Enterprise Development Training: A Requirement You Need to Comply when Applying for OWWA Loan

One of the projects offered by the Overseas Welfare Workers Association or OWWA is the Enterprise Development and Loan Program, popularly known as OWWA Loan. Its primary aim is to aid Filipino migrant workers to go back and stay in the Philippines for good through business enterprise development.

Here’s the catch: if you wish to avail of the OWWA loan, you need to undergo Enterprise Development Training or EDT. In fact, it is one of the major requirements you need to comply with before your loan application is processed. Upon submission of your loan application, you need to show proof that you finished the course.

EDT has three phases, which you will learn more in detail below. Phase 1: Program Orientation and Business Appreciation

In this phase, you will be introduced to the concept of business, understanding a business venture, and the qualities you need to posses to help you in running and maintaining your chosen field. There will also be Personal Entrepreneurial Assessment to help you identify your strengths and possible weaknesses in handling a business.

At this phase, you will also be asked to present your business ideas and draft your business plan. Experts will be looking into your business plans, so pay attention as to the areas of improvement.

In case you have questions on the OWWA loan facility, this is the perfect phase to raise them so you will have a better understanding.

Then, you can move on to the next phase.

Phase 2: Project-Specific Training / Visit to Demo Farms / Immersion 

Your chosen business enterprise can be divided into two categories: AGRI and NON-AGRI.

If your proposed business is in the agricultural sector, you will have project-specific trainings and hands-on experience with relevant government agencies such as Department of Agriculture or Department of Agrarian Reform. You will also have social preparations sessions where you will attend trainings on bookkeeping or record keeping, and other skills training such as food handling, marketing strategies, and developing production skills.

If you prefer a business venture that is non-agricultural, OWWA will refer you to relevant agencies such as TESDA and DTI. You will be taught management and technical skills applicable to your proposed business, plus networking techniques to help your business grow. You will likewise be given a Basic Productivity Toolbox as part of the Social Preparation Intervention.

After this stage, you will move on to the last phase.

Phase 3: Business Plan Writing Seminar

You already have a business plan at the start of your EDT. At this stage, you will be asked to incorporate all your learnings from phases 1 and 2 into your business plan. Land Bank will give you basic knowledge on how to prepare a business plan to boost your chances of approval.

Once you completed the three phases of Enterprise Development Training, you will be given a Certificate of Attendance to prove that you went through the process. Then, complete the other requirements needed to process your OWWA Loan application. Thereafter, you will be endorsed to Land Bank, where a 40-day verification period will run as part of the application process.

To know the schedule of EDT, you may contact the OWWA Office near you.

Step-By-Step Procedure on How to Apply for OWWA Loan

At this point, you know what OWWA Loan is, its main purpose, how it works, the business allowed by the loan facility, the requirements you need to comply with, and who the eligible borrowers are. It’s time to bring them all together to guide you better in applying for this loan facility specifically designed for Filipino migrant workers.

Here is a step-by-step procedure on how to apply for OWWA Loan: Step 1: Attend and complete the Enterprise Development Training or EDT. Learn more about EDT in detail here.

Step 2: Prepare the pre-processing requirements needed for processing of your loan application. This includes proof of OWWA membership, Certificate of Attendance foe EDT, and two (2) valid IDs among others. Check this post to know the detailed list of requirement you need to prepare before submitting your loan application.

Note: Make sure that your requirements are complete upon submission of OWWA Loan application. This will make it easier and faster for you to process your loan application. The requirements will be submitted either in OWWA Main Office or regional offices, whichever is more convenient for you.

Step 3: Submission of Business Plan to the Land Bank of the Philippines (LBP) upon certification and endorsement of OWWA. At this phase, LBP will evaluate your project proposal based on the borrower’s credit worthiness and project viability. Likewise, Land Bank will package your loan application based on their credit facilities proposal.

Step 4: Loan evaluation, packaging, and approval. This will take 45 days upon receipt of loan requirements, which is why it is important that you prepare all the necessary documents when applying for an OWWA Loan.

Keep in mind that attending EDT and submitting all the requirements will not guarantee automatic approval. Credit institutions follow certain guidelines in approving every loan application and as long as you can show the viability of your proposed business and prove your credit worthiness, the higher your chances will be.

