PGMA Higher Education Loan Program

Due to the tremendous demand for financial aid from students at the higher education level, particularly those studying in private colleges and universities, the Office of the President released funds for the student loan. CHED delegated to participating private colleges and universities the management of the student loan program called as The PGMA Higher Education Loan Program. By virtue of the Commission en banc Resolution No. 330-2006 dated May 8, 2006, the program provides assistance to the financially needy 3rd , 4th, and graduating college students and to qualified students.

 

The HEI shall establish a Student Financial Assistance Unit (SFAU) responsible in the management and administration of the program, such as the screening and processing of the loan applications, granting of the loan to qualified student borrowers, collecting loan repayments, and preparing reports as required by CHED.

 





There are 2 types of loan you can avail. Short term loan payable within a period of 3 months for qualified students who cannot possibly pay their tuition on time, and the long term loan payable within 5 years after graduation for qualified students at the 3rd, 4th, and 5th year curricular levels.

 

The loanable amount shall cover the tuition fee only. The maximum loanable amount shall be determined by the HEI, and shall not exceed the amount billed by the school for the tuition fee during the semester.

 

 

Eligibility for Short Term Loan

  • The loan borrower is a bonafide student of the HEI
  • The loan borrower cannot possibly pay the tuition on time for the semester due to force majeur
  • The combined income of parents of the loan borrower is not more than P200,000 per year
  • Other eligibility criteria as the HEI may deem necessary

 

 

Eligibility for Long Term Loan

  • The loan borrower is a bonafide student of the HEI
  • The loan borrower must either be at the 3rd, 4th, or 5th curricular level in his/ her course
  • The combined income of parents of the loan borrower is not more than P200,000 per year
  • Other eligibility criteria as the HEI may deem necessary

 

 

Priority for loan shall be given to the victims of the College Assurance Plan (CAP) and other failed pre-need educational plans. The interest rate of the loan shall not be more than 6% per year, to commence as soon as the amount is released to the borrower.

 

 

Repayment

The HEI shall formulate its own repayment scheme best suited to the socioeconomic milieu of the school. For short term loan, the amortization period shall not be more than 3 months. For long term loan, the amortization period shall not be more than 5 years after graduation.

 




Guarantor

The HEI has the prerogative to require a guarantor/ co-borrower for the loan. The HEI shall devise a scheme to assure repayment of the loan borrowed and to keep track of the whereabouts of the loan borrowers.

 

Read more here, http://nlpdl.nlp.gov.ph:81/CH01/MO/2006/CH0MO0025s2006.pdf

Or see the PDF below

 

 

 

 

 

Contact information

Please see the list of updated accredited HEIs at the CHED office near you.

 

See the list here, http://web.ched.gov.ph/ched-recognized-programs/

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