UnionBank vs BPI Home Loan: At a Glance
Both UnionBank and BPI Family Savings Bank are Nook partner banks, which means you can apply to either — or both — through Nook at zero cost. Below is a side-by-side breakdown of the key details every borrower should compare before choosing a bank for their home loan or refinance.
| Feature | UnionBank | BPI Family Savings Bank |
|---|---|---|
| 1-Year Fixed Rate | 7.00% p.a. | 6.70% p.a. |
| 5-Year Fixed Rate | Not available | 6.50% p.a. |
| Home Equity Rate | 7.00% p.a. | 6.70% p.a. |
| Min. Monthly Income | 30,000 | 40,000 |
| Max Debt-to-Income Ratio | 50% | 40% |
| Typical Approval Time | Not disclosed | ~52 days |
| Employment Types Accepted | Private, Government, BPO, OFW/Seafarer, Self-Employed, Professional | Private, Government, BPO, OFW/Seafarer, Self-Employed, Professional |
| Loan Purposes | RFO, Pre-Selling, New Construction, Reselling, Renovation, Home Equity, Foreclosed | RFO, Pre-Selling, New Construction, Reselling, Renovation, Home Equity, Foreclosed, Refinancing |
| Nook Partner | Yes — apply free | Yes — apply free |
Note: Interest rates are subject to change. Always verify current rates with the bank or through Nook before proceeding.
Interest Rate Comparison: Which Bank Is Cheaper?
Interest rate is usually the single biggest factor in choosing a home loan — and here, BPI Family Savings Bank holds a meaningful edge across all available fixing periods.
1-Year Fixed Rate
BPI's 1-year fixed rate of 6.70% p.a. is 30 basis points lower than UnionBank's 7.00% p.a. On a loan of 3,000,000 over 20 years, that 0.30% difference translates to roughly 5,000–6,000 pesos less in interest per year during the fixed period — a meaningful saving for most Filipino households.
5-Year Fixed Rate
This is where BPI stands out most clearly. BPI offers a 5-year fixed rate of 6.50% p.a. — giving borrowers five full years of rate certainty at a rate that's lower than even BPI's own 1-year fixed. UnionBank does not currently offer a 5-year fixing option, which means borrowers who want longer-term rate protection will need to look at BPI.
Home Equity Rate
Both banks offer home equity loans: UnionBank at 7.00% p.a. and BPI at 6.70% p.a. If you're looking to unlock the equity in your home — whether for renovation, education, or business — BPI's lower rate gives you more borrowing power for the same monthly payment.
For a deeper dive into how these rates have moved over time, see our UnionBank vs BPI home loan interest rates comparison.
Monthly Payment Example: 3,000,000 Loan Over 20 Years
To make the rate difference tangible, here's how monthly payments compare on a 3,000,000 peso home loan with a 20-year term.
| Scenario | UnionBank (7.00%) | BPI 1-Year (6.70%) | BPI 5-Year (6.50%) |
|---|---|---|---|
| Monthly Payment (est.) | ~23,259 | ~22,714 | ~22,382 |
| Annual Payment | ~279,108 | ~272,568 | ~268,584 |
| Saving vs UnionBank (annual) | — | ~6,540 | ~10,524 |
These are illustrative estimates based on the stated fixed rates for the fixing period only. Actual monthly payments may vary depending on final loan amount, term, fees, and rate adjustments after the fixing period. Rates are subject to change.
Over a 5-year fixed period, choosing BPI's 5-year fixed over UnionBank's 1-year fixed could save you approximately 52,620 pesos in interest on a 3,000,000 loan — before accounting for any rate movements at repricing.
Eligibility: Who Qualifies?
One area where UnionBank has a clear advantage is income eligibility. UnionBank requires a minimum monthly income of 30,000 pesos, while BPI requires at least 40,000 pesos. This 10,000-peso gap can be decisive for borrowers in the middle-income bracket.
UnionBank also allows a higher debt-to-income (DTI) ratio of up to 50%, versus BPI's cap of 40%. In practice, this means UnionBank can accommodate borrowers who already have existing loan obligations — such as a car loan or credit card debt — that might push them over BPI's limit.
Employment Types
Both banks accept the same wide range of employment types: private employees, government workers, BPO professionals, OFWs and seafarers, self-employed individuals, and licensed professionals. Neither bank has a significant edge here.
Loan Purposes
BPI explicitly lists refinancing as a supported loan purpose — making it a natural fit for homeowners looking to switch from a higher-rate loan. UnionBank supports most other purposes including home equity, renovation, and purchase of RFO, pre-selling, and foreclosed properties. If refinancing is your goal, BPI is the more explicitly suited option.
