Asia United Bank vs SB Finance: Home Loan Overview
Asia United Bank (AUB) is a publicly listed universal bank with a growing retail banking portfolio, including home loans for purchase, construction, and refinancing. SB Finance, on the other hand, is a non-bank financial institution backed by Security Bank and the Krungsri Group, primarily known for personal loans but also offering home loan products. Understanding each institution's strengths and limitations is critical when deciding where to place — or refinance — your home loan.
| Feature | Asia United Bank | SB Finance |
|---|---|---|
| Institution Type | Universal Bank | Non-Bank Financial Institution |
| Home Loan Purpose | Purchase, Construction, Refinancing | Purchase, Refinancing |
| Typical Interest Rate | 7.00% – 9.00% p.a. | 7.50% – 10.00% p.a. |
| Minimum Loan Amount | 1,000,000 | 500,000 |
| Maximum Loan Amount | Up to 80% of appraised value | Up to 70% of appraised value |
| Loan Term | Up to 20 years | Up to 20 years |
| Processing Fee | Typically 1% of loan amount | Typically 1% – 2% of loan amount |
| Approval Timeline | 3 – 5 weeks | 3 – 6 weeks |
Interest Rate Comparison in Detail
Interest rates are the single biggest factor in the total cost of your home loan. Even a 0.50% difference on a 3,000,000 loan over 20 years translates to more than 180,000 in additional interest paid. Here's how Asia United Bank and SB Finance typically structure their fixed-rate periods:
| Fixed-Rate Period | Asia United Bank (Est.) | SB Finance (Est.) |
|---|---|---|
| 1 Year Fixed | 7.00% p.a. | 7.50% p.a. |
| 2 Years Fixed | 7.25% p.a. | 7.88% p.a. |
| 3 Years Fixed | 7.50% p.a. | 8.25% p.a. |
| 5 Years Fixed | 8.00% p.a. | 8.75% p.a. |
| 10 Years Fixed | 8.50% p.a. | 9.50% p.a. |
After the fixed-rate period ends, both lenders typically reprice your loan to the prevailing market rate, which can increase your monthly obligation. This repricing risk is one of the key reasons many Filipino homeowners choose to refinance before their fixed period expires.
Monthly Payment Comparison: 3,000,000 Loan Over 20 Years
To illustrate the real-world difference between these two lenders — and the savings available through Nook — here's a side-by-side monthly payment estimate for a 3,000,000 home loan over a 20-year term:
| Lender | Rate | Est. Monthly Payment | Total Interest Paid |
|---|---|---|---|
| Asia United Bank | 7.50% p.a. | 24,098 | 2,783,520 |
| SB Finance | 8.25% p.a. | 25,637 | 3,152,880 |
| Nook (Best Rate) | 5.99% p.a. | 21,488 | 2,157,120 |
Refinancing a 3,000,000 loan from Asia United Bank's typical rate to Nook's best available rate of 5.99% p.a. could save you approximately 2,610 per month — that's more than 31,000 per year, and over 626,000 across a 20-year term. If you're currently with SB Finance, the savings are even greater at roughly 4,149 per month.
Eligibility Requirements
Both Asia United Bank and SB Finance require borrowers to meet standard creditworthiness criteria, but there are some differences worth noting:
| Requirement | Asia United Bank | SB Finance |
|---|---|---|
| Minimum Age | 21 years old | 21 years old |
| Maximum Age at Loan Maturity | 65 years old | 65 years old |
| Minimum Monthly Income (Employed) | Approx. 50,000 | Approx. 40,000 |
| Minimum Monthly Income (Self-Employed) | Approx. 60,000 | Approx. 50,000 |
| Employment Tenure Required | 2 years with current employer | 2 years with current employer |
| OFW Applications | Accepted | Limited availability |
| Property Collateral | Required | Required |
Asia United Bank has a slight edge for OFW borrowers, while SB Finance's lower minimum income requirement may make it more accessible for some borrowers. However, if you don't qualify for the best rates at either institution, Nook's multi-lender platform can match you with a bank where your profile is a strong fit — often at a lower rate than you'd find on your own.
Fees and Charges
Beyond the interest rate, home loan fees can add up quickly and meaningfully affect the total cost of borrowing. Here's a breakdown of the typical charges at both institutions:
| Fee Type | Asia United Bank | SB Finance |
|---|---|---|
| Processing Fee | ~1% of loan amount | ~1% – 2% of loan amount |
| Appraisal Fee | Borrower's account | Borrower's account |
| Documentary Stamp Tax | Borrower's account | Borrower's account |
| Notarial Fee | Borrower's account | Borrower's account |
| Mortgage Registration Fee | Borrower's account | Borrower's account |
| Early Repayment Penalty | Typically applies within fixed period | Typically applies within fixed period |
When comparing the two, Asia United Bank's processing fee structure tends to be slightly more favorable. For a 3,000,000 loan, a 1% fee means 30,000 upfront, while SB Finance's higher end of 2% means 60,000 — a difference of 30,000 before you even make your first monthly payment. If you're curious how SB Finance compares to other digital lenders like GoTyme, we've covered that in a separate comparison.
Refinancing with Asia United Bank or SB Finance
If you're already a homeowner looking to refinance an existing loan, both Asia United Bank and SB Finance accept refinance applications. However, the experience and outcome can vary significantly depending on your current loan balance, remaining term, and the lender's appetite for refinance cases at the time of application.
