Bank Loans for Solar in the Philippines

The upfront cost of solar is the biggest barrier for most Filipino families. A 6KW hybrid system runs ?330,000�?450,000 � real money, even if the ROI is excellent. The good news: several Philippine banks now actively lend for solar as part of home improvement or green energy initiatives.

Here's what's actually available, what the terms look like, and how to decide which route makes sense for you.

BDO Home Equity / Multi-Purpose Loan

BDO Bank

Multi-Purpose Loan / Home Equity Line

For existing BDO mortgage holders. Solar qualifies as a home improvement use.

Interest Rate
~7�9% per annum
Term
Up to 10 years
Eligible Amount
Up to 60% of property equity
Collateral
Real estate / existing mortgage

BDO's home equity approach works best for homeowners who already have a BDO mortgage and significant equity built up. The rate is competitive and the term is long enough to keep monthly payments manageable.

BPI Home Loan Top-Up

BPI Bank

BPI Home Loan Top-Up / Family Savings

Existing BPI mortgage holders can top up their loan for home improvements including solar.

Interest Rate
~6�8% per annum
Term
Up to 10 years
Minimum Loan
?100,000
Processing Time
2�4 weeks

UnionBank, RCBC, and Other Banks

Other Banks

Personal Home Improvement Loans

UnionBank, RCBC, EastWest, and Security Bank all offer personal loans or home improvement loans usable for solar. Rates vary � shop around before committing.

Typical Rates
7�14% per annum
Term
1�7 years
Collateral
Varies (some unsecured)
Processing
1�3 weeks

In-House Installment vs Bank Loan: Which to Choose

SolarStream offers in-house installment plans (12�36 months) with no bank credit check required. Here's how to decide:

  • Choose a bank loan if: you want the lowest monthly payment over 5�10 years, you have an existing mortgage with equity available, and you can wait 2�4 weeks for approval
  • Choose in-house installment if: you want faster approval (days, not weeks), you don't qualify or want to go through bank credit checks, and you're comfortable with higher monthly payments over a shorter term
  • Best for monthly cashflow: A ?500,000 system at 8% over 7 years = ~?7,800/month. In-house over 24 months = ~?22,000/month. The bank loan wins on cashflow; in-house wins on simplicity and speed.

Key insight: Even the highest financed monthly payment (in-house, short term) is usually less than your current electricity bill if your system is properly sized. Day 1, you're paying less than before � and the loan eventually disappears, while free electricity stays forever.

Real Monthly Payment Examples

?450,000 loan � 6KW Hybrid System

Bank loan @ 8%, 7 years~?7,000/month
Bank loan @ 8%, 5 years~?9,100/month
In-house installment, 36 months~?14,000/month
In-house installment, 24 months~?20,000/month
Estimated monthly electricity savings?7,000�?10,000/month

Does Financing Solar Still Make Financial Sense?

Yes � even with interest, financed solar almost always makes sense over a 25-year horizon. Your electricity rate is almost certain to be 20�40% higher in 10 years. Your loan payment, meanwhile, is fixed � and eventually gone.

A family paying ?10,000/month today will likely pay ?14,000�?16,000/month in 10 years. Their financed solar system, fully paid off by year 7, costs them zero from that point onward. The compounding financial advantage is substantial � even accounting for interest paid.

Find Out Your Monthly Payment for Your System

SolarStream walks you through financing options � bank loan vs in-house installment � with real numbers for your specific system size. No obligation.

Ask About Financing