Lapid files bill to establish long-term personal loan to college students

Lapid files bill to establish long-term personal loan to college students

By Liza Soriano

UP Diliman College of Education courtesy

MANILA — Senator Lito Lapid has filed a bill seeking to establish a College Living Expenses Financing (CLEF) program to support higher studies of Filipino students of good academic standing.

Lapid’s Senate Bill No. 274 will mandate the national government to set up a loan guarantee fund for student loans to be provided by the Development Bank of the Philippines (DBP) and the Land Bank of the Philippines (LBP).

The senator said that even though college education is free in state universities and colleges, students need to have funds to sustain their studies.

“Libre man ang tuition para sa ating mga estudyante, batid kong marami pa ring nahihirapan tumuloy sa kolehiyo dahil wala silang mapagkukunan ng pangtustos para sa kanilang pamumuhay habang nag-aaral,” Lapid said.

“Mas ramdam pa lalo ang problemang ito ng mga estudyanteng galing sa malalayong lugar at kailangan pang magbyahe at lumipat para makapag-aral. Kailangan na mabigyan sila ng pagkakataon na magkaroon ng pagkukunan ng pondo para sa kanilang tirahan, libro at iba pang gastusin habang nag-aaral sila,” he added.

The CLEF Program is a long-term personal loan program designed to provide for the living expenses of Filipino College students. The loan will cover the following expenses:

a. board and lodging
b. living allowance
c. transportation costs
d. food expenses
e. uniforms and personal clothing
f. books and supplies
g. internet and digital connectivity expenses
h. other miscellaneous expenses

For as long as they enroll in college for a total of five years, each qualifying student is eligible for a maximum loan of P400,000, or P50,000 per semester.

Subject to the financial institutions disbursing the loan’s discretion, the loan’s maximum length is 25 years, with an interest rate that is below the prevailing interest rate. Amortizations must also begin a year after a student graduates or completes their final semester of enrollment, whichever comes first.

“Karapatan ng bawat Pilipino ang mabigyan ng pagkakataon sa de-kalidad na edukasyon at karapatan din ng bawat estudyante na makatanggap ng lahat ng tulong na kayang ibigay ng gobyerno. Malaking bagay na libre na ang tuition sa mga kolehiyo at unibersidad sa bansa pero batid nating bukod sa tuition marami pang pangangailangan ang mga college students para makatapos sa kanilang pag-aaral,” Lapid said.(ai/mtvn)

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