TERMS AND CONDITIONS
General Provisions – Salary Loan

In consideration of the loan that I applied for from Cantilan Bank, Inc, I hereby agree:

GENERAL AGREEMENTS:

1. Loan approval is based on the voluntary commitment to assign custody of the legitimate and primary payroll ATM card, along with the PIN, to Cantilan Bank, Inc. This ensures repayment and authorizes the bank’s representatives to withdraw loan payments from the borrower’s monthly salary via ATM. Any misrepresentation, including assigning an ATM card not used for payroll, replacing it under false pretenses (e.g., using an affidavit of loss to evade payment), constitutes a fraudulent act punishable by law.
2. The ATM card shall remain under the custody of Cantilan Bank, Inc. while the loan is outstanding and/or while additional loans are continuously availed from the bank.
3. The ATM card assigned to the bank must not be used to guarantee other loans with other banks, financial institutions, or individuals.
4. Borrowers shall not withdraw over the counter, transfer funds electronically, or use mobile or internet banking services to move payroll funds to another account, as this will be considered fraudulent.
5. In the event of a change in payroll servicing bank initiated by the borrower’s employer, the new payroll ATM card must be surrendered to Cantilan Bank, Inc. Failure to do so will render the loan obligation immediately due and demandable and may lead to legal action.
6. Availing loans from other financial institutions, which could diminish repayment capacity, is prohibited. Any violation will render the entire loan obligation immediately due and demandable.
7. Cantilan Bank, Inc. is authorized to use the borrower’s loan documents for rediscounting purposes.
8. Cantilan Bank, Inc. is authorized to verify if the borrower has existing loans with other banks or lending institutions and may seek confirmation from the borrower’s employer’s HR department.
9. Loan records may be submitted to the Credit Information Corporation (CIC) and the Negative File Information System (NFIS) in compliance with Philippine laws in cases of loan default.
10. Any misrepresentation or violation of these agreements will render the entire loan obligation due and demandable and may serve as grounds for criminal or civil action.
11. In the event of conflict between the Loan Agreement and other Availment Documents, the provisions of the Loan Agreement shall prevail.

DEDUCTIONS AND NET PROCEEDS:

1. All fees, charges, and applicable taxes shall be deducted from the loan proceeds before disbursement.
2. The loan proceeds shall be credited to the borrower’s savings account with Cantilan Bank, Inc.

PAYMENT OF LOAN:

1. Loan principal, interest, and penalties, if any, shall be paid through automatic deductions from the borrower’s payroll ATM card. The borrower must ensure sufficient funds are available to cover the loan payments on the due date.
2. Monthly amortizations must be paid completely and promptly as per the schedule. Any excess payment will be deposited into the borrower’s savings account with Cantilan Bank, Inc.

DEFAULT:

1. The loan shall be considered past due if any installment or amortization is not fully and promptly paid. Cantilan Bank, Inc. will demand payment of the entire arrearages.
2. Failure to settle past due accounts despite demand may result in legal action for collection. Bonuses, incentives, or other benefits received via the payroll account may be debited to cover arrearages. If such funds are insufficient, the bank may debit funds from other savings or time deposit accounts without prior notice.
3. A penalty of 2% per month will be charged on missed amortizations, with an additional penalty of 24% per annum on the past due amount upon maturity, alongside accrued interest.
4. Remedial measures will be implemented to update or restore the loan to current status if necessary.
5. Violations of these terms and conditions will constitute an intention to commit fraud. The loan obligation will automatically become due and demandable, and Cantilan Bank, Inc. may pursue legal actions, including charges for fraud, collection of the unpaid loan with interest, penalties, damages, and attorney’s fees.

GOVERNING LAW

21. That if legal action would arise relative to the loan, the same shall be filed exclusively in the courts of Cantilan, Surigao del Sur, or in the courts that have jurisdiction over the place where Cantilan Bank has a branch office.

UNDERTAKING GRANTING CONSENT RELATED TO DATA PRIVACY

                In compliance with the requirements of Republic Act no. 10173 or the Data Privacy Act (DPA) of 2012, I authorize the general use, sharing, and profiling of information obtained from me in the course of my transaction/s with Cantilan Bank, Inc., ( A Rural Bank ) and affiliates, and their respective and agents, or from third parties. The data, which include my personal information or sensitive personal information that may or continually be collected, processed, stored, updated, disclosed, or profiled by Cantilan Bank, Inc. and/or shared for five (5) years from the conclusion of my transaction with Cantilan Bank, Inc. and/or until the expiration of retention limits set by applicable law, whichever comes later, (i) for legitimate purposes, (ii) to implement transactions which I request, allow, or authorize, (iii) to offer and provide new or related products and services of Cantilan Bank, Inc. and/or third parties, and. (iv) to comply with Cantilan Bank, Inc. internal policies, and its reporting obligations to governmental authorities under applicable laws, including without limitation the Bangko Sentral ng Pilipinas (BSP), the Anti-Money Laundering Council (AMLC), the Securities and Exchange Commission (SEC), and the Credit Information Corporation (CIC) defined in R.A. No. 9510, and to any third party (local or overseas) who acquires or will acquire the rights and obligations of Cantilan Bank, Inc.; who is in negotiations with Cantilan Bank, Inc., and in connection with the possible sale, acquisition or restructuring of Cantilan Bank, Inc. and who process information, transactions, services, or accounts, on behalf of Cantilan Bank, Inc. and (including but not limited to courier agencies; telecommunication information technology companies, payment, payroll, collection, training, and storage agencies; entities providing customer support, and other similar entities).

           I am fully aware that I can access, update, or correct certain personal information, or withdraw consent to the use of any of the information obtained from me in the course of my transaction/s with Cantilan Bank, Inc. and their respective representatives and agents, or from third parties, Further, I am fully aware that I can communicate with Cantilan Bank, Inc. Data Protection Officer through email at dpo@cantilanbank.com or call +63 212 5050 to 56 or at Orozco Street, Barangay Magosilom, Cantilan, Surigao Del Sur and I may file complaints with, and/or seek assistance from the National Privacy Commission.

I have read understand and consent to be bound by all the terms and conditions stated above.