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2020 Landbank Products Services

The document summarizes Landbank's deposit products and services, including savings accounts, time deposits, checking accounts, and pension accounts in both pesos and US dollars. It also outlines Landbank's e-banking products like internet banking, mobile banking, credit cards, and bill payment systems that allow customers to manage their accounts and make payments online. Landbank aims to provide convenient access to banking services through various channels including over-the-counter, ATM, cash deposit machines, and online/mobile platforms.

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Nikki Yturriaga
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0% found this document useful (0 votes)
197 views28 pages

2020 Landbank Products Services

The document summarizes Landbank's deposit products and services, including savings accounts, time deposits, checking accounts, and pension accounts in both pesos and US dollars. It also outlines Landbank's e-banking products like internet banking, mobile banking, credit cards, and bill payment systems that allow customers to manage their accounts and make payments online. Landbank aims to provide convenient access to banking services through various channels including over-the-counter, ATM, cash deposit machines, and online/mobile platforms.

Uploaded by

Nikki Yturriaga
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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2020 LANDBANK PRODUCTS AND SERVICES

1. DEPOSIT PRODUCTS

• Regular Passbook Savings Account


An interest-bearing peso account with a minimum initial deposit and required
monthly Average Daily Balance (ADB) of P10,000 which requires presentation of a
passbook for deposit and withdrawal transactions.

• US Dollar Savings Account


An interest-bearing dollar savings account with a minimum initial deposit and
required monthly ADB of US $100 which requires presentation of a passbook for
deposit and withdrawal transactions.

• US Dollar Time Deposit


A specific amount of funds in US Dollar which earns interest at a pre-determined
competitive rate for a fixed period (minimum of 30 days) with Certificate of Time
Deposit as proof of deposit.

• Easy US Dollar Pension


A deposit account whereby the monthly pension/benefit of
pensioners/beneficiaries of various US Federal agencies residing in the
Philippines is directly credited to their savings account maintained with
LANDBANK. The US pensioner/beneficiary has the option to open either an
individual Peso Savings Account or individual Dollar Savings Account.

• High Yield US Dollar Time Deposit (HYUSDTD)


A special time deposit account, with a minimum initial deposit of US $2,000 for a
two-year term and US $10,000 for a three-year term, which earns higher interest
than a regular savings account.

• Auto-Save Deposit Account


A payroll-linked savings account for payroll account holders wherein a minimum of
P100 is automatically debited from the payroll account and credited to the Auto-
Save account every payday.

• Overseas Filipino (OF) Deposit Account


A deposit account opened and processed in the Philippines or abroad by
LANDBANK Overseas Remittance Officers (OROs) or opened and processed in
the Philippines by officially designated/authorized personnel of Overseas
Remittance Marketing and Support Department (ORMSD), Domestic Remittance
Marketing Department (DRMD), and by LANDBANK Branches and Branch-Lites.

• Regular Current Account


A non-interest bearing peso account, also known as Checking or Demand Deposit
Account wherein deposits are made over-the-counter and withdrawals are made
through the issuance of a check.

• ATM Savings Account


An interest-bearing peso savings account wherein deposit, withdrawal, and
cashless purchase can be done through the following channels:

1
Cashless Fund Bills
Transactions Deposits Withdrawals
Purchase Transfer Payment
Over-the- √

counter
ATM √ √
Cash Deposit

Machine
Point of Sale √
Internet
√ √
Banking

Cashless purchases may be done through any Point-of-Sale (POS) terminal of


partner merchants from department stores, supermarkets, and accredited
establishments.

• Current Account with ATM Access


A non-interest bearing peso savings account wherein deposit, withdrawals and
cashless purchase can be done through following channels:

Transactions Deposits Withdrawals Cashless Fund Bills


Purchase Transfer Payment
Over-the-counter √ √
ATM √ √
Cash Deposit

Machine
Point of Sale √
Internet Banking √ √

Cashless purchases may be done through any POS terminal of partner merchants
from department stores, supermarkets, and accredited establishments.

• Peso Earning Access & Sure Yield (EASY) Check


An interest-bearing peso checking account (IBCA), with a minimum initial deposit
of P10,000 for individual clients and P20,000 for institutional clients, where
deposits are made over-the-counter while withdrawals are made through issuance
of a check.

• Peso Earning Access & Sure Yield (EASY) Check with ATM Access
An interest-bearing peso savings account wherein deposit, withdrawals, and
cashless purchase can be done through following channels:

Cashless Fund Bills


Transactions Deposits Withdrawals
Purchase Transfer Payment
Over-the-counter √ √
ATM √ √
Cash Deposit

Machine
Point of Sale √
Internet Banking √ √

2
Cashless purchases may be done through any POS terminal of partner merchants
from department stores, supermarkets and accredited establishments.

• Regular Peso Time Deposit


A specific amount of funds in peso which earns interest at a pre-determined
competitive rate for a fixed period/term with a “Certificate of Time Deposit” (CTD)
as proof of deposit. This is offered to individuals and institutions with peso
denominated funds which may be locked-in for at least 30 days.

• Easy Savings Plus (ESP)


A premium savings account, with a minimum initial deposit of P20,000, which
offers higher interest rates than a regular savings account.

• High Yield Savings Account (HYSA)


A peso account with pre-determined competitive rates for a fixed term. Passbook
also serves as proof of deposit. HYSA account is offered to institutional clients
only.

2. E-BANKING PRODUCTS AND SERVICES

• iAccess (Retail Internet Banking Facility)


The iAccess is an internet banking channel designed for individual customers,
which provides a convenient, reliable, and secure delivery of banking transactions.

• E-Tax Payment System (eTPS)


The Electronic Filing and Payment System or eFPS is an initiative of the Bureau of
Internal Revenue (BIR). With eFPS, transmission of tax return information
including attachments, if any, and taxes due to the government are conducted
online through the BIR website. The taxpayer is provided a paperless tax filing
experience including the convenience of paying taxes online through an internet
banking service via debit of an enrolled bank account.

• BOC PAS5-Electronic Payment System (PAS5 – EPS)


The Payment Application Secure Version 5 – Electronic Payment System (PAS5-
EPS) is an electronic payment channel that can be accessed by importers to pay
for their custom fees and duties. LANDBANK's participation in the PAS5 of the
Bureau of Customs (BOC) affords customers with a convenient online payment
channel that is available seven days a week, including holidays, except during
scheduled system maintenance.

• LANDBANK Credit Card


The LANDBANK Credit Card provides the means for the cardholder to make
cashless purchases conveniently and safely from MasterCard accredited
merchants and/or facilitate cash advances.

• Electronic Modified Disbursement System (eMDS)


The Electronic Modified Disbursement System (eMDS) is a secured internet facility
system for National Government Agencies (NGAs) including the Bureau of the
Treasury (BTr) and the Department of Budget and Management (DBM) that gives
banking convenience to perform MDS transactions online.

• LANDBANK Mobile Banking Application (MBA)

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The LANDBANK Mobile Banking Application (MBA) is a free mobile application
that provides clients convenient access to the Bank’s wide array of services
through their smartphones. All clients with iAccess account are eligible for MBA.

• LANDBANK Link.BizPortal
The LANDBANK Link.BizPortal is a web-based electronic payment facility that
allows clients to pay for various products and services from both the government
and private institutions.

• Cash Deposit Machine (CDM)


The Cash Deposit Machine (CDM) is a self-service machine with real-time cash
deposit functionality that expedites deposit transactions for customers who no
longer have to wait in line for over-the-counter transactions.

• weAccess (Institutional Internet Banking Facility)


The weAccess is an internet banking facility developed for the Bank's institutional
clients, including private corporations and government agencies, which allows
them to conduct selected banking transactions online anytime anywhere.

• LANDBANK e-Card
The LANDBANK e-Card is an ATM deposit account which also serves as a
company ID card for private and government organizations. It can be modified to
meet the design and functional needs of the customer.

• LANDBANK Institutional Cash Card


The LANDBANK Institutional Cash Card is an electronic debit card which
functions as an ATM card and uses the stored value system.