Find Out If You Are an Eligible Borrower for OWWA Loan

At this point, you know what an OWWA Loan is, how it aims to help Filipino migrant workers build a sustainable life in the Philippines, and the requirements you need to accomplish to process your loan application.

Here’s the next question: Are you an eligible borrower?

Apparently, being a migrant worker is not enough so you could avail of the benefits of OWWA Loan. Apart from the requirements you need to submit, the borrower itself – and that means you – must also fulfill the requirements provided for by OWWA.

How will you know if you are an eligible borrower? You must be a certified OWWA member, whether active or non-active. You must be able to prove such by presenting POEA-attested employment certificate, passport with POEA-LAC stamp, or your E-card. Consequently, you must also complete the Enterprise Development Training (EDT) before you can be allowed to avail of this loan facility. You can learn more about EDT here.

Let’s say you want to apply for OWWA Loan, but you are working abroad. The good news is you can still apply as long as you are represented by any of the following:

  • If Married – Your legal spouse.
  • If Single, Separated-in-Fact, or Widower – Your parents who are not older than 60 years old upon maturity of the loan or your child/ren at least 18 years at the time of availment of OWWA loan.

Another cause of concern is the age of the borrower. If you or your attorney-in-fact (a person you authorized to perform business-related transactions in your behalf by virtue of a power of attorney) will be more than 60 years old at the time of loan maturity, you will be required to have a co-maker. Your co-maker can be your children at least 18 years of age or your sibling.

Keep in mind that if you plan to start your business venture, you can avail of OWWA Loan within three years from your date of arrival in the Philippines. The three-year rule will not apply if you have an ongoing business already.

With these requirements, are you an eligible borrower? Make sure you are to make the processing of your loan easier and hassle-free.

Prepare These Requirements When You Apply for OWWA Loan

The OWWA Loan facility provides a promising venue for Overseas Filipino Workers to start a new life and provide a sustainable future for their families without leaving the country. Apparently, there are requirements you need to comply with to make sure your application for OWWA Loan is approved. Here is a detailed list of requirements you need to submit if you are an INDIVIDUAL BORROWER:

  • Proof that you are a bona fide OWWA member.
  • Proof of OWWA contribution such as POEA-attested employment certificate, your passport with POEA-LAC stamp, E-card, or OWWA Information Sheet.
  • Business Plan or Feasibility Study of your proposed business. Take note that your business must be among the eligible projects allowed by OWWA.
  • Two (2) valid IDs with signature.
  • Barangay Certification as proof of residency based on your given address.
  • Proof of billing address.
  • Sketch of your place of residence.
  • Income Tax Return (ITR) for at least three years.
  • Statement of Assets and Liabilities.
  • Mayor’s Permit where the business is/will be located.
  • Marriage Certificate for married borrowers or Birth Certificate for single availee.
  • Collateral / Security documents, whether real estate or chattel mortgage.
  • If the business is already existing: BIR-filed financial statements for at least three years, latest interim financial statements, and Certificate of Registration with the Department of Trade and Industry (DTI).

You must also complete the Enterprise Development Training, which will be discussed further in a separate post.

The OWWA also allows GROUP BORROWERS such as cooperatives, partnerships, associations, or corporations to avail of this loan facility. If you are borrowing as a group, here are the requirements you need to submit:

  • Proof of OWWA contribution, at least that of the officers.
  • Business Plan or Feasibility study of the proposed business.
  • Security / Collateral documents, which will be discussed further below.
  • Board or Partnership Resolution signifying intent to undertake or expand a business / project with the help of OWWA loan facility.

For Corporations: 

  • Proof of Registration with the Securities and Exchange Commission (SEC)
  • Articles of Incorporation
  • Ratified By-Laws

For Partnerships:

  • Proof of Registration with the Securities and Exchange Commission (SEC)
  • Mutually Agreed Terms

For Cooperatives

  • Proof of Cooperative Development Authority
  • Articles of Incorporation

For Associations

  • Proof of Registration with Department of Labor and Employment
  • Constitution
  • By-Laws

Keep in mind that the Loan Security or Collateral shall be any of the following:

  • Torrens Certificate Title (TCT) Condominium Certificate of Title (CCT), Tax Declaration, and other pertinent documents related to planned mortgageable assets.
  • OR/CR for Chattel Mortgage
  • Lease Rental Contract
  • Receivables
  • Other contract agreements related to the execution of Deed of Assignment or Purchase Order.

