State-owned Land Bank of the Philippines (Landbank) announced on Wednesday it had approved a P250-million loan for a “big school” under its lending program, which gives way for “study now, pay later” schemes.

Landbank CEO Cecilia Borromeo made the announcement during Wednesday’s Laging Handa briefing, but did not state the name of the institution.

Under Landbank’s “Access to Academic Development to Empower the Masses towards Endless Opportunities” (Academe) program, accredited schools can obtain a loan under a “3-3-3” scheme.

“Ang unang ‘3’ po ay para sa tatlong bilyon na inilaan ng Landbank bilang pondo para sa programang Academe. Ang pangalawang ‘3’ ay tukoy naman sa 3-percent fixed interest rate per annum sa mga schools na manghihiram under this program at ang isa pang 3 ay nagre-representa ng term ng loan under this program na maximum of three years po ang term noong loan under the ‘Academe,'” Borromeo explained.

Private schools that were given permission to operate by the Department of Education, private technical and vocational education training schools regulated by the Technical Education and Skills Development Authority and higher education institutions authorized by the Commission on Higher Education are eligible to apply for a loan under Landbank’s Academe.

Academe was launched in the first week of May to help parents finance their children’s education amid economic difficulties due to the Covid-19 pandemic.

“Ang mga magulang po o guardian ng ating mga estudyante o mag-aaral ay maaari pong manghiram sa mga private schools na ito para iyong mga schools naman na iyan ay pupunta sa Landbank at ipa-rediscount nila iyong mga promissory notes ng kanilang mga mag-aaral; at puwede ho namin bigyan sila ng pautang equivalent to 70% of the total promissory notes of their students,” Borromeo said. John Ezekiel J. Hirro