• LANDBANK ATM Regular Card


The LANDBANK ATM Regular Card is an interest-bearing peso savings account
wherein deposits are made over-the-counter or through a cash deposit machine,
and withdrawals are made 24 hours a day, seven days a week via ATM. During
official banking hours/days, deposit and withdrawal transactions may be done
over-the-counter. Withdrawals from ATMs may also be conducted at any POS
terminal at partner merchants across the country. The LANDBANK ATM Regulay
Card enables customers to shop online, pay bills, and make mobile and over-the-
counter purchases using funds in their bank account.

• LANDBANK Visa Debit Card


The LANDBANK Visa Debit Card is an enhanced version of the LANDBANK ATM
Card that provides international access to over two million ATMs worldwide that
display the Visa logo and expands our merchant network through our partnership
with Visa. It enables the customer to shop online, pay bills, and make mobile and
in-store purchases using funds from their bank account.

• LANDBANK Mastercard Prepaid Card (LMPC)


The LMPC is a Mastercard-branded prepaid card that can be used in ATMs, POS
terminal, and online purchases worldwide where Mastercard is accepted. The
LMPC supports tap-to-pay purchases with its contactless feature and card-not-
present transactions protected by one-time password (OTP) via 3D Secure facility.
The LMPC has four main types: Travel Card, Gift Card, General Purpose
Reloadable Card, and Agent Banking Card.

• Easy Padala

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Easy Padala is a web-based remittance system that processes incoming and
outgoing remittances 24 hours a day, seven days a week, offering a quick and
secure way of sending for OFWs to transmit their hard-earned money to their
beneficiaries on a real time basis.

• LANDBANK Phone Access


The LANDBANK Phone Access is a phonebanking facility that allows customers to
make selected off-site bank transactions, financial, and non-financial, using a
landline or mobile telephone.

• Globe G-Cash
Globe G-Cash accepts payments to government agencies (Bureau of Internal
Revenue and Department of Trade and Industry) through Globe G-Cash.

• Radio Frequency Identification Card (RFID) Card


The RFID Card is a chip-embedded identification card with stored personal
information incorporated in any of the Bank’s ATM card products.

3. AGRARIAN SERVICES

• Land Transfer Claim Processing


Processing, valuation/revaluation/adjustment and approval of land transfer claims
involving compensable private agricultural lands covered by the various agrarian
reform laws, to wit:

Presidential Decree (PD) No. 27 Decreeing the Emancipation of Tenants from


the Bondage of the Soil, transferring to them
the Ownership of the land they till and
providing the Instruments and Mechanisms,
therefor.
Executive Order (EO) No. 228 Declaring full land ownership to qualified
farmer beneficiaries covered by PD No. 27,
determining the value of remaining unvalued
rice corn lands and providing the manner of
payment by the farmer beneficiary and mode
of compensation to the landowner.
Republic Act (RA) No. 6657 Comprehensive Agrarian Reform Law of 1988
declared the policy to pursue the Agrarian
Reform Program to promote social justice and
sound rural development and industrialization
in consideration of the landless farmers and
workers.
Republic Act (RA) No. 9700 An act of strengthening the Comprehensive
Agrarian Reform Program (CARP), extending
the acquisition and distribution of all
agricultural lands, instituting necessary
reforms, amending for the purpose certain
provisions of RA No. 6657, otherwise known
as the Comprehensive Agrarian Reform Law
of 1988, as amended.

• Land Transfer Payment

5
Processing, preparation and approval of payment to landowner for land transfer
claims in the form of cash and Agrarian Reform (AR) Bonds generated by
LANDBANK.

• Bond Servicing Transactions

Bond Interest and Maturities Payment


Processing, approval and payment of maturities and interest due the bondholders
of AR Bonds and 25-Year LANDBANK Bonds.

For AR Bonds, 10% of the face value of the bond matures every year up to the
10th year. Payment of interest is based on the outstanding principal balance of the
AR Bond at rates aligned with the 91-day Treasury Bill rates, every six months
from date of issue until the tenth year.

For 25-Year LANDBANK Bonds, full redemption/payment at face value of the bond
is made on its maturity date, including accrued interest computed at 6% per
annum, tax free.

• Bond Transfer, Conversion, Exchange and Replacement


Processing, approval, and issuance of new replacement bonds upon request of
the bondholder for the following bond transactions:

Assignment – transferring from an inscribed or bearer bond to named assignee/s.


Conversion – changing of an inscribed bond to a bearer bond and vice-versa.
Exchange – issuing one bond by consolidating two or more bonds and vice-versa.
Replacement – issuance of a new AR Bond in lieu of lost, destroyed, or mutilated
bond.

• Issuance of Certification of Outstanding AR Bond


Certification that the AR Bond is still outstanding and is not among those included
in the List of Bonds with adverse Claims.

Assistance to Landowners

• Bond Sale and Marketing


Assistance to original bondholders in the marketing of their AR Bonds by offering it
for sale to interested buyers (banks, insurance companies, foreign corporations or
private individuals) as a risk-free instrument.

• Special Lending Window for Bondholders (Multi-Purpose Loan)


Credit assistance or special lending program for original bondholders available at
different lending units of LANDBANK for various business activities using as
collateral the AR Bond or sale proceeds therefrom.

Assistance to Agrarian Reform Beneficiaries (ARBs)

• Issuance of Certificate of Full Payment/Release of Real Estate Mortgage


(CFP/ROREM)
The CFP/ROREM is automatically generated by the system one day after the ARB
fully pays his land amortizations to LANDBANK. It is signed by the authorized
signatories in the Agrarian Operations Centers (AOCs) and duly notarized by the
LANDBANK field lawyer. Subject to presentation of documents by the ARB or
his/her duly authorized representative, the CFP/ROREM is available for release

6
not later than seven working days from the time the document is generated from
the system.

• Moratorium in the Payment of ARR Accounts


ARBs are obliged to pay their annual amortization of the land awarded to them
under the agrarian reform program. However, if a farm lot suffered substantial
reduction or low production due to the occurrence of natural and man-made
calamities, the affected ARB may be granted relief in terms of moratorium in the
payment of land amortizations.

• Estate Development Planning


To improve ARB productivity through estate development planning, LANDBANK is
involved in the institutional development of its mandated clients. This includes
provision of technical assistance on property valuation to augment credit programs
or non-loan programs involving ARBs, provision of professional advice and/or
recommendation on the acquisition of post-harvest facility, enhancement of
agricultural practices, preservation/utilization/improvement of agricultural lands,
and the conception, planning, management, and development of
agricultural/farming real estates.

• Automated Collection of Land Amortization from ARBs


The Portable Agrarian Collection System (PARCS) is a custom-designed solution
which shifted the manual collection of land amortization into an automated system
using mobile devices.

• SMS Payment Notification to ARBs


This is an enhancement of the PARCS wherein the ARBs receive text messages
acknowledging the receipt of their land amortization payment through the PARCS.
It allows DAR and LANDBANK to interact with ARBs in a cost-effective and timely
manner.

4. LOAN PRODUCTS

A. Agricultural Lending Programs (Legislated)

• Agricultural Competitiveness Enhancement Fund (ACEF)


A credit window created pursuant to RA No. 1048 or the ACEF Extension Law
which aims to help increase the productivity of farmers and fishers and their
cooperatives, associations, and micro and small enterprises by providing financial
assistance for the acquisition and establishment of agricultural production and
processing facilities, farm inputs and farm improvement with minimal documentary
requirements and interest rate.

• Socialized Credit Program under the Sugarcane Industry Development Act


(SCP-SIDA)
A program implemented pursuant to the Sugarcane Industry Development Act
(SIDA) of 2015 or RA No. 10659 to introduce better and cost-efficient sugarcane
farming practices, improve sugarcane productivity and increase the incomes of
sugarcane farms/planters and farm workers.

