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Manila: Social Security System (SSS) members and pensioners affected by Severe Tropical Storm Kristine (international name: Trami) may now apply for salary and pension loans.
‘As part of our proactive response to the urgent financial needs of our members and pensioners during natural calamities, the SSS loan programs are readily available to support their recovery,’ SSS Senior Vice President for Lending and Asset Management Group Pedro Baoy said in a statement on Thursday.
To qualify for a one-month salary loan, employed, self-employed, and voluntary members must have 36 monthly contributions, six of which should be within the last 12 months before the month of the loan application.
Members who want to apply for a two-month salary loan should have at least 72 posted contributions.
‘They must be under 65 years of age at the time of loan application and have not been granted any final benefit like total disability, retirement, or death benefits,’ Baoy said.
Baoy said individually paying members must have a
t least six posted contributions under their current membership type before the month of the loan application.
‘Employers’ compliance is crucial in these situations since their updated contribution and loan payments are essential for their employee’s loan eligibility,’ Baoy said.
Qualified members can submit their salary loan application online via My.SSS Portal.
Once approved, loan proceeds will be credited to their registered Unified Multi-Purpose Identification (UMID)-ATM Card or active accounts with a Philippine Electronic Fund Transfer System and Operations Network (PESONet)-participating bank.
Members can pay the salary loan in two years through 24 equal monthly amortizations with an annual interest rate of 10 percent.
Retirement pensioners, meanwhile, can apply for SSS pension loans equivalent to three, six, nine, and 12 times their basic monthly pension plus PHP1,000 to a maximum of PHP200,000 additional benefit.
To qualify, the pensioner-borrower must be 85 years of age or below at the end of t
he month of the loan repayment term; have no deductions from his or her monthly pension; have no existing advance pension under the SSS Calamity Assistance Package; receiving his or her regular monthly pension for at least one month and has an ‘active’ status; and have updated contact information.
‘If retirement pensioners availed of the 18 months advance pension, they must be receiving their regular monthly pension for at least one month,’ Baoy said.
Pension loan applications can be submitted online via the My.SSS Portal (www.sss.gov.ph) or over the counter at the nearest SSS branch.
Once approved, loan proceeds will be credited to the pensioner’s UMID-ATM Card or their active accounts with a PESONet-participating bank.
The loan amortization, inclusive of a 10-percent annual interest rate computed on a diminishing principal loan balance, shall be deducted from the monthly pension ensuring a net take home pension of at least 47.25 percent of the basic monthly pension plus the PHP1,000 additional benefit.
T
he repayment terms are six, 12, or 24 months, depending on the loanable amount.
Source: Philippines News agency
