Guide on OWWA Business Loan for OFW Application Process
OWWA BUSINESS LOAN FOR OFW – Here is a guide on how to apply for the OFW-EDLP loan offer and the requirements in applying.
Countless Filipinos are working abroad as they want to give their families in the Philippines a comfortable life. Truth be told that although these overseas Filipino workers (OFWs) also long to be with their families, the higher compensation that they can get abroad is their most effective option to be able to fulfill the needs in their household, send the children to school, and a lot more.
Thus, the OFWs endure the longing to be with their family and loved ones to hit their goal of giving them a comfortable life. Meanwhile, nowadays, the Overseas Workers Welfare Administration or OWWA itself which takes care of the welfare of OFWs wants to help these Pinoys working abroad have their business.
A successful business can give the OFWs an option someday to stay in the Philippines and be with their families without losing income. To help the OFWs establish their own business or grow an existing one, OWWA has the Overseas Filipino Workers – Enterprise Development and Loan Program or the OFW-EDLP.
The said OWWA Business Loan for OFW is ready to finance businesses in the following fields:
- Construction/rental business
- Franchising business
- Service/trading business
- Contract tie-up with top 1000 corporations
- Transport service
- Agri- and non-agri production/manufacturing with identified market linkage and raw material sources
- Any viable project whether existing or new, that should generate a net cash flow sufficient to pay the projected amortization of the loan (or resulting into debt service ratio of at least 1)
The OWWA Business Loan for OFWs loanable amounts were provided by the government office. It has also set the OWWA Business Loan interest rate for OFW borrowers.
How to apply for the OWWA Business Loan for OFW? Here are the steps that you may take in applying for the offer:
Step 1 — Check the qualifications which are as follows:
- certified OWWA Member, active or non-active
- has completed the Enhanced Entrepreneurial Development Training (EEDT)
- if the OFW is singe, a widow or widower, or separated-in-fact, he/she may be represented by his/her parents who are not more than 60 years old upon the maturity of the loan or children who are at least 18 years old at the time of the loan application
- if the OFW-loan applicant is about to leave the country or is currently in abroad, he/she may represented by his/her spouse
Step 2 — Proceed to the verification of your OWWA registration. Go to the OWWA Regional Welfare Office for the orientation/eligibility screening and processing/training.
You will issued a certificate of membership if you are qualified for the loan offer of the government agency. The said certificate will be presented to the Landbank Assessment.
In case you are an OFW who is currently outside the Philippines or about to return to the foreign country where you are working at, you can contact your designated Welfare Officer of the Embassy in your country through the email address. The Welfare Office will verify your registration to the government agency and you will be reffered to your regional office in PH.
Step 3 — Attend the Enhanced Entrepreneurial Development Training (EEDT) conducted by OWWA, the Department of Trade and Industry (DTI), and Landbank. Present your certificate to Landbank.
Step 4 — Submit all the documentary requirements. The documents will be under review and inspection which may take around 45 days.
Step 5 — For successful loan applications, wait for an update regarding the loan release. The Landbank of the Philippines releases the loan proceeds to the OFW applicant or the authorized representative of the borrower.