A savings account is like your financial GPS. Its goal is to keep you on the money-tracking road. You can maneuver it anytime you need to. But sometimes, your driving skills are not enough to make more for yourself and your family. You must race but with the minimum risk. You want to squeeze the most out of your hard-earned bucks with the assurance of bigger interests. One of the best options you can have is a time deposit accounts.

Now, a time deposit account is the golden ticket to investment success. Why? Time deposit accounts are worthwhile as they qualify as a sound investment. Your financial goals and preferred bank play a significant role in this money game. 

Before throwing your money into the time depositors, you must understand the ins and outs, interest rates, and charges that come with it. Know what you’re signing up for. After all, we’re here to watch our money grow. So, buckle up if you’re considering being part of the time deposit in the Philippines. 

Securing a time deposit can be a savvy move. But it becomes tacky once you break up with it sooner than planned. So, you must learn the dos and don’ts before opening an account. We discuss the significance of time deposit accounts in the Philippines and which is the best option suitable for your finances.

Table of Contents 

What is Time Deposit?
How does Time Deposit Work?
Advantages of a Time Deposit
Disadvantages of a Time Deposit
How much is the Time Deposit Interest Rate?
Quick Tips in Computing Time Deposit Interest Rate
How does Time Deposit Philippines Charge?
What to look for the Best Time Deposit Philippines?
15 Best Time Deposit Philippines

• AUB Time Deposit
• BDO Time Deposit
• BPI Time Deposit
• China Bank Time Deposit
• East West Bank Time Deposit
• Landbank Time Deposit
• Metrobank Time Deposit
• PBCom Time Deposit
• PNB Time Deposit
• PSBank Time Deposit
• RCBC Time Deposit
• Security Bank Time Deposit
• Tonik Bank Time Deposit
• UCPB Time Deposit
• Unionbank Time Deposit

How to Open a Time Deposit Philipines?
What are the Documents Needed for a Time Deposit Account
Frequently Asked Questions

• Is a time deposit worth it?
• Can I consider my time deposit an asset?
• Is my time deposit just like cash?

Conclusion

What is Time Deposit?

A time deposit is often called a term deposit or fixed deposit. It is a distinctive banking product that accumulates a fixed interest rate throughout a specified term. But, during its term, withdrawal is restricted. While categorized as a deposit account akin to regular savings and checking accounts in the Philippines, time deposit accounts have a unique characteristic. It lies in its approach to interest accumulation.

When contemplating the decision to open a time deposit account, you have three crucial factors come into play:

Interest Rate

The interest rate directly correlates with your earnings. It comes from entrusting your funds to the bank for a specific duration. However, this rate varies across different banks, holding periods, and the amount designated for deposit. That’s why you must be wise in choosing a time deposit bank you would trust.

Holding Period

The holding period denotes the duration for which you permit the bank to retain your funds until the maturity of the time deposit. It significantly influences the overall returns. During this period, you must keep your funds within the bank so you’ll gain more in the end. 

Deposit Amount

The amount you allocate for a Philippine time deposit requires careful consideration. You must ensure that a substantial sum keeps your other finances intact. Keep your regular savings, emergency funds, or monthly budget different from your time deposit accounts. You must balance the desire for increased returns with financial prudence, which is crucial in making a well-informed decision.

Sample scenario

Think of a time deposit as your money-making commitment. It is in for a fixed amount of time, with no takebacks. 

Now, why pick this over a regular savings account?

Well, time deposit accounts come with juicier interest rates. It is like the VIP section of the investment world. But the cool part is that the Philippine Deposit Insurance Corporation (PDIC) wraps your first half a million pesos in a security blanket.

So, a time deposit is like having money in a financial spa. You locked it in for a specific time, earning more than your average savings account. And the best part is it is covered with a money insurance policy in case life throws a curveball. 

Time deposits are like the chill bodyguards of your cash, ensuring it grows and stays safe while you kick back.

How does Time Deposit Work?

In the Philippines, diving into a time deposit is like letting the bank babysit your cash for a while.

Here’s the deal!

The bank takes your hard-earned money and lends it to other folks needing a financial boost. They charge those borrowers a higher interest rate. 

Sample Scenario 1 

Imagine you have Php 50,000 in a time deposit for a one-year nap. The bank promises you a 3% interest rate. Fast forward 12 months. You’ve earned around Php 1,500. So, when your time deposit wakes up from its slumber, your bank balance is strutting around with roughly Php 51,500.

But, hold on, where does the bank fit into this money tango?

The bank takes your Php 50,000 time deposit. Then, lend it to others at 5% interest per month. Afterward, it rakes in around Php 2,500 monthly. That’s a sweet Php 30,000 in profits for the bank over the year.

Now, the net interest margin?

It’s the gap between the bank’s pockets and what they send you as your interest. This little financial dance compensates the bank for the risks it takes. That is loaning money to others and being the guardian of your stash. It’s like the bank’s saying, “Thanks for the trust. Here’s a little extra for letting us play with your money!”

Sample Scenario 2

Furthermore, time deposit depends on how much money you entrust to the bank. Picking the right bank for your time deposit adventure in the Philippines is like choosing toppings for your pizza. You must have several options. 

Here’s the deal!

The starting line is also known as the initial deposit or minimum placement. Depending on the bank’s policy, it can be a chill P1,000 or go up to a hefty P50,000.

Once you’ve thrown your initial deposit into the mix, it’s time to decide how long your money will stay at the bank. It is the lock-in period. Also, it is known in terms of placement, maturity, or tenor. In other words, it is how long your cash is on vacation with the bank. 

Most banks set a minimum lock-in period of 30 days. At the same time, others can go up to 5 years and one day. If you want something in between, you have other options, too. Take your pick from 60, 90, 180 days, one year, or even longer. Choosing your tenor is like building your time deposit playlist.

Quick tip!

The bigger the initial deposit and the longer the lock-in period, the more your money dances back to you in return. The longer you let the bank borrow your cash, the more you toss into the initial pot. Therefore, the fancier your interest becomes. 

Advantages of Time Deposit Accounts

With how the time deposit works, it sounds enticing to open an account. But before you commit your cash, understand the perks that must come with it. 

Minimum investment ranging from Php 1,000 to Php 100,000

Investing in time deposits in the Philippines is a budget-friendly venture. It is contingent on your chosen bank and its specific offerings. 

If you want to try the time deposit without breaking the bank, AUB, PBCOM, and LANDBANK are the thriftiest options. It allows a minimal placement of just Php 1,000. 

However, if you’re in it for the long haul and looking to maximize your returns, the high rollers in the time deposit game are what you need. Security Bank takes the crown for the loftiest minimum placement. It demands Php 100,000, but they offer a seven-year term in return. It is like a marathon compared to the sprint of shorter options. The top difference is the competitive interest rates. It ranges from 2.92% to 4.19%. Therefore, it ensures that your money does some heavy work over that extended period.

Your safe bet for stable investments

Time deposits emerge as the cool, calm, and collected player. It offers a lower-risk playground than rollercoaster stocks and real estate rides. 

Here’s the deal!

With time deposits, your return on investment is almost like a guaranteed high-five. Plus, it includes any interest that tags along.

In simpler terms, there’s zero jeopardy of your money doing a disappearing act in a time deposit. It is the ultimate comfort zone for cautious investors who want to avoid high risk but crave growth. It is like having a money mattress—you know it’s there, and it’s comfy.

In addition, a time deposit got your back in preserving capital. Think of the senior citizens who’ve worked hard for that pension or retirement fund. They can’t afford to play with their financial situation. But with a time deposit, it’s like wrapping your capital in a bubble wrap of financial security. So, if you’re all about stability and saying “no thanks” to money-related stress, time deposits might just be your financial BFF. 

Score bigger interest 

Most savings accounts out there are like introverts of the interest world. They offer less than a 1% return. In reality, the high-interest savings accounts in the Philippines barely tip over 1%.

Now, here’s the deal!

They can churn out interest rates up to a whopping 5%. It’s all about the term and deposit amount. The longer you let your money hang out in the time deposit world, the more you throw into the initial pot. As a result, your interest party gets fatter.

So, why the interest rate magic?

Your funds commit to a specific time frame in the time deposits. It’s like saying, “Hey, money, you’re staying put for a while.” Because of this loyalty, the interest rates get a major boost compared to traditional savings accounts.

Think of it as your money going from a slow crawl to a full-on sprint in the race for returns. Time deposit is where your hard-earned cash gets the VIP treatment it deserves.

Fixed and guaranteed interest rates

The golden ticket with time deposits is once you lock in that interest rate. If you seal it with a financial kiss, it doesn’t budge throughout the entire lock-in period. There are no surprises and no rollercoaster rides. It is just a rock-solid, unwavering interest rate commitment.

Here is an example!

You open a time deposit, and the interest rate sticks around, no matter what. Now, even if the market starts doing a limbo dance with rates dropping left and right, your time deposit stays true to its word. You signed up for the interest rate you get until your deposit wakes up from its financial beauty sleep.

This fixed and guaranteed setup is like having a financial crystal ball. You can calculate exactly how much interest your time deposit will rake in. It provides a comforting certainty in the unpredictable world of finance. So, regarding stability and predictability, time deposits bring the A-game. 

Available in foreign currencies 

Time deposits in the Philippines are more than just playing the Peso game. Most banks roll out the red carpet for time deposit aficionados in foreign currencies. The US Dollars is a popular pick. Moreover, BPI and Metrobank offer another currency lineup. It includes the Chinese Yuan, Japanese Yen, and the British Pound.

Now, why is a time deposit with international currency vital?

OFW families receive overseas remittances. With time deposits in foreign currencies, you can skip the hassle of converting your hard-earned money to Pesos. Also, you can dodge the foreign exchange fees. It’s like a direct flight to maximizing your returns without unnecessary detours.

Easy to understand and apply for time deposit accounts

Opening a time deposit account in the Philippines is a breeze. It is as simple as starting your regular savings or checking account. Just stroll into your bank of choice. Present at least one valid ID. Then, affix your best penmanship on the opening forms.

But there are no usual ATM cards or passbooks. In the world of time deposits, you get a Certificate of Time Deposit. This little document is your proof of deposit and shows all the essential details. For example, it has the account term, interest rate, and maturity date.

The beauty of time deposits is that they’re like the low-maintenance. Unlike the head-spinning complexities of stocks, real estate, or mutual funds, there is no need for a crash course with time deposits. Once your account runs, you can kick back, relax, and wait for the magic to happen. 

When it matures, you get to play the decision-making game. You either cash out or roll the dice for another round of investment funds. 

Time Deposits have insurance.

Time deposit accounts in the Philippines come with their form of insurance. The  PDIC is your guardian angel for every financial adventure.

Here is an example!

If heaven forbids, your chosen bank decides to close down. PDIC won’t leave you high and dry. It ensures that the comforting embrace of deposit insurance backs your hard-earned cash up to Php 500,000. It is like having a financial safety net ready to catch you if the unexpected ever comes knocking.

So, regarding your money’s well-being, think of time deposits and the PDIC as a dynamic duo. It ensures you won’t be left alone during financial blues, even in the worst-case scenario. Your investment is not just growing; it’s growing with a shield of security.

Disadvantages of Time Deposit Accounts

Like any investment, a time deposit account has downsides, just as follows. 

Locked-in funds 

Time deposits in the Philippines are all about that lock-in period or maturity. It can span from a quick 30 days to a more substantial seven years.

Here is an example!

You park your funds in a time deposit. They are like VIP guests at the bank’s exclusive party and stay put until the maturity period is up. Unlike regular savings and checking accounts, you can dance in and out whenever you fancy. 

Now, when the maturity date rolls around, you’ve got options. One, you can grab your funds and hit the financial road. Or, two, you let them ride the interest wave for another term. It can be shorter or longer than the first. You have a flexible financial roadmap tailored to your financial goals. So, whether you’re eyeing a quick financial pitstop or a more extended journey, time deposits in the Philippines have your back. 

Early withdrawals have penalty fees. 

Banks understand emergencies happen. However, a penalty fee follows if you withdraw before the maturity date.

Here is an example!

You need to dip into your time deposit before the planned financial schedule. Brace yourself because you’ll likely face a pre-termination penalty. It typically ranges in percentage from 10% to 50% of the interest earned. It is like a financial frown for breaking your commitment.

Now, some banks take it a step further. Instead of a straightforward penalty, they might switch you to their regular savings rate. It is a bit of a misfortune because it is lower than the rate you enjoyed with your time deposit.

So, before you break up with your time deposit early, ensure you’re prepared for the consequences. Emergencies happen. That’s why it is good to be aware of the financial fine print.

No ready cash 

When you save money in time deposit accounts, you stash it in a financial vault. It sounds secure, but there’s a trade-off. You might leave little cash at arm’s reach when unexpected curveballs life might throw your way.

The catch is if a sudden emergency arises, tapping into your time deposit does not offer a quick fix. You must set up a separate emergency fund for those immediate needs. It saves you from breaking the time deposit commitment and facing those pesky penalties.

So, while time deposits offer a cozy spot for your money to grow, keeping some readily available cash for those “uh-oh” moments is crucial. A little financial strategy goes a long way in ensuring your funds work for you without compromising your ability to handle unexpected bumps. 

The reality of the fixed-time deposit interest rates 

When it comes to time deposits, what you see is what you get. Once you initially lock in that interest rate, it’s like sealing it in a financial time capsule. It is fixed and unchanging until maturity. Although it sounds stable, there’s a trade-off.

Here is an example!

Unlike other dynamic investments, time deposit interest rates are immune to market changes. Your time-deposit interest rate remains steadfast whether the market throws favorable or unfavorable rates. 

But what’s the catch?

If the market starts serving higher interest rates during your lock-in period, you’re stuck with the rate you initially agreed upon.

So, while the stability is comforting, there’s no chance of riding the wave of better market conditions in time deposit. You cannot earn higher within your time deposit’s lock-in period. 

How much is the Time Deposit Interest Rate?

Understanding the computation of interest in a time deposit account is crucial. It is the best factor when selecting the appropriate bank for your investment.

Sample Scenario

Suppose you open a time deposit with an initial deposit of Php 100,000. It is locked in for 60 days with a 3% interest rate. Both BPI and PSBank have time deposit calculators. It employs the same formula:

Interest rate = Deposit amount x 3% x (60 days/365 days) x 0.80%

It is important to note that the 0.80% is utilized due to the 20% withholding tax deduction imposed on time deposit accounts.

Interest rate = Php100,000 x 3% x (60 days/365 days) x 0.80%

= Php100,000 x 3% x (0.164) x 0.80%

= Php30,000 x 0.164 x 0.80%

= Php492 x 0.80%

Earned interest rate for 60 days = Php393.60

If you prefer other banking facilities for your time deposit, consider an online time deposit calculator in the Philippines. Security Bank offers a free tool on its official website.

Quick Tips in Computing Time Deposit Interest Rate

Calculating the interest on a time deposit involves an easy formula. Here’s what you need to do. 

Understand the Formula

The formula for calculating interest is: 

Interest = Principal Amount × Interest Rate × (Number of Days / 365 or 360) × (1 – Withholding Tax Rate)

Gather Information

Know your principal amount or initial deposit. Also, be aware of the interest rate provided by the bank. Most importantly, determine the number of days (tenor) your chosen bank will hold the money in the time deposit.

Consider Withholding Tax

In some cases, there may be a withholding tax on the interest earned. Subtract this percentage from 1 and use the result in the formula.

