Baguio City– The Social Security System (SSS) Luzon North 1 Division released P76.27 million worth of pension loans to more than 2,400 borrowers since its implementation on September 6, 2018.
The highest amount of pension loan releases were recorded in SSS Baguio with P36.87 million; followed by SSS La Union with P15.5 million; SSS Laoag with P7.1 million; SSS Agoo with P5.16 million; SSS Vigan with P4.47 million; SSS Candon with P3.61 million; SSS Bangued with P2.63 million, and SSS Bontoc with a disbursement of P1.12 million.
Almost half of the borrowers were located under the jurisdiction of SSS Baguio with 1,102 pensioners. This was followed by SSS La Union with 502 pensioners; SSS Laoag with 241 pensioners; SSS Agoo with 181 pensioners; SSS Vigan with 153 pensioners; SSS Candon with 134 pensioners; SSS Bangued with 111 pensioners; and SSS Bontoc with 37 pensioners.
SSS Vice President for Luzon North 1 Division Ceasar P. Saludo said that retiree-pensioners in the region were encouraged to avail of the program because it offers fair interest rates and flexible payment schemes for pensioners.
“We understand the plight of our retirees which is the primary reason why we offer this kind of program to help them with their immediate and short-term financial needs. As much as possible, we don’t want them to become victims of private loan sharks who also gets their ATM cards or passbooks as collaterals,” Saludo said.
Under the Enhanced SSS Pension Loan Program, SSS retiree-pensioners may apply for a loan, equivalent to their three-month, six-month, nine-month, and 12-month basic monthly pension (BMP) plus the P1,000 additional benefit. This is payable in six, 12 and 24 months.
“SSS will only deduct the first monthly amortization on the second month after loan was granted. Also, this will only incur an annual interest rate of 10% until fully paid which is computed on a diminishing principal balance, and shall become part of the monthly amortization,” added Saludo.
PLP is covered with Credit Life Insurance (CLI) which guarantees full payment of the loan in case of untimely death of the pensioner-borrower before the loan is fully paid. SSS also stretched the age of applicants up to 85 years old at the end of the loan term. They must be actively receiving their month pension for at least a month to qualify.
However, pensioners with outstanding loan balance and benefit overpayments under the Loan Restructuring Program and Calamity Loan Assistance Package are not qualified to avail of the pension loan.
“Interested borrowers may visit any of our nine branches in Northern Luzon if they want to avail of the program. We also have special counters for our retirees who wish to apply for the PLP,” Saludo concluded.
Documentary requirements for PLP to be submitted are the application form which is available at any SSS branches and downloadable at the SSS website www.sss.gov.ph and the applicant’s SSS Unified Multi-Purpose ID or UMID. In absence of UMID, other supporting identification cards are also accepted. These are Alien Certificate of Registration issued by Bureau of Immigration; Driver’s License issued by Land Transportation Office; Firearm Registration, License to Own and Process Firearms, and Permit to Carry Firearms Outside of Residence from the Philippine National Police (PMP); National Bureau of Investigation (NBI) Clearance; Passport; Postal Identity Card, Seafarer’s Identification and Record Book (Seaman’s Book) or Voter’s ID Card.**