BDO vs UnionBank

BDO vs UnionBank Home Loan: Quick Comparison Table

Here's a side-by-side look at the key figures for both banks as of 2026. Note that interest rates are subject to change — always verify current rates directly with the bank or through Nook.

Interest Rate Comparison: How Much Can You Actually Save?

The 1.00 percentage point gap between BDO (6.00%) and UnionBank (7.00%) may seem small, but over a long loan term it translates to a meaningful difference in total interest paid. Let's look at a concrete example.

Assume a loan amount of 3,000,000 over a 20-year term:

• BDO at 6.00%: Estimated monthly amortization of approximately 21,492 | Total interest paid ≈ 2,158,080
• UnionBank at 7.00%: Estimated monthly amortization of approximately 23,259 | Total interest paid ≈ 2,582,160

That's a difference of roughly 1,767 per month and over 424,000 in total interest over the life of the loan — a significant amount that makes BDO's lower rate very attractive for qualifying borrowers.

For homeowners currently paying 8% or higher on an existing home loan, refinancing to either bank through Nook could produce substantial savings. Use Nook's free refinancing calculator to model your specific scenario.

Income Requirements: Who Can Qualify?

One of the most practical differences between these two banks is the minimum income requirement.

BDO requires a minimum monthly income of 50,000. This makes it well-suited for dual-income households, mid-to-senior professionals, and established business owners. BDO's 40% maximum DTI means your total monthly debt obligations — including the new home loan — cannot exceed 40% of your gross monthly income.

UnionBank sets its threshold at 30,000 per month, making it accessible to a wider range of borrowers including those earlier in their careers, single-income households, and OFWs with moderate remittances. Its higher 50% DTI ceiling also gives borrowers more room if they carry existing obligations like car loans or credit card debt.

Practical implication: If your household income is between 30,000 and 49,999 per month, UnionBank may be your primary option among these two. If you earn above 50,000, you should compare both offers before deciding.

Eligible Borrower Types

Both BDO and UnionBank are broad in the employment types they accept, which is good news for borrowers across different work situations.

Both banks are OFW-friendly, which is significant given that many Filipino homeowners are financing properties while working abroad. BPO workers — a large and growing employment segment in the Philippines — are also explicitly eligible at both banks.

Loan Purposes: What Can Each Bank Finance?

Both banks cover the full spectrum of home loan purposes, with one notable difference: BDO explicitly includes Refinancing and New Construction in its product list, giving it slightly broader coverage.

If you're looking to refinance an existing home loan, both banks are solid options. For a deeper look at refinancing scenarios specifically, see our guide on BDO vs UnionBank home loan rates for refinancing in 2026.

Approval Time and Process

BDO has a documented typical approval timeline of around 30 days, which is a reliable benchmark for planning your refinancing or purchase timeline. This assumes complete documentation is submitted upfront — incomplete applications can significantly extend processing time.

UnionBank's approval timeline varies and depends on loan type, borrower profile, and document completeness. Borrowers who apply through Nook benefit from guided document preparation, which helps reduce back-and-forth and speeds up processing at both banks.

One advantage of using Nook as your mortgage broker is that you can submit to multiple banks simultaneously. This means you could receive offers from both BDO and UnionBank within roughly the same timeframe, giving you a real, apples-to-apples comparison before you commit.

Refinancing: Which Bank Is Better?

For homeowners looking to refinance — particularly those currently paying 8%, 9%, or higher — both banks represent a meaningful step down in rate. But the calculus is different depending on your profile.

• If you qualify for BDO: The 6.00% rate offers the most immediate monthly savings and the lowest total interest cost over the loan term. BDO's 30-day approval window is also predictable.
• If your income is below 50,000 or your DTI is above 40%: UnionBank at 7.00% may still represent significant savings versus your current rate, and its more lenient qualification criteria make it a realistic option.

It's also worth noting that the best refinance rate currently available through Nook across all partner banks is 5.99% p.a. — so depending on your profile, there may be an even more competitive option beyond these two banks. Nook will shop your loan across its full panel at no cost to you.

For a broader three-way comparison that includes another competitive lender, check out our BDO vs UnionBank vs Security Bank home loan rates comparison.

Fees and Other Costs to Consider

Interest rates are the headline figure, but total loan cost includes processing fees, appraisal fees, mortgage registration fees, and documentary stamp tax. These vary by bank, loan amount, and property type, and should be factored into your comparison.

When applying through Nook, you pay zero broker fees — Nook's service is completely free to the borrower. The banks pay Nook directly. This means you get professional loan matching, document preparation support, and multi-bank comparison without any out-of-pocket cost beyond the standard bank fees.

Always request a full loan disclosure from each bank so you can compare the effective interest rate (EIR) and total loan cost — not just the nominal rate.