Apply the Formula

Plug the values into the formula to find the interest earned over the specified period.

Use Online Calculators

Many banks and financial websites offer online time deposit calculators. Input your details, and they’ll do the math for you. Be reminded that it only provides an estimate. Changes may apply. 

Check Compounding Frequency

Understand the compounding frequency if the interest is compounded. Sometimes, it is computed in a monthly or quarterly manner. Adjust the formula accordingly.

Factor in Renewals

If the time deposit is set to renew automatically, consider the interest earned from the previous period when calculating for a new term.

Remember, the key is consistency in the units of time. If the interest rate is annual, ensure the time is in years. But if the interest is compounded monthly, adjust the time accordingly. Always check for any specific terms or conditions provided by the bank.

How does Time Deposit Philippines Charge?

Time deposit accounts with high-interest rates are profitable rides. But there’s some fine print you ought to know. No worries. We’re breaking it down for you.

A time deposit can outshine your savings account in the profit game, but it’s not all sunshine and rainbows. Those perks come with charges. Here is a rundown of what comes along with your time deposit.

Documentary Stamp Tax (DST) – Think of it like a little ticket to the time deposit party. You pay Php 1.50 for every Php 200 you deposit.

Withholding Tax for Interest Earnings – For Peso accounts, it’s a 20% cut; for Dollar accounts, it’s a gentler 15%.

Pre-Termination Fees – A charge you might face if you bail out on a savings plan or investment before its supposed maturity period. It helps cover the bank’s back because your early termination messes with their game plan.

• First half of the short-term time deposit – 25% of the agreed interest rate
• Second half of the short-term time deposit – 50% of the agreed interest rate
• Before five years (long-term deposit) – 5% final tax
• Also, before four years (long-term deposit) – 12% final tax
• Last, before three years (long-term deposit) – 10% final tax

Now, you know what costs you when you open time deposit accounts. Learning these tiny details encourages you to stay committed to your financial plans and not cut ties prematurely. 

Quick tip! 

Time deposit accounts in the Philippines often let you off the hook within the first seven days after opening. No fees, no penalties. 

What to Look for the Best Time Deposit Philippines?

Finding the best time deposit in the Philippines involves considering several key factors. Make sure you choose the one that aligns with your financial goals. 

Here are some aspects to look for:

Interest Rates

Compare the interest rates different banks offer. Shop around and choose the one with competitive interest rates. This way, you can optimize your returns.

Terms and Conditions

Check the lock-in period options. Some banks offer shorter-term flexibility. Meanwhile, others provide longer financial commitments. Choose a term that suits your financial plans.

Minimum Placement

Be aware of the minimum amount required to open a time deposit. Some banks allow lower initial deposits. As a result, it is more accessible to a broader range of investors.

Penalties for Early Withdrawal

Understand the penalties involved. Often, it applies when you withdraw your funds before it reaches maturity. Most banks charge a percentage of the interest earned. But sometimes, other banks impose other fees.

The Bank’s Credibility

Consider the bank’s reputation and stability. Review all your perspective bank options. Opt for well-established banks. But even though a bank is quite famous, a good track record ensures the safety of your investment.

Additional Features

Some banks offer additional features in their time deposit accounts. The best example is the automatic rollovers. It means the bank reinvests your money automatically when the term ends. You don’t have to update the bank now and then unless you have changes in mind. Explore these features to enhance the overall convenience and benefits.

Insurance Coverage

It is one of the most crucial factors in time deposit investment. Check if the bank is a member of the Philippine Deposit Insurance Corporation. PDIC provides insurance coverage on deposits. It offers protection up to a certain amount if the bank faces financial difficulties.

Ease of Application

Of course, convenience is a game-changer in the time deposit application process. Look for banks that offer straightforward and user-friendly procedures for opening a time deposit account. Nowadays, online application is the key.

With these factors, you can choose the best time deposit in the Philippines that suits your financial needs and preferences.

15 Best Time Deposit Philippines

With the various banks available in the Philippines, deciding which one you should apply for takes time. We listed down the top notches in the time deposit feature. Check out each bank’s required initial deposit amount, terms offered, and interest rates before you seal the deal of your account application. 

AUB Time Deposit

• Initial Deposit Amount: Php 1,000
• Term Offered: Minimum of 30 days
• AUB Time Deposit Interest Rates: Depends on prevailing bank rates

BDO Time Deposit

• Initial Deposit Amount: Php 1,000
• Term Offered: 30, 60, 90, 180, 360 days
• BDO Time Deposit Rates: 0.75% for a 1-year term

BPI Time Deposit

• Initial Deposit Amount: Php 50,000
• Term Offered: 35, 63, 91, 182, and 365 days
• BPI Time Deposit Interest Rates: 0.25% to 0.75%

China Bank Time Deposit

• Initial Deposit Amount: Php 5,000
• Term Offered: 90 days
• China Bank Time Deposit Rates: Visit the nearest branch for prevailing interest rates

EastWest Bank Time Deposit

• Initial Deposit Amount: Php 10,000
• Term Offered: 30, 60, 90, 180, 360 days, and up to 5 years
• East West Bank Time Deposit Interest Rates: 3.125% for depositors with an initial deposit of P100,000

Landbank Time Deposit

• Initial Deposit Amount: Php 1,000
• Term Offered: Minimum of 30 days
• Landbank Time Deposit Interest Rates: Based on the bank’s current rates, terms, and amount

Metrobank Time Deposit

• Initial Deposit Amount: Php 10,000
• Term Offered: One to 12 months
• Metrobank Time Deposit Rates: Up to 3.5% per annum

PBCom Time Deposit

• Initial Deposit Amount: Php 1,000 (Regular Time Deposit), Php 50,000 (Sure Earner Time Deposit), and US$ 1,000 (Dollar Time Deposit)
• Term Offered: 30, 60, 90, 120, 180 or 360 days; 5 years and one month
• PBCom Time Deposit Interest Rates: 3% to 3.875%

PNB Time Deposit

• Initial Deposit Amount: Php 10,000
• Term Offered: 29 days to 5 years
• PNB Time Deposit Rates: 0.125% to 1.3%

PSBank Time Deposit

• Initial Deposit Amount: Php 10,000 (Peso Time Deposit), Php 50,000 (Peso Prime Time Deposit), US$1,000 (FCDU Time Deposit)
• Term Offered: Below 30 days, and 30, 60, 90, 180, and 365 days; Five years; One, two, three, six, and 12 months
• PSBank Time Deposit Interest Rates: 2.125% to 3.75%, 4.5%

RCBC Time Deposit

• Initial Deposit Amount: Php 5,000 or Php 100,000
• Term Offered: 30 days to 1 year, 2-4 years, 5 years plus one day
• RCBC Time Deposit Interest Rates: 0.5% to 1.375%, 1.625% to 2.25%, 2.25% to 2.5%

Security Bank Time Deposit

• Initial Deposit Amount: Php 100,000
• Term Offered: 30 days, 60 days, 90 days, 180 days, 360 days, 2 to 5 years and 7 years.
• Security Bank Time Deposit Interest Rates: 2.92% to 4.19%

Tonik Bank Time Deposit

• Initial Deposit Amount: Php 5,000
• Term Offered: 6 months, 9 months, 12 months, 18 months, 24 months
• Tonik Bank Time Deposit Interest Rates: 4.50% to 6% per annum

UCPB Time Deposit

• Initial Deposit Amount: Php 10,000
• Term Offered: 90, 180, and 360 days
• UCPB Time Deposit Interest Rates: 0.75% (for a starting deposit of P100,000)

Unionbank Time Deposit

• Initial Deposit Amount: Php 50,000
• Term Offered: 30 to 360 days
• Union Bank Time Deposit Rates: 0.625% to 1.25%

AMA Bank Time Deposit

AMA time deposit was once one of the top-notchers in the financial industry. However, it became a hot topic in 2019 as some violations warranted the PDIC’s closure. According to investigations, AMA bank time deposit granted irregular and questionable loans to borrowers. Also, it has some transactions that provide unwarranted benefits to higher officials and stockholders. In the long run, it resulted in a significant disadvantage to the bank—closure. 

How to Open a Time Deposit Philippines?

Now you know where the best time deposit banks are in the Philippines. For sure, you’re encouraged to open your own account. 

No worries. Getting time deposit accounts is a piece of cake. Pick a bank, sort the paperwork, and toss your initial deposit. 

But here’s the catch!

Consider it on a brief money holiday once your funds are in. No withdrawals are allowed for a bit.

Now, about opening your time deposit account. The initial deposit, or what some call the minimum placement, is what you need the most. It is a bank-to-bank dance-off. Often, the rules vary. It could be as low as Php 1,000, which is more pocket-friendly. Or it can crank up to Php 100,000 for those looking to make an entrance that turns heads.

Once your money’s mingling in the account, it’s decision time. You have to figure out how long you will park your money there. That’s the lock-in period. You can choose a quick 30-day or a year-long hangout. Anyways, it is your money, so it is your call.

Steps to Open a New Time Deposit Account

Opening a time deposit account for yourself is like a walk in the park. The steps are the same as those for regular savings accounts. Often, it differs from the required paperwork. Here’s what you need to do. 

Step 1. Prepare the minimum initial deposit amount needed for your chosen bank. 

Step 2. Secure at least two valid IDs.

Step 3. Visit your preferred time deposit bank where you want to set up an account.

Step 4. Talk to the bank personnel about all the features. Ask any questions first before you secure a whole deal. When all’s clear, fill out the necessary form.

Step 5. Submit the completed form and photocopies of your government-valid IDs.

Step 6. Hand over that minimum cash requirement to the bank’s representative.

Step 7. Go home with your very own Certificate of Deposit (CD). 

Reminder!

You may open a time deposit account for more than the initial amount they request. But make sure that you have studied your finances beforehand. Remember, you can’t withdraw your funds outside the maturity period. If you do, you might be lost because of the penalty fees. 

Keep your Certificate of Deposit safe, as it is essential when you reach the maturity date of your time deposit. 

Steps to Open an Online Time Deposit Account

Setting up online time deposit accounts is similar to opening an online savings or checking account. Here’s what you need to do. 

Step 1. Check your preferred bank’s official website. 

Step 2. Click on the bank’s time deposit option.

Step 3. The webpage will show you all the time deposit details of the bank’s time. It includes its features, requirements needed, fees, and charges to pay.

Step 4. Download the online application form. Complete all the necessary fields online.

Step 5. Print the online time deposit application form. 

Step 6. Visit the nearest bank’s branch and bring along all the requirements.

Step 7. Go home with your very own Certificate of Deposit (CD). 

What are the Documents Needed for a Time Deposit Account?

Opening an account for a time deposit is a lot like the same for a savings account. The specifics may differ depending on the bank and the number of account holders. But here’s the shortlist of the usual essential documents you must prepare. 

Individuals

• Two (2) valid IDs
• Two (2) copies of your most recent 1×1 ID photo
• TIN or Tax Identification Number

Sole Proprietor

• Registration of Business Name through the DTI (Department of Trade and Industry)
• Original Application for Registration
• Two (2) valid IDs of the account holder

Association/Organization

• Association Agreement
• Constitution

Partnership

• Two (2) valid IDs of account signatories
• Certificate of Partnership
• Registration Certificate from the SEC (Securities and Exchange Commission)

Cooperatives

• Articles of Cooperation and By-Laws
• Authority to open a bank account
• Certificate of Registration issued by the CDA (Cooperative Development Authority)
• Authorized signatories and their extent of authority

Corporation

• Articles of Incorporation
• Registration Certificate from the SEC (Securities and Exchange Commission)
• Corporate By-Laws
• Board Resolution duly notarized proofs — Authorization to open a bank account, list of signatories, and valid IDs of the signatories.

Frequently Asked Questions:

Is a time deposit worth it?

Time deposits present more favorable interest rates compared to typical banking products. Nevertheless, in determining its viability, consider the duration and penalties associated with premature agreement termination.

For individuals considering the initiation of a time deposit account, it is advisable to remember that this financial instrument is most suitable if you:

• Possess multiple income streams to tap into, avoiding premature termination.
• Have already established a reserve for unforeseen financial emergencies.
• Refrain from assuming an immediate need to withdraw your funds.
• Maintain sufficient liquid funds to meet your essential financial obligations.
• Intend to allocate funds for a significant long-term financial objective.
• Consent to the stipulations outlined in the time deposit agreement.
• Acknowledge and consent to all accompanying fees associated with the account.

Time deposits cater to those in tune with their financial objectives. If these criteria align with your financial strategy, opting for a time deposit might be prudent.

Can I consider my time deposit an asset?

Yes. A time deposit falls into the long-term investment club. Despite the temporary lockdown in the bank vault, it’s like having a little money soldier who can march out and turn it into cash when it’s time. If you’re laying out your financial cards on a balance sheet, you will classify them under the “assets” section alongside the things that keep your financial ship sailing smoothly.

Is my time deposit just like cash?

Yes. You can withdraw from your time deposit accounts if cold, hard cash is needed. But you have to brace yourself for those penalty fees. In addition, you also have to bid farewell to the sweet interest rate. But if you can, still hang tight. Let your time deposit soak up all the interest before you even think about breaking the piggy bank.

Conclusion

Empower yourself with knowledge about savings and investment products like a time deposit account. It provides a solid kickoff for your investment journey. Grasping how time deposits manage your financial landscape and acquiring the know-how to compute them ensures you can make savvy and lucrative financial choices.

While time deposits offer more than just a secure spot for your cash, aligning your investment choices with your financial goals is essential. If the time deposit path doesn’t match your objectives, consider delving into other high-yield investment tools. You may choose stocks, bonds, mutual funds, or UITFs for a more tailored approach to wealth growth. It’s all about finding the right fit for your financial game plan.

But what’s most important is securing your finances for your plans. Cash Mart is open in all aspects of your money needs. You can trust them to support you for emergencies, business, or investments. Check out its salary loan and low-interest personal loan.

Are you seeking a new job, a promotion, or thinking about starting your own business?

Find out your next venture’s success rate in the Year of the Rabbit.

2023 is the year of the Water Rabbit—the year of hope. Chinese New Year starts on January 22nd, 2023, and ends on Chinese New Year’s Evers on February 9th, 2024. In Chinese culture, the Rabbit symbolizes peace, longevity, and prosperity. 

Although some Filipinos are still skeptical of such predictions, others read it for fun and guidance. 

Discover what the Chinese financial horoscope 2023 has in store for Filipinos. But keep in mind that Chinese astrology offers general predictions. 

Table of Content

Year of the Rat Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Ox Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Tiger Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Rabbit Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Dragon Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Snake Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Horse Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Goat Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Monkey Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Rooster Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Dog Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Pig Financial Horoscope 2023

• Career
• Financial Stability
• Investment Caution
• Health and Well-being

Year of the Rat Financial Horoscope 2023

Year of Birth: 1924, 1936, 1948, 1960, 1972, 1984, 1996, 2008, and 2020
Lucky Color: blue, gold, and green
Lucky Number: 2, 3

Career

2023 shows declines in opportunities for professional growth. If you are looking for employment, highlight your strengths and provide valuable solutions to strengthen your weaknesses. Work diligently and showcase your skills to gain recognition and advancement if you are currently employed. On the other hand, if you’re to venture into a new industry, study beforehand. It is the best way to oppose the negative luck influenced by Tai Sui. 

