Banco De Oro Unibank, Inc. (BDO) is the new official name 2011 of Acme Saving Bank, established in 1967. This bank provides various loans to help local people achieve their financial goals. A BDO loan car is one of them, growing in proportion to the vehicle ownership needs of individuals, families, and companies.
This blog post will cover the information related to this loan, from its interest rate, requirements, terms, and pros and cons. Keep on reading for its crucial financial details!
Table of Contents
What Is The Interest Rate Of BDO Car Loan?
Interest rates for these auto loans vary depending on the term and vehicle type. There are differences in the rate between new and old cars, such as:
Vehicle status | 36 months | 48 months | 60 months |
Brand new | 16.48% | 22.38% | 29.51% |
Pre-owned | 16.39% | 26.05% | 34.93% |
These ratios must be subject to change without notice and are indicative only. The actual interest rate you will receive depends on your creditworthiness and other factors the bank may consider.
What Are BDO Auto Loan Requirements?
To apply for a BDO car loan in the Philippines, you need to meet the following requirements:
Assess Your Qualifications
- Filipino citizens or foreigners residing in the Philippines
- Above 21 years old and under 70 years old upon loan maturity
- Minimum gross monthly income of PHP 50,000 for both brand-new and second-hand car
- Employed for at least two years or self-employed with a proven profitable business for at least three years
- With a landline or mobile phone number and a business or residence address
Needed Documents
In addition to the qualifications, you also need to submit several documents, including a completed BDO Auto Loan Application form and list photocopy of:
- at least two valid IDs
- the latest income tax return (ITR) or BIR Form 2316 and W2
- certificate of employment or business registration documents
- latest three months’ payslips or bank statements
- OR/CR (Official Receipt/Certificate of Registration) for a second-hand car
These requirements may vary depending on your employment status and other factors. For better preparation, contact the bank directly or access their website and ask for the most up-to-date information on their requirements.
What Are Your Benefits When Applying for BDO Car Loan?
In addition to receiving interest rate options that suit their wishes, customers can also receive benefits for current and future cardholders of affiliated financial institutions. Specifically:
- “All Inclusive” Financing: Includes a 3-year LTO Registration, a first year of the Car Insurance Premium, and Chattel Mortgage Fees.
- Promos: Includes exclusive promotions and discounts depending on your loans – for instance, free fuel or gift certificates from malls and redemption stores. Furthermore, brand-new – vehicle clients may also have the opportunity to get a Preventive Maintenance Service (PMS) at the dealership right up to the value of PHP 10,000.
Does BDO Auto Loan Have Limitations?
Yes, of course. Even when this loan provides customers with many advantages and incentives to own a vehicle quickly, it also has some disadvantages, such as:
- Limited promotion terms: priority is only for loans to buy new cars, and BDO Rewards is only available to customers with Membership.
- High minimum wage requirement: other auto loans usually only require a minimum monthly salary of PHP 30,000, much less than the requirement at BOD of PHP 50,000.
- Mandatory car insurance: customers must ensure they use the bank’s car insurance plan to be approved for loans. It sounds absurd because it limits their choice. However, it is the way financial companies use to increase their profits. On the contrary, customers who only prepare a budget to pay interest and buy a vehicle may not consider paying an additional “included” insurance premium.
- Mandatory working time: for customers who are company employees, BDO requires confirmation and ensures you work for 2 consecutive years at the same company. This condition limits the desire to own a vehicle for those with less than 2 years of working experience at the same company or who are unemployed.
It cannot be denied that the strict conditions and requirements of the BOD aim to reduce the risk of unpaid customer loans and increase profits from the current customer data. However, they also directly reduce flexibility and limit the number of people joining.
FAQs
What Is The Minimum Salary For A BDO Auto Loan?
The required minimum salary is PHP 50,000 a month. Concurrently, you must also prove that you have been employed at your current company for at least 2 consecutive years.
How Fast Is BDO For Car Loan Approval In the Philippines?
For individuals, the bank needs up to 3 days to process the documents and approve the disbursement. While with businesses, requests will be processed immediately upon receipt of complete documents.
Nevertheless, after its approval, the loan only takes 24 hours to disburse. Therefore, the approval time will take longer if your documents have problems or are insufficient.
How Can I Contact BDO About Car Loan?
You can directly contact the bank through their address and phone number for quick answers to questions and advice. In addition, issues related to registered foreign banks, fraud reports, or privacy issues can be contacted via email, with a response time of 1-2 business days.
Corporate Center | 7899 Makati Avenue, Makati City 0726, Trunkline |
(+632) 8840 7000 | |
Contact Center | (+632) 8631 8000 |
International Toll-Free | (IAC) +800 8 631 8000 |
callcenter@bdo.com.ph |
Conclusion
The interest rates for a BDO car loan in the Philippines are competitive and flexible for new and second-hand cars. Clients must prepare full documents and ensure a monthly salary of over 50,000 PHP to be disbursed.
The bank also provides additional benefits to borrowers to help reduce the costs incurred after owning a vehicle. Hopefully, via this article, you can make an informed decision and choose the best car loans for your needs and budget.