SSS issues loan moratorium guidelines

MANILA, Philippines — State-run Social Security System (SSS) has imposed a two-month grace period on housing loan payments to give its members more time to settle their dues amid the economic difficulties brought about by  the  pandemic.

In a circular, the  state pension fund will grant a moratorium on the payment of housing loans for the applicable months of October and November. This is pursuant to Republic Act 11494 or the Bayanihan to Recover as One Act.

“Housing loan moratorium shall commence for the applicable month of October  with due date on Nov. 10  up to the applicable month of November   with due date on Dec. 10,’’  the circular stated.

The circular covers housing loan borrowers or duly designated successor-in-interest; duly designated legal heirs with direct individual housing loans; SSS employees, overseas Filipino workers (OFWs), trade union members (TUMs), or workers organization members (WOMs) with direct housing loans; and those with housing loans through participating financial institutions. They must be residents of the Philippines.

The SSS said direct individual housing loans, including those for OFWs, TUMs and WOMs, SSS employees and housing loans through PFIs, must be currently amortizing. This means the housing loan’s last amortization month must not be earlier than September 2020.

“Housing loan borrowers or duly designated successor-in-interest or legal heirs, whether with original or previously restructured term that has already expired, are not qualified for the program,” the SSS said.

The pension fund said qualified members do not need to file a request or application to SSS. A member’s housing loan payment term will also be extended for two months.

“Accrued interest during the moratorium period shall be paid by the housing loan borrower on the last month of the loan payment term,” the SSS said. “No interest shall be charged on interest payments falling due within the moratorium period.”

Earlier, the SSS also granted a moratorium on the payment of short-term loans for the months of October and November to provide relief to its members amid the coronavirus pandemic.

The SSS likewise extended the deadline of contribution payments to Dec. 1, also in compliance with the Bayanihan 2.

The extension covers the contribution of regular members for the months of February to October.

Contribution payments of self-employed, voluntary and non-working spouse members, as well as household employees from January to September   are likewise extended until the said date.