On Feb. 23, PHI DEP enhanced closed bank loan incentive program.
PHI DEP has launched the enhanced closed bank loan incentive program (CLIP 2.0).
The implementation of the enhanced program was approved by PHI DEP in Dec. 2022.
To help borrowers of closed banks make loan settlement lighter by way of incentives in the form of discounts and waivers, with first version released in 2021, see #117713.
Enhancements
CLIP 2.0 increased the loan amount threshold to cover more borrowers, those with up to PHP 5mn in outstanding principal balances are eligible to apply for the incentives.
This will be based on the year their bank was closed and whether their loans are clean.
Borrowers with clean loans in banks closed starting in 2022 may obtain the CLIP 2.0 incentives before Dec. 21, 2023 or from the date of receipt of the notice from PHI DEP.
Borrowers with secured loans, in banks closed in 2021 and prior, who were not able to obtain incentives under CLIP 1.0 program, may apply for CLIP 2.0 until Dec. 31, 2023.
Feb. 2024 Loan Incentive Program Extended
On Feb. 15, 2024, PHI DEP extended the implementation of the closed bank loan incentive program 2.0 (also known as CLIP 2.0) discussed above, until Dec. 31, 2024.
Extension provides relief to closed bank borrowers and hasten the liquidation of closed banks' loan portfolios; closed bank borrowers who owe up to PHP 5mn can apply for incentives based on when their banks were closed and if their loans are clean/secured.
Borrowers with clean loans from banks closed in 2023 and 2024 have until Dec. 31, 2024, or one year from receipt of PHI DEP's Notice to borrowers, to avail of incentives.
For borrowers whose banks were closed in 2022 and prior years and have not yet availed of the incentives under the program, they may still do so until Dec. 31, 2024.
PHI DEP explained that this is regardless of whether their loans are clean/secured.
