member loans
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7/23/2019 Member Loans
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MEMBER LOANS
SALARY LOAN
The Social Security Commission under Resolution No. 31!s."#1" dated 1$ A%ril "#1"&
a%%ro'ed the amendments on the e(istin) )uidelines o* the SSS Short!Term Mem+er Loans.
,hat is a salary loan-
t is a %ri'ile)e )ranted +y SSS to co'ered em%loyees to meet the mem+er/s short!term
credit needs.
,ho may 0uali*y *or a salary loan-All currently em%loyed& currently contri+utin) sel*!em%loyed or 'oluntary mem+er.
or one!month loan& the mem+er!+orro2er must ha'e 3 %osted monthly contri+utions& si(
4 o* 2hich should +e 2ithin the last t2el'e 1"4 months %rior to the month o* 5lin) o*
a%%lication.
or t2o!months loan& the mem+er!+orro2er must ha'e 6" %osted monthly contri+utions& si(
4 o* 2hich should +e 2ithin the last t2el'e 1"4 months %rior to the month o* 5lin) o*
a%%lication.
The mem+er!+orro2er 2hose em%loyer must +e u%dated in the %ayment o* contri+utions.
The mem+er!+orro2er must +e under si(ty 5'e 74 years o* a)e at the time o* a%%lication.
The mem+er!+orro2er has not +een )ranted 5nal +ene5t total %ermanent disa+ility&
retirement and death4.
The mem+er!+orro2er has not +een dis0uali5ed due to *raud committed a)ainst the SSS.
8o2 much is the loana+le amount-
A one!month salary loan is e0ui'alent to the a'era)e o* the mem+er!+orro2er/s latest
%osted 1" Monthly Salary Credits MSCs4& or amount a%%lied *or& 2hiche'er is lo2er.
A t2o!month salary loan is e0ui'alent to t2ice the a'era)e o* the mem+er!+orro2er/s latest
%osted 1" Monthly Salary Credits MSCs4& rounded to the ne(t hi)her monthly salary credit&
or amount a%%lied *or& 2hiche'er is lo2er.
The net amount o* the loan shall +e the di9erence +et2een the a%%ro'ed loan amount and
all outstandin) +alance o* short!term mem+er loans.
8o2 lon) 2ill it ta:e the mem+er to %ay +ac: the loan-
The one!month or t2o!month salary loan shall +e %aya+le in "; monthly installment to start
on the "nd month *ollo2in) the date o* the loan& 2hich is due on or +e*ore the %ayment
deadline *or loans %er Circular No. "#11!##3.
8o2 much is the interest char)ed on a salary loan-
The loan shall +e char)ed an interest rate o* 1#< %er annum& +ased on diminishin) %rinci%al
+alance& and shall +e amorti=ed o'er a %eriod o* "; months. * the loan is not *ully %aid at
the end o* the term& interest o* 1#< shall continue to +e char)ed on the outstandin)
%rinci%al +alance until *ully %aid.
Any e(cess in the amorti=ation %ayment shall +e a%%lied to the outstandin) %rinci%al
+alance.
n case a loan is not %aid& ho2 much is the delin0uency interest-
Loan amorti=ation not remitted on due date shall +ear a %enalty o* 1< %er month until *ully
%aid.
s there a ser'ice *ee-
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Yes. A ser'ice *ee o* 1< o* the loan amount shall +e char)ed and deducted *rom the
%roceeds o* the loan.