BSP extends salary loan repayment period to 7 years

Bangko Sentral ng Pilipinas

MANILA, Philippines – The Bangko Sentral ng Pilipinas (BSP) has extended the repayment term limit for salary loans in a move aimed at making consumer credit more manageable without encouraging excessive borrowing.

Under Circular No. 1239, which amends regulations on salary-based general-purpose consumption loans, the BSP said the maximum allowable repayment period for these loans was now seven years.

READ: PH credit card, salary loans hit record highs

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