Mindanao gets P142M in informal homeloans

The homeless urban poor in Mindanao have received a total of P142 million during the last 48 months for land purchase and housing acquisition under the government’s Community Mortgage Program (CMP), National Home Mortgage Finance Corp. (NHMFC) president Angelico T. Salud reported recently.

In a progress report submitted to Housing Sec. Michael T. Defensor, concurrent chairman of the Housing and Urban Development Coordinating Council, Salud said the housing loan assistance was availed of by 5,173 family-beneficiaries composed of informal settlers (squatters’ in 28 CMP projects sites in various regions of Mindanao.

CMP loans, with a maximum loanable amount of P100,000 per family beneficiary, payable in 25 years at six-percent interest per annum, are granted by NHMFC to the homeowners’ association of informal settlers to assure their land tenure and easy access to decent housing.

Of this amount, Region IX got P29.9 million for five project sites and 1,415 family-beneficiaries; Region X, P26.9 million, six housing sites and 1,093 families; Region XI, P72 million, in 13 sites, and 1,921 beneficiaries; and CARAGA Region, P13 million for four project sites; and corresponding 744 beneficiaries, Salud reported.

"We will continue to review CMP’s program accreditation of participating groups from non-government organizations, local government units and from national government agencies, as well as the loan processing system to further facilitate the beneficiaries’ easy access to and availment of CMP and housing benefits, he vowed.

Meanwhile, some 139,465 housing loan borrowers of the NHMFC, who are delinquent in their monthly payments for at least 36 months, stand to lose their automatic mortgage redemption insurance (MRI) coverage.

Salud announced that the deletion from MRI coverage will start July 2003-2004 so as to give time for delinquent borrowers to restructure their accounts, or update payment of their amortizations, including their insurance premiums.

In cases of death of the principal loan borrower/co-borrower who are covered by MRI, the insurance proceeds will be applied to the loan balance to free their beneficiaries from paying the remaining loan obligation.

The deletion from MRI coverage of delinquent borrowers is in compliance with NHMFC board resolution no. 3196, series of 2002 and with NHMFC corporate circular no. 044, dated July 23, 2002, and will free NHMFC from advancing the MRI premiums for these accounts.

For reinstatement of their insurance coverage, affected borrowers may proceed to NHMFC main offices, at Filomena Bldg., 104 Amorsolo St., Legaspi Village, Makati.