Bond Servicing Transactions

1. Release of Land Transfer Claim Proceeds at Head Office: Preparation and/or releasing of land transfer claim proceeds, in Cash and Agrarian Reform (AR) Bond, in favour of landowner or his heirs, whose lands were covered under the Comprehensive Agrarian Reform Program (CARP).

Basic Requirements:

  • For Individuals
  1. Customer Information and Specimen Signature Card (CISSC)
  2. Copy of one (1) valid photo-bearing Identification Document (ID), authenticated by LANDBANK. If necessary, secondary proof of identification shall be required.
  3. Data Privacy and Consent Form
  4. Pre-release documentary requirements of the handling Agrarian Operations Center (AOC), if any.

 

  • For Corporations/Partnerships
  1. Board Resolution or duly-notarized Corporate/ Partnership Secretary's Certificate of such Resolution, certified by the Corporate/Partnership Secretary and attested by the President/Managing Partner, authorizing the bond transaction (e.g. to receive bond/check proceeds of land transfer claim, bond transfer/assignment/conversion/replacement, redemption and interest claims and/or bond trading) and naming the representative authorized to make such bond transaction in behalf of the corporation/partnership 
  2. Copy of the Certificate of Registration, authenticated by the Securities and Exchange Commission (SEC)
  3. Copy of Articles of Incorporation/Partnership and By-laws, authenticated by SEC
  4. Copy of latest General Information Sheet (GIS) received/authenticated by SEC
  5. CISSC for Institutions signed by the President or Corporate Secretary
  6. CISSC of the President/Managing Partner, Corporate/Partnership Secretary and the authorized representative, supported by copy of at least one (1) valid photo-bearing ID for each individual, duly authenticated by LANDBANK
  7. Data Privacy and Consent Form
  8. Documentary Stamp Tax (if applicable)

 

2.  Payment of Bond Interest and Maturities: Preparation, approval and release of bond interest and maturities to bondholder, as follows:

a.1. For AR Bond, payment of 10% of the face value (matured portion), every anniversary date  

a.2  For AR Bond, payment of interest based on outstanding principal balance at interest rates aligned with the 91-day Treasury Bill rates, payable every 6 months from date of issue until the 10th year, subject to 20% final withholding tax

b. For LANDBANK 25-Year Bond, full redemption/payment of the face value on its maturity date, including payment of accrued interest computed at 6% per annum, tax free

 

 Basic Requirements:

  • For Individuals
  1. AR/LANDBANK 25-Year Bond Certificate
  2. Customer Information and Specimen Signature Card (CISSC)
  3. Copy of one (1) valid photo-bearing Identification Document (ID), authenticated by LANDBANK. If necessary, secondary proof of identification shall be required.
  4. Data Privacy and Consent Form
  5. Duly accomplished Application for Bond Transaction (ABST) - Form I
  • For Corporations/Partnerships
  1. AR/LANDBANK 25-Year Bond Certificate
  2. Board Resolution or duly-notarized Corporate/ Partnership Secretary's Certificate of such Resolution, certified by the Corporate/Partnership Secretary and attested by the President/Managing Partner, authorizing the bond transaction (e.g. to receive bond/check proceeds of land transfer claim, bond transfer/assignment/conversion/replacement, redemption and interest claims and/or bond trading) and naming the representative authorized to make such bond transaction in behalf of the corporation/partnership 
  3. Copy of the Certificate of Registration, duly authenticated by the Securities and Exchange Commission (SEC)
  4. Copy of Articles of Incorporation/Partnership and By-laws, duly authenticated by SEC
  5. Copy of latest General Information Sheet (GIS) received/authenticated by SEC
  6. CISSC for Institutions signed by the President or Corporate Secretary
  7. CISSC of the President/Managing Partner, Corporate/Partnership Secretary and the authorized representative, supported by copy of at least one (1) valid photo-bearing ID for each individual, duly authenticated by LANDBANK
  8.  Data Privacy and Consent Form
  9. Duly accomplished Application for Bond Transaction (ABST) – Form I

 

3. Transfer, Conversion, Exchange and Replacement of Bond: Preparation, approval and releasing of new AR Bond upon request of the bondholder for the following:

  1. Assignment - transfer from inscribed or bearer AR Bond to a named assignee/s
  2. Conversion - changing of an inscribed AR Bond to a bearer AR Bond and vice-versa
  3. Exchange - act of issuing one AR Bond by consolidating two or more AR Bonds and vice-versa 
  4. Replacement - issuance of a new AR Bond in lieu of lost AR Bond

Basic Requirements:

