Sun Savings Bank obtains an additional loan of 100 million pesos from Landbank
ADDITIONAL FUNDING. Signing of the loan agreement between Sun Savings Bank and Landbank of the Philippines (Landbank) at Casino Español de Cebu in Cebu City on Friday, May 27, 2022 are (seated left to right) Augusto Gonzalez, Executive Vice President and Treasurer, Sun Savings Bank; Francisco Dizon, Chairman and CEO, Sun Savings Bank; Elsie Fe Tagupa, Senior Vice President and Head of Visayas Credit Group, Landbank; Allan Bisnar, Vice President and Chief, Cebu South Lending Center, Landbank. / COUNT OF PADRONIA
SUN Savings Bank has signed an additional 100 million peso loan facility with the state-owned Land Bank of the Philippines (Landbank) to help public school teachers in Cebu Province rebuild and repair their homes devastated by Typhoon Odette and to finance their children’s university studies.
The loan signing ceremony between Sun Savings Bank and Landbank was held at Casino Español de Cebu in Cebu City on Friday, May 27, 2022.
Attending the event were Sun Savings President and CEO Francisco Dizon, Sun Savings Executive Vice President and Treasurer Augusto Gonzalez, Landbank Senior Vice President and Head of Visayas Lending Group Elsie Fe Tagupa and Landbank vice president and Cebu South Lending Center chief Allan Bisnar.
“The reason we are borrowing from Landbank is to continue our efforts to help teachers rebuild their homes that were damaged by (Typhoon) Odette,” Dizon said.
“It will also be the start of another school year and a good number of teachers have children going to university… We therefore anticipate that teachers will again need funds for their children’s tuition .”
Dizon has urged public school teachers to avail of additional new loans, especially as the Department of Education (DepEd) has extended loan repayment terms for teachers up to five years from schedule. of three previous years.
He added that teachers can now borrow more funds without negatively impacting their income after the DepEd approved the extended five-year repayment program for teachers’ loans.
A teacher can apply for a new additional loan of up to P300,000 and still have a net net salary of P5,000 as required by the DepEd.
Payment of borrowed money will be deducted by the DepEd from teachers’ pay stubs through the department’s Automatic Payroll Deduction System (APDS) where Sun Savings Bank has been one of the accredited banks for over 10 years.
“We want to help teachers with their urgent financing needs now that DepEd has allowed us to lend for a longer term of five years, whereas before we were limited to three years,” Dizon said.
Last March, Sun Savings began offering the highest loan amount and five-year term, being one of the pioneers in serving this particular market segment.
Augusto Gonzalez, treasurer of Sun Savings Bank, said the bank would repay its loan to Landbank in quarterly installments for up to five years.
Gonzalez added that with the additional loan of 100 million pesos granted by Landbank, the total amount of its credit facility at Sun Savings has now increased to 300 million pesos. This is in recognition of Sun Savings Bank’s strong financial position and creditworthiness.
Since March 1, Sun Savings has been able to lend to 3,800 teacher borrowers in Cebu province under the new five-year term. With this development, the bank has recently become the third largest lender among banks, to public school teachers in Cebu. (EHP)