2. Payment shall be made through payroll deduction within the period specified in the table below. Provided that all loan amortizations should not exceed 25% of the gross salary, and that the net take home pay per pay period will not be less than P5,000. Provided further, that the loan should be at least 50% paid on the member’s 60th birthday.
3. The following charges are deducted immediately: a) Savings build-up: 5% of applied loan; b) Service fee: 1% of applied loan; c) Filing Fee: P200; d) Member’s benefit fund contribution at 0.75% of applied loan multiplied by number of years to pay.
4. Penalty of 0.5% per month shall be charged on the outstanding balance due to delayed payment;
5. LCP loan is not renewable, and the member cannot avail of any other loan while this loan is still outstanding, except for petty and calamity loans. If the member already qualifies and applies for a regular loan, the LCP balance will be deducted. Unused interest up to 50%, if any, will be forfeited as penalty. Forfeited interests are not subject to Patronage Refund.
6. Procedures in applying for a loan: a. Submit this accomplished form, together with the loan insurance form, to the Credit Committee. b. If approved, the new monthly amortization will take effect immediately on the next payroll.
NOTE: Loan will be processed in seven working days. There is no exception to this loan policy.