7
• Expanded Rice Credit Assistance under Rice Competitiveness Enhancement
Fund (ERCA-RCEF)
A credit facility created pursuant to RA No. 11203 or the Rice Tariffication Law that
aims to help increase the productivity of rice farmers and their cooperatives by
providing financial assistance to rice-related projects such as rice production,
acquisition and establishment of agricultural production and processing facilities,
and farm improvement.

• Socialized Credit Facility to Qualified Agrarian Reform Beneficiaries (ARBs)


and Small Farmers and Fisherfolk (SFF) through Qualified Partner Financial
Institutions (PFIs)
This program aims to provide socialized credit facility to qualified small farmers and
fishers, as well as the agrarian reform beneficiaries through qualified conduits or
partner financial institutions, thereby expanding the Bank’s outreach to the
agricultural sector; and to comply with the provisions of RA No. 10878 and its
related IRR per BSP Circular No. 1090, particularly on the socialized credit facility
to qualified program beneficiaries.

B. Agricultural Lending Programs (in partnership with the National Government)

• Expanded Assistance to Restore and Install Sustainable Enterprises for


Agrarian Reform Beneficiaries and Small Farm Holders (E-ARISE- ARBs)
A joint program of DAR and LANDBANK which provides a contingent credit facility
to Agrarian Reform Beneficiaries (ARB) Cooperatives and Farmers Associations,
otherwise known as Agrarian Reform Beneficiaries Organizations (ARBOs), whose
members were adversely affected by natural calamities/disasters, pest and
diseases and viral infections/outbreaks.

• Accessible Funds for the Delivery to ARBs (AFFORD-ARBs) Program


An enhanced lending program in partnership with DAR, which caters to individual
ARBs for their production of rice, corn and high value crops and acquisition of
small farm implements.

• Agricultural Production Credit Program (APCP)


A program tie-up among the Department of Agriculture (DA), Department of
Agrarian Reform (DAR), Department of Environment and Natural Resources
(DENR), Agricultural Credit Policy Council (ACPC) and LANDBANK which
provides financial assistance and other support services to ARBs and their
household members, through their respective organizations or through other
conduits, for their agricultural production and other agri-enterprise projects.

• Credit Assistance Program – Program Beneficiaries Development (CAP-PBD)


A joint program of LANDBANK and DAR which provides credit assistance to ARBs
through their respective organizations to support their crop production, agri-
enterprise and livelihood project. The program is coupled with support alongside
institutional, enterprise and capacity development for the intended beneficiaries.

• Enhanced Partnership Against Hunger and Poverty (EPAHP) Lending


Program
A program aimed at providing credit assistance to qualified community-based
organizations in support of the government’s effort to address hunger, food and
nutrition security, and poverty; and encourage community participation in
government contracts.

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• Masustansyang Inumin Para sa Likas na Kalusugan (MILK)
A program tie-up with the National Dairy Authority (NDA) under the DA and
LANDBANK to provide financial and technical support to small farmer co-ops,
federations, SMEs, large agribusiness enterprises, and rural/cooperative/thrift
banks to support dairy production, processing, marketing and other dairy-based
economic activities.

• PAlay aLAY at Mais ng Lalawigan (PALAY ng Lalawigan) Program


A joint program of DA and LANDBANK that aims to provide credit assistance to
Municipal, City and Provincial Local Government Units (LGUs) to purchase the
palay and corn produced by local farmers, thus ensuring a ready market and
steady price for palay and corn produce. LGUs can also avail of farm machineries
and equipment (post-harvest facilities) to support their corn and buying activities.

• Rural Agro-Enterprise Partnership for Inclusive Development (RAPID) and


Growth Credit Facility (RAPID Growth Credit Facility)
A collaborative undertaking by the Bank and DTI that aims to increase the
income of small farmers and unemployed rural men and women, initially in
selected provinces of Region 8 and Mindanao. The market-driven and value
chain-based RAPID intends to provide strategic business development
interventions on cacao, coffee, coconut, and processed fruits and nuts farming,
from nursery operation, production, processing to marketing.

• Sikat Saka Program


A special program jointly established by LANDBANK and the DA which provides
credit directly to small palay farmers in 45 major rice-producing provinces and corn
farmers in 11 major corn-producing provinces. The Program also offers integrated
support services to the farmer beneficiaries in terms of marketing, free irrigation,
crop insurance and trainings which enhance the Program’s sustainability.

• Survival and Recovery Assistance Lending Program (SURE Aid Program)


A program that provides immediate one-time zero-interest, no collateral loan of
P15,000 (net) to eligible rice farmers whose incomes were affected by the drop in
the price of palay in 2019, either through direct lending or through service conduits
(farmer’s cooperatives and associations).

• Expanded SURE Aid and Recovery Project (SURE Aid COVID-19)


A program tie-up between DA-ACPC and LANDBANK which aims to finance the
emergency and production capital requirements of small farmers and fishers
whose sources of livelihood and income are affected by the COVID-19 pandemic,
thereby helping them regain the capacity to continue their agricultural activities and
contribute to sustained food production.

• Upland Southern Mindanao Credit and Institutional Building Program (USM-


CIBP)
A tie-up program between the DA-ACPC and LANDBANK which provides
institutional capacity building and credit services to organizations/institutions
serving the upland areas of Southern Mindanao, particularly in the identified USM-
CIBP areas.

9
C. LANDBANK In-House Agricultural Programs

• Agri-Mechanization Financing Program


The Program provides credit assistance to promote mechanization of production
and post-production processes from planting-harvesting-processing to increase
efficiency, reduce postharvest losses and lower cost of production.

• Climate Resilient Agriculture Financing Program


A program that promotes climate change adaptation initiatives towards climate
resilient agriculture.

• Coconut Production and Processing Financing (Coco-Financing) Program


A program that provides credit assistance to coconut industry stakeholders
engaged in production and processing.

• Commercial Fishing Vessel Financing Program


A program aimed at providing credit assistance to commercial fishing operators in
acquiring fishing vessels for domestic or overseas use in consonance with the
policy of the government to liberalize vessel acquisitions.

• Empowering Barangays In Remote Areas through Credit and Enterprises


(EMBRACE)
A program designed to assist individual borrowers in unserved areas in line with
the Government’s thrust for financial inclusion and in pursuit of the Bank’s
mandate.

• Farm Tourism Financing Program


A program to promote farm tourism which is the practice of attracting visitors and
tourists to farm areas for production, educational and recreational purposes
involving any agricultural or fishery-based operation and/or a venue for outdoor
recreation and accessible family outings.

• Financing Program for Greenhouse Farming System


A program which extends support to the financial requirements of farmers’
organizations and other agri-entrepreneurs in their shift towards modern farming
system through the adoption of greenhouse technology.

• Harnessing Agribusiness opportunities through Robust and Vibrant


Entrepreneurship Supportive of peaceful Transformation (HARVEST)
An official development assistance (ODA) program that provides support to the
peace-building efforts in the BARMM and conflict-affected areas in Mindanao,
through the promotion of value-chain, increase in agri-business investments and
generation of jobs.

• Poultry Lending Program


A program that primarily supports the poultry industry stakeholders such as
cooperatives, individual/small and medium enterprises (SMEs), and agri-business
enterprises and corporations.

• Sugarcane Financing Program


A program which provides credit assistance to sugar industry stakeholders along
the sugarcane value chain.

10
• Sulong Saka Program
A program that extends credit assistance to various qualified stakeholders to
support their production, processing, marketing, and other agribusiness projects
and to contribute to the overall effort of the government in generating employment
and pursuing the attainment of inclusive growth in the countryside.

• Sustainable Aquaculture Lending Program (SALP)


A program which caters to fisheries anchored on institutional buyers or
processing/canning companies linked with small fishers, micro, small and medium
enterprises (MSMEs) as growers or suppliers.

• Young Entrepreneurs from School to Agriculture Program (Yes! To


Agriculture Program or YESAP)
A program that promotes agri-entrepreneurship among the youth through the
provision of credit and other support services. It also aims to encourage
enterprising young individuals to prioritize farming and agri-business enterprise.

