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Last Updated on March 9, 2023 by Lamudi
Do you think you’re ready to step up and buy a home? The road to homeownership won’t be too steep, especially if you have lower-than-average monthly payments.
Making homeownership accessible to people of all financial backgrounds has been the goal of industry stakeholders working towards a more prosperous nation. This is why one of the country’s leading banks, BPI, has launched its housing loan payment solution: BPI Step Up PayPlan.
What is BPI Step Up PayPlan?
This payment solution allows borrowers to adjust monthly payments yearly, starting with low amortization in the first year.
From year 2 onwards, the amortization will gradually increase (roughly by 5 to 10% annually), ensuring that you can keep up with the payment schedule.
The flexibility of BPI Step Up PayPlan makes it an ideal solution if you want to own a home sooner without shelling out a huge sum of money in the first few years.
Here are more reasons to use the BPI Step Up PayPlan for your home purchase:
1. Low Downpayment Requirement
With BPI’s housing loan, you won’t just look forward to monthly payments that are easy on the pocket. The plan also requires a minimum of 10% downpayment for your chosen home. This makes homeownership more accessible and loan processing much quicker. However, note that the downpayment requirement is subject to change depending on the property type.
2. Slow and Steady Step Up of Payments
Choosing BPI’s 10-year loan term with a 10-year fixing period is a gradual way to increase your loan repayment and finish it off easily. With a loan amount of Php 3 million and an interest rate of 10.25%, here’s how your monthly payment will look like every year:
| Term | Step Up PayPlan |
| Year 1 | 32,959 |
| Year 2 | 34,607 |
| Year 3 | 36,337 |
| Year 4 | 38,154 |
| Year 5 | 40,062 |
| Year 6 | 42,065 |
| Year 7 | 44,168 |
| Year 8 | 46,376 |
| Year 9 | 48,695 |
| Year 10 | 55,434 |
Source: bpi.com.ph
Of course, the monthly payments can go lower depending on the amount you will borrow. This brings us to the next reason to use BPI Step Up PayPlan.
3. Amortization for as Low as Php 10K per Month
If you only need to loan Php 1 million, you can enjoy a low amortization of Php 6,749 per month. This computation is based on a 20-year loan term and a 5-year fixing period.
According to the terms and conditions of the BPI Step Up PayPlan, the minimum loan amount is Php 1 million, and the borrower can choose to lock in the interest rate for 3, 5, or 10 years.
4. Hassle-Free Application
You can apply for BPI Step Up PayPlan by going to a branch near you or doing the process online. Take note that the pre-processing requirements may differ depending on the borrower’s employment information. The Step Up PayPlan is open for locally-employed Filipinos, OFWs, and even self-employed aspiring homeowners.
You will receive an SMS notification once your application is approved, regardless if you did it online or offline. After getting the approval, you’re ready to sign the loan documents.
5. Automatic Debit Arrangement
BPI Step Up PayPlan also makes loan repayment hassle-free. No more dealing with long queue lines because BPI can automatically collect payments for you. Via automatic debit arrangement, you can enjoy cashless transactions, ensure on-time payment, and prevent late payment fees.
6. Free Up Your Funds for Other Expenses
One of the challenges of buying a home is ensuring you will have enough funds for other expenses. With the help of BPI Step Up PayPlan, you can enjoy low initial amortization. This way, you can free up extra money and use it for other purposes, reinforcing the feeling of being financially secure.
Much of your salary doesn’t have to be used for loan repayment. Under the BPI Step Up PayPlan, the bank will meet your financial capacity and give you control over your monthly payments.
Own your dream home today without straining your budget. Click here to apply or visit any BPI branch near you.