Approval Speed and Process
BPI Family Savings Bank has a disclosed typical approval timeline of approximately 52 days from complete document submission. This is a useful benchmark for planning your refinance — especially if you have a rate lock expiring or a property purchase deadline.
UnionBank does not publicly disclose a standard approval timeline. Processing speed will vary based on your documentation, the loan amount, and current application volumes.
When you apply through Nook, our mortgage advisors guide you through document preparation for both banks, which typically reduces back-and-forth and helps keep your application moving as fast as possible — at no charge to you.
Which Bank Is Better for Refinancing?
If your primary goal is to lower your monthly payments and you qualify under BPI's income requirements, BPI Family Savings Bank is the stronger option for refinancing — offering both a lower 1-year rate (6.70%) and a rare 5-year fixed option at 6.50%. Most homeowners currently paying 8% or more on their existing loans could save significantly by refinancing to BPI.
If you earn between 30,000 and 40,000 pesos per month, or if your existing debt obligations push your DTI above 40%, UnionBank may be the only option that approves you — and at 7.00%, it still represents a meaningful improvement over the 8–10% rates many borrowers are currently paying.
The smartest approach? Apply to both through Nook and let the approvals tell you which bank gives you the best deal for your specific situation. Our service is 100% free to borrowers. See also our detailed look at BPI vs UnionBank home loan rates for refinancing to understand how these rates stack up against the broader market.
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Compare My Options →Frequently Asked Questions
What is the current home loan interest rate for UnionBank vs BPI?
As of the latest available data, UnionBank offers a 1-year fixed rate of 7.00% p.a. and a home equity rate of 7.00% p.a. BPI Family Savings Bank offers a 1-year fixed rate of 6.70% p.a., a 5-year fixed rate of 6.50% p.a., and a home equity rate of 6.70% p.a. BPI's rates are lower across all comparable periods. Note that interest rates are subject to change — verify current rates through Nook or directly with the bank before applying.
Does UnionBank or BPI have a lower minimum income requirement for a home loan?
UnionBank has the lower minimum income requirement at 30,000 pesos per month, compared to BPI's requirement of 40,000 pesos per month. If your household income falls between these two figures, UnionBank may be your most accessible option among these two banks.
Can I use UnionBank or BPI for home loan refinancing?
Yes — BPI Family Savings Bank explicitly supports refinancing as a loan purpose, making it a strong choice for homeowners looking to lower their rate from another bank. UnionBank supports a range of loan purposes including home equity and renovation but does not list refinancing as a primary offering. If refinancing is your goal, BPI is the more directly suited option, and you can apply through Nook for free.
How long does BPI take to approve a home loan?
BPI Family Savings Bank has a typical approval time of approximately 52 days from complete document submission. UnionBank does not publicly disclose a standard approval timeline. Applying through Nook can help speed up the process by ensuring your documents are complete and correctly submitted from the start.
Is BPI or UnionBank better for OFW home loans?
Both BPI and UnionBank accept OFW and seafarer applicants. BPI has a broader set of accepted loan purposes including refinancing, while UnionBank's lower income requirement (30,000 vs 40,000 pesos/month) and higher DTI allowance (50% vs 40%) may make it easier for OFWs with existing debt obligations to qualify. Applying through Nook lets you explore both banks simultaneously.
What is a 5-year fixed home loan rate and does UnionBank offer it?
A 5-year fixed rate means your interest rate stays the same for five years, protecting you from rate increases during that period. BPI Family Savings Bank currently offers a 5-year fixed rate of 6.50% p.a. UnionBank does not currently offer a 5-year fixed option. If long-term rate stability is important to you, BPI is the stronger choice between these two banks.
How much can I save by refinancing from 8% to BPI's 6.50% rate?
On a 3,000,000 peso loan with a 20-year term, refinancing from 8.00% to BPI's 5-year fixed rate of 6.50% could reduce your monthly payment from approximately 25,093 to 22,382 pesos — a saving of about 2,711 pesos per month, or over 32,500 pesos per year. Over the full 5-year fixed period, that's roughly 162,000 pesos in savings. Actual figures will depend on your remaining balance, loan term, and applicable fees.
Is it free to apply for a home loan through Nook?
Yes — Nook's service is completely free to the borrower. Nook earns a referral fee from the bank when your loan is approved, so you pay nothing for access to our mortgage advisors, bank comparisons, or application support. You can apply to multiple banks at once and let Nook help you find the best rate for your situation.