AUB vs Tonik Home Loan: Quick Overview
Asia United Bank (AUB) is a well-established Philippine commercial bank with a full suite of retail banking products including home loans, while Tonik is the Philippines' first digital-only neobank, which launched consumer lending products in recent years. Understanding the difference in their home loan offerings is critical if you're planning to borrow — or refinance — a significant amount.
If you're also evaluating other challenger banks, our AUB vs CIMB home loan comparison covers another digital-versus-traditional matchup worth reading.
Interest Rates
| Feature | AUB | Tonik |
|---|---|---|
| Indicative Rate (Fixed Period) | ~7.50% – 9.00% p.a. | ~7.88% – 10.00% p.a. |
| Rate Type | Fixed then repricing | Fixed then repricing |
| Best Available via Nook | 5.99% p.a. | |
AUB typically offers a lower entry rate compared to Tonik, particularly for borrowers with strong credit profiles and stable income documentation. Tonik's rates can be competitive for smaller loan amounts but tend to be higher on larger mortgages. Keep in mind that rates are subject to change and vary by borrower profile — the figures above are indicative.
Loan Amounts and Terms
| Feature | AUB | Tonik |
|---|---|---|
| Minimum Loan Amount | ~1,000,000 | ~500,000 |
| Maximum Loan Amount | Up to 80% of appraised value | Limited; typically up to 5,000,000 |
| Loan Term | Up to 20 years | Up to 20 years |
| LTV Ratio | Up to 80% | Up to 80% |
For borrowers looking at mid-to-large loan sizes — say, 3,000,000 to 8,000,000 — AUB is likely the more practical choice given Tonik's current product limitations. Tonik may suit borrowers with smaller loan requirements or those who prefer a fully digital application process for lower-value properties.
Monthly Payment Comparison
To illustrate the real-world impact of rate differences, here's how a 3,000,000 peso home loan over 20 years looks at different rates:
| Rate | Monthly Payment (approx.) | Total Interest Paid (approx.) |
|---|---|---|
| AUB ~8.00% p.a. | 25,093 | 3,022,320 |
| Tonik ~9.00% p.a. | 26,992 | 3,478,080 |
| Nook Best Rate 5.99% p.a. | 21,494 | 2,158,560 |
The difference between Tonik's rate and Nook's best available rate translates to roughly 5,498 pesos per month — or over 1,319,520 pesos across the full loan term. That's a significant amount that stays in your pocket.
Fees and Charges
| Fee | AUB | Tonik |
|---|---|---|
| Processing Fee | ~5,000 – 10,000 | Varies; check current schedule |
| Appraisal Fee | Borrower shoulders | Borrower shoulders |
| Early Redemption / Prepayment | Penalty may apply within fixed period | Penalty may apply within fixed period |
| MRI / Fire Insurance | Required | Required |
Both banks require standard fees associated with Philippine home loans. It's important to factor these into your total cost of borrowing, not just the headline interest rate.
Application Process
| Feature | AUB | Tonik |
|---|---|---|
| Application Channel | Branch or online inquiry | Fully digital via app |
| Processing Time | 2–4 weeks typical | Faster digital process; varies |
| Pre-approval | Available upon submission | Digital pre-qualification |
Tonik has a clear advantage in user experience and speed for digital-savvy borrowers. However, for complex cases — such as self-employed applicants or properties requiring special documentation — AUB's branch network and experienced mortgage officers may provide more hands-on support.
Refinancing: Can You Move Your Loan Away From AUB or Tonik?
Yes — and this is where working with Nook becomes especially valuable. If you already have a home loan with AUB or Tonik and your fixed-rate period is ending (or has already ended), you may be paying a much higher repriced rate than necessary. Refinancing through Nook means we shop across multiple Philippine banks to find you the lowest rate available — currently as low as 5.99% p.a. — at no cost to you.
For context on how other challenger and government-linked banks compare on refinancing, see our CIMB vs DBP home loan comparison.
Nook handles the paperwork, bank negotiations, and submission process. You just compare offers and choose the best one.
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Compare My Options →Frequently Asked Questions
Which is better for a home loan — AUB or Tonik?
For most borrowers, AUB offers a more mature and flexible home loan product, particularly for loan amounts above 3,000,000. Tonik is a strong digital option for smaller loans and simpler applications, but its product range and maximum loan sizes may be limiting. That said, both may be outpaced by the rates available through Nook, which start at 5.99% p.a.
Does Tonik offer home loans in the Philippines?
Yes, Tonik Bank — the Philippines' first licensed digital-only bank — does offer home loan products. However, as a relatively newer player in the mortgage space, its product terms, loan ceilings, and availability may be more limited compared to established commercial banks like AUB. Always verify current offerings directly with Tonik or through a broker like Nook.
What is AUB's current home loan interest rate?
AUB's home loan rates are typically in the range of 7.50% to 9.00% p.a. for fixed-rate periods, though exact rates depend on the loan amount, term, and borrower profile. Rates are subject to repricing after the initial fixed period. Through Nook, you may be able to secure a rate as low as 5.99% p.a. from a competing bank.
Can I refinance my AUB or Tonik home loan through Nook?
Yes. Nook specializes in home loan refinancing and can help you move your existing AUB or Tonik mortgage to a bank offering a lower rate. The service is completely free for borrowers — Nook is compensated by the receiving bank, not by you. If your current rate is above 7%, refinancing could save you a significant amount each month.
How much can I save by refinancing from a 9% rate to 5.99%?
On a 3,000,000 peso loan over 20 years, refinancing from 9.00% to 5.99% p.a. reduces your monthly payment from approximately 26,992 to 21,494 — a monthly saving of about 5,498 pesos. Over the full loan term, that adds up to over 1,319,520 pesos in total interest savings.
Is there a penalty for refinancing away from AUB or Tonik?
Both AUB and Tonik may charge a prepayment or early redemption penalty if you refinance during a fixed-rate lock-in period. The penalty is usually a percentage of the outstanding loan balance. It's important to check your loan agreement and calculate whether the long-term savings from a lower rate outweigh the one-time penalty — in most cases, they do. Nook can help you model this calculation.
How does Nook compare home loan rates from AUB, Tonik, and other banks?
Nook is the Philippines' first digital mortgage broker. We work with multiple Philippine banks to find you the lowest available home loan or refinance rate. You submit your details once, and Nook presents you with competing offers — free of charge. It's a smarter alternative to applying to multiple banks individually.