Guide on BPI Step Up PayPlan Features
BPI STEP UP PAYPLAN FOR CAR LOAN – You can enjoy monthly loan payments that can plan and have control over through the Step Up PayPlan.
The Bank of the Philippine Islands, more popularly called BPI, has several offers for aspiring car loan clients. One of these amazing offers is the Step Up PayPlan that allows clients to plan and control the movement of their monthly payments.
The Step Up PayPlan was crafted for clients who want to start small in their monthly payments. It can give you the time to adjust to the slicing of your budget as your loan due will gradually grow.
The BPI Car Loan Step Up PayPlan offer is open for the financing of brand new passenger cars. Under it, the monthly loan due on the first year can be 10% lower compared with the monthly amortization under the BPI Regular Auto Loan.
It is only in your second year of paying for the loan that the amount of the monthly loan amortization will slowly increase to ensure that it remains affordable until the maturity of the loan.
Instead of a 20% downpayment in the regular Auto Loan, under the BPI Car Loan Step Up PayPlan, the downpayment is lower at 15% of the selling price of the vehicle.
From year 2 onwards, the amount of your monthly loan payment will start to increase slowly. This will ensure that your Auto loan payments will stay affordable until the end of the loan term.
Here is a sample comparison between the Regular Auto Loan offer and the Step Up PayPlan monthly amortizations for a loan amount of Php 800,000 at an interest rate of 10.93% to cover each of the 60-month term:
Term | Regular Auto Loan | Step Up PayPlan |
---|---|---|
Year 1 | 17,367 | 15,754 |
Year 2 | 17,367 | 16,384 |
Year 3 | 17,367 | 17,367 |
Year 4 | 17,367 | 18,756 |
Year 5 | 17,367 | 19,674 |
You might like to see things closer by checking on the features of the Regular Auto Loan and the Step Up PayPlan side-by-side. Here’s a guide:
Specifics | Regular Auto Loan | Step Up PayPlan |
---|---|---|
Amount of monthly Payment/ Amortization | Loan monthly amortizations are fixed and in equal amounts for the entire loan term with no annual price increase | Auto Loan monthly amortization varies every year, starting with the smallest value on the first year, and slowly increases on each succeeding year |
Product benefit | Set aside a specific fixed amount for your monthly amortization from the start of your loan up to its maturity | Have control over the initial Auto Loan amotizations so you can manage your funds well |
Type of vehicle to purchase | Brand New or Second-Hand Passenger Vehicle Can be used to purchase Big Bikes or Trucks | Brand New Passenger Vehicle |
Term of duration of loan | 1,2,3,4 or 5 years | 5 years |
Motor insurance | With downpayment requirement for loan availment and car insurance is paid in lump sum every year | |
Initial cash out | Standard cash-out for Insurance Premium and Chattel Mortgage |
Before deciding which feature to choose for your BPI Car Loan, it is best to check on the interest rate as well as the fees to be totally prepared for the loan. This is a responsible move you’ll surely want to take.