Financial Stability

People born in the Year of the Rat must prioritize their finances in 2023. As a Rat, your career is bound to take a downward path. But don’t lose hope. You are a resourceful and skillful person. You can get out of trouble and reap total rewards as you see fit. Your ways include managing your expenses carefully, creating a budget, and saving for the future. Also, avoiding unnecessary expenditures and focusing on building a financial safety net is vital.

Investment Caution

Although investments contribute to your wealth’s growth, be cautious in your investment decisions. Research thoroughly and diversify your portfolio. You must seek advice from financial experts. However, make sure that they are legit and trustworthy. Most importantly, avoid high-risk investments and speculative ventures.

Health and Well-being

Good health is closely tied to financial stability. With the downward pattern of your wealth, your health might be next. Your physical fitness is one of your best investments in 2023. Schedule regular exercise, a balanced diet, and stress management. Remember that health-related expenses can impact your finances. That’s why it matters to take preventive measures are essential.

The Year of the Rat in 2023 encourages you to focus on your careers and financial stability. It is advisable to be diligent in your professional life. In addition, stay cautious in your financial choices. Being proactive in financial management is the key. 

Year of the Ox Financial Horoscope 2023

Year of Birth: 1925, 1937, 1949, 1961, 1973, 1985, 1997, 2009, and 2021
Lucky Color: white, yellow, and green
Lucky Number: 1, 4

Career

The Ox will likely find that hard work and dedication will pay off in 2023. This year, you will have significant progress in your profession, and approval for promotion will likely happen. If you’re employed, putting in consistent effort will yield positive results. Being patient and goal-oriented will help you reach your target result when running a business. If you’re pursuing personal financial goals, stay committed to your objectives. With your great effort, you will achieve success. 

Financial Stability

As an Ox, you have better luck in good fortunes this year. You must stay organized and make informed decisions to have good means this year. Create a solid financial plan outlining your goals, including the steps needed. In addition, you have to maintain a strict budget for your income and expenses. It will help you manage your finances effectively and identify areas where you can save or cut back. This way, you can avoid unnecessary or impulsive purchases.

Investment Caution

In 2023, the Ox wealth might fluctuate, but your business and earnings will be prosperous. You must consider making steady and well-researched investments. Often, you are cautious and deliberate in your financial decisions. You must diversify your investments and aim for long-term growth. Quick gains might sound enticing but only serve for a short period. 

Health and Well-being

In 2023, the Year of the Ox focuses on the importance of financial stability. But it doesn’t mean you have to neglect your well-being. There is a downward trend in health prognosis. Maintaining a healthy work-life balance is crucial. Overworking can lead to burnout and illness. Seek medical assistance and treatment quickly, as minor sicknesses and misfortunes are prevalent this year. As a result, it may affect your overall financial situation negatively in the long run.

The Year of the Ox in 2023 encourages the Ox individuals to continue their diligence and persistence. Working hard and making steady investments while maintaining a balanced life equates significant progress toward your financial goals. 

Year of the Tiger Financial Horoscope 2023

Year of Birth: 1926, 1938, 1950, 1962, 1974, 1986, 1998, 2010, and 2022
Lucky Color: blue, gray, and orange
Lucky Number: 1, 3, 4

Career

The Tigers have a higher chance of enhancing their earning potential. In 2023, you have a better career experience, resulting in a higher salary and promotion. Embrace the necessary changes for your professional development. It involves additional training, certifications, or skill-building opportunities. Take as much as long as it is relevant to your field, which can lead to your career advancement and increased income.

Financial Stability

The Year of the Tiger in 2023 needs to solidify their financial plan. Your wealth prediction has a downward pattern, but with a growing career, you can overcome it. Your expenses will increase for your children’s education or support costs for older people in the family. You must outline your financial goals and strategies—short-term and long-term objectives. Also, you must regularly review and adjust your plan as needed. In addition, maintain a substantial emergency fund to cover unexpected expenses. You can prevent dipping into your investments or debt if you have a safety net. 

Investment Caution

Being open to change brings you to a suitable set of circumstances. However, it is crucial to make well-informed investment decisions. Expand your portfolio to manage potential risks. Also, consider long-term investments that align with your financial goals. Most importantly, stay informed about market trends and economic developments. Avoid setting yourself into financial management. 

Health and Well-being

As a Tiger, you must pay special attention to health and well-being in 2023. Give utmost attention to your safety and rest. Avoid traffic accidents as it is highly possible. In addition, overexertion and stress can impact your physical and mental health. In turn, it can affect your financial decisions. Prioritize self-care without overdoing it. 

The Year of the Tiger has opportunities for change and growth. Always be open to new financial opportunities—career, investments, or business ventures. Be ready to innovate and adapt to the evolving economic landscape.

Year of the Rabbit Financial Horoscope 2023

Year of Birth: 1927, 1939, 1951, 1963, 1975, 1987, 1999, 2011, and 2023
Lucky Color: red, pink, purple, and blue
Lucky Number: 3, 4, 6

Career

For people born in the Year of the Rabbit, you must be careful in your career development as there is a general decline in your path. Take the extra mile if you’re seeking a promotion. If favorable hands for advancement arise, grab it. But if you’re only starting a new side business or out to explore a new job, maintain adaptability. Being open-minded helps you navigate professional growth and hurdles, leading to increased income. 

Financial Stability

As the forecast of Rabbits’ career is not good, your income will most likely follow. But there are still ways to move forward from it. The Rabbits need to strengthen their relationships with loved ones and professional contacts. Networking has a positive impact on your financial life. It opens doors to new opportunities, collaborations, and financial support. Also, be willing to embrace new financial strategies, career paths, or investments. Always look at the positive side of changes.

Investment Caution

There is no specified improvement luck for this year. You might follow what most business people say—never put all your eggs in one basket. Create a well-rounded portfolio for diverse investments—stocks, bonds, real estate, and cryptocurrencies. It helps you manage all potential risks effectively. However, don’t expect high returns or dividends in the end. 

Health and Well-being

Rabbit people must pay particular attention to their health in 2023. With the decline in career growth, your health is at risk. If you are unwell, get the proper medication and treatment needed. Failure to do so will affect your career progress, which later increases your spending on medical aspects. 

The Year of the Rabbit in Financial Horoscope 2023 focuses on maintaining adaptability and open-mindedness to navigate their financial journey. Building solid relationships also helps in succeeding with your financial goal. Transform your investments, career growth, and financial plans. 

Year of the Dragon Financial Horoscope 2023

Year of Birth: 1928, 1940, 1952, 1964, 1976, 1988, 2000, and 2012
Lucky Color: gold, silver, and grayish white
Lucky Number: 1, 6, 7

Career

Individuals born in the Year of the Dragon have a significant advantage in career growth and advancement opportunities. Investing in your skills and knowledge can increase income and professional success. In addition, this year encourages you to pursue your goals with determination and enthusiasm. However, you must focus on your objectives and work diligently.

Financial Stability

As Dragons are enthusiastic, their wealth takes a good direction. While pursuing your goals, exercise caution with financial decisions. You must carefully assess the risks and rewards of any economic opportunity. Avoid impulsive investments without expert advice, as you have poor luck in this aspect this year. 

Investment Caution

The Year of the Dragon in 2023 entails slightly poorer luck for investment. You must develop a well-thought-out investment strategy. It must align with your risk tolerance and financial goals. A diversified investment portfolio will help you manage the risks effectively while aiming for long-term growth.

Health and Well-being

Dragon people have a relatively flat health prognosis that generally lean on the poor side. Overcome such dilemma with regular rest, daily exercise, and proper eating habits. As you focus on your busy work, you must pay equal attention to your safety. This way, you can still achieve your financial dream with a minimum hitch. 

The Year of the Dragon in 2023 needs the courage to pursue financial goals with determination while maintaining a cautious and thoughtful approach. You can achieve almost anything with a well-structured financial plan, staying informed, and managing risk wisely.

Year of the Snake Financial Horoscope 2023

Year of Birth: 1929, 1941, 1953, 1965, 1977, 1989, 2001, and 2013
Lucky Color: black, red, and yellow
Lucky Number: 2, 8, 9

Career

In 2023, Snake people will welcome their professional luck reasonably. Grab the opportunities for career development, advancement, or skill enhancement. In addition, your decision-making and judgment-making at work contribute best to potential salary increases. As a result, your career growth directly impacts your income and overall financial stability.

Financial Stability

The Year of the Snake in 2023 has a significant development in terms of wealth. With a better path for your career, you can increase your earnings. Employed individuals will have a substantial salary increase. Meanwhile, business owners have the potential to achieve outstanding business performance. Therefore, you will gain more while guaranteeing a relatively good financial projection.

Investment Caution

Leverage your investment plans with social and professional networks. It guides you in identifying financial opportunities and risks. If you collaborate with trusted associates, you can achieve more profitable ventures and investments. Your investment strategy and organized portfolio are vital in risk management and success. 

Health and Well-being

The Snake people have an overall stable and favorable health prognosis. Keep your emotional well-being intact as it affects your financial decisions. Stress, anxiety, and impulsive emotions lead to hasty financial choices. Ward it off by practicing stress management techniques, maintaining a healthy work-life balance, and seeking emotional support.

The Year of the Snake in 2023 is about trusting your instincts in financial relationships and partnerships without neglecting your emotional well-being. If you follow a well-structured financial plan, manage your emotions, and make informed decisions, you can successfully lead a better financial path.

Year of the Horse Financial Horoscope 2023

Year of Birth: 1930, 1942, 1978, 1990, 1954, 1966, 2002, and 2014
Lucky Color: yellow and green
Lucky Number: 2, 3, 7

Career

The Year of the Horse in 2023 suggests an unstable career. There is no need to be adventurous in your work. Although you can be open to new financial opportunities, be vigilant about the new people in your life who will sabotage your career. In addition, now is the best time to engage in arts. It can be part of your career moves. 

Financial Stability

Horse people need to secure a solid financial foundation due to career turmoil. This year comes with turbulence in your fortunes. But if you save for emergencies and long-term financial goals, you have a high potential to strengthen your financial stability. Also, it is effective if you minimize your debt and manage your expenses wisely.

Investment Caution

In 2023, the projection for a venture is less optimistic. When pursuing your new investments, maintain a keen awareness of your finances. Develop a detailed budget, track it, and stick to it. In addition, manage your money on a sound basis and allocate resources wisely. This way, you can minimize the risk of losses and bankruptcy. 

Health and Well-being

Horse people will encounter poor physical conditions due to busy work or injury. Remember, your health is closely linked to your financial stability. Your physical and mental health needs to be one of your priorities. Fit into your schedule with regular exercise, a balanced diet, and stress management. You can avoid medical expenses and maintain productivity with a healthy lifestyle.

The Year of the Horse in 2023 is about taking calculated risks and managing finances mindfully. Even though there is a conflict with Tai Sui, Horses can get through the challenging year smoothly. You can explore new horizons with a strategic financial plan. 

Year of the Goat Financial Horoscope 2023

Year of Birth: 1931, 1943, 1955, 1967, 1979, 1991, 2003, and 2015
Lucky Color: brown, red, and purple
Lucky Number: 2, 7

Career

People born in the Year of the Goat has a promising career prospect. You must seek opportunities to expand your skill set to enhance your professional value. Take advantage of business travels and leave good impressions to your superiors. Seize every opportunity that comes your way and gain the trust and support of your partners. It highlights your progress for promotion and salary increase. 

Financial Stability

Goats in 2023 have a very smooth sailing career and outstanding business ability. But still, you are prone to suffer from bankruptcy due to forecast disasters. Your financial loss is a result of a lack of financial plans. Be strategic in making plans where you will put your money. In addition, strengthen your bonds with friends and family. It can provide emotional and financial support, especially during economic hardships. 

Investment Caution

In 2023, Goats have relatively unstable financial luck. When considering investments, you must exercise caution and due diligence. You need to minimize investments in high-risk capital markets and stocks. Always stick to conservative financial management plans. 

Health and Well-being

Your health is integral to financial success. Goats have a pretty average health prognosis. That’s why you must place your physical and mental well-being as your utmost priority. Engage yourself in regular exercise, but avoid strenuous activities and stress management. You can increase your productivity and reduce medical expenses with a healthy lifestyle.

Individuals born in the Year of the Goat must focus on personal growth and well-being. Investment is about more than just the financial aspect of your life. It also includes your skills, knowledge, and overall development. If you can secure it, you can strengthen your finances and relationships. 

Year of the Monkey Financial Horoscope 2023

Year of Birth: 1932, 1944, 1956, 1968, 1980, 1992, 2004, and 2016
Lucky Color: white, blue, and gold
Lucky Number: 4, 9

Career

Monkey people can experience various obstacles in their careers. You will be under tremendous pressure while working. You can be upset with some of your dealings with official duties. But still, you need to maintain your patience to avoid possible conflicts. Leave your emotions at home when at work to prevent trouble in your workplace. 

Financial Stability

The Year of the Monkey in 2023 highlights the ability to think creatively. You can use your intelligence to solve financial problems. You can innovate your investment approach, career decisions, and financial planning. Nevertheless, always be cautious when making impulsive decisions as it may result in financial setbacks. 

Investment Caution

Like the career aspect, Monkey people have a poor investment potential. Even though there is research and vital financial data, never risk it. High-return projects are likely to fail, which will only waste your principal capital. 

Health and Well-being

Despite the career and investment struggle, the overall health fortunes of the Monkeys are stable. Still, stay vigilant from the opposing forces of work that might pull you down. Having at least three to five friends you can chat with and express your emotions is best. 

The Year of the Monkey in 2023 has individuals harness their creativity and intelligence for financial success. Exercise caution while being innovative, open to new opportunities, and avoid impulsive decisions. With a well-structured financial plan and prudent financial choices, fortunes will work toward your financial goals.

Year of the Rooster Financial Horoscope 2023

Year of Birth: 1933, 1945, 1957, 1969, 1981, 1993, 2005, and 2017
Lucky Color: gold, brown, and yellow
Lucky Number: 3, 4, 9

Career

The Year of the Rooster in 2023 offers poor career development. You must study in your spare time to overcome this hurdle and improve your abilities, skills, and efficiency. If you learn new knowledge and skills relevant to your current field, you can steer away your bad luck to opportunities. 

Financial Stability

As an impact of your career issues, the wealth of Rooster people is exceptionally unfavorable. Salary cuts, job losses, and bankruptcy are inevitable. That’s why you must review your financial plans. Maintain vigilance and schedule your outgoings promptly. 

Investment Caution

There is a high risk of wealth loss for the Roosters. It is best that you plan and stick to it. In addition, don’t put your trust in someone or an investment high on a pedestal. Being deceived is the last thing you want to happen in this tricky year of 2023.

Health and Well-being

With the lack of financial success, the health prognosis of the Roosters is very unstable. So you must focus on your diet and eat nutritious food. Improve your immunity and disease resistance by taking vitamins and necessary vaccines. In addition, rest is a must-have. Staying up late too much will lead to illness and an additional burden on your finances. 

The Year of the Rooster in 2023 requires you to plan, organize, and prioritize your financial endeavors. Simultaneously, maintaining your health and well-being is essential for financial stability. You can reach your financial goals with discipline, prudent financial decisions, and attention to health.

Year of the Dog Financial Horoscope 2023

Year of Birth: 1934, 1946, 1982, 1994, 1958, 1970, 2006, and 2018
Lucky Color: red, green, and purple
Lucky Number: 3, 4, 9

Career

People born in the Year of the Dog in 2023 can encounter hardships and misunderstandings at work. You should live in harmony with your colleagues. If you maintain good interpersonal relationships, you can improve your work efficiency. Meanwhile, starting a business might be troublesome at first. That’s why you must choose a business partner that you can surely trust. 

