How to avail of DTI-SBCorp’s e-transport loan

The national government, through the Department of Trade and Industry-Small Business Corporation (DTI-SBCorp), is encouraging public transport operators and drivers to shift to electric vehicles (EVs) amid rising fuel costs due to the Middle East petroleum crisis through a P2 billion loan program.

On Tuesday, the DTI-SBCorp officially launched the E-Transport Loan Program aimed at providing financing support to small transport operators and drivers interested to transition to EVs.

The DTI-SBCorp said the financing program will cater to small transport operators and drivers who hold business licenses.

What are the requirements?

The DTI-SBCorp said eligible borrowers shall include transport network vehicle service (TNVS) drivers and operators, provided that the loan applicant:

• Holds a valid and current Land Transportation Franchising and Regulatory Board (LTFRB) authority including a Certificate of Public Convenience, Provisional Authority, or equivalent permit covering the unit to be financed;
• Is duly registered as sole proprietor, partnership, or corporation with appropriate government agencies such as DTI or Securities and Exchange Commission (SEC) and holds a valid local business permit;
• Those affiliated with transport network companies (TNCs) such as Grab Philippines, Joyride, or inDrive may qualify, provided that the loan is extended to the individual operator or registered fleet entity, and not to the TNC;
• Must submit a certification or statement of account from the TNC confirming active status and historical trip volume;
• Further, the driver-operator or fleet operator shall be the direct borrower and obligor – TNCs shall not be eligible as borrowers under the program.

Applications are open starting today, April 21, through the SBCorp Money app via the E-Transport Loan icon.

Interested borrowers can avail of loans of up to P1.5 million per vehicle with a maximum limit of P3 million per borrower.

The loan is payable up to five years with a grace period option of six to 12 months.

Roque said the DTI-SBCorp is also implementing a one-year no payment of the principal amount and interest.

The interest rate would be 1% per month on a diminishing balance basis, with an effective per annum interest rate of 6.7%. — JMA, GMA News