D. Housing and Mortgage Programs

• Housing and Opportunities Made Easy (HOME) Loan Program


The LANDBANK HOME Program is a lending program that caters to both
homebuyers and home developers:

a. Easy Home Loan (EHL) Program


EHL Program allows individual home buyers to purchase residential units,
house and lot or construction of residential building on a lot owned by the
borrower or to refinance current and existing home loan from other banks,
financing firms or developers’ in-house financing.

b. Developer’s End Buyers Financing Tie-up


This program allows clients to buy their homes through an accredited
developer. It also allows developers to grow their business by supporting their
clients’ home acquisition after an accreditation process.

c. Bahay sa Bagong Bayani (3B) Program


A special lending program for Overseas Filipino Workers (OFWs) which allows
them to purchase townhouse, condominium unit, lot, house and lot or
construction/improvement of residential building on a lot owned by the
borrower or to refinance current and existing home loans from other banks,
financing firms or developers’ in-house financing.

d. Housing Project Developers Financing


This is a financing program that allows real estate developers to access credit
for the development of purely residential subdivision, condominium buildings
and integrated housing communities. It also allows financing for the working
capital requirements of developers.

• Mortgage Loan
A credit facility available for eligible clients to make use of their real estate
property as loan security to a multi-purpose loan from the Bank.

E. Salary Loan

• Electronic Salary Loan (eSL)

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An electronic-based salary loan product of LANDBANK that offers eligible
employees of government agencies and private institutions with a facility to apply
for salary loan, inquire loan details, payment history, and conduct loan payment
through LANDBANK’s electronic banking channels such as the Mobile Banking
Application (MBA) and receive notifications through SMS or email.

F. Programs for Partner Financial Institutions

• Countryside Financial Institutions Enhancement Program 2020 Calamity


Assistance Program (CFIEP-2020 CAP)
A program jointly implemented by the Bank with the Bangko Sentral ng Pilipinas
and the Philippine Deposit Insurance Corporation that aims to assist eligible
Countryside Financial Institutions (CFIs) adversely affected by natural calamities
and man-made disasters, pests and diseases, viral infections/outbreak; and
enhance and sustain CFI’s long-term viability.

• Partner Financial Institutions-Additional Credit for Countryside Outreach and


Rural Development (PFI-ACCORD) Program
A program that provides short-term loan line to eligible partner financial institutions
(cooperatives, rural/cooperative/thrift banks and non-government organizations
with legal personality to borrow) to augment their credit funds for lending activities
to small farmers and fishers, micro, small and medium enterprises, and agri-
business enterprises

G. Rehabilitation Programs

• LBP Calamity Assistance and Rehabilitation Support (CARES) Program


A rehabilitation assistance program for various existing and new customers for
them to recover from the destruction brought about by calamities that is made
available within two years from the date the area is declared under the state of
calamity by the Office of the President or by the Local Government Unit.

• LANDBANK Interim REhabilitation Support to Cushion Unfavorably-affected


Enterprises by COVID-19 (I-RESCUE) Lending Program
A support program for the MSMEs, cooperatives, MFIs, and large enterprises
which are affected by the economic impact of the COVID-19 pandemic through
provision of additional funds and loan restructuring under more flexible
terms and conditions.

• Interim REhabilitation Support to Cushion Unfavorably-affected Enterprises


by COVID-19 for Better Urban Services (I-RESCUE BUS) Lending Program
LANDBANK’s support program to provide interim measures for bus operators
affected by the pandemic for the acquisition of modern Public Utility Buses.

H. Infrastructure Development Programs

• Bringing Urbanization and Innovations Thru LANDBANK’s Diverse


Engineering Resources Support (BUILDERS) Program
LANDBANK’s contribution to the Public-Private Partnership program of the
National Government that provides contractors the needed working fund in
ensuring completion of awarded projects and/or pursue expansion of existing
businesses.

• LANDBANK Lending Program for Economic Zone Developers

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A credit facility for developers of economic zones.

• Local Government Unit (LGUs) Lending Program


A loan program that aims to provide any LGU with credit facilities to finance local
infrastructure and other socio-economic development projects in accordance with
the approved local development plan and public investment program.

• Restoration and Invigoration Package for a Self-Sufficient Economy towards


UPgrowth for LGUs (RISE UP LGUs) Lending Program
Aims to support the LGUs in responding to the effects of COVID-19 pandemic
and implement their economic recovery plan to revive the local economy.

• Municipal Development Fund Office (MDFO) Assigned Loans


Pursuant to the RA No. 11494 and DOF Circular No. 006-2020, the unutilized
or unreleased balance in the Municipal Development Fund (MDF) including
investments and undrawn portions of all loans and outstanding loans as of Dec.
15, 2020 were transferred to LANDBANK.

• Sustainable Multi-dimensional Approach using Revolutionized Technologies


(SMART) in City Development Lending Program
A lending program which aims to provide financial support to cities, highly
urbanized LGUs, SMEs, corporations, cooperatives, NGOs, GOCCs, and viable
enterprises for the development/adoption of digital infrastructures and applications
to improve the quality of life in the city/highly urbanized LGUs and attain
environmental sustainability and making the city economically competitive.

I. Power/Water/Health Sector Development and Environment Protection


Programs

• Bringing Inclusive Growth in Every Household through National


Electrification Support Services (BRIGHTNESS)
A financing assistance to qualified Electric Cooperatives and wholesale power
aggregators that complements RA No. 9136 otherwise known as the Electric
Power Industry Reform Act of 2001 (EPIRA Law) which provides for the promotion
of rural electrification that would ensure quality, reliability, security and affordability
of supply of electric power nationwide.

• Renewable Energy Lending Program


A program that provides financing to renewable energy/energy-efficient projects
and support the national government's thrust of promoting RE development,
utilization and commercialization, and accelerating investments in the energy
sector.

• H2OPE (Water Program for Everyone)


A loan program that enables the Bank to capture sizeable number of qualified
players in the water and sanitation industry in bringing in sustainable 24/7 piped,
clean and safe water to the Filipino people.

• Solutions in Terminating Pollution (STP) for Manila Bay


A synergistic program to help restore cleanliness of the country’s capital harbor
and proper sanitation of the surrounding waterways in support of the thrusts of the
Manila Bay Task Force created under Administrative Order No. 16 and mandated

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to enforce and take charge of overall rehabilitation and management of sustaining
the Manila Bay.

• Climate Safe Program (Special Adaptation Facility for the Ecosystem)


The Program aims to provide financing to all climate change adaptation projects,
including those approved in the LGU development or investment plan or Local
Climate Change Action Plan. Projects or activities in the Business Continuity Plan
of private sector entities are also eligible to this Program.

• Carbon Finance Support Facility (LANDBANK’s Flagship Program for


Climate Change Mitigation)
The flagship program for climate change mitigation that offers financing and
assistance to piggery, sanitary landfill, and mini-hydro projects in order to
generate carbon credits. LANDBANK has three UNFCCC-registered Program of
Activities (PoA):

• PoA for Animal Waste (Piggery)


This involves the introduction of biodigester/methane recovery system in the
management of wastewater of piggeries that usually use open anaerobic
systems. Through the construction of biodigester/methane recovery system,
the GHG emissions of the piggery are captured, flared and/or used in power
generation.

• PoA for Landfill Gas Recovery


The Program encourages Local Government Units and private operators to
set up sanitary landfills in compliance with RA No. 9003 and further promote
the construction of landfill gas management facilities. In this way, the PoA will
reduce GHG emission from methane compared to the emission that would
have occurred in the absence of the landfill gas management facilities. Hence,
additional benefits in the form of revenues from carbon credits and power
generation are achieved.

• PoA for Mini-Hydropower Plants


The Program aims to displace the use of fossil-fuel based electricity
generation through power generation from implementation of small-scale
hydropower plants.

