Personal loan banks in the Philippines compared
Seven banks, seven different starting rates, same basic add-on math underneath

Personal Loan Calculator

Pick a bank to load its starting monthly add-on rate, or choose "Custom Rate" to test your own quoted rate. This estimates the standard Philippine bank add-on-rate formula, actual approved rate, fees, and total cost depend on your credit evaluation.

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Estimate only, excludes one-time processing fee (commonly ₱1,500) and Documentary Stamp Tax (0.75% on loans above ₱250,000). Confirm the exact Disclosure Statement with your bank before signing.

Personal Loan Rates & Terms by Bank

Rates below are each bank's own advertised starting monthly add-on rate as of late 2026. The rate you're actually offered depends on your income, credit history, and relationship with the bank, treat these as a starting comparison point, not a guaranteed quote.

Personal loan rates and terms comparison, Philippine banks 2026
Lower add-on rate does not always mean lower total cost, check the term and fees too
Bank Monthly Add-on Rate Loan Amount Term Min. Income
Metrobank 1.25% (APR ~30.5–33.3%) ₱20,000 – ₱2,000,000 12–36 months ₱250,000/year
UnionBank 1.29% (ACR ~26.9%) Up to ₱2,000,000 12–60 months Varies by profile
BDO 1.30% (from 0.98% for qualified profiles) ₱10,000 – ₱2,000,000 6–36 months Varies by profile
BPI ~1.35% (max ACR 28.67%) Up to ₱3,000,000 (up to 3x monthly income) 12–36 months Varies by profile
Security Bank 1.39% (APR from 29.48%) ₱30,000 – ₱2,000,000 12–36 months No credit card required
RCBC 1.70% ₱50,000 – ₱1,000,000 6, 18, 24, 36 months Varies by profile
EastWest 1.79% (illustrative) Varies by profile 12, 18, 24, 36, 48, 60 months Varies by profile

Both BDO and Metrobank charge a one-time ₱1,500 disbursement/processing fee, plus Documentary Stamp Tax at 0.75% on loans above ₱250,000, fees most banks apply similarly. BPI's own worked example shows a ₱20,000 loan over 12 months totaling ₱23,240, about ₱1,937 a month, useful as a sanity check against the calculator above.

Personal Loan Alternatives Worth Comparing

A traditional bank personal loan isn't the only option, and it isn't always the fastest or cheapest one for every situation.

Digital bank loans (Maya, Tonik, CIMB). These approve faster with less paperwork, useful for smaller, shorter-term needs. Tonik's Credit Builder Loan, for example, goes up to around ₱50,000 over 6 to 12 months with a published monthly add-on rate around 4.18% to 4.26%, notably higher than a traditional bank rate, the trade-off is speed and accessibility over cost.

SSS or Pag-IBIG salary/calamity loans. For SSS or Pag-IBIG members, a salary loan against your own contributions typically carries a lower rate than any bank personal loan, worth checking eligibility first if you're already a contributing member.

Credit card installment or cash advance. A card's 0% installment promo on a specific retail purchase can beat a personal loan for that purchase, but a cash advance carries a high finance charge from the moment you withdraw, it's rarely cheaper than a personal loan for actual cash needs.

Avoid unregistered "5-6" or informal lenders. Informal lending (colloquially "5-6") charges effective rates far above any licensed bank or SEC-registered online lender, and carries none of the consumer protections a regulated lender provides. If a lender isn't listed with the SEC or BSP, that's a red flag regardless of how convenient the offer sounds.

How to Apply for a Personal Loan

How to apply for a personal loan in the Philippines, 4 steps
The process is largely the same across banks, only the specific document checklist varies

1. Check the minimum income requirement. Most banks set this between ₱180,000 and ₱250,000 gross annual income, confirm before applying to avoid an automatic decline.

2. Prepare your documents. A valid government ID, proof of income (payslip, Certificate of Employment, or ITR for self-employed applicants), and proof of billing for your current address cover most banks' base requirements.

3. Apply online or in-branch. Most major banks now accept personal loan applications through their app or website, with in-branch applications still available for those who prefer it or need help with documentation.

4. Get approved and read the Disclosure Statement carefully. Before signing, this document legally has to show the Effective Interest Rate, all fees, and the full payment schedule, read it against what the sales officer verbally quoted you.

Frequently Asked Questions

Which Philippine bank has the lowest personal loan interest rate?
Based on published starting monthly add-on rates, Metrobank (1.25%) and UnionBank (1.29%) currently advertise the lowest starting rates among major banks, with BDO close behind at 1.30%. The rate you actually get depends on your credit profile, income, and relationship with the bank, the advertised "starting" rate is not guaranteed for every applicant.
How is a personal loan monthly payment calculated in the Philippines?
Most Philippine banks use a flat "add-on rate" method: interest is calculated once on the original loan amount for the full term, not on the declining balance. The formula is Total Interest = Loan Amount × Monthly Add-on Rate × Number of Months, then Monthly Payment = (Loan Amount + Total Interest) ÷ Number of Months. This is different from a diminishing-balance loan, where interest shrinks as you pay down principal.
What is the difference between the add-on rate and the Effective Interest Rate (EIR)?
The add-on rate is the flat monthly rate banks advertise, but because it's applied to the full original amount for the whole term rather than a shrinking balance, the true annualized cost (the Effective Interest Rate or Annual Contractual Rate) is roughly double the add-on rate times 12. A 1.30% monthly add-on rate, for example, translates to an EIR in the high-20s to low-30s percent range. Always compare EIR, not the headline add-on rate, when shopping between banks.
What documents do I need to apply for a personal loan?
Typically: one or two valid government IDs, proof of income (payslip, Certificate of Employment, or ITR for self-employed applicants), and proof of billing for your current address. Some banks also ask for a bank statement covering the last 3 to 6 months. Requirements vary slightly by bank, check the specific list on the bank's application page before starting.
Are online lending apps a better alternative to a bank personal loan?
It depends on the amount and urgency. Digital banks and lending apps (Maya, Tonik, CIMB) approve faster and need less paperwork, useful for smaller, short-term needs, but their effective rates are often higher than a traditional bank personal loan for larger amounts. For a large, planned expense, a bank loan's lower add-on rate usually wins over a digital lender's convenience once you account for total cost, not just approval speed.
Is a personal loan or a credit card cash advance/installment cheaper?
A personal loan is almost always cheaper than a credit card cash advance, which carries a high finance charge plus a cash advance fee from the moment you withdraw. A card's 0% installment plan on a retail purchase can beat a personal loan's rate, but only for that specific promo, a personal loan is the better tool for actual cash-in-hand needs like medical bills, tuition, or debt consolidation.

Sources: official rate and product pages of BDO, BPI, UnionBank, Metrobank, EastWest, Security Bank, and RCBC as of late September 2026, cross-checked with Moneymax.ph. Bank logos used for identification purposes only. This calculator is an estimate for general educational use, not a loan offer, confirm your actual rate and total cost with the bank's official Disclosure Statement before signing.