Financial Stability

The Dog people will face ups and downs in terms of finances. Your career luck has a direct impact on your income. You need to make extra effort for a promotion to be possible, which will increase your salary. Stay out of any unnecessary conflicts about opinions and villains in your workplace. Building an interpersonal relationship will surely defeat any unwanted rumors. 

Investment Caution

Before you place your funds in any form of investment, secure a good relationship first. Choose a legitimate financial advisor related to your target goal. Having a trustworthy partner will help you ensure the future of your business. Nevertheless, you will still face bankruptcy if you can’t hold your money. 

Health and Well-being

As a Dog individual, diseases are most likely to happen. But you can resist the possible disease onset if you strengthen your physique and physical fitness. Even though depression is prevalent this year, you can resolve it by communicating constantly with family. Going out together with your close friends helps dissipate your unsettling feelings. 

The Year of the Dog in 2023 encourages you to be loyal and supportive in relationships. However, you must not neglect to be prudent in financial management. By fostering solid connections and managing your finances wisely, you can seize every opportunity leading to your financial goals.

Year of the Pig Financial Horoscope 2023

Year of Birth: 1935, 1947, 1959, 1971, 1983, 1995, 2007, and 2019
Lucky Color: yellow, gray, brown, and gold
Lucky Number: 2, 5, 8

Career

In 2023, the Year of the Pig has the most potential in your career. Your improved relationships with colleagues and bosses create a positive impact. In addition, your previous conflicts with your co-workers are resolved quickly. With a smooth-sailing relationship at work, your productivity increases. That’s why you can receive an income increase.

Financial Stability

As career growth and luck progresses, the Pig people have an upward trend for wealth in 2023. You will gain benefactors that will highlight your full talent in projects. You can receive promotions paired with salary increases. As a result, you can experience a steady stream of wealth.

Investment Caution

Although the forecast of the Pigs’ career and finances is excellent, save your money from investments. Opening a store with partners has a low probability of success. Instead of making more money, you’re most likely to have declined earnings. Your great success in your career will keep you distracted in maintaining your investment.  

Health and Well-being

Financial stability is correlated with your health. The Pig people will have good health in 2023. With an excellent flowing income, you can secure a happy home, work, and things in life. But still, never be too relaxed in having regular exercise and enough rest. This way, you can maintain your overall physical and mental health. 

The Year of the Pig in 2023 allows individuals to set clear financial goals, prioritize self-care, and make thoughtful financial decisions. If you take care of your well-being and manage your finances wisely, you can maximize all available opportunities. 

Conclusion

Many Filipinos are aware of the Chinese astrology. Its financial horoscope 2023 offers general guidance in your everyday life and finances. However, each individual’s experiences may vary. To ensure you’re on the right path, consult a professional astrologer. This way, you’ll have more personalized insights suitable for you. 

Overcome the possible hindrances that come your way from financial horoscope 2023 with Cash Mart. It offers quick online loan cash that you can spend on urgent matters. Its low-interest personal loan allows you to splurge without breaking your bank account. Check it out on its official webpage. 

GCash is a supercharged wallet that allows you to manage your finances. You can send and receive funds, pay bills, top up your mobile load, and shop online. It is like a digital piggy bank, where you don’t have to wait in line at the bank to finish transactions.  

You can do everything through the GCash app. With its latest technology and partnership, you can apply for a GCash loan quickly. Learn more about what you can do with the mobile app and how to loan to GCash. 

Table of Content

GCash Loan

• What is GLoan?
• What is GGives?
• What is GCredit?

Top Characteristics of GCash Loan

What are the GCash Loan Requirements and Qualifications?

How to Loan in GCash?

• How to avail loan in GCash GLoan?
• How to avail loan in GCash GGives?
• How to avail loan in GCash GCredit?

How to Pay GCash Loan?

• GCash Loan Payment for GLoan
• GCash Loan Payment for GGives
• GCash Loan Payment for GCredit

What is GScore?

• What can I do to Increase GScore?
• Where to Find GScore?

What else can I Do with GCash?

Takeaway

Frequently Asked Questions

• What is the minimum GScore required for GLoan?
• When will my GCash Loan application be approved?
• Is there a minimum amount to borrow for first-time borrowers?
• Can I use my GCredit to pay for my GLoan balance?
• Where can I check my GCash Loan status?
• What to do if I don’t receive my cash loan from GCash?
• Can I pay my GCash loan in advance?

GCash Loan

GCash Loan in the Philippines is your quick cash boost. It is one of GCash’s best features. You can borrow a certain amount and then pay it back later with a bit of interest. It is super handy, especially when you’re in a pinch of some unexpected expenses. As a result, you can get extra funding without the hassle of a bank visit. 

When borrowing money in GCash, you have three options–-GLoan and GGives powered by Fuse Lending Inc. and GCredit powered by CIMB. These three sound intriguing and confusing at the same time. But once you know their features, you’ll know the best option for you. 

Taking out a loan from GCash is secure as the platform is SEC-registered. You

What is GLoan?

GCash GLoan is your partner for a temporary cash boost. It is ideal for financial moments when you’re low on cash yet need a quick fix to cover some expenses. 

GLoan is a GCash Personal Loan from your GCash app. The loan amount will be reflected in your e-wallet within 24 hours of approval. Then, you can withdraw it as cash through bank transfer, GCash Mastercard, or over-the-counter official GCash partners. 

Interest Rate and Fees 

The monthly interest rate ranges from 1.59% to 6.57%. But it differs for each user. 

Meanwhile, the processing fee costs 3% of the loaned amount. Also, it is automatically deducted from the quick cash you’ll receive. For example, your approved loan amount is Php 10,000. Your processing fee is Php 300 (10,000 x 0.03). Therefore, you’ll receive Php 9,700 in your GCash wallet. 

How to qualify in GLoan GCash?

If you have any of the qualifications below, you can apply for a GCash Gloan: 

• Filipino citizen
• Age 21 to 65 years old
• Fully-verified account
• High GScore
• Good credit standing
• No fraudulent record

GLoan Loanable Amount

The loan amount depends on your GScore. You can get a higher loan amount if you have a higher score. However, it still counts if you’re eligible or not. 

You can take out at least Php 1,000 up to Php 50,000. But if you are an eligible GCash user, you can borrow as high as Php 125,000. 

Sample Scenario

You’re doing online shopping, and you spot the perfect sneakers you’ve been eyeing for is on sale. You can not pass the opportunity, but your paycheck is still a few days away. Instead of being down, you can use GLoan to cover the kick’s cost. 

Once you get approved and receive funds from your GLoan, you can complete your purchase. On your repayment, you can gradually pay off your GLoan in small increments with your GCash balance. 

What is GGives?

GCash GGives is the app’s “Buy Now, Pay Later” feature. You can make purchases now without spending cash, but you have to repay it in installments with interest. You can choose between 3, 6, 9, 12, 18, or 24 months. 

You can make purchases online or offline with GGives. It can be in supermarkets, convenience stores, gasoline stations, or pharmacies. However, it must be one of the GGives Partner Merchants. No worries. There are more than 85,000 partner merchants nationwide. You can use it in SM Stores, Robinsons Supermarket, Alfamart, Mercury Drug, Petron, Shopee, and more. 

You cannot withdraw your loan as cash like GLoan. Instead, your loan amount goes directly to the partner merchant. 

Interest Rate and Fees

GGives has no processing fee. It is one of its best highlights compared to GLoan. However, its interest rate ranges from 0% to 4.99%. But it depended on your GScore and loan term. 

How to qualify in GGives GCash?

If you have any of the qualifications below, you can apply for a GCash GGives: 

• Filipino citizen
• Age 21 to 65 years old
• Fully-verified account
• High GScore
• Good credit standing
• No fraudulent record

GGives Loanable Amount

You have to register first to GGives to make your purchases anytime. Then, you can loan from Php 1,000 up to Php 50,000. But it is directly paid to the partner merchant. 

Sample Scenario

Your laptop unexpectedly stopped working, and yet you regularly use it for work. Sadly, buying a new one is not part of your budget. How can you continue working and earn money if you don’t have the funds for a device? No worries. With GGives, you can get a brand-new laptop immediately without shelling out cash. Instead, you pay it back in installments, depending on your preference. It’s a win-win. 

What is GCredit?

GCash GCredit is like your own financial superhero. It is a personal credit line that you can use for online payments and in-store transactions. But it only works with partner merchants. It comes in handy, especially if your funds are running low. 

GCredit is a unique feature of the GCash loan app with a virtual credit line. It’s like having a mini credit card in your pocket but using your mobile device this time. You can borrow funds for your transactions until your credit limit. 

If you have GCredit, making purchases and availing of payment services is easy. You don’t have to worry if your GCash wallet has an insufficient balance. But you must settle the loan amount within 45 days of your transaction. 

Interest Rate and Fees

Your GScore significantly affects the GCredit interest rate. Still, the monthly interest ranges from 1% to 7%. You don’t have to guess. The effective rate is visible on your GCredit Dashboard. 

Fortunately, there is no processing fee in GCredit. However, be prepared for penalty charges if you’re past your due date. 

How to qualify in GCredit GCash?

If you have any of the qualifications below, you can apply for a GCash GCredit: 

• Filipino citizen
• Age 21 to 65 years old
• Fully-verified account
• High GScore
• No fraudulent record

GCredit Loanable Amount

Your initial credit limit is Php 1,000, but you can take as high as Php 30,000 as long as you maintain a healthy GScore. GCredit offers a credit limit that depends on your GCash usage and financial behavior. 

Sample Scenario

You can use your GCredit limit to buy groceries and shop online. Also, you can pay your utility bills and other affiliated government agencies. It is super convenient. Topping up your wallet before purchasing is the least of your concerns. Now, you can simply tap with GCredit and settle your bill later. 

With GCash Loan as your go-to buddy, your financial life is more straightforward. It’s like you have a personal finance assistant always available to manage your money with style. However, be reminded that a GCash loan is not free money – you loan to GCash. That’s why you have to pay it back within a certain period. 

7 Top Characteristics of GCash Loan

Now, you can quickly identify the three types of GCash loans you might need. But why should you opt for it instead of other online platforms? Here are the features you can expect from GCash. 

Quick GCash Loan Approval

Applying for a GCash Personal Loan is fast and easy. The process takes less than an hour using your mobile phone and a strong internet connection. Before you know it, you get your loan approved within minutes. That’s why it is the best buddy for emergencies. 

High GCash Loan Amount

Gcash-eligible users can take up to Php 125,000 cash loans. It is higher if you compare it to other digital lending apps. 

Flexible GCash Loan Payment Terms

Repayment is the next best thing with a Gcash loan. You can repay within your chosen installment plan. You can settle your loan cash within six months up to 24 months. 

Amazing Security

Your privacy is the top priority of the GCash loan app. You don’t have to worry about harassment issues when repaying your loan. GCash loan will never ask your family and friends to pay for your quick cash. In addition, you will not experience aggressive collection issues from your loan provider. 

No Collateral

Taking out a personal loan from GCash does not require any collateral. You don’t have to risk your house, lot, land, jewelry, gadgets, and other valuable properties just to receive loan cash. 

Basic Requirements

GCash has a simple list of papers to prepare and contract. With your registered information in the mobile app, credit checking and assessing your creditworthiness is unnecessary. 

Low-Interest Rate and Other Charges

Gcash loan’s interest rate ranges from 0% for the first 14 days. Meanwhile, it goes from 1.59% to 6.57% per month. Other moneylending apps have rates as high as 9% monthly. 

In addition, GCash is full of surprises. They often have rebates or cashback when you least expect them. Nevertheless, it does not have any hidden charges. It means you can loan your way without thinking of additional costs. 

Becoming a fully verified GCash user lets you enjoy these perks hassle-free. It’s not just a reliable e-wallet. 

What are the GCash Loan Requirements and Qualifications?

Do you want to take advantage of a GCash loan? Assess yourself and see if you have what it takes to have one. 

Filipino Citizen. You must be a Filipino citizen to apply for a GCash loan. 

Age. Your age must fall between 21 to 65 years old. 

Fully-verified user. Your priority is that you must be a fully-verified app user. Everything else follows once you secure it. 

Valid Identification. An updated ID is a must-have when applying for a GCash loan. These can be the following:

• Driver’s license
• Postal ID
• Passport
• PRC ID
• SSS ID
• UMID 
• PhilHealth ID
• Pag-IBIG ID

GScore. Your GScore is your personal score for using the GCash mobile app. It is like a credit score based on GCash’s own scoring system. The more you use the GCash program, the more you can increase your GScore. But take note that GScore requirements vary per GCash customer. 

Source of Income. Since it is a collateral-free loan, proof of your income is vital. You may send a copy of your pay slip, bank statement, or Income Tax Return (ITR) for approval. 

Credit Record. You must maintain a good record for faster loan approval. Also, you must refrain from committing any fraudulent transactions to avoid delays or rejections. 

Check your GCash app and see if you are an eligible borrower for a GCash loan. 

How to Loan in GCash?

Are you now more convinced that you can borrow cash from GCash? We listed a step-by-step guide on how to loan money in GCash. 

How to avail loan in GCash GLoan?

Here are the steps for your quick online loan through GCash GLoan. 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GLoan. Read the overview of the interest rate and processing fee. Then, click Get Started. 

Step 4. Enter your loan amount with the slider. Choose your preferred loan duration and purpose of the loan. Then, click Get this Loan. 

Step 5. Verify all your personal loan details before you Continue. 

Step 6. Review your personal data—Tick Agree on the Data Privacy Policy Agreement. You may update your information first if needed. Then, click Next. 

Step 7. Review your loan details. Tick Agree on the Disclosure Statement and Loan’s Terms and Conditions. Then, click Continue. 

Step 8. Confirm the loan amount you will receive. Wait for the six-digit authentication code through SMS.

Step 9. Enter the authentication code and Submit. A prompt will confirm that your loan application is successful. Expect to receive an SMS and loan amount in your GCash wallet within 24 hours. 

How to avail loan in GCash GGives?

You need to register first in GGives before anything else. 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GGives. 

Step 4. Check if all the pre-filled personal data is correct. If yes, click Continue. 

Step 5. Agree to the Fuse Lending Policies.

Step 6. Click Activate my GGives to finish. Wait for a prompt that will confirm that your GGives application is successful. Then, you can use GGives to pay for your online and QR purchases. 

How to use GGives for QR Purchases?

Step 1. Click Pay QR from the dashboard.

Step 2. Scan the store’s QR code.

Step 3. Enter the right amount you need to pay, then click Next.

Step 4. Select GGives for your payment option and specify your preferred installment. 

Step 5. Agree with the Disclosure Statement and click Pay. 

How to use GGives for Online Purchases?

Step 1. Check out your item on the online shopping platform.

Step 2. Select GCash as your payment option. It will automatically redirect you to the GCash app. Log in with your MPIN. 

Step 3. Select GGives and click Next.

Step 4. Agree with the Disclosure Statement and click Pay. 

How to avail loan in GCash GCredit?

Like GGives, you must register your GCredit first to unlock the feature. 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GCredit. 

Step 4. Verify your email address. Then, click Next. 

Step 5. Complete all your personal data. Then, click Continue. 

