Vice President Manuel “Noli“ De Castro on Tuesday announced that the Pag-IBIG Fund has expanded its relief programs to cover victims of typhoon Pepeng.

This developed as De Castro, concurrent chairman of the Home Development Mutual Fund (otherwise known as Pag-IBIG Fund) Board of Trustees, also declared that he has ordered the state-run fund to release another P3 billion for calamity and other lending assistance to typhoon victims.

De Castro said that members of Pag-IBIG in Northern Luzon who have existing housing and short term loans can now apply for a three-month moratorium at the branch nearest their place.

Aside from this, those with existing housing loans can avail of the home reconstruction and rehabilitation loan where members can borrow up to P150,000 at an interest rate of eight percent a year.

“We are still assessing the damage done by typhoon ‘Pepeng’ in Northern Luzon. I have instructed the Management of Pag-IBIG to immediately allocate the needed funds for lending,” De Castro said.

The HDMF Board earlier approved the relief assistance programs to help alleviate the plight of storm “Ondoy” victims from Regions I, II, III, IV-A, IV-B and V as well as in the National Capital and the Cordillera Autonomous Regions.

The moratorium started on September 26, 2009 and ends on December 31, 2009.

Applications for the loan moratorium may be filed with the Pag-IBIG branch where a member took out a loan within 30 days from Oct. 5, 2009.

But given the volume of applications received daily, processing of loans will now take up to 10 days.

As of October 11, Pag-IBIG has approved P3.1 billion in calamity loans and has received more than 300,000 applications, more than half of which were approved.

Of the total calamity loans approved, P476.24 million was extended to 26,556 members in Northern Luzon, translating to an average of almost P18,000 financial assistance for every member in the area.

To qualify for the home rehabilitation program the applicant must have made at least 24 months of contribution at the time of their application; not more than 65 years old; insurable; has the legal capacity to acquire real property; and has passed the credit, employment and business checks of the Fund.

Members whose houses are currently mortgaged with the Fund, meanwhile, may file for non-life insurance claim covering the difference of the estimated cost of repairs and the proceeds from the non-life insurance claim, provided it does not exceed P150,000.

The property should be covered by the appropriate titles issued by the Register of Deeds, “free from all liens and encumbrances," and should be in the name of the borrower.