J. Business Development and Entrepreneurial Credit Programs

• Access of Small Entrepreneurs to Sound Lending Opportunities (ASENSO)


In support of the National SME Development Plan, the government financial
institutions (GFIs) collaborated to design a uniform lending program to meet the
funding needs of SMEs. Under the unified lending program, the participating GFIs
shall apply simplified and standardized lending procedures and guidelines (e.g.,
loan purpose, fee structures, interest rates, application forms, financial ratios, and
other lending parameters) for evaluating the loan applications of SMEs. To adapt
to the financing needs of SMEs, short-term loans payable in one year and long-
term loans payable up to five years are available under the program. The unified
lending scheme is in addition to the existing financial services of the participating
GFIs.

• Franchising Lending Program

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The Program extends credit assistance to qualified players in the franchising
industry, particularly the franchisees and franchisors.

• Health-Plus Program
A loan program which aims to provide credit assistance to government units,
medical colleges/universities and private medical and health goods/services
providers mandated to and engaged in the delivery of healthcare goods and
services

• Innovation & Technology Lending Program (I-TECH)


A program in partnership with the Technology Application and Promotion Institute
(TAPI) that aims to support Filipino innovation and the technology sector through
providing funds for the commercial production of patented Filipino inventions.

• LANDBANK Go Green Inclusive Financing for SMEs and LGUs Program


A program in support of the National Government’s National Energy Efficiency and
Conservation program that aims to provide private businesses and government
offices access to financing for energy solutions and/or packages.

• LANDBANK-PNOC RC Go Green Program for LGUs


A program in partnership with PNOC Renewables Corporation (PNOC RC) that
aims to provide accessible financing packages for energy-efficient solutions to
LGUs.

• LANDBANK Lending Program for Former Rebels


A program in support of the National Government’s Enhanced Comprehensive
Local Integration Program (E-CLIP) that aims to provide credit assistance to
former rebels for their small businesses and agri-enterprise projects.

• Overseas Filipino Workers (OFW) Reintegration Program


A program in partnership with the Overseas Workers Welfare Administration
(OWWA) that is designed to provide credit and capacity-building support services
to OFWs to encourage them to engage in sustainable business activities as an
alternative to overseas employment.

• Public Transport Financing Program


The result of the rationalization of existing lending programs that would
cater to the credit requirements of the public transportation sector.

Special Package for Environment-Friendly and Efficiently-Driven Public


Utility Vehicle or SPEED PUV Program
A program launched by LANDBANK under the banner of the Public Transport
Financing Program to support the National Government’s Public Utility Vehicle
Modernization Program (PUVMP) that aims to finance the acquisition of modern
jeepneys for an effective and efficient transportation system for the convenience
and safe mobility of the riding public.

LANDBANK Ferry Boat Inclusive Financing Program


A program that aims to promote financial inclusivity in providing financial
assistance in the acquisition ofmodern, safe, and efficient ferry boats.

LANDBANK TeRrain And Naval Special Program On Reliable means of


Transport (TRANSPORT)

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A financing program that aims to provide transport cooperatives or corporations
valuable financing assistance to modernize their facilities, achieve effective fleet
management and provide a convenient and safe public conveyance system.

Lending Program for Motor Vehicle Inspection Centers (MVIC)


A program that supports the National Government’s effort in enforcing the
standards for transport safety and efficiency by financing the establishment of a
reliable, up-to-date, and adequately equipped Motor Vehicles Inspection Center.

K. Credit Programs for Educational Support

• LANDBANK ACADEME ACcess to AcademicDevelopment to Empower the


Masses towards Endless Opportunities) Lending Program
A support program to the private education sector which aims to provide
credit fund to Private/non-DepEd high schools, Private Technical- Vocational
and Education Training (TVET) Institutions and Private Higher Education
Institutions (HEIs) such as colleges and universities for the continuing
education of their students by allowing them to enroll under a “study now, pay
later” scheme.

• Lending Program for State Universities and Colleges


A lending program that makes credit available to qualified State Universities and
Colleges (SUCs) with classification levels II, III, and IV to enable them to support
infrastructure expansion and other income-generating and agri-related programs
and projects.

• Interim Students’ Loan for Tuitions towards Upliftment of Education for the
Development of the Youth (I-STUDY) Lending Program
This program aims to provide financial assistance to help parents adversely
affected by the economic crisis brought about by the pandemic, to send their
children to school by financing tuition fee requirements and gadgets needed as
aids in the online learning system.

• K-12 Bridge Financing Program of LANDBANK


LANDBANK’s bridge financing facility in support of schools participating in the
Department of Education’s (DepEd’s) Senior High School Voucher Program
(SHS-VP) for the implementation of the K to 12 Program.

5. FCDU Products and Services

A. Deposit Transactions

• Clearing of FX Check Deposited in an FCDU Account via Cash Letter Service


FX Checks drawn against a US-based bank are cleared with the US Federal.

• Clearing of FX Check Drawn Against a Local Bank via Collection Letter


Service
FX Checks drawn against the local bank are cleared directly with the drawee
bank.

• Deposit via FX Check


Authorized LANDBANK branches accept the following foreign instrument for
deposit to an FCDU account:

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Bank Drafts
Negotiable instruments issued by a foreign or local bank and drawn against said
bank’s demand deposit account with a foreign correspondent bank

Money Orders
Negotiable instruments issued by a bank in the form of a money order drawn
against its depository bank or themselves

Personal Checks
Negotiable instruments issued by an individual drawn against his/ her demand
account with a foreign bank

• Deposit via FX Currencies


Authorized LANDBANK branches accept bill/notes and coins of eligible
LANDBANK FCDU deposit to an FCDU account maintained with the Bank.

• Incoming Local Remittance PDDTS via GSRT MODE/EOD Netting


Incoming local remittance pertains to an incoming fund transfer from a
participating local bank of the Philippine Domestic Dollar Transfer System
(PDDTS) - Gross Settlement Real Time (GSRT/End-of-Day (EOD) Netting mode
for credit to a LANDBANK FCDU account.

• Deposit from Incoming Foreign Remittance


LANDBANK credits the proceeds of an incoming remittance from any foreign
bank coursed through LANDBANK’s foreign depository banks.

B. Withdrawal Transactions

• Withdrawal Transaction from an FCDU Account via Foreign Currency


Demand Draft
Foreign currency denominated bank draft drawn against LANDBANK's foreign
depository bank.

• Withdrawal via FX Currencies


Authorized LANDBANK branches services withdrawals in foreign bills/notes
drawn against an FCDU deposit account.

• Via Outgoing PDDTS-Gross Settlement Real Time (GSRT) Mode


Transfer of US dollar funds from LANDBANK to any beneficiary maintaining an
FCDU account with a participating local bank.

• Via Outgoing Foreign Electronic Fund Transfer


Transfer of FCDU deposits from LANDBANK to any beneficiary living outside of
the Philippines.

• Withdrawals via Philippine Peso


Authorized LANDBANK branches service withdrawals from an FCDU deposit
account where proceeds shall be converted into Philippine Peso.

C. FX Currency Purchase

• Outright Purchase of FX Currencies


Refers to buying of foreign currency-denominated bills/notes and coins.

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• Outright Purchase of FX Instruments
Via Bank Draft
Negotiable instruments purchased by clients and issued by the bank that are
drawn against the bank’s demand deposit account with a foreign correspondent
bank

Company Check
Negotiable instruments issued by a company/firm to their client and drawn against
their demand deposit account with a foreign bank

Via Postal Money Order


Negotiable instruments issued by a post office to a client and drawn against the
demand deposit account with a foreign bank

Via USTW Checks


Negotiable instruments issued by the US Treasury Department to a client

Via on “US” Checks


Negotiable instruments issued by an FX bank and drawn against LANDBANK’s
USD maintained either in LANDBANK’s USD account, FX bank’s USD account
with LANDBANK or FX bank’s peso account with LANDBANK

Personal Checks
A negotiable instrument issued by an individual drawn against his/her demand
deposit account with a foreign bank

• Sale of FX Currency Notes


Sale of foreign currency notes to both institutional and individual clients.

• Sale of FX through Telegraphic Transfer


Sale of USD or any third currency to a client funded by one of our LANDBANK’s
FX depository banks, for transmittal to the client’s beneficiary; For non-trade
purposes, clients are serviced by branches while for trade purposes clients are
serviced by Lending Units.