Step 6. Double-check all the details before you click Submit. You will receive an email or SMS update within 1 to 3 days. 

How to Pay GCash Loan?

When you loan to GCash, you must remember your obligation—repayment. We listed a step-by-step guide on how you can pay your GCash loan. 

GCash Loan Payment for GLoan

GCash will automatically deduct the repayment amount from your e-wallet balance if it’s your due date. But you can use the GCash loan app or visit any GCash partner outlets. 

With GCash mobile app: 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GLoan. 

Step 4. Select Pay for GLoan in the dashboard. 

Step 5. Enter your repayment amount and click Next. 

Step 6. Check all the details and select Pay. Wait for the payment receipt. 

With Gcash partner outlet:

Step 1. Visit any GCash outlet. 

Step 2. Present your original loan agreement form.

Step 3. Pay for the due amount. 

Step 4. The cashier will process your repayment. Wait for the stamped receipt that will serve as your proof of payment. 

GCash Loan Payment for GGives

GCash deducts your overdue GGives balance from your e-wallet automatically. But you may opt for advanced payments if you like. 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GGives. 

Step 4. Enter the loan amount you wish to repay. 

Step 5. Confirm your payment. 

Step 6. Wait for the notification that will serve as your payment receipt. 

GCash Loan Payment for GCredit

A GCredit Auto-Deduct feature lets you repay the minimum amount due from your GCash wallet. It automatically deducts your payment for the billing period. But you can use the GCash app, or you may visit any of the GCash payment partners. 

With GCash mobile app: 

Step 1. Log in to your GCash account.

Step 2. Select Borrow on the dashboard.

Step 3. Click GCredit. 

Step 4. Select Pay for GCredit in the dashboard. 

Step 5. Enter your repayment amount and click Next. 

Step 6. Check all the details and select Pay. Wait for the payment receipt. 

With Gcash partner outlet:

Step 1. Visit any GCash outlet. It can be BPI Payment Facility, Bayad Center, Metrobank, BDO, and BDO online banking. 

Step 2. Present your original loan agreement form.

Step 3. Pay for the due amount. 

Step 4. The cashier will process your repayment. Wait for the stamped receipt that will serve as your proof of payment. 

What is GScore?

GScore is your personal financial grade within the GCash app. It’s like a cool badge that shows how responsible and trustworthy you are with your finances. It is like a game where you earn points. If you have a higher GScore, you’ll look like a financial superstar in the eyes of GCash. It takes into account your overall financial behavior, transaction history, and account usage. 

If you secure a high GScore, you can enjoy various perks of the mobile app. You can unlock exclusive features like GLoan, GCredit, and GGives. Also, you can gain higher transaction limits. 

Don’t fret if you still have a low GScore. You can still enjoy the advantages if you do your best to increase your grade. 

What can I do to Increase GScore?

You can increase your GScore by simply using the various features of the GCash app. These are as follows:

Cash in. Maintain an active e-wallet balance. Continuously adding more funds to your account helps you increase your score. 

Money transfer. Send funds to your family and friends. The higher amount you send to another GCash user, the higher your GScore will be. 

Bills payment. Pay your bills with the GCash app instead of Bayad Centers. Regular payments of SSS, Pag-IBIG, Meralco, PLDT, Globe, and other utility bills add to your score. 

Pay using QR codes with partner merchants. QR code transactions are reflected in your payment history. Thus, it adds up to your record that will be assessed. 

Save with GSave. GSave does not only assist you with your GScore, but It is GCash savings account with zero fees, high interest rates, and free insurance. 

Avail with GCredit. If you have a GCredit account, it will indicate your payment habit. So pay your due balance on time and in full amount diligently. 

Where to Find GScore?

You can check your current GScore with these steps. 

Step 1. Log in to your GCash account. 

Step 2. Click Profile in your GCash app.

Step 3. Click GScore. 

Step 4. View your GScore. 

What else can I Do with GCash?

There are a handful of financial activities you can do with GCash. Aside from getting loans, you can make different transactions. 

Send and Receive Money 

You can send money to your family, friends, or other GCash users and bank accounts. At the same time, you can receive fund transfers from them, too. 

Buy Mobile Load

Reload your own number and others as well. You may even start your own business as a reloading station with GCash. 

Pay Bills

Avoid long queues and later payments with GCash bill payments. You can pay your utility bills, credit card bills, loans, and government dues. 

Online Shopping

Whether your e-wallet has funds or not, you can continue shopping. GCash loan online allows you to make purchases even though your GCash wallet runs low. 

Begin Investment

Dip your toes into the overwhelming world of investment. You may start growing your wealth as low as Php 50. 

Save More

Save money with your digital wallet and watch your funds grow over time. Open a savings account so you can deposit and withdraw your cash anytime.

Cash In and Cash Out

Maximize the flexibility of cash in and cash out from partner establishments nationwide. Load your GCash wallet through bank transfer, remittance center, and selected partner outlets. Withdraw your funds through ATMs and partner establishments. 

GCash keeps getting better and better. It adds new features and partnerships that make your financial management more convenient. 

Takeaway

GCash is a revolutionary access to extra quick cash. With your mobile phone, you can apply for a loan, receive the funds, and spend it instantly. On top of that, you can save and pay your other financial obligations by visiting a traditional bank. However convenient it may seem, GCash loan review always faces regular maintenance that affects accessibility. When this happens, you might need a backup plan for your finances. 

With Cash Mart, you can take out a personal loan in minutes, anytime, anywhere. Check out their official website and see more of the loan products and services they offer. 

Frequently Asked Questions

What is the minimum GScore required for GLoan?

You can qualify for a GLoan with a minimum score of 80. If you have less than that, you can still apply if you increase your GScore. Nevertheless, you must still have a fully verified GCash account to be eligible for a GCash loan. 

When will my GCash Loan application be approved?

You will immediately know if your GLoan application gets approval. A confirmation prompt will appear on your phone. Also, you will receive a confirmation message in your email or via SMS. Then, the loan cash will be reflected in your GCash wallet. 

Is there a minimum amount to borrow for first-time borrowers?

The loan amount greatly depends on your GScore and eligibility. If you have a high GScore, even if you’re a first-time applicant, you can still be granted a high loan amount at a low-interest rate. 

Can I use my GCredit to pay for my GLoan balance?

No. You can only pay your GLoan with your e-wallet balance. Meanwhile, you can only use your GCredit for partner merchants. 

Where can I check my GCash Loan status?

You can instantly know the status of your loan application after clicking submit. 

What to do if I don’t receive my cash loan from GCash?

GLoan processing time takes 24 hours. You may file a ticket if your quick cash does not reflect on your wallet after 24 hours of approval. Go to GCash Customer Protect immediately and click Submit a Ticket. 

Can I pay my GCash loan in advance?

Yes. You will not incur fees for paying ahead of time. Instead, you’ll receive an interest cashback equivalent. It comes from the total interest amount that you have not incurred yet. 

For example, you have a loan payable in 6 months. You paid the loan amount in the fourth month. You will have a cashback equivalent to the two months’ interest that has not been incurred yet. At the same time, you improve your GScore of early repayment.

Are you looking for a comprehensive guide on a business loan in the Philippines? Worry no more. 

We have the answers you’re looking for. We listed the top vital points to consider when taking out a business loan Philippines. 

Starting a new venture always seems to be intimidating. You must know every nook of the business. It starts from your concept, supply and demand, up to the laws that govern your industry. Most importantly, you have to be financially capable. Or else, you’ll be preparing your business to its doom.

Luckily, you can explore more options with business loans in the Philippines.

Table of Content

What is Business Loan in the Philippines?

How to Get a Business Loan in the Philippines?

• Business Loan with Collateral
• Business Loan without Collateral
• Term Loan
• Credit Line Loan

What are the Business Loan Requirements Philippines?

Where to Loan for Small Business in the Philippines?

• Government Loans for Small Business Philippines
  • DTI & SB Corp Business Loan
  • SSS Business Loan
  • OWWA Business Loan
• Best Banks for SME Loan Philippines
  • Banco de Oro Business Loan
  • Bank of the Philippines Islands Business Loan
  • Land Bank of the Philippines Business Loan
  • Metrobank Business Loan
  • Security Bank Business Loan
  • UnionBank Business Loan

• Private Money Lending Company Loan Philippines
  • First Circle
  • Esquire Financing
  • Radiowealth Finance Company
  • Cash Mart Philippines

6 Practical Tips when Applying for Business Loan Philippines

• Determine your Loan Purpose
• Calculate the Loan Amount
• Figure Out the Loan Term
• Review the Interest Rate
• Evaluate Repayment Scheme
• Weigh the Need for Collateral

Frequently Asked Questions

• How long will I wait for my business loan approval?
• What should I do if my business loan application gets rejected?
• What happens if I fail to repay my business loan?
• Can I take out a business loan Philippines and use it for other financial needs?
• Can I still apply for a business loan even if I have no credit history?

What is Business Loan in the Philippines?

In the Philippines, a business loan refers to a financial product offered by banks, financial institutions, or government agencies. It assists you in obtaining funds for your business-related expenses. Its design provides capital for various business needs, such as expansion, working capital, purchasing equipment, inventory financing, or even starting a new business.

Business loans Philippines typically have specific terms, conditions, and eligibility criteria set by the lender. As a result, your loan amount, interest rates, repayment periods, and collateral requirements vary. It all depends on your lender and the specific loan product you need.

To apply for a business loan, you need to provide relevant documents. It includes your business plan, financial statements, income tax returns, bank statements, and proof of identification. Lenders assess the creditworthiness and viability of your business before approving the loan.

Different types of business loans are available in the Philippines. These are term loans, revolving credit lines, equipment financing, and government-sponsored loans. Each type serves different purposes. Plus, it has its own set of requirements. Therefore, you must familiarize yourself with these before you proceed with your loan application.

Furthermore, thorough research and comparing loan options from different lenders is necessary. It guides you to find the most suitable terms and conditions for your business needs. Additionally, it ensures that you have a solid repayment plan in place. This way, you can manage your loan responsibly and avoid any financial difficulties in the future.

How to Get a Business Loan in the Philippines?

The business loan application process varies based on the lender and type of loan you prefer. Below are the terms you need to know before taking out a loan. 

Business Loan with Collateral

Secured business loans are loans where the borrower pledges collateral to secure the loan. Your collateral serves as a form of security for the lender. It lowers the risk associated with the loan. If you default on your loan, the lender has the right to seize and sell the collateral to recover the outstanding debt.

Key Aspects of Secured Business Loans

Collateral

Collateral can be your tangible assets. For example, it can be your real estate, equipment, inventory, vehicles, or accounts receivable. The acceptable assets depend on the lender’s policies and the nature of your business. Afterward, the value of the collateral will be assessed by the lender to determine the maximum amount you can loan.

Loan Amount and Terms

A secured business loan may increase your chances of obtaining a higher loan amount. Also, it may provide you with more favorable terms. The loan amount will typically be a percentage of the collateral’s appraised value, known as the loan-to-value (LTV) ratio. In addition, the interest rates, repayment period, and other loan terms will be influenced by the collateral provided.

Collateral Evaluation 

Some lenders require a professional appraisal or valuation of the collateral to determine its worth. The evaluation ensures that your collateral’s value aligns with the loan amount requested. The borrower usually bears the appraisal cost.

Collateral Documentation

A business loan with collateral requires documentation related to the collateral. These are property titles, registration papers, or ownership certificates. It establishes your ownership and provides evidence of the collateral’s value.

Risk and Default

Collateral provides security to the lender. However, it also carries risks for the borrower. If you fail the loan repayment, your lender can hold and sell your collateral. On the other hand, it helps them to recover the outstanding debt. That’s why assessing your business’s financial health and repayment capabilities is crucial. It saves you from defaulting on the loan and potentially losing the collateral.

Repayment Responsibility 

As a borrower, fulfilling your repayment obligations on time and according to the agreed terms is vital. Being negligent can result in default, leading to collateral loss. Therefore, it is essential to have a solid repayment plan in place before acquiring a secured business loan.

Assess your business’s financial situation, evaluate the risks and benefits, and carefully review the terms and conditions before securing a business loan with collateral. Additionally, seeking professional advice from legal and financial experts can provide valuable guidance in the decision-making process.

Business Loan without Collateral

An Unsecured Business Loan is a loan where the borrower does not need to provide collateral to secure the loan. Often, getting approved is based on the borrower’s creditworthiness, financial history, and business credentials.

Key Aspects of Unsecured Business Loans

No Collateral 

Unsecured loans do not need pledge-specific assets as collateral. As a result, you don’t have to risk any property if you default on the loan. Instead, the lender evaluates your creditworthiness and financial health to determine the loan eligibility.

Loan Amount and Terms

The loan amount for unsecured business loans is generally lower compared to secured loans. Lenders may offer an amount based on your business’s financial performance and repayment ability. However, the interest rates are often higher than secured loans due to the increased risk for the lender.

Eligibility Criteria

Lenders with unsecured business loans assess several factors. It includes your personal and business credit history, revenue generation, profitability, time in business, and industry risk. In addition, they may require you to provide business financial statements, bank statements, tax returns, and other documentation to evaluate your creditworthiness.

Application Process

Applying for an unsecured business loan needs detailed information. These are all about your business, like financial statements, business plans, tax returns, and other relevant documents. The lender will review your application, assess your creditworthiness, and decide based on their evaluation.

Higher Interest Rates

Due to the higher risk involved, unsecured business loans often come with higher interest rates. Lenders compensate for the increased risk by charging a higher cost of borrowing. Consider the interest rates and associated fees to ensure the loan is financially viable for your business.

Repayment Terms

A business loan without collateral usually has fixed repayment terms. It includes your monthly installments over a specified period. The repayment period varies based on your lender and the loan amount. It’s essential to understand the repayment schedule. Also, ensure that your business’s cash flow accommodates monthly payments.

Risk and Responsibility

Unsecured loans carry more risk for lenders. There is no collateral to mitigate their potential losses. As a borrower, you are responsible for repaying the loan per the agreed-upon terms. Only timely payments can positively impact your credit score. Worse, it may result in legal action by the lender.

Evaluating your business’s financial stability, repayment capacity, and the terms and conditions offered by different lenders is crucial. Always compare loan options and seek professional advice. It helps you make an informed decision that aligns with your business needs.

Term Loan

A term business loan is a loan that provides a fixed amount of funds to a borrower for a specific period. The loan term is common in financing for businesses. Often, it is used for business expansion, working capital, equipment purchase, or inventory management.

Key Aspects of Term Business Loans

Loan Amount 

Term loan allows the borrower to receive a lump sum of money upfront. The determination of your loan amount is based on various factors. These are your creditworthiness, financial history, business performance, and the lender’s policies.

Loan Term

A term loan has a fixed repayment term, typically specified during loan approval. It ranges from a few months to several years, depending on the lender and the borrower’s requirements. For example, standard loan terms for business loans can be one, three, five, or ten years.

Interest Rates

Term business loans have fixed or variable interest rates. Fixed interest rates have the same rate throughout the loan term. It provides you with stability in monthly payments. Meanwhile, Variable interest rates can fluctuate based on market conditions. Often, it changes your monthly payment amounts.

Collateral Requirements

The lender’s policies and the borrower’s credit profile play a vital role. For example, some term loans require collateral to secure the loan. However, others may be available without collateral.

