PSBank vs UnionBank

PSBank vs UnionBank: Home Loan Rate Comparison

Both PSBank (Philippine Savings Bank) and UnionBank of the Philippines offer home loan products targeting Filipino borrowers across a range of income levels and property types. However, there are important differences in how their rates are verified, how accessible their products are, and what the total cost of borrowing looks like over the life of a loan.

Important notice: PSBank rates shown below are approximate, based on publicly available information, and are subject to change. Always verify current rates directly with PSBank. UnionBank rates are verified partner rates available through Nook as of the current publishing date, and are also subject to change.

Monthly Payment Comparison: How Much Could You Save?

Let's run the numbers on a sample loan to show the real-world impact of a rate difference. Using a loan amount of 3,000,000 over a 20-year term:

Even a 1.25 percentage point difference compounds significantly over a 20-year term. On a 3,000,000 loan, that's over 565,000 pesos in potential savings — money that stays in your family's hands instead of going to the bank.

If you're currently paying 8% or higher on your existing home loan, it may be worth exploring a refinance to UnionBank to lock in a lower rate.

Eligibility: Who Qualifies?

PSBank Home Loan Eligibility

PSBank generally caters to employed and self-employed Filipino citizens and permanent residents. Their income requirements and DTI ratios are broadly in line with industry standards, though their exact thresholds are not always prominently disclosed and may vary by branch or product type. Overseas Filipino Workers (OFWs) may qualify under certain conditions, but documentation requirements can be more complex.

UnionBank Home Loan Eligibility (via Nook)

UnionBank via Nook accepts a notably wide range of borrower profiles, making it one of the more accessible options in the market:

• Minimum Monthly Income: P30,000
• Maximum Debt-to-Income Ratio: 50% — one of the more flexible limits available
• Employment Types: Private sector employees, government workers, BPO employees, OFWs, seafarers, self-employed individuals, and licensed professionals
• Loan Purposes: Ready For Occupancy (RFO), Pre-Selling, New Construction, Renovation, Reselling, Foreclosed properties, and Home Equity

The higher maximum DTI of 50% is a meaningful advantage for borrowers who may have other financial obligations and still want to qualify for a home loan.

Loan Purposes: What Can You Finance?

One area where UnionBank clearly stands out is the breadth of eligible loan purposes. Whether you're buying a brand-new RFO unit, taking on a pre-selling property, building from the ground up, or accessing your home's equity — UnionBank covers all of these through Nook.

PSBank also supports purchase and construction loans, but its product range for niche purposes (such as home equity loans or foreclosed property financing) is less prominently advertised and may require direct inquiry with the bank.

For a broader view of how PSBank stacks up against other lenders in its tier, see our PSBank vs Robinsons Bank comparison and the Chinabank vs PSBank breakdown.

Application Process: Direct vs. Through Nook

Applying Directly to PSBank

Borrowers applying directly to PSBank will need to gather their own documents, submit to the bank's branch or online portal, and manage follow-ups independently. Processing times vary. There is no intermediary to advocate for your application or help you compare alternatives.

Applying to UnionBank Through Nook

Nook is the Philippines' first digital mortgage broker, and its service is completely free to borrowers. When you apply for a UnionBank home loan through Nook, you get:

• A dedicated mortgage advisor who guides you through the entire process
• Document preparation support to improve your approval chances
• Access to verified, up-to-date rates — no surprises
• A streamlined digital process with faster turnaround
• The ability to compare UnionBank against other Nook partner banks in one place

Because Nook is compensated by the bank — not the borrower — there is zero cost to you for this service. It's one of the clearest advantages of refinancing or borrowing through a broker rather than going direct.

Refinancing: Should You Switch From PSBank to UnionBank?

If you currently have a home loan with PSBank and your interest rate is above 7.00%, refinancing to UnionBank through Nook could result in meaningful monthly savings. The refinancing process through Nook is designed to be straightforward: Nook handles the coordination, helps you understand the fees involved (such as cancellation of mortgage and registration costs), and ensures you're making a well-informed decision before committing.

As a general rule, refinancing makes sense when:

• Your current rate is at least 1.00 – 1.50 percentage points higher than the available refinance rate
• You have at least 5 years remaining on your loan term
• Your outstanding loan balance is at least 1,000,000 pesos

The best refinance rate currently available through Nook is 5.99% p.a. — significantly lower than what most Filipino homeowners are currently paying. Even if your PSBank rate is competitive, it's worth getting a free comparison through Nook to confirm you're not leaving money on the table.

Note: All interest rates are subject to change. Calculations above are illustrative and based on fixed-rate assumptions. Actual payments may vary depending on loan structure, fees, and bank policy at the time of application.