Retiree-pensioners can now file their applications for the pension loan program online after state-run Social Security System (SSS) included the new facility on its website for a more convenient way of filing amid the pandemic.
"Through the SSS’ continuous digitalization efforts, the pension loan program was made available online last September 15. Qualified retiree-pensioners can easily apply for the program without visiting our branches, which is either difficult or restricted, particularly for senior citizens, because of the COVID-19 situation," SSS President and CEO Aurora Ignacio said in a statement.
Ignacio said the new facility can be used by qualified retiree-pensioners who should also have a registered My.SSS web accounts, current and active mobile numbers, and disbursement accounts which may be a valid SSS Unified Multi-Purpose Identification card enrolled as an ATM card or an SSS-issued Union Bank of the Philippines Quick Card.
To file for an application online, a retiree-pensioner must log in to the My.SSS account, proceed to the E-Services tab, click "Apply for Pension Loan," choose the preferred loan amount and term, agree to the terms and conditions of the program, and print or download the PDF copy of the Disclosure Statement.
A confirmation on the application will be sent through email, then pension loan proceeds will be credited to the disbursement account within five working days.
Under the program, retiree-pensioners may opt to avail of a loan of three, six, nine, or 12 times their basic monthly pensions (BMP) plus the P1,000 additional benefit granted in 2017, but not exceeding the maximum amount of P200,000, Ignacio added.
To qualify for the pension loan program, the SSS official said that the retiree-pensioner must be "85 years of age or below at the end of the month of his/her preferred loan term; must have no deductions, such as outstanding loan balance, benefit overpayment payable to the SSS, etc. from his/her monthly pension; must have no existing advance pension under the SSS Calamity Assistance Package; and must be receiving his/her regular monthly pension for at least one month and his/her status of pension is active."
"A good thing about the PLP is that borrowers' monthly pensions are not entirely collected for amortizations. We make sure that retiree-pensioners, in their chosen pension loan amount and term, still have a net take-home pension of at least 47.25 percent of their BMP including the additional P1,000 benefit," Ignacio said.
The pension loan program was launched by SSS in September 2018 to help retiree-pensioners with their short-term financial needs through a low-interest loan.
The SSS said it has already released 143,799 pension loans amounting to P5.27 billion as of August 31 this year.