Application and Approval Process

Applying for a business term loan needs you to provide documentation, like financial statements, tax returns, business plans, bank statements, and other relevant information. The lender evaluates the borrower’s creditworthiness and business viability before approving the loan.

Repayment Structure

Term loans generally require monthly or quarterly repayments with both principal and interest portions. It depends on the loan amount, interest rate, and loan term. Longer terms often come with monthly payments lower than others. However, you may have higher overall interest costs.

Banks, credit unions, and online lenders widely offer term business loans. First, compare loan terms, interest rates, fees, and repayment structures from different lenders. Then, find the most suitable option for your business. Also, carefully review the loan agreement and understand all the terms and conditions before accepting any term business loan.

Credit Line Loan

A credit line business loan is also known as a revolving credit facility or a business line of credit. The loan provides businesses with access to a predetermined amount of funds. You can borrow and repay repeatedly within a specified credit limit. It offers you flexibility and allows you to draw funds as needed. Somehow, it is similar to a credit card.

Key Aspects of Credit Line Business Loans

Credit Limit

A lender establishes a maximum credit limit. It represents the total amount of funds your business can borrow. The basis of credit limit is your business’s creditworthiness, financial history, and revenue-generating capacity.

Borrowing and Repayment

A credit line business loan allows you to borrow funds as needed. But it is up to the established credit limit. Once funds are borrowed, they can be repaid in full or in installments. As the funds are repaid, they become available to be borrowed again, allowing for revolving credit.

Interest and Fees

Your interest charge is only for borrowed funds, not the entire credit limit. The rate on a credit line loan can be fixed or variable. It all depends on the terms agreed upon with the lender. In addition to interest rate, you are responsible for paying fees, such as annual maintenance or transaction fees, for each drawdown.

Collateral Requirements

A credit line can be secured or unsecured. Secured credit lines require your business assets or personal assets. Unsecured credit lines do not require collateral but have stricter credit requirements and higher interest rates.

Repayment Structure

The repayment structure for a credit line business loan varies. It depends on your lender and your agreed-upon terms. Minimum monthly payments include interest charges and a portion of the principal balance. You can continue to borrow and repay as needed if you remain within the credit limit.

Renewal and Review

Credit line loans often have a specific term, such as one or two years. Afterward, the loan may need to be renewed or reviewed by the lender. During renewal, your lender reassesses your creditworthiness and financial situation to determine whether to extend the credit line.

Credit line provides businesses with ongoing access to funds. It offers flexibility to manage your cash flow and meet your financial needs as they arise. Before entering into a credit line business loan agreement, consider the terms and conditions, including interest rates, fees, and repayment terms.

What are the Business Loan Requirements Philippines?

The specific requirements for a business loan in the Philippines may vary. It always depends on the lender and the type of loan you are applying for. However, here are the primary documents you must prepare. 

Business Registration

You should have a registered business in the Philippines with all the necessary permits and licenses.

Business Plan

A comprehensive business plan outlining your company’s goals, strategies, financial projections, and repayment plans is essential. In addition, it helps your lender assess your business’s viability and potential profitability.

Financial Statements

You will need to provide financial statements about your business. These are your balance sheets, income statements, and cash flow statements. Note that these documents must be prepared by a certified public accountant (CPA). Also, it must reflect your business’s financial performance and stability.

Collateral

It depends on the loan type and amount you borrow. Lenders may require collateral as security. Collateral can be in the form of property, equipment, inventory, or other valuable assets. 

Personal and Business Credit History

Lenders evaluate both your personal and business credit history to assess your creditworthiness. A good credit score enhances your chances of loan approval and may lead to more favorable terms.

Bank Statements

Bank statements for the past six months or more give lenders insight into your business’s cash flow and financial transactions. It helps them evaluate your ability to generate revenue and manage finances.

Legal Documents

You must provide legal documents such as identification cards, proof of address, and tax identification numbers (TIN). It includes both the business and its owners or directors.

Loan Purpose and Repayment Plan

You must clearly explain the loan’s purpose and how it will benefit your business. Additionally, you must provide a repayment plan. Finally, it must outline how you intend to repay the loan within the agreed terms.

Industry-specific Requirements

Lenders may request additional documents or requirements specific to your industry. For example, if you’re in the food industry, you may need to provide permits and clearances related to food safety.

These documents are general guidelines. Be reminded that each moneylender may have its specific criteria. It’s best to inquire directly with the lender or financial institution you plan to approach for a business loan. This way, you get precise information about their requirements.

Where to Loan for Small Business in the Philippines?

Banks are not your only choice to apply for your start-up business. You can have access to various financial assistance. Check out your possible option below. 

Government Loans for Small Business Philippines

Several government programs and institutions offer loans and financial assistance to small businesses in the Philippines. Here are some notable government loan programs for small businesses in the Philippines.

DTI & SB Corp Business Loan

Small Business Corporation is a government-owned and controlled corporation under the Department of Trade and Industry (DTI). It offers various loan programs specifically designed for SMEs in different sectors. Examples include the COVID-19 Assistance to Restart Enterprises (CARES) program and the P3 (Pondo sa Pagbabago at Pag-asenso) program.

When to Use DTI & SB Corp

Bayanihan Cares 2 Program is for MSMEs affected by the devastating pandemic and quarantines. The P3 Program is for existing micro-businesses worth Php 3M and below assets and 9 or fewer employees. 

Loan Amount

Bayanihan Cares 2 offers Php 10,000 to Php 5,000,000 based on your asset size and annual business sales. On the other hand, P3 Program offers Php 5,000 to Php 200,000, but it still depends on the business size. 

Loan Term

Bayanihan Cares 2 has 1 to 4 years, depending on your loan amount. 

P3 has a maximum of 18 months for a Php 50,000 loan amount and a maximum of 30 months for over a Php 50,000 loan amount. 

Interest Rate

Bayanihan Cares 2 is a zero interest rate and no collateral, while P3 has a 2.5% monthly interest rate. 

SSS Business Loan

Social Security System holds an SSS Business Loan Program to help aspiring entrepreneurs. It enhances your business productivity so you can grow your earnings.

When to Use SSS Business Loan in the Philippines

SSS Business Development Loan is for your business diversification and expansion. SSS Asenso is Access to Smal Enterprises to Sound Lending Opportunities. It provides better access to funding for every SMEs needs. 

Loan Amount

SSS Development Loan offers the lowest amount based on the following: Php 500,000, requested loan amount, collateral value, and total project cost. Meanwhile, SSS Asenso has a maximum loan amount of Php 5,000,000.

Loan Term

SSS Business Development is up to 15 years. On the other hand, SSS Asenso has short-term for 1 year and long-term for up to 5 years. 

Interest Rate

The interest rates depend on the prevailing SSS rates. 

OWWA Business Loan

OWWA Loans are for OFWs who want to become business owners but need more funds for capital. Suppose you were working overseas, whether, by sea or land, you could receive the financial assistance you need. So you can start a profitable venture and generate income in no time. 

When to Use OWWA Business Loan

OFW Reintegration Loan Program is under the LandBank of the Philippines. Although it is available for franchise businesses, you can use it for agricultural and non-agricultural production. 

Loan Amount

Php 100,000 to Php 5,000,00

Loan Term

Short-term lasts up to 1 year, while Term loans must not exceed 7 years.

Interest Rate

Fixed 7.5% p.a. for the entire loan duration

Best Banks for SME Loan Philippines

Several banks in the Philippines offer SME (Small and Medium Enterprise) loans. Each bank for vary in interest rates, loan terms, eligibility criteria, customer service, and the specific needs of your business. Here are some well-known banks in the Philippines for their business loan offerings. 

Banco de Oro Business Loan

Business Loan Philippines BDO offers secured SME Loan programs, such as the SME Term Loan and SME Ready Check Credit Line Loan. Also, it provides a wide range of financing options like SME Short-Term Loan and Working Capital Loan. 

When to Use BDO Business Loans

If you want an aggressive expansion that requires a large lump sum amount, SME Term Loan is what you need. You can use it to purchase new assets like machines and equipment, real estate properties, renovations, repairs, and construction of business facilities. 

If you’re looking for more extensive operations funding to augment working capital, opt for SME Ready Check. It involves the purchase of inventory and supplies for seasonal and bulk orders. 

Loan Amount

Php 1,000,000 to Php 20,000,000

Loan Term

Up to 10 years

Interest Rate

Utilize their online loan calculator

Bank of the Philippines Islands Business Loan

BPI offers different secured SME loan products, including the BPI SME Business Credit Line, BPI SME Term Loan, and BPI SME Negosyo Credit. They have flexible loan terms and cater to various industries and business sizes.

When to Use BPI Business Loan Philippines

BPI SME Term Loan is ideal for supplier payments and equipment purchases. Also, it is best for additional working capital, capital expenditures, and expansion. 

BPI SME Credit Line finances your on-spot and unplanned expenses. It bridges your working capital requirements for the business. 

Loan Amount

Minimum of Php 300,000

Loan Term

SME Term Loan has a maximum of 5 years, while SME Credit Line is 1 year renewable. 

Interest Rate

Both BPI Business Loans have a prevailing market interest rate.

Land Bank of the Philippines Business Loan

Landbank offers loan programs tailored for SMEs. These are the Term Loan Facility, Working Capital and liquidity Facilities, Exporters Production Support Facilities, and Farm Tourism Financing Program. They specialize in catering to the financing needs of SMEs in various sectors.

When to Use LandBank Business Loans

Take out the Term Loan Facility if you need funding for your business capital expenditures. Working Capital and Liquidity Support is your best choice for daily business operations and financial needs. If your business focuses on export operations, apply for Exporters Production Support. However, if your venture develops farn tourist camps and activities, have Land Bank’s Farm Tourism Programming. 

Loan Amount

Php 1,000,000 to Php 20,000,000

Loan Term

Up to 5 years

Interest Rate

The interest rate depends on the amount borrowed. You may check the bank’s official website for reference. 

Metrobank Business Loan

Metrobank provides SME loans to support businesses’ growth and expansion plans. Their loan products are Metrobank SME Term Loan, Metrobank SME Short-Term Loan, and Metrobank SME Credit Line. Also, Metrobank offers customized loan packages based on specific business needs.

When to Use Metrobank Business Loan

If you want to jumpstart your business operations, Metrobank SME Term Loan is what you need. It has Puhunan Loans that help you begin construction-related projects, facility acquisition, general merchandise trading, and product development. 

In addition, SME loans of Metrobank approve agri-business loans. Therefore, you can proceed with your livestock and grains trading and food processing. 

Moreover, you can have your store with franchise business loans. You can acquire the franchise package of your chosen business and its pre-operating capital. 

Loan Amount

Php 500,000

Loan Term

Short-term lasts up to 360 days, while Long-term lasts 2 to 7 years.

Interest Rate

Offers competitive interest rates in the market.

Security Bank Business Loan

Security Bank offers SME loans to help businesses meet financing requirements. They have various loan products, such as the Security Bank SME Business Express Loan, SME Business Express Revolving Credit Line, and SME Business Express Credit Line. In addition, they provide personalized solutions and competitive interest rates.

When to Use Security Bank SME Business Express Loan

If you need financing for unsecured short-term needs, SME Business Express Loan is what you need. It is tailor fit to any of your business’s growing needs. For example, your cash for day-to-day operations, office spaces, and equipment. 

Loan Amount

Php 1,000,000 to Php 5,000,000

Loan Term

Up to 36 months

Interest Rate

1.5% to 1.95%, but it depends on the loan term

UnionBank Business Loan

UnionBank offers an unsecured SME loan that assists your business growth and development. Their loan offerings include the UnionBank SME Term Loan, UnionBank SME Revolving Credit Line, and UnionBank SME Commercial Real Estate Loan. In addition, they focus on providing flexible loan terms and quick approval processes.

When to Use Union Bank Business Loan

If you need extra funding for inventory and payroll, capital investment, equipment, and infrastructure expenses, take out any UnionBank SME loans. 

Loan Amount

Php 50,000 to Php 1,000,000

Loan Term

1 year to 3 years

Interest Rate

3%

Choosing business loans from banks requires thorough research and comparing loan products, interest rates, fees, and terms offered. Also, consider other factors such as loan eligibility requirements, collateral requirements, loan repayment options, and customer reviews. In addition, you should directly contact the banks or visit their websites. This way, you get the most up-to-date information on their loan offerings. Plus, you can discuss your specific business needs with their representatives.

Private Money Lending Company Loan Philippines

Private money lending companies in the Philippines specialize in providing business loans to individuals and companies. These companies offer alternative financing options outside of traditional banks. Here are some well-known private money lenders that provide business loans. 

First Circle

The reputable lender provides unsecured working capital loans to small and medium enterprises. You can use its digital platform and leverage technology for fast and accessible business financing options.

When to Use First Circle

Revolving Credit Line suits you if you need to purchase orders and issue invoices. It helps you in buying additional inventory, especially during peak seasons. Also, it aids in your finances for extending credit to your customers. 

Loan Amount

Php 250,000 to Php 10,000,000

Loan Term

Renewable for every 6 months up to 1 year

Interest Rate

1.39% per month, depending on the business profile, loan amount, term length, and borrower’s payment frequency. 

In addition, First Circle offers the best price guarantee for any SME with non-collateral financing from a different lender. It can beat their price by 10%.

Esquire Financing

The trusted moneylender offers unsecured business loans and factoring services to SMEs. In addition, they provide financing solutions tailored to the needs of various business industries. 

When to Use Esquire Financing

It is best used when you opt to expand your business and additional working capital. You can apply for it if you need funding for retail, manufacturing, and services without collateral. 

Loan Amount

Php 100,000 to Php 10,000,000

Loan Term

90 days to 360 days

Interest Rate

3.5% per month

Radiowealth Finance Company (RFC)

The legit lending company offers secured and unsecured business Term Loans. It is a non-bank organization that helps SMEs, including micro, small, and medium-sized businesses. 

When to Use Radiowealth Finance Company

You may apply for an RFC business loan for specific equipment purchases. It may range from appliances to farm equipment and trucks. Some of its loan products are:

• Truck Loan
• Farm Equipment Loan
• Appliance Loan
• Machinery and Equipment Loan
• Working Capital Loan
• SME Micro Loan

Loan Amount

Php 10,000 to Php 3,000,000

Loan Term

3 months to 18 months

Interest Rate

3.7% per month. You may also check their website for their online loan calculator.

Cash Mart Philippines

Cash Mart is an SEC-registered moneylending company that assists entrepreneurs. Whether you are a starting venture or a fast-growing business, you can borrow funds. In addition, you can take out a loan in the comfort of your home as long as you are eligible. 

When to Use Cash Mart Philippines

You can borrow money in Cash Mart for personal needs and business development. You need to choose the necessary loan amount.

Loan Amount

Up to Php 50,000

Loan Term

Up to 60 days, but it varies depending on the loan amount

Interest Rate

0.8% to 3.5% 

When considering private money lending companies, carefully review their loan terms, interest rates, fees, repayment options, and loan eligibility criteria. Assess the lending company’s credibility and reputation by checking customer reviews, conducting background research, and verifying their legitimacy with relevant government authorities like SEC. It’s advisable to shop around multiple private lending companies. This way, you can choose the best one that suits your business’s needs and offers favorable terms.

6 Practical Tips when Applying for Business Loan Philippines

You probably have a lender in mind. But before you get excited about the loan application, remember to do the following first. 

Determine your Loan Purpose

First of all, why do you need to apply for a loan? There are various reasons why—the common loan reasons of business owners. 