• Sale of FX through Demand Draft


Negotiable instruments purchased by a client drawn against LANDBANK’s
demand deposit account with a foreign correspondent/ depository bank.

D. Inward Remittances

• Incoming Foreign Remittance from any Foreign Bank


LANDBANK receives incoming remittances from any foreign bank that are
coursed through LANDBANK’s foreign correspondent and/or depository banks.

• Incoming Local Remittance through PDDTS/GSRT/EOD Netting/RTGS


Incoming fund transfers from a participating Philippine Domestic Dollar Transfer
System (PDDTS) - Gross Settlement Real Time (GSRT)/End-Of-Day (EOD)
Netting, Real Time Gross Settlement (RTGS) Mode local bank for credit to
accounts maintained in a LANDBANK Branch.

• Inward Remittances

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Inward Remittances received from remittance agency partners (RAPs) via
tested/original copy of payment orders/SWIFT for credit to LANDBANK account
payable to a certain beneficiary.

6. INTERNATIONAL TRADE SERVICES

A. Export

• Advice of Export Letter of Credit (LC)/Amendment


Foreign LC opened in favor of an exporter received by LANDBANK through,
SWIFT, mail confirmation, or other local commercial banks; Export LC can be
used as collateral for pre-export financing. Export Packing Credit Line (EPLC)
enables the exporter to have additional working capital to manufacture export
goods.

• Export Collections/Outward Bills for Collection (OBC)


These are exporter's draft/documents which are not outrightly purchased awaiting
receipt of a foreign bank credit advice or clearing of dollar drafts such as:
• Documents with discrepancies (if under LC);
• Documents which are sent directly to the buyer by the exporter and
awaiting payment from the foreign bank through T/T;
• Dollar draft/check presented by the exporter representing export-related
transactions;
• Documents to be sent on a collection basis as instructed by the exporter

• Export Bills Purchase (EBP)


Credit accommodation extended to an exporter wherein the exporter's
draft/shipping documents under LC, DP, or DA and other modes of payment are
purchased directly/outright by the Bank before receipt of a foreign bank’s credit
advice.

• Collection of Documentary Stamp Fees


LANDBANK acts as the collecting/remitting bank of the documentary stamp fees
(DSF) imposed by the Bureau of Customs on goods exported by the clients.
Client exporter shall be enrolled in the Bureau of Customs Payment Application
System (PASS 5) by submitting the required documents to a LANDBANK branch
where he maintains his deposit account. Settlement of BOC documentary stamp
and service fees are made by debiting the Exporter’s LANDBANK account upon
receipt of data from PCHC through PASS 5.

• Inward Remittances
These are incoming telegraphic transfers representing export proceeds remitted
by the exporter’s buyer and credited to LANDBANK’s account with the foreign
bank. LANDBANK acts only as receiver or channel of payment.

B. Import

• Opening or Issuance of Foreign Commercial Letter of Credit (LC)


Bank issuance of LC charged to the importer’s account or paid in cash for the full
amount of LC in favor of the exporter. The LC authorizes the exporter to claim
payments provided all of the terms and conditions of the LC are complied with.
The LC ensures payment to the exporter for the goods delivered or services
performed. On the part of the importer, LC ensures that the terms and conditions
agreed upon are complied with before payment is made.

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• Issuance of Guarantee (Against Foreign Back Counter-Guarantee)
A guarantee issued by the Bank in favor of a local beneficiary against a foreign
correspondent bank counter-guarantee which the latter issued on behalf of their
customer.

• Collection of Import Duties


The Bank acts as a collecting or remitting bank for the advance and final duties
imposed by the Bureau of Custom (BOC) on the goods imported by client. Client
Importer shall be enrolled in the Bureau of Customs Payment Application System
(PASS 5) by submitting the required documents to LANDBANK branch where he
maintains his deposit account. Settlement of Advance or Final duties and services
fees are made by debiting the Importer’s LANDBANK account upon receipt of
data from PCHC through PASS 5.

• Processing of Open Account (O/A)


A mode of payment for a non-LC transaction wherein the shipping documents are
sent and released by the seller or exporter directly to the buyer or importer without
coursing the documents through the Bank upon the importer’s promise to pay at
some future date after shipment.

• Processing of Documents Against Acceptance (D/A)


A mode of payment for a non-LC transaction whereby the original shipping
documents are received from the seller or exporter’s bank with the instruction to
release these documents to the buyer or importer only upon their acceptance to
pay collection proceeds at as specific future date.

• Documents Against Payment (D/P)


A mode of payment for a non-LC transaction whereby the original shipping
documents are received from the seller or exporter’s bank with the instruction to
release these documents to the buyer or importer only upon the outright payment
of collection proceeds.

• Processing of Trust Receipts (TR)


A credit accommodation granted to importers which allows them to pay Domestic
or Import Bills at a future date as agreed upon. LANDBANK is vested with the title
or legal ownership of the goods although the importer has physical possession of
the same.

• Opening or Issuance of Domestic Commercial LC


Bank issuance charged to the client or local buyer account in favor of the local
seller that authorizes the local seller to claim payments provided that all the terms
and conditions of the LC are complied with. LC ensures payment to the local
seller for the goods delivered or services performed; On the part of the local
buyer, the LC ensures that the terms and conditions of the credit are complied
with before payment is made.

• Processing of Commercial LC Amendment (Foreign & Domestic)


Amendments to LC terms and conditions requested by the client such as: (a)
decrease in LC amount requires beneficiary’s confirmation; and (b) change in
beneficiary’s name.

• Issuance of Shipping Guarantee/Advance Release

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Shipping guarantee issued by the Bank to the shipping line requesting the release
of goods to the importer pending receipt of the original Bill of Lading and/or Airway
Bill. The shipping guarantee issued should be canceled upon importer's receipt of
the original Bill of Lading/Airway Bill.

• Processing of Import Bills (IB)


Examination of shipping documents received from foreign banks to ascertain if all
terms and conditions of the foreign commercial LC are complied with. Shipping
documents booked under Import Bills already paid and/or converted to Trust
Receipt (TR) will be forwarded to the importer to enable them to release goods
from the shipping line and/or cancel shipping guarantee. Simultaneously, a
payment authorization is sent to the foreign bank if documents were
communicated on a collection basis.

• Processing of Domestic Bills (DB)


Examination of documents presented to the Bank by a local seller to ascertain if
all the terms and conditions of the domestic commercial LC are complied with
before payments or acceptance are made. Documents booked under domestic
bills may be paid outright or converted to Trust Receipt (TR) upon request of the
buyers/client.

• Processing of Direct Remittance-Imports (DRI)


A mode of payment for a non-LC transaction wherein the shipping documents are
sent and released by the seller/exporter directly to the buyer/importer without
coursing the documents through the Bank upon the importer’s promise to pay at a
future date after shipment. Payment should be made within 29 calendar days from
the date of the Bill of Lading (BL)/Airway Bill (AWB)

• Processing of Advance Import Payments (AIP)


A mode of payment for a non-LC transaction wherein the payment is sent by the
buyer or importer in advance to the seller or exporter through the banks prior to
the shipment of the goods and receipt of the shipping documents.

• Opening or Issuance of Stand-by LC (Foreign and Domestic)


An undertaking issued by the Bank on behalf of its client that payment will be
made to the beneficiary if the client does not make good its obligation.

7. INVESTMENTS

Trust Product and Services

A. Trust Arrangements
A type of fiduciary relationship whereby legal title to funds and/or properties of the
Trustor is transferred to LANDBANK Trust Banking Group (TBG), subject to an
equitable obligation to administer, hold, and manage such funds and/or properties for
the use, benefit, or advantage of the trustor or other designated beneficiaries.

Unit Investment Trust Fund (UITF)


UITFs are open-ended pooled trust funds that are invested collectively in a diversified
portfolio approved by the Bangko Sentral ng Pilipinas (BSP). UITFs offer a simple,
more convenient, and less time-consuming method of investing in a diversified
portfolio. It is an affordable and the best vehicle to participate in the financial markets.

