Once an applicant clears the assessment, AHFL issues a pre-approval letter
to proceed to the security assessment. AHFL’s lawyers evaluate property
documents to determine if there is a clear and marketable title to the property
being financed. Thereafter, AHFL staff conduct a technical appraisal of
the property. For self-construction, details such as government approval of
land for residential use, adherence to construction guidelines, and reasonable
construction cost are checked. AHFL disburses self-construction loans
in stages linked to actual progress to ensure proper use of the loan.
AHFL’s loan collection system makes repayment easier for low-income
customers and efficient for the company. Customers may opt to repay
loans through post-dated checks (PDCs) or electronic deduction by their
employers from their salaries, if available. In the case of PDCs, customers
give AHFL checks in 36-month equal installments with future dates, and
the company deposits one check each month.
Customer interaction and education are AHFL’s preferred means to
engage low-income customers. The company holds periodic awarenessraising
events at workplaces, events with lawyers and architects to discuss
technical and legal issues, as well as events at weekly village markets. In
addition, AHFL joins forces with banks, home construction material companies,
government housing agencies, and affordable housing developers
to promote home loans