Business Expansion

Expanding the business is the peak goal of every entrepreneur. Therefore, most banks approve your loan applications if you aim to buy new land or real estate for a developing operation. No worries. It is acceptable if you’re just looking for a small working area. 

However, be reminded that SME loans require collateral. In addition, consider the expansion if you can see that the business growth is on the right path. 

Equipment Procurement

Other business owners opt for better equipment and facilities. For example, instead of applying for your loan business expansion, you opt for a smaller amount for purchasing equipment. 

But still, keep in mind that you have to oversee the cost-benefit analysis. For example, is it practical for the business to buy a new tool now? Or will you stick to leasing your machinery for the long term? 

Need More Working Capital

Is your business on the path to success, but you need to increase your funds for day-to-day operations? Then, you can apply for a term loan to meet your business’s daily needs. 

However, be mindful of your decision. For example, taking out an SME loan to expand the business is riskier than borrowing money for working capital. 

Upgrade Marketing Strategy

Marketing strategies have a pivotal effect on every business. You must always stay on trend and adopt new techniques to gain visibility and credibility. If you see this need, you’ll surely need more funds. 

Investing in the latest software and technology, employee training, and hiring new staff is an expenditure. But if you can use it properly, you can gain more revenue in the future. You can talk to a trusted moneylender if you have a clear goal. In addition, you can better visualize where the loan cash will go. 

Calculate the Loan Amount

Once you decide on the sole loan purpose, you can identify the estimated loan amount you need. Often, it varies on your lender and loan type. Here is a scenario. 

Try applying for a business loan from banks and government agencies. You’ll notice that banks entertain more entrepreneurs than the latter. Nevertheless, don’t underestimate private lenders. Some of them, like Cash Mart, lend more. 

In addition, if you need a higher loan amount, choose secured business loans. However, the value of your collateral significantly affects the quick online cash loan you’ll get. Therefore, if you offer a high-value property, you are qualified for a higher loan amount. 

Calculating the loan amount needed is a crucial step. You have to consider the interest and repayments based on your sales and revenues. That’s why you must review the balance sheets beforehand. This way, you can have an overview of your business and whether you can cover monthly amortization.

Figure Out the Loan Term

Can you repay your loan within a year? Or will you need a more extended plan to cover the expenses required in your business? Your loan tenor can help you shorten your financial dilemma or prolong the agony of monthly repayments. Nevertheless, one of the deciding factors in this aspect is the business status. 

Review the Interest Rate

Look for the lowest rate possible to get the best interest rate on your business loan. However, it is significantly tricky if interests vary for every lender. Also, you must consider the loan type, loan term, and your lender’s prevailing rate. For example, unsecured loans come with higher interest rates than secured loans. 

You can narrow your options if you see the difference between effective interest rates and APR. Comparing these two provides a visible benchmark. However, lenders often advertise the loan interest rate only. The actual loan cost, your APR, includes everything charged to your loan. 

Evaluate Repayment Scheme

Repaying your business loan involves adhering to the agreed-upon repayment terms and schedule set by the lender. Loan repayment is possible through the following. 

Installment Payments

The most common repayment method which makes regular fixed payments, including both principal and interest. It comes in monthly, quarterly, or annual options. Your repayment schedule and the installment amount will be determined based on the terms agreed upon with the lender.

Automatic Debit Arrangement (ADA)

Some lenders may offer an ADA option. Your loan repayment is automatically deducted from your business bank account on the agreed-upon dates. It ensures timely payments and eliminates the need for manual transfers.

Post-Dated Checks (PDCs)

Another method wherein post-dated checks correspond to the scheduled repayment dates. The lender will deposit the checks on the respective due dates.

Online or Mobile Banking

Many banks and lending institutions offer online or mobile banking services. It allows you to repay a loan electronically. Also, you can transfer funds directly from your business bank account to the loan account. You may either use Internet banking platforms or mobile apps.

Over-the-Counter Payments 

Some lenders may accept over-the-counter payments at their branches. Sometimes, they have authorized payment centers. You can physically visit the designated locations and make cash or check payments.

Online Payment Gateways

A lender may provide an online payment gateway where you can make electronic payments. For example, you can use debit cards, credit cards, or other online payment platforms.

Early or Lump Sum Payments

You may opt for early or lump sum payments if you have the financial capacity. It helps you repay the loan faster. But you must ask your lender first. Sometimes, doing so may result in no prepayment penalties or restrictions.

Weigh the Need for Collateral

Business loan Philippines often requires collateral for you to get approved. Although there are available loans that don’t require you to have one, it’s best if you have an asset ready. With a loan purpose in mind, you have an estimate of the loan amount you need. Therefore, look into the appraised value of your properties. 

Borrowing money with high-value asset increases your chances of approval. Also, your on-hand property helps you explore more reputable lenders. Plus, a piece of your property decreases the loan risk. As a result, your online lending comes with lower interest rates. 

On the other hand, if you have limited options as your collateral, you tend to settle for lending companies with complicated loan terms. In addition, you may get approved with a low loanable amount and potentially high-interest rates.

These are the typical scenarios for taking out a business loan from banks. Nevertheless, you can still look into private money lending companies. From there, you can decide whether or not to continue your loan application with your chosen lender. 

Takeaway

A business loan Philippines plays a vital role in supporting entrepreneurs. If you are well-prepared throughout the loan application process, you can maximize your chances of securing the funding your business needs. Consider all available options carefully, meet the requirements, and maintain a strong credit profile. With careful planning and execution, you can leverage business loans to fuel your entrepreneurial journey. Cash Mart can be your best bet to fulfill your financial needs. 

Frequently Asked Questions

How long will I wait for my business loan approval?

The duration for business loan approval varies depending on several factors. These are the loan provider, loan amount, credit history and financial standing, application completeness, and internal processes. 

It is challenging to provide an exact timeline without knowing the specific details of your loan application. But generally, it can take a few days to several weeks for a business loan to be approved. Therefore, contacting potential loan providers directly is advisable to get a more accurate estimate based on your circumstances and their current processing times.

What should I do if my business loan application gets rejected?

Getting a loan rejection means something other than the end of your business aspirations. Instead, take it as an opportunity to improve your application and explore other avenues. Persistence, determination, and a well-prepared application can significantly increase your chances of securing financing for your business. Here’s what you can do. 

• Understand the Reason
• Review Your Application
• Improve Your Credit Profile
• Seek Expert Advice
• Explore Alternative Financing Options
• Strengthen Your Business Plan
• Build Relationships

What happens if I fail to repay my business loan?

Failure to repay your business loan Philippines has serious consequences. Some potential outcomes of defaulting are late payment fees and penalties, negative impact on credit score, collateral seizure, personal liability, legal action, collection efforts, and difficulty obtaining future financing. 

Always maintain open communication with your lender. If you are experiencing difficulties with your repayment, inform them beforehand. It helps in mitigating the potential consequences of your loan default. 

Can I take out a business loan Philippines and use it for other financial needs?

It is advisable to use a business loan for its intended purpose. However, reading and understanding the specific terms and conditions of the loan will determine whether you can use the funds for other financial needs. 

Can I still apply for a business loan even if I have no credit history?

Yes, applying for a business loan is possible even with no credit history. Your credit history can help demonstrate your creditworthiness to lenders. However, it is only sometimes a mandatory requirement. In addition, you must present your business’s strengths, such as a solid business plan, financial projections, industry experience, and the ability to generate cash flow. Documentation and information showcasing your business’s potential and ability to repay the loan can strengthen your application.

Recently, digital banks continuously grow in the Philippines. It is evident in the rise in customer enrollments since 2020. However, our country is comparably slower adapting than our Asian neighbors. 

There might be a lack of knowledge about digital banks. You might have heard your friends or colleagues talk about digital banks. Which digital banking platform is suitable for you? Find out the answer as we delve into the best digital banks in the Philippines. 

Table of Content

What is Digital Banking?

• Digital Banking vs Traditional Banking
• Online Banking vs Mobile Banking vs Digital Banking

What are the Benefits and Drawbacks of Digital Banking in the Philippines?

• Advantages of Digital Banking
• Disadvantages of Digital Banking

How to Choose the Best Digital Banks in the Philippines?

• Products and Features
• Fees
• Safety and Security
• Mobile Apps
• Convenience
• Accessibility
• Compatibility with Another Digital Banking Platform

10 Best Digital Bank Philippines

• BDO Digital Banking
• CIMB Bank
• GoTyme
• ING Digital Bank
• Komo by EastWest
• Maya Bank
• PNB Digital Banking
• RCBC Digital Bank
• Tonik Digital Bank
• UNOBank

Takeaway

Frequently Asked Questions About Digital Banks in the Philippines

• Are digital banks in the Philippines safe?
• What is the best digital banking platform in the Philippines?
• How many digital banks can I have?
• When did digital banking start in the Philippines?
• How can I protect my digital bank account from cybersecurity threats?
• What should I do if I become a fraud victim?
• How much is the safe amount I can keep?

What is Digital Banking?

Digital banking is a powerful financial tool many consumers prefer over brick-and-mortar banks. Digital banks (Neobank) offer access to banking services and feature through the bank’s official website or mobile app. It relies on web-based services, APIs, and high-level automation, which results in more flexibility and security. 

In addition, it provides easy accessibility so you can utilize banking functions with any mobile device or computer. Also, you use digital bank apps to make cashless transactions in both online and physical stores. As a result, you don’t have to worry about being short of cash wherever or whenever you may be. 

It sounds incredible, isn’t it? But how does a digital bank differ from a conventional bank?

Digital Banking vs Traditional Banking

Digital banking is an automated banking procedure and activity. It has expanded features that are more efficient than traditional systems. It allows customers like you to access and manage bank accounts online. No need to be present at the bank’s physical office. 

For example, you can open a new bank account without leaving your comfy home. Pay bills and send money to your loved ones and friends. And track every cent in your transaction history 24/7. 

Most importantly, you can take out quick cash loans in just a few minutes. All of these transactions are possible with your smartphone. 

Meanwhile, traditional banking always requires your physical presence with limited banking hours from 9 am to 4 pm only.

You are forced to plan your bank visit ahead. In addition, it means you must take a day off from work or school. Or else you’ll miss the chance to accomplish your financial goal. 

For example, you need to bring all the requirements if you want to open a new account. Likewise, you must personally submit all the documents needed if you wish to get approval for a loan application. 

It’s not a surprise that many switch to using digital banks from traditional banks. First, however, ensure you fully understand digital banking before jumping in. So often, Filipinos get confused about online banking, digital banking, and mobile banking. So let’s learn more about them.

Mobile Banking vs Online Banking vs Digital Banking

You might have heard about these three. Although they might sound the same, you need to know their differences. 

Online Banking

Usually, you still need to go to a physical bank to open a bank account first. Only when you have a bank account can you register to your bank’s online banking system. 

Online banking lets you make transactions through a secure website. It offers comprehensive functions and features. However, opening your bank’s website requires a browser and an internet connection (Wi-Fi or wired). You can access it via computer or laptop over the internet. 

You may call it web banking, internet banking, electronic banking, or e-banking but it is not a mobile app. Access all the bank services a local branch offers, like deposits, bill payments, and fund transfers. But first, you need to register an online account with the bank. 

Moreover, online banking service requires your ATM/debit card. Therefore, your bank account number is essential too. Then, you have to create a username and password to enjoy the e-banking facility. Once registered, you can complete all your bank transactions without visiting the bank’s physical office.

Mobile Banking 

It offers a mobile service to existing bank account holders. You can use your smartphone or tablet for Internet banking, but it has limited functions and features. For example, you need Wi-Fi or data connection access to open banking applications, mobile banking websites, or SMS services. 

Mobile banking lets you perform the same bank transactions as online banking. Mobile apps are more user-friendly with terrific interface. Looking for features is easier and more direct to the point compared to a bank’s website.

Digital Banking 

It is the digitization of traditional banking operations, procedures, and services. It is the most adaptable online banking system with the most functions and features. You can use any device (computer, phone, or smart device) to access banking websites, bank applications, or services. Take note that you need Internet access like Wi-Fi, wired connection, or data connection. 

Digital banking operates exclusively online. There are no physical bank branches for you to visit. While traditional banks like BDO have online banking channels, all-digital banking service from Neobanks solely operates over the Internet.

All activities and functions use automated technology like analytics, big data, and artificial intelligence. 

Since there are no physical locations, face-to-face interaction with tellers does not apply. You may contact the digital bank through phone, chat, or email if you need customer service. 

In addition, the automated processes reduce the operational costs of Neobanks. It doesn’t require an initial deposit and maintaining a balance though, there are transaction fees. 

That’s why their savings accounts offer higher interest rates. However, Neobank offer less services than those brick-and-mortar banks with a full range of online bank services. 

For example, opening a joint account or a checking account is impossible. If you wish to deposit or withdraw cash, use the digital bank’s partner outlets. 

You can clearly see the difference between digital banking and other banking facilities. So let’s learn the perks and downsides of enrolling in digital banks.

What are the Perks and Drawbacks of Digital Banking?

Digital innovation for banking technology comes with pros and cons.

Advantages of Digital Banking in the Philippines

• No initial deposit 
• No maintaining balance
• Higher interest rates and lower bank fees
• Fast and efficient bank transactions
• Convenient and accessible 24/7
• Paperless statements and environment-friendly transactions
• Easy backtrack for transaction history and suspicious activities

Disadvantages of Digital Banking in the Philippines

• Always require a strong and reliable internet connection
• Downtime when undergoing system maintenance 
• Charge fees for cash deposits and withdrawals through partner banks
• Cybersecurity threats: scams, identity theft, phishing attacks
• Difficult for non-tech-savvy people

Are you now more convinced of how beneficial digital banks are? Then, before you enroll yourself in one, take a crucial look at the details you need to know. 

How to Choose the Best Digital Banks in the Philippines?

Many Filipinos are now switching to digital banking. But before you settle on an option, search for the following information. 

Products and Features

A digital bank offers a unique set of financial products and services. When choosing a bank, look for a feature that best fits you. Pay attention to essential features like interest rates, additional products, promos, loans, and investment options. 

Consider your financial priorities and goals when looking for features. Are you more concerned with savings? Do you prefer investing in cryptocurrencies? Do you frequently send money to someone?

Fees

The best benefit of digital banking is its low charge fees. Some banks even offer no charges for most of the transactions. You might consider this the financial reason you’ll opt for digital banking in the Philippines.

Safety and Security

An excellent security feature is another priority. You save your money for future needs, so it’s best to avail of a bank service with protection policies. For example, you lost your debit card or an unauthorized online transaction occurred. What will the digital bank do? 

Also, confirm if the Philippine Deposit Insurance Corporation (PDIC) ensures all bank deposits in your chosen digital bank.

Mobile Apps

Digital banking works best with its official website and mobile apps. All of your bank transactions are online. That’s why a seamless app is a must-have. 

When choosing a bank, check if the mobile apps function well. Read customer reviews and ask friends who use digital banking about its apps’ performance. 

Convenience

Pinoys opt for digital banking for its convenience. Also, it provides a user-friendly interface so users can easily navigate the mobile app. 

In addition, the registration process is easy to follow. Compared with traditional banking, you don’t have to leave your home to open an account. 

Accessibility

Managing finances must be available any time you need it. Digital banks in the Philippines are open 24/7. Search for digital banks that have shorter and less system downtime. 