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• LANDBANK Money Market Fund
A conservative fund suitable for financial objectives with an investment horizon of
one year or less. The fund aims to provide high liquidity, decent returns, and
minimal risk on the invested capital, from placements in short-term investments.

• LANDBANK Money Market Plus Fund


A moderate fund intended for clients with an investment horizon of one to three
years. The fund offers investors a relatively liquid investment while providing
potential higher income from a portfolio of short-term bonds and fixed income
securities.

• LANDBANK Bond Fund


A moderate fund suitable for financial objectives with an investment horizon of
three to five years. The fund aims to generate a steady stream of income through
a diversified portfolio of tradable peso-denominated fixed-income investments
such as government securities, corporate bonds, and bank deposits.

• LANDBANK Growth Fund


An aggressive fund intended for financial objectives with an investment horizon of
five to seven years. The fund aims to generate capital growth while maintaining
steady stream of income through combination of investments in peso-denominated
listed stocks and tradable fixed income securities.

• LANDBANK Equity Fund


An aggressive fund intended for clients whose investment horizon is greater than
five years. The fund aims for long-term capital growth through investments in a
diversified portfolio of peso-denominated listed equities.

• LANDBANK Global $ Fund


A moderate US-dollar denominated fund suitable for clients with an investment
horizon of three to five years. The fund aims to generate relatively higher income
through investments in dollar-denominated fixed-income securities issued by the
National Government and by local companies.

Personal Equity & Retirement Account – Unit Investment Trust Funds (PERA-
UITFs)
PERA-UITFs are open-ended pooled fund that are invested collectively in a
diversified portfolio of PERA investment products associated with the Contributor’s
investment and risk profile, and/or age of near retirement.

• LANDBANK PERA Money Market Fund


A conservative fund designed for PERA Contributors who aim to retire and
withdraw their investments within one to three years from placement. The fund
aims to provide decent returns and minimal risk on the invested capital from
placements in short-term investments.

• LANDBANK PERA Bond Fund


A moderate fund designed for PERA Contributors who aim to retire in the next
three years or more. The fund aims to achieve capital appreciation through
investments in a portfolio of long-term fixed-income securities.

• LANDBANK PERA Global $ Fund

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A dollar-denominated fund intended for PERA Contributors with moderate risk
profile and are more than three years away from retirement. The fund aims to
generate relatively moderate returns from their capital through investments in
dollar-denominated fixed income securities issued by the National Government
and by local companies.

B. Institutional Trust Accounts


Institutional Trust Accounts refers to trust arrangements where the trustor is a juridical
entity (but not limited to corporations, institutions, organizations) or incorporated
funds (retirement funds, pension funds, etc.).

Employee Benefit
This refers to trust arrangements established to hold the assets of an employee
benefit plan wherein the beneficiaries are the employees of the corporation or
institution.

• Defined Benefit Retirement Plan (Gratuity Plan)


This is based on a specific and defined amount of benefit provided by the company
expressed in number of months per year of service. An actuarial valuation is
necessary to provide an estimate on how much funds the company should
contribute or set aside to fulfill its obligation or liability to its qualified employees in
case of retirement. The company is the sole contributor, and the employees have
no option to contribute to the fund.

• Defined Contribution Retirement Plan (Provident Plan)


A contributory retirement fund wherein both the employer and employee contribute
to the retirement plan. The retirement benefit of the employee is dependent on the
defined contribution. Contributions are based on either a specific amount or
percentage of salary of the employee that the employer is willing to contribute.
This type of plan does not require an actuarial valuation. However, if the
contributed amount of the employer is not sufficient to cover for the minimum
benefit required by law under the RA No. 7641, the employer will have to top up on
the retirement benefit of the employee.

• Hybrid Retirement Plan


A combination of a Defined Benefit Plan (Gratuity Plan), based on actuarial
valuation and Defined Contribution Plan (Provident Plan), wherein the employees
have the option to contribute to the retirement fund; Hybrid Plans are also
registered with the BIR for tax exemption approval and certification.

Pre-Need Accounts
This refers to trust arrangements established by pre-need companies in compliance
with the regulatory requirement to maintain trust accounts for such activities.

C. Individual Trust Accounts


This refers to trust arrangements established by an individual or a natural person,
usually consisting of disposition of assets to designated beneficiaries and settlement
of the estate of the deceased.

• Personal Management Trust (PMT)


A type of arrangement that is ideal for those who wish to preserve or earn from
their assets to answer for the current needs or the future use of the trustor or his
beneficiaries. In the PMT, a trust agreement between LANDBANK TBG and the

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trustor is established during the lifetime of the trustor, with the purpose of providing
for the financial needs of the trustor and/or their designated beneficiaries.

• Personal Retirement Trust Account (PRTA)


A trust arrangement established with LANDBANK TBG by a client, referred to as
the trustor, during his lifetime, to cater to his needs during retirement.

• Life Insurance Trust


An arrangement where LANDBAN TBG collects the proceeds of the life insurance
policy of the client upon the death of the insured to distribute the same to assigned
beneficiaries stated in the agreement.

D. Other Institutional Services


These types of arrangements require LANDBANK TBG to act as the depository of the
assets and properties that shall manage the same in accordance with the provisions
of the agreement.

• Legislated and Quasi-Judicial Trust Services


This refers to trust arrangements mandated by law, executive order, a court, or
other government regulatory agency, such as in cases of, but not limited to
receivership, receiving/custodianship arrangements for IPOs, rights, or offerings.

• Corporate Fiduciary Account

Mortgage Trust Indenture (MTI)


LANDBANK TBG holds a pool of properties, real estate, and/or chattel mortgage
on behalf of creditors. Mortgage Participation Certificates are issued to represent
the proportionate share of creditors on the collateral pool. TBG acts as an
intermediary between the borrower and the creditors and among the creditors
themselves in the administration of the loan agreement and the mortgaged
properties.

Facility and Loan/Paying Agency


The LANDBANK-TBG acts as an intermediary between the Borrower/Issuer and a
syndicate of Lenders/Noteholders in accordance with the Loan/Notes facility. The
Facility Agent is appointed as such to centralize the monitoring and the
administration of the Notes Facility, ensuring that payments due under the Notes
are settled promptly, reports are submitted as stipulated in the Agreement and to a
certain extent, ensures that terms and conditions of the Agreement are faithfully
complied by all parties. The LANDBANK TBG may also be engaged as Paying
Agent to ensure disbursement of periodic interest to creditors/lenders.

• Escrow Agency
LANDBANK TBG, as an Escrow Agent, acts as a third and impartial party to
intervene or to hold in escrow contracts involving money, securities, property titles,
or documents to secure faithful compliance by either or both parties with the terms
of the contract.

POEA Escrow
The POEA Escrow is based on Part II, Rule II of the 2002 POEA rules and
regulations governing the recruitment and employment of land-based Overseas
Filipino Workers (OFW) and on Part II, Rule II, 2003 POEA rules and regulations
governing the recruitment and employment of seafarers. This is a standard escrow

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arrangement required by the POEA in the application and renewal for a license of
overseas employment agencies. All overseas employment agencies are required
to set up an Escrow account with an accredited reputable bank and deliver to the
Escrow agent the amount of at least P1 million or US $20,000. This is to ensure
that there are funds set aside by the manning/recruitment agency for any
eventuality of garnishment due to disputes between the manning/recruitment
agency and the OFW.

Capital Gains (BIR) Escrow


This type of escrow arrangement is based on BIR Revenue Regulation No. 13-99,
as amended by BIR Regulation No. 14-00, governing the exemption of certain
individuals from the capital gains tax on the sale, exchange, or disposition of his
Principal Residence. This is also a standard Escrow Arrangement wherein a
Filipino citizen who has sold his Principal Residence (house and lot), may set up
an Escrow with BIR and deliver to the Escrow Agent/Authorized Agent Bank (AAB)
the amount equivalent to the capital gains tax derived from the sale, exchange,
disposition of his Principal Residence. The seller is given by BIR a maximum of 18
months from the date of the sale or disposition to acquire or construct a new
Principal residence using the proceeds from the sale, exchange, or disposition of
his old Principal Residence. The Escrow Agent/AAB shall release to the
Seller/Transferor within 18 calendar months after showing proof of acquisition/
construction and clearance from the BIR.

