6 Best Gadget Loans in the Philippines

Last Updated – Aug 21, 2023 @ 6:56 pm

Quick Take

What’s the best gadget loan in the Philippines?

Home Credit is probably the most popular gadget loan provider in the country right now, collaborating with hundreds of partner establishments. Its widespread accessibility ensures that customers can conveniently purchase their desired devices within a day.

With flexible payment options and a user-friendly application process, they’ve streamlined the borrowing experience for Filipino tech enthusiasts.

In today’s hyperconnected world, staying connected is non-negotiable whether it’s with your family, friends, school, or work.

Whether it’s smartphones or laptops, these devices have become an essential part of our daily lives.

But the reality is not everyone can afford to purchase or upgrade their gadgets on a regular basis. This is where gadget loans come into play. 

What is a Gadget Loan?

A gadget loan helps individuals purchase or upgrade their gadgets. These loans can be used to finance the purchase of a wide range of electronic devices, including smartphones, laptops, tablets, gaming consoles, and even appliances.

Gadget loans are a popular choice for people who want to stay up-to-date with the latest technology but may not have the funds to do so upfront. 


Why People Opt for Gadget Loans

Here are some of the most common reasons why people choose to opt for gadget loans. 

To upgrade existing devices

Imagine using a slow and outdated laptop or smartphone for work or school. It can be frustrating and can significantly affect your productivity.

Gadget loans provide a convenient way to upgrade to a newer and faster device without breaking the bank.

This can help individuals stay competitive in their respective fields and improve their overall quality of life. 

For educational or work-related needs

School and work can require the use of specific gadgets such as laptops or tablets, particularly remote work and distance learning.

Gadget loans provide a way for students and professionals to access whatever device they need to succeed in their academic or professional pursuits. 

To avail the latest technologies without immediate financial stress 

Rather than saving up for months or even years to purchase a new device, a gadget loan allows individuals to spread out the payments over a period of time.

This makes it easier to afford the latest gadgets without sacrificing other important expenses. 


How to Evaluate Gadget Loans

When evaluating the best gadget loans, there are several criteria that should be taken into consideration, such as: 

Interest rates

The interest rate is crucial when evaluating which loan is best for you. Borrowers should opt for loans with lower interest rates to avoid excessive repayment amounts.

This is why you should compare interest rates from various lending institutions to select the most favorable one.

Loan tenure

Aside from the interest rate, you should select a gadget loan with a repayment period that best suits your financial situation.

A longer loan tenure may mean lower monthly payments, but it also means that the loan will accrue more interest over time.

Meanwhile, a shorter loan tenure may mean higher monthly payments, but it also means that the loan will be paid off faster and with less interest.

Processing time

The quicker the processing time, the faster you can get your hands on the gadgets you need. 

Eligibility criteria

Check the eligibility criteria set by the lending institution.

This may include factors such as credit score, income, age, and employment status. 

Customer reviews and feedback

Customer reviews and feedback can provide valuable insights into the customer experience of lending institutions.

It is recommended to read reviews and ask for feedback from other borrowers to gauge the quality of service and overall satisfaction with the loan. 

Hidden fees or charges

Borrowers should also be on the lookout for any hidden fees or charges attached to the gadget loan.

These may include processing fees, prepayment penalties, or late payment fees.

More importantly, you must read the loan agreement carefully to avoid any surprises down the line.


Top Gadget Loan Providers in the Philippines

Scouring for the best gadget loans can be tiring. To help you, we’ve rounded up the top loans you can apply for.  

Home Credit Product Loan

With the Home Credit product loan, you can own the latest headphone, cameras, gaming consoles, phones, and other gadgets.

One of the major advantages of this loan is its high approval rate. Moreover, application is so easy. All you need to do is apply through the Home Credit App or visit a partner store. 

Home Credit also offers device protection where you can enjoy 60% savings compared to other plans in the market, free pick-up and delivery, and 24-hour repair.

Existing customers with ongoing loans can re-apply without hassle. 

Loan amountVaries based on the down payment made for the product
Interest RateLowest interest rate starts at 1.83% per month (varies depending on the loan amount and borrower’s risk tolerance)
Loan terms6 months to 18 months
RequirementsMust be a Filipino citizen 
18-68 years old
One primary ID with current address
With a reliable income source (pension, employment, remittance, business)

Tonik Shop Installment Loan

Tonik Shop Installment Loan allows you to borrow up to P100,000 to make your gadget-shopping experience more convenient.