In addition, you need to look for the reliability of its customer service. No teller is present for you to ask, so you’ll also raise your concerns online. Review that their customer support is responsive and offers immediate assistance. 

Compatibility with Another Digital Banking Platform

Digital banking forges partnerships with established financial companies. It garners additional points to entice clients like you. Browse which platforms connect to your digital bank seamlessly. This way, you can oversee your finances effectively. 

With the knowledge of how to pick the most suitable digital banking, let’s move forward with the possible options. 

10 Best Digital Bank Philippines

Here is a list of the top digital bank platform in the Philippines. Keep in mind that it is not based on rank. 

BDO Digital Banking

Banco de Oro is one of the country’s largest banks. SM Group, an influential corporation in the Philippines, owns it. 

Recently, the app for BDO Digital Banking had an update. With its improved BDO Online app, you can enjoy more uncomplicated and secure mobile banking.

Key Feature

• Minimum Initial Deposit: Php 100 – Php 50,000
• Minimum Maintaining Balance: Php 100 – Php 50,000
• Below Maintaining Balance Monthly Fee: Php 300
• Annual Interest Rates: 0% to 1.25% (most accounts have 0.25%)
• PDIC insured
• OTP to complete log-in and transactions
• Account Management: balance, transaction history, fund transfer
• Online Payment for bills and prepaid load
• BDO Cash Card Reload
• ATM Card Control

Disadvantages of BDO Digital Bank in the Philippines

Despite the numerous security measures of BDO, there are reports of various banking threats. Most online account holders experienced online hacking in December 2021. For example, Php 25,000 to Php 50,000 money transfers were made without the bank account owner’s knowledge and permission.

How can I Open a BDO Digital Bank Account?

Step 1. Visit a BDO branch near you.

Step 2. Present two valid government IDs.

Step 3. Accomplish the application form. 

Step 4. Secure a photo through their webcam. 

Step 5. Settle the initial deposit. 

Step 6. Claim your passbook and ATM card. 

Step 7. Register your BDO account to its online banking. 

CIMB Bank

CIMB is an all-digital mobile-first bank from Malaysia. Today, it has over 1,000 branches in Southeast Asia. It started its operation in the Philippines on January 2019. 

The CIMB Bank PH app lets you perform all bank transactions on your smartphone. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 2.5% to 8% (2x higher than a traditional savings account)
• PDIC insured
• Account: Fast Account, Upsave, GSave, GCredit 
• No lock-in period, and service fee
• With a Physical Debit Card
• Open an account thru the CIMB Bank PH app 
• No service fee
• Online Payment for bills and prepaid load
• Online and over-the-counter deposit
• Withdrawals through 20,000+ ATMs and 17,000 partner outlets
• Personal loan application available
• Account Management: balance, transaction history, fund transfer
• Online Payment for bills and prepaid load
• GCash users can open and manage a savings account 

Disadvantages of CIMB Digital Bank in the Philippines

Even though the CIMB boasts of its interests, it lacks genuine customer service. Most of its account holders complain about the poor response of the digital bank platform.

How can I Open a CIMB Digital Bank Account?

Step 1. Download the CIMB Bank PH app (App Store/Google Play Store).

Step 2. Open the app and choose a digital savings account.

Step 3. Complete the Sign-Up form.

Step 4. Input the OTP sent via SMS.

Step 5. Create a password for the online account and provide additional details.

Step 6. Upload a photo of any government-issued ID.

Step 7. Affix a digital signature.

Step 8. Wait for the Virtual Verification process (video call with an agent).

Step 9. Receive the CIMB account details on the app.

Step 10. Check your email and click the verification link to confirm your email address.

GoTyme

GOTyme is a partnership between the Singapore-based Tyme Group and the Gokongwei Group. It is the latest digital bank that offers physical VISA debit cards. You can avail of it fast and free from different kiosks nationwide. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 3% to 5%
• PDIC insured
• Free Physical Debit Card
• With Go Rewards points
• In-app promos
• Account Management: balance, transaction history, fund transfer 
• Free cash in and cash out (Robinsons Supermarket)
• Withdraw for free (Robinsons Bank)
• Opportunity to invest and trade

Disadvantages of GoTyme Digital Bank in the Philippines

GoTyme boasts of its high-yield investments. However, customers could not find the option for equities and stocks during its launch. In addition, GoTyme digital bank misses many points in its marketing strategy. You can hardly notice eye-catching commercials and advertisements.

How can I Open a GoTyme Digital Bank Account?

You may visit any of the GoTyme kiosks. Or simply download the GoTyme app to create your account. 

ING Digital Bank

ING is a Dutch international bank. It is available in more than 40 countries across Asia, America, and Europe. It started as a wholesale lender in the Philippines in 1990. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 2.5% on a daily balance (Php 20M or lower)
• PDIC insured
• Account: ING Pay, ING Save 
• Transfer funds up to Php 1 million daily
• Account Management: balance, transaction history, fund transfer 

Disadvantages of ING Digital Bank in the Philippines

The drawback of ING digital banking is you can only finance your account through PesoNet or cheque deposit. It does not have debit cards, which makes withdrawal difficult.

How can I Open an ING Digital Bank Account?

Step 1. If you’re not an ING customer, open a Current Account at their nearest branch. You’ll have an active account in just 10 minutes. 

Step 2. Access your account through online banking. 

Step 3. Pay up the fees to activate the digital card in the app. 

Step 4. Make transactions as you need. 

Komo by EastWest

Komo is a digital banking service under EastWest Bank. It comes with a VISA debit card that allows you to pay bills and withdraw and transfer funds. The bank has no branches, so all transactions work best with Komo mobile app. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 3%
• PDIC insured
• Deposit requires a fund transfer from other bank accounts. 
• Transfer funds up to Php 50,000 per transaction, per beneficiary, per day. 
• Fund transfer limit of Php 200,000 per beneficiary per day. 
• Account Management: balance, transaction history, fund transfer 
• Free EastWest ATM withdrawal 
• Offers Troo Flex Insurance Plan

Disadvantages of Komo Digital Bank in the Philippines

Komo digital banking is only accessible through a mobile app. It has no website platform. In addition, you cannot link your account to PayPal, unlike other digital banks in the Philippines. Most importantly, its interest rate may decrease over time.

How can I Open a Komo Digital Bank Account?

Step 1. Download the Komo app (App Store/Google Play Store/App Gallery)

Step 2. Create an account on their mobile app.

Step 3. Enter vital details: email and phone number. 

Step 4. Agree with the Terms and Conditions to receive an OTP.

Step 5. Provide additional information needed. 

Step 6. Verify your account through a selfie with the government ID. 

Step 7. Confirm the name and delivery address for your VISA card. 

Maya Bank

Maya Bank is from Voyager Innovations, Inc., a wholly-owned subsidiary of PLDT. The company is behind the success of mobile remittance Smart Padala and digital wallet PayMaya. 

Maya Bank began in the Philippines on April 2022. It rebranded PayMaya, PayMaya Negosyo and Smart Padala. It means PayMaya gets a digital bank license. In addition, it aims to transform Filipino consumers’ and MSMEs’ digital banking experience in the Philippines by integrating all Maya products and services into a featured-packed money app. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 4.5% to 6%
• PDIC insured
• With a Physical Debit Card
• Maya Credit: easy application up to Php 15,000
• Budget and organize money with Personal Goals 
• Cryptocurrency investment as low as Php 1 (Bitcoin, Solana, Ethereum, and Tether)
• Free Virtual Maya Card: minimum balance of Php 100
• Fund Transfer: PESOnet and InstaPay

Disadvantages of Maya Digital Bank in the Philippines

Maya digital bank is your all-in-one wallet. But still, it needs to include one vital feature if you wish to be consistent with your savings. It does not offer scheduled deposits for Maya Savings.

How can I Open a Maya Digital Bank Account?

Step 1. Install the Maya app on your device. 

Step 2. Create an account and provide vital personal details. 

Step 3. Wait for an email confirmation. Verify it by clicking the link.

Step 4. Enter your Philippine contact number and strong password. 

Step 5. Agree with the Terms and Conditions. 

Step 6. Wait for SMS verification and input the OTP on the Maya app.

Step 7. Upgrade your Maya account by providing additional information. 

Step 8. Click Submit and wait for the evaluation of your application for up to 48 hours. 

PNB Digital Banking

PNB Internet and mobile banking is easy to use. You can manage all about your account through the PNB mobile app. 

Key Feature

• Minimum Initial Deposit: Php 3,000
• Minimum Maintaining Balance: Php 3,000
• Below Maintaining Balance Monthly Fee: Php 350
• Annual Interest Rates: 0.10%
• PDIC insured
• Fund Transfer: various bank and account
• Send money via the phone number
• Account Management: balance, transaction history, fund transfer, credit and debit cards
• Manage investment portfolio

Disadvantages of PNB Digital Bank in the Philippines

PNB digital app users complain about the difficulty of upgrading their devices. You’d definitely want to use the same mobile apps if you have a new mobile phone. However, the PNB digital banking app does not allow you to switch your registered device to the latest one. What more if your old phone is broken, or worse, lost.

How can I Open a PNB Digital Bank Account?

Step 1. Visit the PNB Account Access Portal.

Step 2. Sign-up with your ATM card details. 

Step 3. Create a User ID with a strong password. 

Step 4. Key your mobile number and email address. 

Step 5. Input the OTP sent via SMS. 

Step 6. Enter the Online Activation Code sent in your email on your first log-in. 

Step 7. Enjoy the digital banking services of PNB. 

RCBC Digital Bank

RCBC Digital App offers numerous cutting-edge financial services. For example, you can convert your purchases to an installment plan. In addition, it provides a QR generator for fund transfers. Also, you can track your expenses. 

Key Feature

• Minimum Initial Deposit: Php 0 to Php 25,000
• Minimum Maintaining Balance: Php 0 to Php 25,000
• Below Maintaining Balance Monthly Fee: Php 500
• Annual Interest Rates: 0.15% to 4.00%
• PDIC insured
• Withdraw: scanning paper checks
• Fund transfer: custom QR generator
• App-based expenditure analyzer
• Convert to Installment function

Disadvantages of RCBC Digital Bank in the Philippines

Many RCBC digital app users criticize the OTP page. It keeps requesting you reset the password, but if you follow the instructions, you’ll still return to the same page. As a result, you’d have a hard time accessing your digital bank account.

How can I Open an RCBC Digital Bank Account?

Step 1. Download the RCBC Digital App. 

Step 2. Register an RCBC online account.

Step 3. Agree to the terms and conditions. 

Step 4. Enter all the personal details needed. 

Step 5. Input the OTP sent to your registered contact number. 

Step 6. Assign your User ID and password. 

Step 7. Enjoy the digital financial services offered by RCBC. 

Tonik Digital Bank

Tonik is digital banking in the Philippines from Singapore. It is the first Neobank that receive a digital bank license from Bangko Sentral ng Pilipinas (BSP.) It is 100% digital with promising fast and secure transactions. Also, it covers retail financial products and services, loans, deposits, payments, and current accounts.

Key Feature

• Minimum Initial Deposit: Php 0 
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 4% and 6% for time deposits
• PDIC insured
• Account: Tonik current, time deposit, stashes
• Physical debit card (Php 300) and virtual debit card
• Withdrawal: ATMs (free)
• Customizable mobile app for financial discipline

Disadvantages of Tonik Digital Bank in the Philippines

The downside of the Tonik mobile app is there is no option to filter the dates in your transaction history. You’d have to do it manually if you plan to backtrack all your savings and expenses. In addition, the app does not generate statements. In addition, there is no bill payment included in its services.

How can I Open a Tonik Digital Bank Account?

Step 1. Download the Tonik app (App Store/Google Play Store)

Step 2. Enter your mobile number

Step 3. Agree with the terms and conditions. 

Step 4. Input the OTP.

Step 5. Take a selfie for a face identity scan. 

Step 6. Scan a government-valid ID. 

Step 7. Enter all additional information needed. 

Step 8. Create a strong password.

Step 9. Enjoy the financial services offered by Tonik. 

UNOBank

UNOBank offers a full spectrum of artificial intelligence-powered of digital banks in the Philippines. It started in 2020 under the operation of Singapore fintech DigibankASIA. It is unique for its artificial intelligence-powered platform. 

UNOBank is the ideal digital bank for time deposits. It provides secure, high-yield storage of large amounts of money. 

Key Feature

• Minimum Initial Deposit: Php 0 
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: up to 4.25% and 6.5% for time deposits
• PDIC insured
• Zero transaction fees
• Free cash in online and over-the-counter (7,500 outlets nationwide) 
• Physical debit card 
• Pre-approved dynamic credit line
• Automatic UNO debit virtual Mastercard Activation
• Php 100 cashback for #UNOboost or #UNOearn time deposit account
• Free Life Insurance coverage for Php 50,000

Disadvantages of UnoBank Digital Bank in the Philippines

Many UnoBank customers complain of poor customer service. If you ask a query, it will take time before they respond. So if you have a pending transaction that needs clarifications, you must wait for days (worse weeks) before hearing from them.

How can I Open a UNOBank Digital Bank Account?

Step 1. Download the UNO Digital Bank App.

Step 2. Register by providing all the essential information needed. 

Step 3. Verify your identification.

Step 4. Enter your password and passcode

Step 5. Enjoy the UNOBank digital services. 

With these options, you can quickly identify which digital banks in the Philippines are for you. In addition, you can have an account or two from different digital banking platforms. Just make sure you can meet the expectations from your end. 

Takeaway

Digital banking in the Philippines allows Filipinos to access the functions needed to keep their finances in order. It dramatically comes in handy during the challenging times of the Covid-19 crisis. In-person services were put on hold, the same as the banking facilities. However, we must keep our finances hustling to satisfy all our daily and future needs. With digital banks, you can overcome all possible challenges.

Frequently Asked Questions About Digital Banks in the Philippines

Are digital banks in the Philippines safe?

Yes. The BSP regulates it like traditional banks. In addition, Philippine Deposit Insurance Corporation (PDIC) provides insurance coverage of up to Php 500,000 per depositor. Also, digital banks have various security features for the identity authentication of account holders. 

What is the best digital banking platform in the Philippines?

The best digital banks depend on your personal and financial needs and goals. Determine if you aim for savings, investments, foreign remittances, etc. 

How many digital banks can I have?

You can have as many digital banks as possible. There is no limit to it. As long as you are eligible, complete the requirements, and meet the bank’s terms and conditions., you can. 

When did digital banking start in the Philippines?

The first official recognition of digital banking by the Bangko Sentral ng Pilipinas was in 2020. BSP released digital banks as a new official bank category that same year. 

How can I protect my digital bank account from cybersecurity threats?

Digital banks are always prone to scams, but these tips can still protect you. 

• Use a strong password and change it regularly.
• Do not share your personal information, password, and OTP with anyone. 
• Avoid using public and unsecured wifi connections during financial transactions. 
• Always log out after using your bank’s mobile app.
• Do not accept transactions from unknown sources.
• Apply additional security features like biometrics, face recognition, mobile PIN, passcode, or two-factor authentication. 

What should I do if I become a fraud victim?

If you think you are a victim of fraud or any suspicious activity, report it immediately to your bank. 

How much is the safe amount I can keep?

The golden rule of thumb in maintaining a maximum amount per account is Php 500,000. This is the safe amount insured by PDIC. However, you can still review the maximum limit allowed to earn the highest interest based on the bank and the account type. If it falls over the limit, place the amount in a new bank account or bank.