GSIS offers enhanced pension loan for old-age pensioners

Published November 30, 2021, 4:54 PM

by Dhel Nazario

The Government Service Insurance System (GSIS) announced on Tuesday, Nov. 30 that their improved pension loan can now be availed by old-age pensioners.


“Ang GSIS enhanced pension loan ay ang dating GSIS pension loan na pinaganda ang features upang mas matugunan ang pinansyal na pangangailangan ng old-age pensioners natin (The GSIS enhanced pension loan is the old GSIS pension loan with improved features to assist in the financial needs of old-age pensioners),” GSIS operations group vice president Vilma Fuentes said during a Laging Handa press briefing.

She said that the agency increased its former credit limit of P100,000 to P500,000 for 65 years old and above. Qualified old-age pensioners may apply for the loan that is equivalent to up to six times their basic monthly pension but does not exceed P500,000.

She added that the GSIS enhanced pension loan has an interest rate of 10 percent per annum and is payable ng 24 equal monthly installments to be deducted from the monthly pension.

Old-age pensioners who have been accepting their pensions for at least a month or more may apply for the loan. Fuentes also mentioned that they must not have any outstanding loans under the Choice of Loan Amortization Schedule for Pensioners (CLASP)

“Kasi ‘pag nagretire ang ating mga members sa GSIS at may utang pa we offer them the CLASP na pwede rin nilang bayaran in 2-3 years. ‘Pag meron pa kayong existing CLASP di pa kayo qualified mag avail ng pension loan (Because our GSIS members when they retire and still have debts to pay, we offer them the CLASP which they can pay for 2 to 3 years. If they have an existing CLASP they are not qualified to avail the pension loan),” she explained.

Fuentes added that those who may want to apply must not be part of the Program for Restructuring and Repayment of Debts (PRRD) on the date of their application. She said that once they have settled it, they may renew.

After applying for the loan, Fuentes said that this will result in a net monthly pension not lower than 25 percent of their basic monthly pension once their loan has been deducted.

“Kasi kailangan may net pension pa rin ang ating pensioners kahit umuutang sila sa GSIS (Because our pensioners should still have a net pension despite borrowing from the GSIS),” she said.

Old-age pensioners may apply over the counter or through dropboxes in GSIS offices nationwide. They may also apply through eGSISMO or via email through the handling branch.

pwedeng mag-apply over the counter ang ating mga pensionnaire or through the drop boxes in GSIS offices nationwide. Once the agency rolls out its app next year, Fuentes said that application may also be available there.