It is imperative that you comply with all the requirements so that your loan application will be processed as soon as possible. This way, processing of the loan and release of funds will be faster, thereby allowing you to start sooner in your business venture.

OWWA Loan – What You Need to Know

A Glimpse of What You Need to Know about OWWA Loan

The Overseas Workers Welfare Association or OWWA is a membership institution that conducts programs and offers services for overseas Filipino workers or OFW. Among the services the institution offers is applying for a loan facility. This gives you an opportunity to start a new life sans the burden imposed by commercial financial institutions.

If you plan to avail of OWWA loan, here’s what you need to know about this facility before applying for one:

What you need to know about OWWA Loans
Quick Facts about OWWA loan

Basis of OWWA Loan Program

The OWWA loan is in accordance to the P2-billion reintegration program of the government to help OFWs not only find but also build sustainable businesses to support them and their families. This way, they won’t have to go back abroad to make a living and generate sustainable income for the family.

Proposed business must be in line with any of the following:

  • Health care
  • Agri-business
  • Tourism
  • Franchising
  • Education
  • Construction or rental business
  • Transport service
  • Service or trading

Likewise, the purpose of the loan must be for working capital and fixed asset acquisition only and not for personal use.

The OWWA Loan Program

OWWA allows every overseas worker P100,000.00 to P2,000,000.00 for individual borrowers and up to P5,000,000.00 for group borrowers. You have an option to avail of short-term loan, which lasts for 12 months, or long-term loans shall not exceed seven years. For long-term loans, a two-year maximum grace period is included on the principal.

Interest rate for both short- and long-term loans is pegged at 7.5% per annum.

Basic Requirements

Only OFW applicants certified and endorsed by OWWA can avail of the loan program, which will be coursed through by Land Bank. To be certified, the applicant must comply with the basic requirements:

  • Overseas worker applying for the OWWA loan facility must provide a certification from OWWA to prove his/her status as bona fide OFW.
  • The applicant must attend and finish the Enterprise Development Training.
  • Submit proposed business together with purchase order and service contract or contract growing agreement.
  • Applicant must likewise present copies of, but not limited to the following:
  • Bio-data of the applicant
  • Certificate of Registration with DTI
  • Mayor’s permit where the business is located
  • Income tax return or ITR for at least three years
  • BIR-filed financial statements for at least three years, if applicable
  • Statement of assets and liabilities
  • Interim financial statements, if available
  • Loan security or collateral, which could be the object of financing or mortgageable assets like project assets or other assets of the borrowers

Where to Submit

Once you have the necessary documents, submit the requirements in OWWA Main Office located at F.B. Harrison St., Pasay, Metro Manila. You can also submit the requirements in the nearest regional office near your area. OWWA regional offices are located in various cities in Luzon, Visayas, and Mindanao.

Loan evaluation, processing, and approval will be completed within 45 days from submission of complete requirements.

OFW Loan Pricing Comparison and Calculator

For landbased Overseas Filipino Workers (OFW), have a look at the loan comparison chart we put together from information we gathered from different private lending companies. This table serves as a calculator for various loan amounts. It shows how much your monthly payment would be for 6 months and no grace period given the loan amount. We use the net pay out amount, after any up-front fees deducted to make the numbers comparable. Wherever possible, we use mystery shopping and actual amortization tables shared by customers:

Asialink / Finaswide Balikbayad PJH Zazu 123 Lending
30,000 7,822.50 6,779.17 8,454.44 7,317.15 6,952.80
50,000 13,037.50 11,345.83 14,090.91 12,195.25 11,588.00
70,000 18,252.50 15,912.50 19,727.27 17,073.35 16,223.20
100,000 26,075.00 22,762.50 28,181.82 24,390.50 23,176.00
120,000 31,290.00 27,329.17 33,817.76 29,268.60 27,811.20
150,000 39,112.50 34,179.17 42,272.20 36,585.75 34,764.00
180,000 46,935.00 41,029.17 50,726.64 43,902.90 41,716.80
200,000 52,150.00 45,595.83 56,362.93 48,781.00 46,352.00

For seaman loans, please click here.

If you are a returning OFW and need the loan for business purposes, you could also consider an OWWA Loan.