Tonik has partner stores all over the Philippines so you can easily buy gadgets and appliances such as TVs, laptops, air conditioners, ovens, washing machines, and a lot more.

With one loan, you can get up to three items. 

Just like other Tonik loans, this one does not check the credit history of borrowers. Tonik also does not have a prepayment fee so you can pay it easier without incurring any fines.

Keep in mind that this loan requires a minimum of 10% down payment with zero processing fees. 

Loan amountP5,000 to P100,000
Interest Rate4.5% monthly interest 
Loan Terms3 to 24 months 
RequirementsMust be a Filipino citizen 
At least 18 years old
Must be employed
Must live in the Philippines
One government ID

Related: Best Buy Now Pay Later Apps in the Philippines


AEON Philippines

AEON Credit Service loan is not only for gadgets, but also appliances and furniture. This platform also offers exciting deals for installment plans.

To apply for this loan, simply visit any partner store or use the AEON mobile app. 

Loan amountnot available online
Interest Rate4.55% for general products, and 5.75% for gadgets
Loan Terms: 6 to 24 months
Requirements18-60 years old
Proof of income
Proof of billing
2 valid IDs
DTI or Mayor’s Permit (for business owners)

LandBank Gadget Loan

LandBank’s gadget loan is meant for students who need gadgets for distance learning and is part of their i-Study program.

Each student can loan up to P50,000 which they can use to purchase a laptop, tablet, or desktop.

The maximum loanable amount per student is P150,000, and parent-borrowers can loan up to P300,000 to cover enrollment-related fees.  

Loan amount up to P50,000 for gadgets
Interest 5%
Loan Terms 1 year for short-term loan, 3 years or term loan
Requirements1. Must be a Filipino citizen
2. Not over 50 years old at the time of application
3. Incoming student qualified under the admission and retention requirements of school or technical vocational institutions recognized or accredited by CHED or TESDA or DepEd
4. Non-scholar students in private pre-school, primary and secondary schools, or not a current beneficiary of the Universal Access for Quality Tertiary Education Act of 2017 or any scholarship program or of any privilege having free tuition fees as honor student
5. Scholar students whose tuition fees and other enrolment-related fees are not fully covered by the scholarship benefits and/or who are needing fund to purchase electronic gadgets to enable their access to on-line or computer-augmented learning

Related: How to Get Student Loans in the Philippines


Security Bank Pay Later

As one of the largest banks in the Philippines, it’s no surprise that you can get your dream gadget with the help of Security Bank.

The Security Bank Pay Later allows you to shop online, in-store, or in partner merchants. It does not only cover gadgets, but also appliances. Simply go to your favorite merchant and look for the Pay In Logo.  

Loan amountNo maximum limit, minimum spend of P3,000
Interest0%
Loan Terms up to 12 months
Requirements1. Must be an All Security Bank Mastercard holder (except Security Bank Corporate and Next Titanium Mastercard)
2. Must have a good credit standing can avail of Pay in Installments

Related: Best Credit Cards in the Philippines


Billease

With Billease, you can get up to P40,000 to buy any phone, laptop, or use it for your personal expenses.

Around 70% get approved on the spot, or approval only takes one banking day. What’s more is you can use your credit limit in any BillEase merchant partner or Lazada.

Installments can be paid through e-wallet or direct transfer, 7/11, or at over 22,000 OTC payment channels and partner stores like Anson’s, Kimstore, Samsung, Data Blitz, Lazada, Philippine Airlines, and many more.  

Loan amountP2,000 to P40,000
Interest Rate3.49% per month
Loan Terms2 to 24 months
RequirementsOne valid ID
Proof of income
Proof of billing 

How to Apply for Gadget Loans

Here’s a step-by-step guide on how to apply for gadget loans in the Philippines. 

General Requirements for a Gadget Loan

Before applying for a gadget loan, there are some general requirements that borrowers need to meet. These requirements are put in place to lessen the risk taken on by lenders. 

Age

Most lenders require borrowers to be at least 18 years old.

Income

Borrowers must also have a stable source of income, whether from employment, self-employment, or business. 

Valid IDs

Be ready to present at least one valid government-issued IDs such as a passport, driver’s license, or voter’s ID. 

