With all the ‘saving’ trend all over the internet and the undying urge to save for future use, it has been very important for most people to save up at least a little amount out of what they are earning. It may seem easy for some but there are others who struggle to save up even just a small amount.

Well, allow me to introduce you to something that will surely enable you to save a sure amount of money and gain a significant amount of interest out of it. Introducing the MP2 Savings Program of the Pag-IBIG Fund.

In my personal experience, I started saving PHP 500 monthly in the MP2 program since January 2018. By the end of December 2018, my savings amounting to PHP 6,000 (500 x 12 months) earned an interest of 8.11% which is equivalent to PHP 486.60. An amount that is more than triple or quadruple if compared to the interest gains offered by banks and other financial institutions.

Additionally, one can truly be sure that their hard-earned money will continue to be in bigger amounts as the savings under the MP2 program can only be withdrawn after 5 years but, if a member wishes to still continue after 5 years, renewal of the MP2 is always open.

Plus, savings under the MP2 program and government guaranteed and the number of dividends one can earn are all tax-free!

Just like me, you can do it too, start small now and gradually grow bigger in the future!

I bet the question running through your mind now is “what exactly is this MP2 program?”

So, here goes the Frequently Asked Questions about the MP2 and the answers to them:

What is the MP2 savings program?

This is a voluntary savings program for members who wish to save more and earn higher dividends than the regular Pag-IBIG savings program.

Who can save under the program?

Active members of the Fund and also former members with a source of monthly income and/or pensioners regardless of age with at least an equivalent of 24 monthly savings.

Is there a minimum amount to save in the MP2?

Yes. The minimum amount to save is only PHP500. Saving monthly does not need to be in uniform amounts or continuous because the MP2 program is voluntary. It is solely up to the member’s preference as to how much they want to save.

Is there a limit to how much one can save?

No. Absolutely none. You can save as much as you want and consider it as an investment as well. In the event that one wishes to save an amount exceeding PHP 500,000, such can be remitted personally or through a manager’s check.

How much dividend will my MP2 savings earn?

The MP2 savings shall earn higher dividends than that of the regular Pag-IBIG savings program. Plus, the dividends one can potentially earn are tax-free!

The dividends are derived from no less than 70% of Pag-IBIG Fund’s annual net income.

Over the past three years, the average MP2 dividend rate is at 6.96%. In the past year, the dividend rate was the highest ever recorded which was at 8.11%.

This table represents the sample computation of MP2 dividends over the course of 5 years:

PAG-IBIG MP2 PROGRAM sample computation
PAG-IBIG MP2 PROGRAM sample computation based on 6.96% dividends-the average from 2015-2017
How can you know about how much interest you earned in the past year?

Pag-IBIG Fund announces its yearly dividend earnings through its website and other media outlets for its members and the general public to know. This includes the percentage earned by MP2 savers.

When can I receive my MP2 dividends?

There are a variety of options and it is up to the member’s preference:

It can either be upon the 5-year maturity of the dividends compounded or annually with the dividends being credited to a savings or checking account with Landbank of the Philippines (LBP) or Development Bank of the Philippines (DBP) or other banks that the Pag-IBIG Fund may accredit in the future. For members who opt for annual dividend pay-out but have no Philippine Bank account especially in the case of overseas members, MP2 dividends shall be released via check payable to the MP2 saver.

How can one enroll in the MP2 Savings program?

Simply submit your accomplished MP2 Savings application form at your nearest Pag-IBIG Fund branch, along with the following:

-valid identification card

-passbook or atm card of your nominated bank account

How do I pay my MP2 savings?

One can choose to have it automatically deducted from their salary or over-the-counter payments at any Pag-IBIG Fund branch or through its accredited collection partners.

So, hurry and enroll now with the MP2 program! Click the link to the application here.

Any questions and clarifications about PAG-IBIG MP2 program? Leave your questions below and we are willing to answer those questions ASAP.

Disclaimer: Serve Pinoy is not in any way related to PAG-IBIG Fund, we are only giving our own experience that can give you an overview of how this savings program works. We also have a few knowledge about this so we encourage you to post a question if you are interested before actually saving using this program. 

17 Comments

  1. Hi! I just want to clarify, if for example i save 2000 for the month of may, then 500 on the month of june and 1000 for the month of july..is it ok? because all the sample computation shown are all fix per month. thank you!

    Reply
    • Yes! that’s okay. Any amount will do. Your dividend will only depend on the accumulated amount at the end of the year.

      Reply
    • Yes. You can save any amount and deposit it to your account. At the end of the year, doon po mag determine ang pagibig ng interest rate nila and based on that, you gain dividend.

      Reply
      • You can visit the nearest Pag-IBIG Fund office and you can request for pay-out by filling out necessary form/s. From then, they will process your request and release your payout after 1-2 weeks.

        Reply
  2. Hi, do you know how the MP2 dividend is calculated?
    I made 2x deposit in mid year of 2018 totalling to about PHP 24,700 but dividend received is only php 640.

    Reply
  3. Hi! Please note that the dividend amount is not based on how much you saved but is dependent on the rate of the dividend the Pag-IBIG fund will declare at the end of each year. It’s best to know the current dividend rate announced by the fund so you can calculate for your dividend payout.

    Reply
  4. Hi, is it fine if I skip months of depositing, for example, i skip two to three months, will I still get dividend after a year?

    Reply
    • Hi. The amount of dividend earned from your investment is either automatically debited to your account (if you chose the yearly payout) or added to your savings (if you chose the accumulated payout). The annual dividend rate is based on the financial performance of Pag-IBIG in the preceding year so it varies annually. They often post this detail thru their website pagibigfund.gov.ph or thru their Facebook Page, Pag-IBIG Fund (HDMF).

      Reply
  5. Nag-enroll ako sa Pag-ibig MP2. First two payments binayaran ko sa Pag-ibig branch. Third payment ko binayaran ko sa SM Bills. 1 week and counting hindi pa napo-post sa MP2 Savings Account iyong binayaran ko sa SM Bills pero iyong binayaran ko sa branch posted na. Tumawag ako sa hotline ng Pag-ibig kaya nalaman ko. It is all for nothing! Ewan kung nasaan na ang pera. i suggest sa Pag-ibig branch kayo magbayad.

    Reply
  6. Hi, I see the sample computations and from there, I noticed that a person may opt to save monthly or just one time remittance, from given illustrations, let say either 5,000 monthly or 300,000.00 one time payment. My question now is, can I pay only 100,000 as one time payment? Thanks for your answers.

    Reply
  7. Hi, just enrolled to Pag-Ibig’s MP2 thru online enrollment and made my first payment thru the online payment facility using my debit card. Do i need to go to a branch to submit the form?

    TIA!!!

    Reply

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