Seaman Loan Pricing Comparison and Calculator

For Seaman, have a look at the loan comparison chart we put together from information we gathered from different private lending companies. This table serves as a calculator that shows how much your monthly payment would be for 6 months and no grace period given the loan amount. We use the net pay out amount, after any up-front fees deducted to make the numbers comparable. Wherever possible, we use mystery shopping and actual amortization tables shared by customers:

Asialink /
Balikbayad Global
30,000 6,584.02 6,466.84 6,716.40 6,608.27
50,000 10,936.95 10,825.29 11,147.35 11,013.79
70,000 15,289.80 15,183.73 15,578.31 15,419.31
100,000 21,819.26 21,721.40 22,224.73 22,027.58
120,000 26,172.32 26,079.85 27,109.82 26,433.10
150,000 32,701.82 32,617.52 33,887.27 33,041.37
180,000 39,231.33 39,155.19 40,664.73 39,649.65
200,000 43,584.26 43,513.64 45,183.03 44,055.17

For OFW loans, please click here.

If you are a returning OFW and need the loan for business purposes, you could also consider an OWWA Loan.

OFW Loans 101: How and what you need to get a loan

Are you planning on getting an OFW or Seaman loan from a lending company for the first time? If you want to know the process and requirements you should be bringing with you, then you certainly have come to the right place. After numerous visits to different lending companies and interviews with OFWs and Seaman that went through the whole process of borrowing money, we are pleased to share the information that we have gathered with you.

The process of applying in every lending company involves 3 major steps.

  1. Inquiry and Application

For this step, you (the borrower) will call or visit the branch of the lending company. You will ask the lending company regarding the details on getting a loan such as the documents you need to submit, the interest and fees that they charge, and the estimated monthly payment given the loan term. The documents that all lending companies ask for are found below. Do take note that there are lending companies that ask for more documents so check our document comparison page to see which requirements each lending company asks for.

-Valid ID                                                            -Airplane Ticket

-Passport                                                          -Overseas Employment Certificate

-Working Visa                                                  -Proof of Billing

-Employment Contract                                  -Co-maker*

*documents of co-maker vary depending on the lending company

If you have all these requirements ready with you, you may now visit the lending company to apply. You will be asked to submit these documents to the loan officer. After submitting, you have finished step 1!


  1. Credit Investigation

The second step won’t involve you for the most part, unless there are some additional findings from the credit investigation. During this step, lending companies will verify information that you have submitted including your employment status, your departure date, the validity of your documents, your home address and many more. If you are hiding anything from these companies, most likely they will figure this out and have a negative effect on your application. Because of this, it is best to inform them from the start regarding any potential problems.

The credit investigation process usually takes a day to be completed, so just wait for a call from the company regarding the decision on your application.


  1. Loan Release

The third and last step of the process is the disbursal step. This is the time when you will get your loan and sign promissory notes with the company. Common practice of lending companies is to only disburse the loan 5-7 days before your departure. (If you have urgent needs and your departure date is not anytime soon, we suggest that you find other ways and not go to lending companies to save time.)

On disbursement day, you will be asked to sign post-dated checks for each of your payments. In the event that you do not have a checking account, the lending company will endorse you to a partner bank to open one. (View our features comparison page to see how much each company will charge you for maintaining the minimum balance). You will also be signing your promissory note on this day as well as the disclosure statement which shows you all the interests and fees. Take note that some companies have hidden charges which they deduct to your loan amount that they did not tell you about, and these charges will be seen on the disclosure statement.

Once you have signed all the contracts and post-dated checks, the company will give you the loan either in cash or check. For the repayment of your loan, you have to fund the checking account that you have opened on or before your due date as they will deposit the check on that day. One tip is that if you have problems with your payment, it is best to contact the lending company ahead of time to avoid a lot of penalties.


If you fear that you won’t completely understand the terminologies used by lending companies, read our loan terminologies page to be more familiar with the terms and to avoid getting exploited.

Understanding Loan Terminologies

Hello fellow OFWs and Seamen! If you have plans to apply for a loan, you can be better prepared by knowing what these loan terminologies mean. There are also tips in the end of every terminology on what questions you should ask the lending company regarding these.

