hi to all,

hope i'll get a good advise on this non-automotive concern. better, if there's someone here from BPI who can enlighten me on this concern

i have a housing loan with BPI with yearly fixing interest rate.
last feb 15, 2010, BPI raised my interest rate to 9.5%.

my loan contract says yearly interest fixing will be based on 364-day T-bill rates plus 0.00% spread.

the last applicable rate for the said T-bill was 4.62% based on the government auction held on feb 8, 2010.

the 0.00% spread in the loan document may have been a typo error and, as corrected by BPI in one of its emails to me, this should have been 3.5%.

computing, my new loan rate should be 4.62%+3.5%=8.12%, NOT 9.5%.

BPI, through its expressonline email agents, keeps on saying that their loan servicing unit claims that the new 9.5% rate is based on prevailing market rates.

i'm just wondering, can BPI just unilaterally change the terms of the contract without my consent?

this same event of arguing with BPI on my loan interest rate also happened last year. fortunately, they gave in last year after a long exchange of communications with them.

it's a lot harder and longer this time as their loan servicing unit is steadfast in its stand that the new rate is based on prevailing market rates and NOT on the T-bill rates as stipulated in the contract.

hope someone can enlighten me on this and hope this can serve to warn others who may not be so meticulous about their yearly housing loan rates with BPI.

jrln