How to Apply for an OFW Loan

The perfect opportunity to fund your needs or wants.

Most Filipinos dream of having a better life for their families. One of the options to achieving that dream is to work overseas for a better compensation. Even if that means having to leave their family back in the Philippines in order to provide for them.

Though it may seem that working abroad is already an accomplishment in itself because of its benefits, life as an Overseas Filipino Worker (OFW) has also struggles and hardships.

Financial issues can be encountered especially during the time of applying for your job abroad. There are documents that need to be prepared, government fees that need to be paid, and other types of expenses in order to move abroad. Emergencies may also happen even if the OFW as the breadwinner is already earning a lot.

Applying for a loan can be one of the solutions available to stretch an OFW’s income.

Loans can also be used to fulfill other goals like starting a new venture or growing an existing business, buying properties or vehicles, for children’s education, even funding vacation for the whole family, and so on.

If you’re thinking of applying for a OFW loan, you might find some of these tips useful:

  • If you are abroad at the time of loan application, some banks or lending companies may allow you to proceed by having it processed by a beneficiary or a co-borrower.  
    • A co-borrower must be an immediate family member (spouse, parents or siblings) with a fixed income. A co-borrower based in the Philippines is necessary because unforeseen circumstances might occur since a foreign country or company is in consideration.
  • If you are currently in the Philippines and would like to apply the loan while you’re here, then the process might be faster since some providers would like to have personal appearance of the OFW borrower.
  • To be eligible for an OFW loan, you need to have an existing and authenticated contract with your overseas employer whether recruited from a local agency or directly hired by the company.
  • As the applicant you also need to have a sufficient and stable monthly salary to pay for personal expenses, for family’s remittance and to cover the payment for the loan dues.
  • Most banks or lending companies will only allow applicants between 21 years old to 59 years old at the time of loan maturity. This is to make sure that the borrower is physically and emotionally well equipped to repay the loan.

Here is a list of necessary requirements when applying for the OFW loan:

  • A valid Philippine passport
  • Working visa (if applicable)
  • A copy of a government ID such as UMID, SSS ID, PRC, Voter’s ID, Driver’s License, etc.
  • An employment contract from Philippine Overseas Employment Administration
  • A proof of billing such as electricity, water, internet, etc
  • Co-borrower’s requirements- valid IDs, proof of income such as pay slip if employed or business permit if a business owner, and proof of billing to certify the address.


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