Agents – Agents are individuals who are not employees of lending companies but may be tied up with one. Agents approach OFWs and Seaman who needs a loan, with promises of a sure approval. This is not true. Moreover, agents ask for commission from the loan for their service, which means that you have to pay them if you get approved. Because of this, it is best to avoid agents and look for lending companies that do not accept agents, as those with agents do charge higher fees and interests.

Checking Account Maintaining Balance – Banks require the customer to maintain a minimum balance in order to open a checking account. Ask the loan officer how much the maintaining balance is and if it will be deducted to your loan amount, as there are lending companies that shoulder this amount for you.

Co-maker – A co-maker or co-borrower is a person that will take the loan with you. The co-maker will sign all the contracts, submit all the documents required of him/her and will be liable for the loan. The co-maker is also usually the one who deposits the money into the account, as the co-maker is the recipient of the remittance or allotment. In the situation that you are unable to repay your loan, it is not only you but also your co-maker who will be charged.

Effective Interest Rate – The effective interest rate is the real rate of borrowing money and is different from the interest rate. The interest rate that the loan officer tells you is lower compared to its effective interest rate. In comparing effective interest rate, you should consider the actual loan amount you get, the fees charged and your monthly amortization. Not getting the full amount of your loan means that the effective interest rate is much higher and they are clearly taking advantage of you.

Grace Period – Grace period is the period in time between your disbursement date and first payment date. A grace period is usually given to allow the OFW or Seaman to adjust to their new life abroad, as they start to figure out their monthly expenses and how long it takes for them to remit money.

Hidden Charges –Hidden charges are charges such as processing fee and insurance that companies do not disclose to you until the last step when you are about to sign the contract. Because of this, on your very first visit, always ask what are the charges of your loan and how much of the loan amount you will actually receive.

Interest Rate – The interest rate is the rate they charge on the principal for borrowing money. Different lending companies have different interest rates and companies usually charge this rate per month.

Loan Amount – Loan amount is simply the amount that you want to borrow. What you should ask the loan officer is if you will be able to get the full amount or will there be deductions.

Loan Term – The term of the loan refers to the number of months from the disbursement date to the maturity date, basically the number of months until you full pay your loan. Some lending companies confuse this with the number of payments, so be sure to confirm this if not explained by the loan officer.

Monthly Amortization – Monthly amortization is the amount that you are required to pay every month until the term is finish. For companies that use Post Dated Checks as mode of payment, monthly amortization is the amount written on the checks.

Pre-termination – Pre-termination is putting an end to your contract with the company even before its maturity date. To pre-terminate a loan with a company, you pay the whole amount of your loan and an early termination fee. You should ask the lending company if they allow pre-termination and what are their rules on this as it is not standard for all companies.

Requirements Comparison Chart of Lending Companies

Hi kababayan! Do you want to know the requirements in applying for an OFW or Seaman loan? Check below for the requirements of each lending company.

Legend:          ✓ – required          x – not required


Borrower’s Requirements:

Asialink Balikbayad MLC PJH Zazu 123 Lending
2×2 picture 3 pcs x 2 pcs 2 pcs 2 pcs 3 pcs
Valid IDs* 2 pcs 1 pc 2 pcs 2 pcs 2 pcs 2 pcs
Valid Passport
Proof of billing**
Barangay Clearance** x
Official Employment
Valid visa to the
country of deployment
Valid Plane Ticket
Birth/ Marriage
Certificate of Borrower
Overseas Employment
Certificate (OEC)

*Government issued; signed by borrower

**Most recent and contains borrower’s name and residence address

***Must bear the signature of both the employer and employee; must show the salary, allowances, contract duration and country of destination

For Seaman, in addition to the requirements above, lending companies also require seaman’s book, seaman’s registration certificate and an allotment certificate.


Co-maker’s Requirements:

Asialink Balikbayad MLC PJH Zazu 123 Lending
2×2 picture 3 pcs x 2 pcs 2 pcs 2 pcs 3 pcs
Valid IDs* 2 pcs 1 pc 2 pcs 2 pcs 2 pcs 2 pcs
Proof of billing**
Barangay Clearance** x x
Sketch of Residence
Proof of income x x x
Birth/ Marriage Certificate
Cedula x x x
Owning Residence x

*Government issued; signed by co-maker

**Most recent and contains borrower’s name and residence address


Note: If there is any wrong information, please send us a message and we’ll try to correct it immediately