DBP vs Security Bank: Home Loan Rate Comparison
DBP (Development Bank of the Philippines) and Security Bank are two very different institutions serving the Philippine home loan market. DBP is a government-owned development bank with a mandate to support infrastructure and development financing, while Security Bank is a publicly listed commercial bank known for its consumer lending products. Here's how they stack up for homeowners considering a refinance.
| Feature | DBP | Security Bank |
|---|---|---|
| 1-Year Fixed Rate | Varies; typically 7.00%–8.50% p.a. | 6.99% p.a. |
| 5-Year Fixed Rate | Varies; typically 7.50%–9.00% p.a. | 6.75% p.a. |
| Home Equity Rate | Varies by program | 7.50% p.a. |
| Minimum Loan Amount | ~P500,000 | P1,000,000 |
| Typical Approval Time | 30–60 days | 23 days |
| Min. Monthly Income | Varies by branch | P50,000 |
| Max Debt-to-Income Ratio | Not publicly disclosed | 40% |
| Eligible Employment Types | Government, Private | Private, Government, BPO, OFW/Seafarer, Self-Employed, Professional, Freelancer |
| Loan Purposes (Refinance) | Limited refinance programs | Refinancing, Home Equity, Renovation, RFO, Pre-Selling, New Construction, Foreclosed, Reselling |
| Apply Through Nook | Not available | Yes — 100% free |
Note: DBP rates are indicative and may vary by branch, borrower profile, and program. Security Bank rates are current as of the latest update. All rates are subject to change — always verify directly with the bank or through Nook before applying.
Monthly Payment Comparison: A Real Example
Let's say you have an outstanding home loan balance of 3,000,000 and you're currently paying 8.50% p.a. on a 20-year term. Here's how your monthly payment changes depending on where you refinance:
| Scenario | Rate | Monthly Payment (est.) | Total Interest Paid |
|---|---|---|---|
| Current Loan (no refi) | 8.50% p.a. | ~26,035 | ~3,248,400 |
| Refinance with DBP (est.) | 7.75% p.a. | ~24,731 | ~2,935,440 |
| Refinance with Security Bank (5-yr fixed) | 6.75% p.a. | ~22,808 | ~2,473,920 |
Refinancing to Security Bank's 5-year fixed rate of 6.75% p.a. could save you approximately 3,227 per month compared to your current rate — that's over 38,000 in savings in the first year alone. Over the life of the loan, total interest savings could exceed 774,000 compared to staying at 8.50%.
If you're also weighing other government bank options, see our detailed breakdown in the Landbank vs Security Bank home loan comparison for a similar side-by-side analysis.
Who Should Consider DBP?
DBP is a development-focused institution and its home loan programs are not always straightforward for standard refinancing. That said, DBP may be worth exploring if:
- You are a government employee seeking a government-bank relationship
- Your property is in a rural or underserved area where DBP has specific programs
- You are part of a DBP-affiliated livelihood or housing program
- You already have an existing DBP relationship or account
However, DBP's retail home loan offerings are less competitive than commercial banks for most borrowers, and their refinance programs can be limited in scope. Processing times also tend to be longer — typically 30 to 60 days — which can delay your savings.
Who Should Consider Security Bank?
Security Bank is one of the strongest options for refinancing in the Philippine market today, particularly for borrowers who want a fast, transparent, and competitive process. Consider Security Bank if:
- You want a fixed rate as low as 6.75% p.a. (5-year lock-in)
- You need a fast turnaround — Security Bank typically approves within 23 days
- You are a private employee, BPO worker, OFW, seafarer, self-employed professional, or freelancer
- You want to refinance for home equity, renovation, or to consolidate to a lower rate
- You want to apply through Nook at zero cost and have an expert guide you through the process
Security Bank's broad eligibility criteria make it one of the most accessible refinance lenders in the market. Whether you're a salaried employee or a freelancer, there's a good chance you qualify. For another comparison involving Security Bank and a government lender, check out the Philippine Veterans Bank vs Security Bank home loan comparison.
Applying Through Nook: Why It Makes a Difference
Nook is the Philippines' first digital mortgage broker, and its service is completely free for borrowers. When you apply for a Security Bank home loan through Nook, you get:
- Expert guidance from a dedicated mortgage specialist who knows Security Bank's requirements inside out
- Faster processing because Nook pre-screens your documents and submits a complete application the first time
- No broker fees — Nook earns from the bank, not from you
- Access to multiple lenders so you can compare and choose the best rate for your profile
DBP does not currently offer its home loan products through Nook, which means you would need to visit a branch, navigate their internal processes, and manage follow-ups on your own.
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Compare My Options →Frequently Asked Questions
What is the current home loan interest rate at DBP?
DBP's home loan rates are not always publicly listed and can vary by branch, borrower profile, and loan program. Indicative rates typically range from 7.00% to 9.00% p.a. depending on the fixing period. We recommend contacting DBP directly or visiting a branch to get a personalized quote. For comparison, Security Bank currently offers rates starting at 6.75% p.a. for a 5-year fixed term through Nook.
What is Security Bank's home loan interest rate in 2024?
Security Bank currently offers a 1-year fixed rate of 6.99% p.a. and a 5-year fixed rate of 6.75% p.a. for home loans, including refinancing. A home equity loan rate of 7.50% p.a. is also available. These rates are subject to change, so verify the latest figures through Nook or directly with Security Bank before applying.
Can I refinance my home loan from DBP to Security Bank?
Yes, you can refinance from DBP to Security Bank. Security Bank accepts refinancing applications from borrowers with existing home loans at other banks, including government banks like DBP. Through Nook, the process is entirely free and a mortgage specialist will guide you from application to approval. Typical approval takes around 23 days.
How long does Security Bank take to approve a home loan?
Security Bank typically approves home loan and refinancing applications within 23 days, assuming all required documents are submitted correctly and completely. Applying through Nook can help streamline this process because Nook pre-screens your documents before submission, reducing the chance of delays due to incomplete requirements.
What is the minimum income required for a Security Bank home loan?
Security Bank requires a minimum monthly income of 50,000 for home loan applicants. This applies to salaried employees, self-employed individuals, OFWs, seafarers, freelancers, and professionals. DBP's income requirements vary by branch and program and are not always publicly stated.
Is DBP a good option for home loan refinancing?
DBP can be a reasonable option for certain borrowers — particularly government employees or those in underserved areas — but its retail refinancing products are generally less competitive than commercial banks like Security Bank in terms of rates and processing speed. Most borrowers looking to reduce their monthly payment will find better value refinancing through a commercial bank via Nook.
How much can I save by refinancing to Security Bank through Nook?
Your savings depend on your current interest rate, outstanding loan balance, and remaining term. For example, a borrower with a 3,000,000 loan balance at 8.50% p.a. could save approximately 3,227 per month by refinancing to Security Bank's 5-year fixed rate of 6.75% p.a. Over 20 years, total interest savings could exceed 774,000. Use the Nook calculator or speak to a Nook specialist for a personalized estimate.