Asia United Bank offers refinancing for residential properties and can accommodate loans up to 80% of the appraised value, giving borrowers more flexibility to consolidate equity or top up their loan. SB Finance's refinance product is more conservative, with a lower maximum loan-to-value ratio of around 70%.
Critically, neither bank is guaranteed to offer you the lowest available rate in the market. Through Nook, you can compare refinance offers from multiple Philippine banks simultaneously — and since Nook is completely free to borrowers, there's no cost to exploring your options. Many homeowners discover they can access rates as low as 5.99% p.a., well below what either AUB or SB Finance typically offer.
Digital Experience and Customer Service
The application process and ongoing account management experience matters — especially for a 15- to 20-year financial commitment.
Asia United Bank has invested in digital banking infrastructure and offers an online application portal for home loans. Their branch network is moderate in size, concentrated in Metro Manila and key provincial cities. Customer service responsiveness for home loan inquiries is generally rated as adequate, though borrowers report that complex queries sometimes require in-branch visits.
SB Finance, as a primarily digital-first non-bank lender, offers a streamlined online application process. However, its home loan product is less mature than its personal loan business, and some borrowers report longer resolution times for post-approval queries. The absence of a traditional branch network can be a limitation if you prefer face-to-face assistance.
For comparison, if you're evaluating other institutions with digital-forward approaches, our GoTyme vs Philippine Business Bank comparison examines how fully digital banks stack up against more traditional lenders on the home loan front.
Who Should Consider Each Lender?
Asia United Bank may be right for you if:
- You want a universal bank with a broader range of financial products
- You are an OFW seeking a home loan for property in the Philippines
- You need a higher loan-to-value ratio (up to 80%)
- You prefer a slightly lower processing fee
SB Finance may be right for you if:
- You prefer a fully digital application process
- Your loan requirement is on the smaller end (500,000 and above)
- You are comfortable with a non-bank lender
- You already have an existing relationship with Security Bank
Consider Nook if:
- You want to compare both banks — and many others — in a single application
- You are refinancing and want to find the lowest available rate (currently 5.99% p.a.)
- You want professional support navigating the application process at no cost
- Your current rate is 7% or higher and you want to lower your monthly payment
Not sure which bank suits you?
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Compare My Options →Frequently Asked Questions
Which has a lower home loan rate — Asia United Bank or SB Finance?
Based on published and available market data, Asia United Bank generally offers lower home loan interest rates than SB Finance, with AUB rates typically starting around 7.00% p.a. compared to SB Finance's rates which often begin at 7.50% p.a. or higher. However, the rate you're offered will depend on your credit profile, loan amount, and fixed-rate period chosen. Through Nook, you may access rates as low as 5.99% p.a. — lower than both banks' typical starting rates.
Can I refinance my existing home loan to either Asia United Bank or SB Finance?
Yes, both Asia United Bank and SB Finance accept home loan refinance applications. AUB allows refinancing up to 80% of the appraised property value, while SB Finance is typically more conservative at around 70% LTV. If you're looking for the best refinance deal, Nook can submit your application to multiple lenders simultaneously and help you secure the lowest available rate — free of charge.
How much can I save by refinancing from SB Finance to a lower-rate lender?
The savings depend on your current loan balance, remaining term, and the new rate you qualify for. As an illustration, on a 3,000,000 loan over 20 years, moving from a rate of 8.25% p.a. (typical SB Finance) to 5.99% p.a. (Nook's best available rate) could save you approximately 4,149 per month — or nearly 50,000 per year. Over a 20-year term, that adds up to roughly 995,000 in total interest savings.
Is SB Finance a bank or a lending company?
SB Finance is a non-bank financial institution (NBFI), not a bank. It is a subsidiary of Security Bank Corporation and is regulated by the Bangko Sentral ng Pilipinas (BSP) as a financing company. While it offers home loan products similar to traditional banks, its LTV limits and product range may be more restricted than a full-service universal bank like Asia United Bank.
Does Asia United Bank offer home loans to OFWs?
Yes, Asia United Bank accepts home loan applications from Overseas Filipino Workers (OFWs). You will generally need to provide proof of overseas employment, remittance records, and may need a co-borrower or authorized representative in the Philippines to facilitate the process. SB Finance has more limited OFW home loan availability, so AUB may be the better option for overseas borrowers between the two.
What documents do I need to apply for a home loan with Asia United Bank or SB Finance?
Both lenders require standard documentation including: a valid government-issued ID, proof of income (payslips, ITR, or audited financial statements for self-employed), Certificate of Employment, copy of the property's Transfer Certificate of Title (TCT), tax declaration, and a lot/floor plan. SB Finance may request additional documents given its non-bank status. Nook can guide you through the exact document requirements for whichever lender you choose to apply with.
How long does it take to get approved for a home loan at Asia United Bank vs SB Finance?
Asia United Bank typically processes home loan applications within 3 to 5 weeks from submission of complete documents. SB Finance may take 3 to 6 weeks. Approval timelines can be affected by the completeness of your application, property appraisal scheduling, and the lender's current application volume. Applying through Nook can help speed up the process since our team ensures your documents are complete before submission.
Is Nook's mortgage brokering service really free?
Yes, Nook's service is 100% free to borrowers. Nook is compensated by the lending institution once your loan is successfully disbursed — similar to how a real estate agent is paid by the seller, not the buyer. You pay no broker fee, no referral fee, and no hidden charges for using Nook to compare and apply for home loans or refinancing.