Proof of income

Borrowers must provide proof of their income, such as payslips, income tax returns, or bank statements.


Gadget Loan Application Process

Here are the steps you need to take to apply for a gadget loan.

  1. Research and compare different lending institutions that offer gadget loans. Look into their interest rates, loan tenure, and eligibility requirements.
  2. Choose the lending institution or bank that best fits your financial situation and needs.
  3. Fill out the application form provided by the lending institution. This can be done mostly online.
  4. Provide the necessary documents such as valid IDs and proof of income. Make sure that these documents are up-to-date and valid.
  5. Wait for the lending institution to process your application

Time taken for loan approval and disbursement

Depending on the lending institution and the completeness of the borrower’s requirements.

Some lending institutions may take only a few days to process and approve the loan, while others may take up to a week or more.

Checking the processing time of lending institutions can help you avoid any delays in the release of funds.


Common Reasons for Rejection and How to Overcome them

There are several common reasons why gadget loan applications may be rejected. These include the following: 

Low credit score

Loan providers, especially banks, may reject applications from borrowers with low credit scores.

If this is the case, you can try to improve your credit score by paying off debts and bills on time. 

Unstable income

Banks and lenders may consider borrowers with unstable income as high-risk and reject their applications.

To overcome this, borrowers can give additional proof of income or find a stable source of income before applying. 

Incomplete requirements

Banks require specific documents to process loan applications. If borrowers fail to provide all of the necessary documents, their applications may be rejected. 

Moreover, if they provide incorrect or inaccurate information on their application form, their applications may not be approved. 


Things to Consider Before Taking a Gadget Loan

While gadget loans can be a convenient way to acquire the latest gadgets, there are several things to consider before applying for one. 

Assessing personal financial situation and repayment capacity

Calculate your monthly income and expenses to determine if you can afford to make loan repayments on time.

Borrowers should also consider any other outstanding debts they have and the impact of the additional loan repayments on their financial stability.

Understanding the total cost of the loan including interest.

Understanding the total cost of the gadget loan, including interest, is vital. This involves calculating the total amount they will need to repay over the loan term.

Your calculation should cover the principal amount borrowed, plus interest and any other fees or charges.

It is also important to compare the total cost of the loan across different lending institutions to secure the best deal.

Reading and understanding the fine print

Another consideration before taking out a gadget loan is reading and understanding the fine print in the loan agreement.

Take note of the terms and conditions, interest rates, fees, and repayment schedule. 

It is the job of borrowers to ensure that they are aware of any hidden fees or charges, prepayment penalties, and late payment fees before signing the loan agreement.

They should also clarify any unclear terms with the lending institution to avoid any misunderstandings in the future.

Exploring alternative financing options

Gadget loans are not the only financing option available to borrowers.

Before taking out a gadget loan, borrowers should explore alternative financing options such as credit cards, personal loans, or even saving up for the gadget.

Each financing option has its own pros and cons so weighing the advantages and disadvantages of each before making a decision is a must.


Final Thoughts

With gadget loans, you don’t need to wait until you have enough savings to purchase your dream phone, laptop, or any device.

However, remember that taking out a debt is a serious financial commitment, and it should be made after careful consideration.

Before applying for a gadget loan, make sure to assess your financial situation. The last thing you want is to be caught in a cycle of buying the latest gadgets that you can’t afford to pay for.

Disclaimer: Grit PH strives to post up-to-date information on all investment, banking, and other financial products we feature. However, information may change without notice. Therefore, we do not guarantee the accuracy of the information listed on the website, including those provided by third parties at any particular time. 

It is best to review the updated terms and conditions of your chosen financial institution. Grit PH is not affiliated with the companies mentioned in the article. All testimonials and opinions are representative only of the writer’s experience, but the results will be unique to each individual.

About MJ de Castro

MJ de Castro is the lead personal finance columnist at Grit PH.

MJ started her career as a writer for her local government’s City Information Office. Later on, she became a news anchor on PTV Davao del Norte.

Wanting to break free from the shackles of her 9-to-5 career to live by the beach, she pursued remote work. Over the years, she has developed a wide specialization on health, financial literacy, entrepreneurship, branding, and travel.

Now, she juggles writing professionally, her business centering on women’s menstrual health, and surfing.

Education: Ateneo de Davao University (AB Mass Communication)
Focus: Personal Finance, Personal Development, Entrepreneurship, & Marketing

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