CORDAID Guarantee to OFW Investments

The Sustainable Investment Fund is an alternative investment option to Overseas Filipinos – workers, migrants and immigrants. Because it will be used to extend loans to microfinance institutions and social enterprises (SEs), this fund does not only give positive economic returns; it is socially responsible as well.

When Overseas Filipinos invest a minimum of PhP50,000.00 for at least six months in the Sustainable Investment Fund, they are then referred to as social investors. The greater the amount and the longer the investment term, the more social investors grow their money and help MFIs and SEs.

SCCI will execute a loan agreement and a Deed of Assignment of Receivables in favor of the social investor. Postdated check/s shall be issued to the social investor covering the principal and interest due. In the event that a social investor terminates an investment before the maturity date, the interest rate will automatically revert to 3% per annum. A 30-day notice is required to pre-terminate an investment.

Through SCCI’s partnership with Cordaid, each OFW investor may have his/her investments guaranteed by paying a fee of 1.5% of their invested amount per annum. This percentage will be deducted from the interest rate detailed in the table above. The maximum coverage is PhP250,000 worth of investments.