Salary Loans for SSS

members have asked questions about how much they can loan, citing previous loans.

these members dont want to read.  may i suggest that you read specifics on loans instead of asking the same things over and over again.

loan amounts are based on 2 things, number of contributions and monthly salary credit.
not on the number of loans a member has made.

in short, please read before you ask.

Loans for Lando

Just in case you havent heard, members affected by Lando as defined by the Disaster unit can avail of early renewal of loans for members and 3 months advanced pensions for pensioners.

Go to your nearest SSS office with proof that your area is affected.  Usually a barangay report/certification is sufficient.

Service fees are waived.

Interest and Penalty Answer on SSS Salary Loan Question

There have been many questions on interest and penalty on SSS Loans
Instead of answering these questions individually, i have decided to post this little tidbit for their information.

If there are specific questions on this answer, please comment -

Answer taken from the SSS Website


INTEREST AND PENALTY

The loan shall be charged an interest rate of 10% per annum based on diminishing principal balance, and shall be amortized over a period of 24 months.

Interest of 10% shall continue to be charged on the outstanding principal balance until fully paid

Any excess in the amortization payment shall be applied to the outstanding principal balance.

Loan amortization not remitted on due date shall bear a penalty of 1% per month until the loan is fully paid.

***********************************************************************

you can also find this at the back page of the salary loan application form

register as an online member so you can request for a SOA

interest and penalties change on a daily basis, on a straight-line method

If you wish to read more on salary loan, read more on the SSS website
if you have problems reaching the sss website, drop a comment so i can inform the sss

click here to access loans on the sss website

Clarification On SSS LOANS

People keep asking about loans and loan interest
and i have heard the media hype about it too

All you have to do is - find out how much your net proceeds are and how much is your amortization,

Right now there are only 2 amounts for salary loan
1 month for those with 36 months contribs
2 months for those with 72 months contribs

NO OTHER AMOUNT. so dont ask how much your 5th loan is. okay
the number of times you borrow is moot

Some points on the salary loan program

There have been queries on a so-called "third salary loan" on the SSS salary loan program

First of all, the salary loan benefit is NOT a right, unlike most of the benefits of SSS.
Rights are inalienable* (see below) and the salary loan is NOT..

a new loan is one wherein there is no outstanding loan.  you can make a series of new loans, without distinguishing it as the first, second, or third (or etc) loan for as long as there
a renewal is one wherein there is an outstanding balance.

an SSS member can only have 1 (one) existing loan (that is, an open loan) at any one time so a "third loan" seems weird

*

in·al·ien·a·ble

inˈālēənəbəl/

adjective

adjective: inalienable

1. 1.

   unable to be taken away from or given away by the possessor.

   "freedom of religion, the most inalienable of all human rights"

   synonyms:

   inviolable, absolute, sacrosanct; More untransferable, nontransferable, nonnegotiable; indefeasible "that principle is an essential, inalienable part of having ownership"

The Calamity Package for Zamboanga

The SSS Calamity Package for Zambo is the same as that offered to the Habagat-affected areas -
So this is the -

Salary Loan Early Renewal program and the lifting of the suspension of salary loan privileges for those who attempted to have their loans condoned but wasnt able to abide by the terms

3-month advanced pension

real estate loan arrangements

the SSS habagat response

... and the response is the same as previous

although the details arent formal yet, it seems this is the package ...........
remember, to avail --- you have to be in a calamity declared area by the agency in charge

loans are immediately renewable, even if you only get a few centavos
in this case ------ i agree with a lady there in SSS who said that SSS should have just retained the previous stipulation of having at least a balance of 1K

real estate loans are eased ..

3 months pension is advanced

the gsis response is the same as previously discussed
20k at 6% interest, 36 months to pay, renewable in one year, loan thru waps

Did you apply for loan condonation that ended last Sept 2012?

good if you were able to catch the deadline for the loan condonation.

this is to remind those who availed that defaulting on the loan for 2 months has its consequences, 2 of them major:
1. your entire loan becomes due and demandable
2. permanent suspension of your loan privileges

there are other consequences - but these 2 are rather tough

so DO NOT default on your monthly amortization.  you do not want to lose your member loan privileges.


this is also to remind you that if you are a registered online member, the Statement of Account that you will see does not accurately reflect that the loan is already due and demandable right after 2 months non-payment

comment if you have questions

New SSS Salary Loan

Of course everyone is aware of the new salary loan scheme

it is very simple.

the maximum loan is 30,000 thousand pesos.  this is the grant when a member opts to loan two months and has been paying the maximum salary credit (current maximum is 15,000) for the last twelve months.