  • For Individuals
  1. AR Bond Certificate
  2. Customer Information and Specimen Signature Card (CISSC)
  3. Copy of one (1) valid photo-bearing Identification Document (ID), authenticated by LANDBANK. If necessary, secondary proof of identification shall be required.
  4. Data Privacy and Consent Form
  5. Duly accomplished Application for Bond Transaction (ABST) - Form II
  6. Documentary Stamp Tax (if applicable)
  • For Corporations/Partnerships
  1. AR Bond Certificate
  2. Board Resolution or duly-notarized Corporate/ Partnership Secretary's Certificate of such Resolution, certified by the Corporate/Partnership Secretary and attested by the President/Managing Partner, authorizing the bond transaction (e.g. to receive bond/check proceeds of land transfer claim, bond transfer/assignment/conversion/replacement, redemption and interest claims and/or bond trading) and naming the representative authorized to make such bond transaction in behalf of the corporation/partnership 
  3. Copy of the Certificate of Registration, duly authenticated by the Securities and Exchange Commission (SEC)
  4. Copy of Articles of Incorporation/Partnership and By-laws, duly authenticated by SEC
  5. Copy of latest General Information Sheet (GIS) received/authenticated by SEC
  6. CISSC for Institutions signed by the President or Corporate Secretary
  7. CISSC of the President/Managing Partner, Corporate/Partnership Secretary and the authorized representative, supported by copy of at least one (1) valid photo-bearing ID for each individual, duly authenticated by LANDBANK

8.  Data Privacy and Consent Form

Duly accomplished Application for Bond Transaction (ABST) - Form II

Documentary Stamp Tax (if applicable)

  • Charges
  1. Transfer Fee of P150.00 per Bond Certificate

 

4. Bond Marketing and Trading: Providing assistance to landowners/original bondholders in the marketing and sale of their AR Bonds to buyers-investors at an agreed rate.

  • What are the uses of AR Bond?
  1. Alternative mode of compliance of banks with requirements of Agri-Agra Law (Republic Act No. 10000)
  2. Payment or security for specific transactions with the Government (Republic Act No. 6657)
  3. Security deposit of foreign corporations with the Securities and Exchange Commission (SEC)
  4. Security deposit of insurance companies with the Insurance Commission (IC)
  5. Investment instrument
  • Why purchase AR Bond thru LANDBANK?     
  1. No minimum investment.
  2. Business integrity. – LANDBANK documents and records the sale transaction.
  3. Ease of doing business. – LANDBANK provides “one-stop-shop” service.
  4. Highly-accessible. – LANDBANK processes sale transaction thru the Bond Servicing Department (BSD) at Head Office and nationwide thru its Agrarian Operations Centers (AOCs) and Branches.
  5. Discounted rate. – LANDBANK offers AR Bonds at discounted rate set by the bondholder.
  • Indicative Rate: The indicative selling/buying rate of AR Bonds is based on the average market price for the last three (3) months as offered by bondholders and accepted by the
    buyers/investors via intermediation by LANDBANK.

         Basic Requirements:

  • For Individuals

 1.    AR Bond Certificate

  1. Customer Information and Specimen Signature Card (CISSC)
  2. Copy of one (1) valid photo-bearing Identification Document (ID), authenticated by LANDBANK. If necessary, secondary proof of identification shall be required.
  3. Data Privacy and Consent Form
  4. Duly accomplished Application for Bond Transaction (ABST) - Forms I and II
  5. Bond Receipt (BR)
  6. Authority to Sell (ATS)

 

  • For Corporations/Partnerships
  1. AR Bond Certificate
  2. Board Resolution or duly-notarized Corporate/ Partnership Secretary's Certificate of such Resolution, certified by the Corporate/Partnership Secretary and attested by the President/Managing Partner, authorizing the bond transaction (e.g. to receive bond/check proceeds of land transfer claim, bond transfer/ assignment/ conversion/ replacement, redemption and interest claims and/or bond trading) and naming the representative authorized to make such bond transaction in behalf of the corporation/partnership 
  3. Copy of the Certificate of Registration, duly authenticated by the Securities and Exchange Commission (SEC)
  4. Copy of Articles of Incorporation/Partnership and By-laws, authenticated by SEC
  5. Copy of latest General Information Sheet (GIS) received/authenticated by SEC
  6. CISSC for Institutions signed by the President or Corporate Secretary
  7. CISSC of the President/Managing Partner, Corporate/Partnership Secretary and the authorized representative, supported by copy of at least one (1) valid photo-bearing ID for each individual, duly authenticated by LANDBANK

 8.   Data Privacy and Consent Form

 9. Duly accomplished Application for Bond   Transaction (ABST) – Forms I and II

  • Charges:
  1. Processing Fee of 0.75% of Bond Sale Proceeds
  2. Investor’s Fee of 1.25% of Principal Balance
  3. Transfer Fee of P150.00 per Bond Certificate

5. Certification of Bond Issuance: Certification issued by the Bond Servicing Department (BSD) that the AR Bond has been issued; is still outstanding; and is not among those included in the list of AR Bonds with Adverse Claims/ “Stop Payment” orders

Basic Requirements:

For Individuals

1.     AR Bond Certificate

2.     Letter-request for certification

 

  For Corporations/Partnerships

 1. AR Bond Certificate

 2. Letter-request signed by the authorized representative or signatory of the corporation/partnership

 

 Charges:

1.     Certificate Fee of P 100.00 per Bond Certificate

Contact Units

1.     Bond Servicing Department
522-0000 locals 7369, 7122 or 7703

2.     Agrarian Operations Centers (AOCs) II to XII

3.     LANDBANK Branches Nationwide

4.     Customer Care Center

a.     NCR - 405-7000

Domestic Toll-Free Hotline 1-800-10-405-    7000