Monday, November 20, 2017
Quick Links

Livelihood Development Program for Overseas Filipino Workers (LDPO) Program Guidelines

Target borrowers/clients

Active and former member-OFW of the OWWA

  • OFW's immediate family members (only one family member per OFW)

  1. For married OFW: spouse or children of legal age
  2. For single OFW: parents, siblings, or children of legal age
  • Legally organized group of OFWs (i.e. OFW partnerships/corporations, OFW organizations/ cooperatives/federations

Loanable amount

All loan applications are submitted, evaluated, and approved by the OWWA and the concerned MFI.

  1. Collateral Loan Facility

    A qualified individual borrower can avail of a loan up to P200,000. A group of 5 or more OFW, legally organized and registered, can avail up to P1 million.

  2. Non-Collateral Loan Facility

    An OFW borrower can avail of a loan up to P50,000.

Other LDPO services
  • With savings component
  • Capacity building
  • Marketing assistance
Purposes of loan

The LDPO should be strictly used for the following:

  • Short term operating capital of new or existing business/enterprise
  • For permanent working capital for purchase of stock inventory or cost of franchise
  • For asset acquisition or construction except purchase of land
Financial charges

a) Collateral Loan Facility

  • 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: 4% per annum payable on loan release and at the start of every year based on outstanding balance
  • Facilitation Fee: 3% one time payment to cover for CI/BI, appraisal, and processing expenses

b) Non-Collateral Loan Facility

  • Subject to prevailing market rate being implemented by NLDC-accredited MFI
Forms of security
  1. Collateral Loan Facility

    Loan shall be fully secured by collateral in the form of any of the following unencumbered assets/rights: real estate, chattel properties, stock inventories, and other types of collateral acceptable to the NLDC MFI partner.

  2. Non-Collateral Loan Facility Deed of assignment of borrower's promissory notes

  • Proof of OWWA membership and contribution
  • Endorsement letter from OWWA
  • Business plan or project feasibility study
  • Business permit/license
  • Financial statements (for existing business)
  • Collateral papers (for collateral loan)
  • Documents to prove relationship with OFW member (for dependents)

Privacy Statement  |  Terms Of Use
Copyright 2009 by National Livelihood Development Corporation