Why Invest in Pag-IBIG MP2: Making Better Financial Choices

How to Open an MP2 Savings Account

There are two ways to enroll in the Pag-IBIG MP2 Savings Program – online and branch enrollment:

a. Online Enrollment

1. Visit the Virtual Pag-IBIG MP2 enrollment website.

2. Input your Pag-IBIG Membership ID (MID) number and personal details.

3. Enter the provided “CAPTCHA code” and select “Submit.”

4. Specify your preferred monthly contribution amount.

5. Select your preferences for:

• Dividend payout
• Mode of payment
• Source of funds

6. Click on “Submit.”

7. An enrollment form with your 12-digit MP2 savings account number will be displayed. It’s recommended to save this as a PDF or print it out for future reference.

b. Branch Enrollment

1. Visit a Pag-IBIG branch in your vicinity.
2. Obtain an MP2 Enrollment Form from the Pag-IBIG officer or download it from the official Pag-IBIG website.
3. Fill out the MP2 Enrollment Form with your personal details, including your Pag-IBIG MID number.
4. Specify your desired monthly contribution amount.
5. Indicate your choices for the dividend payout and mode of payment.
6. Hand over the filled-out form along with the necessary documents such as:

• A photocopy of a valid government-issued ID (like passport, SSS ID or UMID, etc.)
• Proof of income (like payslip, employment certificate, etc.)

7. Make the initial contribution as directed by the Pag-IBIG officer.

8. Keep a copy of your MP2 Enrollment Form and the receipt as evidence of enrollment.

Please note that specific Pag-IBIG MP2 requirements and processes may differ from branch to branch, so it is advisable to verify them with your nearest branch.

What is the Process for Saving Money in an MP2 Savings Account

Saving in the MP2 Savings program is easy and convenient, thanks to several available options.

a. Salary Deduction

If you’re employed, your employer can deduct your monthly MP2 savings from your salary and remit it to the Pag-IBIG Fund.

b. Online Remittance

You can make contributions online through:

• Virtual Pag-IBIG: Visit www.pagibigfundservices.com/virtualpagibig and make payments using PayMaya eWallet, GCash eWallet, or any debit or credit card powered by Visa, Mastercard, or JCB.
• Authorized Online Payment Channels: These include GCash, Moneygment App via Cashpinas, Coins.ph via Bayad, and PayMaya.

c. Over-the-counter (OTC) Remittance

You can also pay at:

• Any Pag-IBIG Fund branch.
• Authorized collecting partners’ outlets or branches in the Philippines, including Asia United Bank, Robinsons Bank, United Coconut Planters’ Bank, SM Business Centers, Bayad, M. Lhuillier, and ECPay accredited merchants.
• Authorized collecting partners’ outlets or branches overseas, such as Philippine National Bank, Asia United Bank, IRemit powered merchants, Ventaja powered merchants, and Cashpinas powered merchants.

These multiple payment options provide flexibility and convenience, making it easier for members to save regularly in the MP2 Savings program.

MP2 Savings Dividends Distribution

The MP2 Savings program offers flexible options for receiving your dividends.

Here’s when and how you can expect your dividends:

1. Upon Full Withdrawal: After the 5-year maturity period of your MP2 Savings, you can withdraw your savings along with the compounded annual dividends. This allows your money to grow significantly over the five years.
2. Annual Pay-out: If you prefer to receive your dividends yearly, they can be credited to your savings or checking account enrolled in any of Pag-IBIG Fund’s accredited banks. This way, you can enjoy your earnings annually while the principal amount continues to earn dividends.
3. Check Release for Overseas Members: For members who choose an annual dividend payout but do not have a Philippine bank account, such as overseas members, their MP2 Savings Dividends will be released via check.

These options provide flexibility to members to choose the dividend distribution method that best suits their financial needs and circumstances.

MP2 Savings Limit

The Modified Pag-IBIG II (MP2) Savings Program does not have a maximum limit on the amount you can save. You are free to save as much as you want.

However, there are certain requirements for large savings:

1. For One-Time Savings Exceeding PHP 500,000: If you decide to make a one-time savings that exceeds PHP 500,000, you will be required to remit this amount via personal or Manager’s Check.
2. For MP2 Savings Over PHP 100,000: If your MP2 Savings exceed PHP 100,000, you will be required to submit proof of income or source/s of funds. The checklist for the required documents can be found in the MP2 Savings Enrollment Form, which you can download HERE.

These measures are in place to ensure the integrity and security of transactions involving significant amounts.

How to Claim MP2 Savings

Claiming your MP2 Savings after its 5-year maturity period is a simple process that can be done either online or over-the-counter. Here’s how:

a. Online Claims

1. Visit the Virtual Pag-IBIG website by clicking on this link: Virtual Pag-IBIG
2. Follow the instructions provided on the page to claim your MP2 Savings.

b. Over-the-Counter Claims

1. Download and fill out the Application for Provident Benefits (APB) form from this link: Application for Provident Benefits Form.
2. Submit the completed form to the nearest Pag-IBIG Fund branch.

Both methods are designed to provide convenience and ease in claiming your MP2 Savings. Remember, you can only claim your savings after the 5-year maturity period.

Expected Dividends on MP2 Savings

The dividends you earn on your MP2 Savings are derived from at least 70% of the Pag-IBIG Fund’s annual net income. The exact amount you can expect to earn depends on the dividend rate for that year.

For example, in 2022, the dividend rate was at 7.03%. This means if you had saved PHP 100,000 in your MP2 account, you would have earned PHP 7,030 in dividends for that year.

Please note that the dividend rate can fluctuate each year based on the fund’s performance. It’s also important to remember that the higher your savings, the more dividends you can potentially earn.

Early Withdrawal of MP2 Savings: What is the Process?

You can pre-terminate and withdraw your MP2 Savings before its 5-year maturity but only under certain conditions:

a. For Active Pag-IBIG Members

You can withdraw if you experience:

1. Total disability or insanity
2. Termination from employment due to health reasons
3. Retirement
4. Permanent migration to another country
5. Unemployment due to layoff or company closure
6. OFW repatriation from the host country
7. Death (In this case, the MP2 Savings will be received by the member’s beneficiaries)
8. Critical illness of the MP2 account holder or an immediate family member, as certified by a licensed physician and approved by Pag-IBIG Fund
9. Other meritorious grounds as approved by the Pag-IBIG Fund Board of Trustees

b. For Retirees and/or Pensioners

The conditions are similar to those for active members, including total disability, death, critical illness, or other reasons approved by the Pag-IBIG Fund Board of Trustees.

c. For Members with Compounded Dividend Payout on their MP2 Savings

You can withdraw your principal MP2 Savings and 50% of the total dividends earned from prior years. Additionally, 50% of the dividends for the current year can be released after they have been declared and credited.

d. For MP2 Savings with Annual Dividend Payouts

You can withdraw your principal MP2 Savings, but 50% of the total dividends received from prior years will be deducted from the proceeds. Moreover, 50% of the dividends for the current year can be released after they have been declared and credited.