Buy and Sell (Procurement)/Loan Releases Escrow


This is usually resorted to in a Deed of Conditional Sale, Contract to Sell, or Long-
term purchase agreements. The buyer or seller delivers certain assets,
documents, source codes to the Escrow agent as specified in the contract or upon
fulfillment of the contract or service. Release of funds, securities, legal
documents, TCTs/CCTs, or source codes will only be triggered upon fulfillment of
the conditions of the contract or service by either or both parties to the agreement.

Escrow Services for Funds/Assets under Dispute of Ownership


This arrangement is resorted to for assets where ownership is under dispute by
two or more parties. This arrangement could be triggered by a court order or the
mutual consent of all parties. The funds or assets are set aside and held and
received by an Escrow Agent until a final decision on the rightful owner of the
assets by a competent body or final instruction by all parties depending on what is
stipulated in the contract (e.g., government BOT/PPP projects and procurement,
disputes in inheritance, tax refunds, etc.).

• Third-Party Securities Custody and Registry Services


The Bank as Custodian, through its Third-Party Custodianship and Registry
Department (TCRD), holds securities under a written agreement with clients and
facilities receiving and delivering of securities upon instruction. As Registrar,
TCRD shall establish and maintain the official record of all registered holders of a
corporate/bank issuance as designated or appointed by the issuer.

Personal Equity & Retirement Account- Cash Custodianship


The Bank, through its Third-Party Custodianship and Registry Department
(TCRD), acts as PERA Cash Custodian to the Contributor’s PERA pursuant to RA
No. 9505 of 2008 (PERA Law). TCRD shall oversee the receipt, acknowledgment,
and release of all funds in connection with PERA.

• Safekeeping Services

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LANDBANK-TBG provides a complete range of custody and safekeeping solutions
to meet the client’s objectives. LANDBANK-TBG receives, safekeeps, delivers,
records, and preserves the properties consisting of non-marketable securities,
titles, and other documents placed under safekeeping and deliver the same, upon
instruction by the client.

• Life Insurance Trust


This refers to agency agreements where LANDBANK-TBG shall collect the
proceeds of the life insurance policy of the client upon the death of the insured to
distribute the same to assigned beneficiaries stated in the agreement.

E. Investment Management Services/Portfolio Management (Peso or US Dollar


Denominated)
This type of arrangement involves the prudent management of funds or assets on
behalf of the client based on his investment objectives, risk profile, and liquidity
requirements. LANDBANK-TBG acts as an investment/portfolio manager with the
primary intention of capital preservation, risk optimization, and assurance of liquidity.
The types of investments such as bank deposits, government securities, corporate
bonds, equities, UITFs, and mutual funds, other alternative investments are prudently
assessed and evaluated to suit the client’s requirement and risk appetite. The
arrangement could be directional – wherein prior consent from the client is required
before any decision is made, or discretionary – wherein the Bank is given full
authority to invest the fund in pre-agreed investment guidelines.

F. Special Purpose Trust


LANDBANK-TBG acts as an independent party to a special purpose vehicle of
undivided ownership interest in a segregated or identifiable pool of assets or
receivables. These pools of assets or receivables are then sold or transferred to
LANDBANK-TBG for management. The LANDBANK-TBG will sell securities to the
investors backed by the assets. The cashflows generated by the underlying assets
are then transferred to investors.

Treasury Products

A. Government Securities (GS)


Government Securities are debt instruments issued by the Republic of the Philippines
via the Bureau of the Treasury to finance public expenditures. GS are scripless
securities and are registered under the National Registry of Scripless Securities
(NRoSS) system of the Bureau of the Treasury.

B. Corporate Securities
Corporate securities are medium to long-term debt instruments issued by public or
private corporations to finance their operations. They are not deposit products and
are, hence, not covered by PDIC. They offer fixed coupon rates and provide higher
yields compared to deposit products. These corporate securities may include senior
unsecured bonds/corporate notes and subordinated notes.

C. LANDBANK Issues

• Bank Bonds
Bank Bonds are fixed-income securities with stated interest rates and fixed dates for
interest and principal payments.

Investment Banking

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• Debt and Equity Underwriting
Underwriting is the service of guaranteeing the sale of bonds, stocks, or other forms
of securities. The underwriter assures the issuer that the funds will be raised through
a firm underwriting commitment. Under a firm commitment, the underwriter is required
to take-up the unsubscribed or unsold portion of the securities. Thus, a good
underwriter must have strong marketing capabilities for the sale of securities and
strong financial resources to deliver on its underwriting commitment in the event of
under subscription.

• Financial Advisory
Financial advisory is the service of providing sound advice to clients who want to
explore various options for raising funds. Normally, borrowers or issuers hire financial
advisors to assist in structuring or packaging the terms of financing required, i.e.,
amount, tenor, rates, and the like.

• Loan Arrangement
Loan arrangement is the service of assisting borrowers raise funds via traditional
bank debt financing. Loans may be tapped solely from LANDBANK or a syndicate of
lenders led by LANDBANK (i.e., syndicated loan).

• Privatization
Privatization covers financial advisory, arrangement, and underwriting services for
various Government agencies which intend to raise funds via disposition of assets or
shares. The role of the advisor is to render advice on the appropriate mode of
disposition to be applied, such as (a) straight sale or auction of assets, (b) sale to
strategic or financial investors, and (c) initial public offering (IPO). LANDBANK, as the
lead underwriter, may guarantee the distribution of shares for privatizations, among
others.

• Project Finance
Project Finance is a loan arrangement involving a specific project, separate and
distinct entity from the project sponsor. Under this type of deal, the collateral is limited
to the project assets and lenders have limited recourse to project sponsors. The
sponsors are almost isolated from the obligations of the project. Its cashflows are
mainly from revenues of the project.

• Mergers and Acquisitions


Mergers and Acquisition is the purchase by a company of another company with the
eventual consolidation of the two companies into one entity. The role of investment
bankers is normally in the valuation of the target companies arranging and financing
of the acquisition.

8. ANCILLARY PRODUCTS

• Deposit Pick-up Services


Deposit pick-up services allow the mobilization/transmittal of voluminous
cash/check deposits of clients via pick-up at the client's premises using the Bank's
armored car facilities and other authorized bank vehicles. A minimum Average
Daily Balance of P1 million for NCR clients and P0.50 million for provincial clients
is required to avail of this service.

• Payroll Services

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Payroll is facilitated by debiting the total payroll amount from the client firm's
account and crediting each of the individual ATM accounts of employees on the
payroll date. Clients such as government agencies and private corporations must
maintain a significant level of deposits with the Bank.

• Revenue Collection Arrangement


The government agency/client opens and maintains one-way depository account/s
(ODAs) at the Bank's branches where their field offices/branches/customers may
deposit their sales collections/payments for eventual transfer periodically to the
main account.

• Safety Deposit Box


Boxes with different sizes are rented to selected clients of the Bank to keep their
asset valuables and important documents

• Dollar Demand Draft


Dollar Demand Drafts are negotiable instruments sold by a bank to a client and
drawn against said bank’s demand deposit account with other depository banks.

• Manager’s Check
Manager's Checks are negotiable instruments that are being sold by LANDBANK
to clients. Manager's Check may be presented for encashment to the issuing
LANDBANK branch or deposited to any bank subject to one-day clearing.

• LANDBANK Gift Check


The LANDBANK Gift Check is a peso-denominated check which works just like a
Manager's Check. It shall be offered to clients as an alternative form of gift which
is as good as cash. The check may be deposited or encashed at any LANDBANK
branch and may also be deposited in other banks subject to existing check
clearing policies and procedures.

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