Interest Rates Comparison
The most significant difference between these two excellent Nook partner banks lies in their interest rates. BDO offers more competitive rates across all loan products:
- BDO: 6.00% for both 1-Year Fixed and Home Equity loans
- RCBC: 7.00% for 1-Year Fixed, 8.00% for Home Equity loans
For a typical 3,000,000 loan over 20 years, this rate difference translates to substantial savings. With BDO's 6.00% rate, your monthly payment would be approximately 21,516, while RCBC's 7.00% rate results in payments of about 23,265 - a difference of 1,749 monthly or 419,760 over the loan term.
Processing Time and Approval
BDO demonstrates clear efficiency advantages in loan processing:
- BDO: 30-day typical approval timeline
- RCBC: 49-day typical approval timeline
This 19-day difference can be crucial when you're looking to refinance your current home loan quickly to take advantage of lower rates before they change.
Income and DTI Requirements
Both banks maintain accessible income requirements, but differ significantly in debt-to-income flexibility:
| Requirement | BDO | RCBC |
|---|---|---|
| Minimum Monthly Income | 50,000 | 50,000 |
| Maximum DTI Ratio | 40% | 30% |
BDO's higher DTI tolerance of 40% versus RCBC's 30% means more borrowers can qualify, especially those with existing financial obligations. Before applying, review the complete RCBC housing loan requirements to ensure you meet all criteria.
Employment Type Flexibility
Both banks offer good employment flexibility, with some key differences:
- BDO accepts: Private, Government, BPO, OFW/Seafarer, Self-Employed, Professional
- RCBC accepts: Private, OFW/Seafarer, Self-Employed, Professional
BDO provides additional options for Government and BPO employees, making it more inclusive for various employment sectors.
Loan Purpose Coverage
Both banks offer comprehensive loan purposes, with BDO providing slightly broader coverage:
- BDO: Home Equity, Foreclosed, New Construction, Pre-Selling, RFO, Renovation, Reselling
- RCBC: Foreclosed, Home Equity, Pre-Selling, RFO, Refinancing, Reselling
BDO specifically includes New Construction and Renovation loans, while RCBC explicitly covers Refinancing purposes.
Why Choose Nook for Either Bank
Whether you choose BDO or RCBC, applying through Nook provides significant advantages:
- 100% Free Service: No broker fees or hidden charges
- Expert Guidance: Professional assistance throughout the application process
- Rate Comparison: Access to multiple bank options to find your best rate
- Streamlined Process: Simplified documentation and faster approvals
Note: Interest rates are subject to change and borrowers should verify current rates. All calculations are estimates for comparison purposes.
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Compare My Options →Frequently Asked Questions
Which bank has lower interest rates between RCBC and BDO?
BDO offers significantly lower rates at 6.00% for both 1-Year Fixed and Home Equity loans, compared to RCBC's 7.00% for 1-Year Fixed and 8.00% for Home Equity loans. This 1-2 percentage point difference can save you hundreds of thousands in interest over your loan term.
How much faster is BDO's loan approval compared to RCBC?
BDO processes loans in approximately 30 days, while RCBC takes about 49 days for typical approval. This 19-day difference means you can access lower refinancing rates nearly 3 weeks sooner with BDO, which can be crucial in a changing interest rate environment.
Which bank has more flexible debt-to-income requirements?
BDO allows up to 40% debt-to-income ratio compared to RCBC's 30% maximum. This means if your total monthly debt payments (including the new home loan) don't exceed 40% of your gross monthly income, you're more likely to qualify with BDO than RCBC.
Can I apply to both banks through Nook?
Yes, both BDO and RCBC are Nook partner banks. You can apply to either or both banks through Nook's platform completely free of charge. Our mortgage specialists will help you compare offers and choose the best option for your specific situation.
What employment types do both banks accept?
Both banks accept Private employees, OFWs/Seafarers, Self-Employed individuals, and Professionals. BDO additionally accepts Government and BPO employees, making it more accessible for these employment sectors. Both require a minimum monthly income of 50,000.
How much can I save by choosing BDO over RCBC for a 3 million loan?
For a 3,000,000 loan over 20 years, BDO's 6.00% rate results in monthly payments of about 21,516, while RCBC's 7.00% rate leads to payments of approximately 23,265. This means you'd save 1,749 monthly or 419,760 over the entire loan term by choosing BDO.