December 23, 2014

JOINT HDMF-LRA MEMORANDUM CIRCULAR

 

I. Prefatory Statement

The HDMF is a government financial institution mandated to improve the quality of life of its members by promoting home ownership through extension of affordable housing loans under its various programs. It processes approximately fifty percent (50%) of the mortgages in the whole housing industry.

The LRA is now implementing the Land Titling Computerization Project ("LTCP") which involves, among others, the development of customized application systems, the supply of IT products and services, training of end-users, conversion of titles and documents from physical to digital format, nationwide network interconnection, and rehabilitation and construction of IT-enabled government offices.

Under the LTCP, the operations of the LRA and its RDs shall be fully-computerized, and all documents, deeds, instruments shall be electronically-registered, and requests for verification, certifications and certified true copies shall be processed pursuant to published Circulars and Guidelines of the LRA, namely:

1. Implementing Guidelines on Electronic Registration of Land Titles and Deeds, issued on 02 July 2009;

2. Implementing Guidelines on Electronic Registration of Land Titles and Deeds and Processing of Central Office Transactions, issued on 21 December 2010; and

3. Amendment to the Implementing Guidelines on Electronic Registration of Chattel Mortgage and Other Personal Properties, Electronic Recording of Transactions on Unregistered Land, and Electronic Registration of Land Titles and Deeds, issued on 21 January 2011.

In the spirit of inter-agency cooperation, the LRA and the HDMF entered into a Memorandum of Understanding ("MOU") on May 30, 2012 and a Memorandum of Agreement ("MOA") on February 18, 2014, where both parties agreed to review alternative options and implement solutions to further improve processing time in the issuance of titles and other related documents for the benefit of HDMF's members and clients, as a result of which, the agencies have agreed to establish a linkage between its systems wherein documents generated in the HDMF shall be machine-readable and compatible with the LRA's computerized system. ICDSca

This Joint Memorandum Circular is being issued to guide all concerned personnel of HDMF and LRA and its RDs on the rules and procedures for the implementation of this Linkage.

II. Coverage

The following (HDMF-related) transactions are covered by this Joint Memorandum Circular:

1. Registration of Deed of Assignment of Contract to Sell with Special Power of Attorney between the Owner and HDMF with the Conformity of the Borrower-Buyer;

2. Registration of Loan and Mortgage Agreement between the Borrower and the HDMF;

3. Registration of Deed of Absolute Sale between HDMF and the Buyer;

4. Cancellation of Registration of Deed of Assignment between the Owner and HDMF with the Conformity of the Borrower-Buyer; and

5. Registration of Special Power of Attorney between the borrower and Attorney-in-fact.

III. Operating Procedures

1. HDMF shall provide the relevant data used by LRA in transaction processing by embedding these in a 2D bar code to be printed on the documents it generates and gives to its members.

2. Upon presentation of the HDMF documents with an embedded 2D bar code for registration at the RD, the bar code shall be scanned at the Entry Module, thereby capturing the required data and automatically storing these in the RD Work-in-Process Database.

3. The same documents currently required for the registration of deeds and instruments relating to Registered Land ("RL") transactions shall be required to be submitted.

4. The RD personnel shall be able to input other data in the Entry and Return to Entry modules, including Presenter Information, received documents, etc.

5. The annotation text shall be automatically generated by the System using the standard LRA templates and the data from the 2D bar code.

6. All other transaction processes shall be approved procedures.

7. The same output documents being generated for each specific transaction type shall be produced.

8. The same fee breakdown for each specific transaction type shall be applicable.

IV. Others

1. This Joint Memorandum Circular may be amended as may be deemed necessary. All amendments shall be in writing and shall be jointly-approved by the HDMF and LRA.

2. If any provision of this Joint Memorandum Circular, or application of such provision to any circumstance, is declared invalid or unconstitutional, the other provisions not affected thereby shall remain valid and subsisting.

3. All orders, guidelines, circulars, rules and regulations inconsistent herewith are hereby repealed or amended accordingly.

4. This Joint Memorandum Circular shall take effect immediately upon approval and publication in a newspaper of general circulation. DHESca

Diliman, Quezon City, December 23, 2014.

By:

(SGD.) ATTY. EULALIO C. DIAZ IIIAdministrator

By:

(SGD.) ATTY. DARLENE MARIE B. BERBERABEChief Executive Officer

Published in The Philippine Daily Inquirer on February 11, 2015.