To ease repayment terms for teaching and non-teaching personnel, the Department of Education (DepEd) said it has extended the maximum repayment period for salary loans to seven years.

The updated policy, under DepEd Order 020, series of 2026, is more flexible than the current five-year-term loan repayment under the Automatic Payroll Deduction System (APDS).

In a statement on Friday, DepEd Secretary Sonny Angara said the measure is part of the government’s efforts to ease the financial burdens of teachers and personnel in public schools.

“Alinsunod sa bilin at direktiba ni Pangulong Bongbong Marcos na alagaan ang kapakanan ng ating mga educator, itong pagpapahaba ng loan term, mula sa dating tatlo hanggang limang taon, at ngayon ay pitong taon na, ay magbibigay sa kanila ng mas mababang buwanang hulog at mas malaking take-home pay para sa pamilya (In line with the reminders and directives of President Ferdinand R. Marcos Jr. to uphold the welfare of teachers, this longer loan term period, from the previous three, then five years, and now seven years, will grant them lower salary deductions alongside bigger take home pay for their families),” he said.

With this in place, qualified borrowers may avail of the expanded repayment option while those with existing loans may also apply for restructuring terms.

The extended repayment period, however, is still subject to the credit assessment and approval of the APDS-accredited bank or private lending institution.

To advance responsible borrowing, all APDS-accredited banks and lending institutions are required to conduct mandatory financial literacy and loan education programs for DepEd personnel before loan processing and release. (PNA)