SSS offers cash loan for typhoon victims

CEBU, Philippines — Social Security System (SSS) members and pensioners affected by the typhoon Kristine may avail of salary and pension loans for their immediate monetary needs.

SSS Senior Vice President for Lending and Asset Management Group Pedro T. Baoy announced yesterday that as part of their proactive response to the urgent financial needs of its members and pensioners during natural calamities, the SSS loan programs are readily available to support their recovery.

To qualify for a one-month salary loan, Baoy said that 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.

For members who want to avail of a two-month salary loan, they must 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 reiterated that individually paying members must have at least six posted contributions under their current membership type before the month of the loan application.

Baoy said that employer’s compliance is crucial in these situations since their updated contribution and loan payments are essential for their employee’s loan eligibility.

Members can pay the salary loan in two years through 24 equal monthly amortizations with an annual interest rate of 10 percent.

Meanwhile, retiree-pensioners can avail themselves of the SSS pension loan equivalent to three, six, nine, and 12 times their Basic Monthly Pension plus P1,000 additional benefit, but not exceeding the maximum P200,000.

To qualify, the pensioner-borrower must be 85 years of age or below at the end of the month of the loan repayment term, have no deductions from his/her monthly pension (such as for outstanding loan balance, benefit overpayment payable to SSS, and the like); have  no existing advance pension under the SSS Calamity Assistance Package; be receiving his/her regular monthly pension for at least one month, and the status of pension is “active”; and have updated contact information (cellular/mobile number, email, and mailing address).

Baoy said that if retiree-pensioners availed of the 18 months advance pension, they must be receiving their regular monthly pension for at least one month.

Qualified members’ salary loan and pension loan applications can be submitted online via www.sss.gov.ph.

Once approved, loan proceeds will be credited to the member’s registered Unified Multi-Purpose Identification (UMID)-ATM Card or active accounts with a Philippine Electronic Fund Transfer System and Operations Network (PESONet)-participating bank.

Baoy further said that 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 (BMP) plus the P1,000 additional benefit.   FPL (CEBU NEWS)