Commutation Loan

ELIGIBILITY:

Exclusive to AFPSLAI members from the Philippine Navy, who are due for retirement.

FEATURES:

Maximum loanable amount is equivalent to 50% of the expected commutation proceeds
Maximum loan term of one (1) year, payable upon receipt of commutation proceeds

REQUIREMENTS

MAJOR REQUIREMENTS

Filled-up Loan Application Form and Promissory Note
One (1) 1x1 ID picture
Service ID and AFPSLAI ID

ADDITIONAL DOCUMENTS AS REQUIRED BY PHILIPPINE NAVY FINANCE CENTER (PNFC):

OTNA authenticated copy of Commutation of Leave Order and Monetization of Leave Credits
Authenticated copy of Statement of Service (from PNFC)
Certificate of Last Payment (from PNFC)
Photocopy of LBP Payroll Account (readable account number)
Valid ID of Spouse if married (Marriage Contract required if spouse is not a member of AFPSLAI)

NOTE: Special Power of Attorney form will be provided by the Branch Office for Notarization of the member-borrower.

CML Calculator

Loanable Amount
Loan Term
Interest Amount

INSTRUCTIONS:

To know the interest amount of your loan:

Enter your desired loan amount.
Select the number of years you want to amortize your loan.
Click “COMPUTE” to know your monthly amortization or “RESET” to clear entries.

Please note that the computation above is only indicative. You may call us or visit any AFPSLAI Branch nearest you for the actual details.

Procedures

Borrower submits LAF and requirements.
If submitted documents comply with all the requirements, Loan Specialist proceeds with the processing of loan (new/renewal).
Upon approval of the loan, borrower proceeds to the Releasing Section/Tellering Section for the release of his/her loan proceeds through cash, his/her Savings Deposit Account (SD-02) or through Remittance Facility.
Borrower receives his/her loan proceeds.
Borrower signs the Loan Release.

FAQs

Q: I’m from the Philippine Army and retiring soon. Can I avail of the Commutation Loan?
A: No, Commutation Loan is exclusive for the Philippine Navy personnel who are due for retirement.

Q: Is this open to all PN AFPSLAI Members?
A: All PN officers and enlisted personnel due for retirement, except those discharged without honor, shall be eligible to avail of the PN Commutation Loan.

Q: Is this loan covered by insurance?
A: CRI coverage will be optional on the part of the owner.

Q: What is the mode of payment?
A: Collection shall be directly remitted to the ZLBP account opened for this purpose. But nothing bars the member from making over-the-counter payments.