To help overseas Filipino workers and their families start or sustain their own business through access to credit, capability building, market linkage and other forms of livelihood or entrepreneurial assistance.
- All active and former member-OFWs of the Overseas Workers Welfare Administration (OWWA)
- OFWs’ immediate family members (only one family member per OFW can avail)
- For married OFWs: spouse or children of legal age
- For single OFWs: parents or children of legal age
- Former OWWA LDPO borrowers with good records of repayment
Loan Purposes and Repayment Period:
- For short-term operating capital of new or existing business – two-year revolving credit line to be availed of via 30 to 180 days promissory notes.
- For permanent working capital for purchase of stock inventory or cost of franchise – 3 years repayment including one-year grace period on the principal.
- For asset acquisition or construction (except for purchase of land) – payable in 3 to 5 years including one-year grace period on the principal.
- Individual Borrower – maximum loan of P200,000
- Organized and Registered Group of at least five members – maximum of P1.0 Million.
NLDC to Program Partners
- Interest: 3% per annum to be amortized with principal
- Service Fee: 1% per annum to be deducted upon loan release and every start of succeeding year based on outstanding balance
Conduits to OFW borrower
- Interest: 9% per annum to be paid on maturity of short term loan or amortized with principal in case of 3-5 year loans
- Service Fee: 2% per annum payable upon loan release and at the start of every year thereafter based on outstanding balance
- Facilitation Fee: 3% one time for the entire term of loan (to cover for CI/BI, appraisal and processing expenses)
Security: Loans shall be 100% collateralized by any or a combination of the following unencumbered assets/rights:
- Real estate;
- Chattel properties;
- Stock inventories;
- Insurance/pre-need policies; and,
- Other types of collateral acceptable to the NLDC conduit.
Loan Requirements for OFWs:
- Proof of OWWA contribution
- Business Plan/Project Feasibility Study
- Business permit/license for on-going projects
- Financial statements in case of existing business
- Documents to establish borrower’s relationship with the OFW (for beneficiary applicants)
- Collateral papers/ownership titles, etc.
National Livelihood Development Corporation
Phone: (632) 817.2657 • 894.1713 • 817.8730
Fax: (632) 817.2659