares.
- The member applicant can avail of loan of up to 85% of the value of the land or property and from 1M to maximum of 4M, subject to the borrower’s paying capacity. There will be no offsetting of other loans.
- The term of payment shall be from 1 year to a maximum of 10 years but subject to the evaluation and recommendation of the Credit Committee. Payment terms shall be from 12 months (1 year) to 120 months (10 years) on either semi-monthly or monthly payment through SBC auto-debit and/or equivalent number of PDCs issued to ThoMEC.
- The member applicant must surrender the original TCT plus Deed of absolute sale or Contract to sell and other forms of Collateral and/or pertinent documents as required. The member must pay religiously the real estate tax and submit a copy of the receipt to ThoMEC. In case the Collateral should diminish in value, be destroyed or deteriorate in a considerable amount for any cause, even by the force majeure, ThoMEC shall have the option to require the BORROWER/MORTGAGOR to immediately give additional collateral security acceptable to ThoMEC.
- The applicant must sign a Real Estate Mortgage (REM) with ThoMEC as Mortgagee. Any cost in this regard shall be for the account of the member-borrower. In addition, the applicant shall be required to get a “Loan protection Insurance” (LPI) from ThoMEC which shall be equivalent to the amount of his/her loan and yearly remaining balance until loan is fully paid.
- The interest rate for the loan shall be indicated in the “Disclosure Statement”. (The interest rate per annum is an average of 5.6% per annum for five years). After five years, the interest rate shall be subject to repricing, which may increase or decrease based on the credit line with partner bank. Missed or delayed amortization payment shall be charged the penalties and surcharges as determined by the BOD.
- The property shall be covered by a Fire insurance which shall be for the account of the member-borrower.
- Any other expenses related to housing loan application such as but not limited to assessor’s fee shall be for the account of the member-borrower.
- A fee of Php 5000 shall be collected from the applicant to answer for assessors fee (Php 2,000), notarial fee (Php, 1000) and loan processing fee (Php 2,000).
- The Housing loan approval shall be subject to evaluation based on credit policy and other factors.
- The credit committee’s evaluation is recommendatory. Final approval is with the BOD. ThoMEC reserves the right to request additional documents to facilitate loan evaluation process.
Purpose
- Purchase of lot, house & lot, condominium unit or townhouse
- Takeout (payout) of existing housing loan
- Renovation of existing home
- House construction
Housing loan features
- Minimum loan amount - P1,000,000
- Maximum loan amount - P6,000,000 subject to borrower’s paying capacity
- Interest rate - shall be disclosed to the member-borrower
- Payment terms - equal monthly amortization representing principal and interest
Member Application Requirements
- Accomplished application form
- Last 3 paydays pay slips
- Photocopies of TCT, Deed of Absolute sale, Contract to sell, Tax receipt for real estate tax, Tax clearance
- Location plan/vicinity map of property
- Building plans/Bill of materials (for construction)
- Statement of account (for takeout or payout of existing loan)
For spouse of member requirements
- Certificate of employment and compensation
- Government issued ID
- TIN
- Copy of last 2 years ITR
- If self-employed or with own business, latest 2 years FS, Business Registration/Permits, company profile, property documents, bank statements for 6 months