Recently, SSS had announced the new loan restructuring program offered by the Social Security System. The program with penalty condonation will be available from April 2 to October 1, 2018.
According to the Chief Executive and SSS President Emmanuel F. Dooc, the re-implementation of the loan restructuring program will cater those borrowers who were unable to avail the LRP offered in April 2016 to April 2017.
Advantages of availing the new Loan Restructuring Program or LRP
- Borrowers who were unable to settle their long overdue SSS loan will have a chance to pay without the penalty. The good thing is that the borrower can opt to pay the loan in full or by installment depending on their capability to pay.
- The interest and penalties of the outstanding loan will stop and no longer incur. But, you should pay diligently on the agreed schedule of amount according to the restructured loan program, otherwise the interest and penalty will again continue.
- The penalties will be put aside, thus the total loan amount to pay become smaller.
- SSS members who will soon retire, but with outstanding loan should avail this loan condonation program so that it will not be deducted from the SSS retirement benefit. Borrowers can’t do away with the loan payment because it will be deducted from their final benefit such as total permanent disability, retirement, and d***h.
The loan condonation program offered by the SSS isn’t only beneficial to the borrower-members but also to the other members. In fact, the fund generated during the LRP conducted in April 2016 had benefited thousands of individual member-borrowers and pensioners.
Through this LRP, borrowers can clean up the outstanding loan balance and eventually regain the good standing with the SSS. After paying the loan, the member can again apply for a new loan. The new LRP will run within six months and it is expected to generate about Php1.2 billion.
Who Are Eligible to Apply for Loan Restructuring Program?
- All member-borrowers who have past due Calamity Loans or Salary Loan Early Renewal Program (SLERP);
- Member-borrowers with past due short-term loans living or working in calamity/disaster-stricken areas as declared by the National Disaster Risk Reduction and Management Council (NDRRMC) or in the case of Ondoy, by the National Government.
Covered short-term loan programs are as follows:
- Salary Loan
- Emergency Loan
- Educational Loan (old)
- Study Now Pay Later Plan
- Voc Tech Loans
- Y2K Loans
- Investments Incentive Loan
Availment Period of SSS Loan Restructuring Program
April 2, 2018 – October 1, 2018 (Six months Period).
How to Apply SSS Loan Restructuring Program
- Secure updated Statement of Loan Balance for Loan Restructuring Program (2 copies) from the nearest submission of this form.
- Accomplish an Affidavit of Residency attesting residence/work address in a covered calamity area when the calamity/disaster happened. Member-borrower with Calamity Loan or Salary Loan Early Renewal Program (SLERP) and D***h Benefit filer need not accomplish an Affidavit of Residency.
- Fill out the Loan Restructuring Application Form (MEL-01368) in one copy.
- If member-borrower is personally applying for the restructuring, present original copy of valid identification cards/documents.
- If a representative is filling for the restructuring program, submit the following:
- Letter of Authority– original copy
- Photocopies of two (2) valid identification cards each of the member-borrower and the filer, at least one (1) with photo and both with signature. Present both original copies of the identification.
- Submit the form to the nearest SSS branch or Foreign Office with the Statement of Loan Balance for Loan Restructuring Program signed in the “Conforme” portion and the notarized Affidavit of Residency (if applicable).
- For the D***h, Total Disability or Retirement (DDR) filer who will avail of the Loan Restructuring program, submit this Loan Restructuring Application form, Statement of Loan Balances for Loan Restructuring program together with the DDR claim application.
Required Forms for SSS condonation program
Click link to open or download the form.
- SSS Loan Restructuring Program – Application Form
- Statement of Loan Balance (to be issued by the SSS Branch)
- Affidavit of Residency
- