THE LAND Bank of the Philippines has launched a loan program that will allow students, through their parents or guardians, to borrow as much as P150,000 to finance their education.

The program, dubbed as the Interim Students’ Loan for Tuition toward Upliftment of Education for the Development of the Youth (I-STUDY), allows students to apply for a loan for one school year or two semesters.

“The maximum loan amount will be P150,000 per student, and not more than P300,000 per borrower, based on the school-issued Enrollment Assessment Form with the schedule of assessment fees,” Land Bank President and Chief Executive Officer Cecilia Borromeo said.

“This program will not only help families who have kids they want to send to school, but will also assist private schools and downstream industries to sustain and continue their operations,” Borromeo added.

Land Bank said the loan will come with a 5% interest rate per annum fixed for the entire term. Penalties will be at 24% per annum.

A short-term loan will be payable within a year through a 360-day promissory note. The bank will allow a term loan payable up to a maximum of three years, inclusive of a one-year grace period on the principal.

Parents, guardians, or benefactors of students who have a combined monthly net take home pay of P20,000 per enrolled student after loan amortization can apply.

Meanwhile, students must not be over 30 years old, an incoming student qualified under the admission and retention requirements, and must be in schools or technical vocational institutions recognized by the Commission on Higher Education, Technical Education and Skills Development Authority, and Department of Education.

They must not be a beneficiary of the Universal Access for Quality Tertiary Education Act of 2017, or any scholarship or program with free tuition fees for honor students.

To learn more about the I-STUDY lending program, students and parents can visit https://www.landbank.com/loans/business-loan/i-study.