here's the actual computation.  the amount is twice the average monthly salary credit over .... the last 12 posted monthly contributions.  i have to clarify this statement as i already talked to several people with conflicting thoughts on this particular provision.  however, if you have been paying regularly, without skips, then just average it, multiply by 2 - that's your maximum.

examples:

(1)  you have contributions for jan-june 2012 with an MSC of 10,000 pesos, then transferred jobs and then you had contributions for MSC = 12,000 for july-dec 2012.  you intend to apply a loan this january. your average MSC = 11,000

so your maximum loan = 22,000.00

(2)  you have contributions for oct 2011-march 2012 at 12,000 MSC
then you transfer jobs, but there is a gap of 3 months
your contributions begin again july-dec 2012 at the maximum 15,000.

your AMSC for the last posted 12 months is then 13,500.  so the maximum than can be loaned would be
13,500 times 2 = 27,000.00

updated for the example

UPDATED FOR READERS WHO DO NOT READ ALL THE POSTS ON SALARY LOAN
ONLY THOSE WITH 72 CONTRIBUTIONS OR MORE CAN AVAIL OF 2 MONTHS LOAN

Financial Assistance from the SSS - due to Pablo

Last December SSS released financial assistance news for those who suffered from typhoon Pablo - that is those whose place of residence OR work are in the following areas => Region IV-B (Mimaropa), Region VII (Central Visayas), Region X (Northern Mindanao), Region XI (Davao Region), Region XIII (Caraga), and all other regions as declared by NDRRMC.

the assistance is in the form of an advanced 3month pension for pensioners and SLERP (Salary Loan Early Renewal Program) for actively paying members, and reduction of loan interest for house repair and improvement loan by 2%.

Availment period for Advance 3-month pension - 31 January 2013 ONLY

          note that only the SSS pension will be advanced for those receiving EC pensions also

Availment period for SLERP ---  until 31 March 2013 ONLY

Availment period for the reduction of interest rate for housing repair - 30 December 2013

Forms are the same.  click on loans to get info or comment for questions

Comments on HTT's Friday column on Retire-the-SSS-Loan Program

wasnt able to post this last Friday or the weekend because i had a bit of a to-do last Friday, which carried over my weekend.  anyways, here it is.

HTT proposes to retire the sss loan program. The basis being that it is a difficult program to administer,  with too many members not paying, thinking they would just wait for the loan to be deducted from their retirement benefits, forgetting that the interest and penalties will continue.  

*sigh*  if only people will pay. still since the first condonation, people think SSS will keep condoning the loans.  I think SSS will NOT. not anymore. so, if people will pay, and pay regularly, then SSS need not retire this option.   some people need money quick, and SSS does grant loans quickly - for good payers.

i for one, want SSS to continue giving out loans.  sometimes, people need money now, and cant wait for retirement.

Click here to read HTT's column on Retire-the-sss-loan-program

On the SSS Loans Recent "Fracas" ... addendum - CHeck out HTT's column

As an SSS member, i read with Spockian eyebrow about the recent lambasting of the SSS due to the salary loan interest computation.

What is all this fuss?  Dont you check what you have to pay before you take out a loan?  Or do you blindly sign for a loan? if the member checked it out, then that means he agreed to the loan, with all its ramifications, yes? do i hear a no?

Have you read about it?  Does it bother you as a member?  Most members use it when they need funds immediately and it is usually only the actively employed who pays their loans.  No surprise there as the employer deducts the amortization from one's income.the rest of the members forget they have loans.

everyone i discuss sss with, i say, dont forget to pay your loan.  if you cant pay in bulk, then pay what you can as regularly as you can.

do a Sinatra (i listen to oldies but goodies), that is "regrets, i have a few" only.

HTT's take on the loans ... vs pensions

The SSS salary loan

requirements:

if you, the member - are the one filing - please bring your SSS-ID/UMID or otherwise bring 2 IDs 

eligibility -
for 1 month salary loan - 36 monthly contributions, 6 of which would have been in paid in the last 12 months prior to the loan, and for 2 months salary loan , member must have paid 72 contributions, with the same proviso.


if employed, employer must have an up-to-date SL-501 card.

So kung kayo mismo ang mag-aaply ng salary loan, eh dalhin nyo ang inyong SSS-ID/UMID o kaya dalawang ID na may retrato. Mas madali kung actibo kayong membro.

 here are the forms:

 


Click here for the editable L-501

Click here for the regular printed L-501


Salary loan form (back-to-back)

Click here for the edit/able SL-101

Click here for the normal printed ISL-101.pdf

Per Circular 2012-11

Salary loans may be renewed upon payment of 50% of the loan, or when 50% of the loan term has passed, which ever is later. 

maximum amount is 24,000 and subject to interest and penalties.

note:  there is another form for the SLERP. 

the link for all the downloadable forms for SSS
click here for all the downloadable forms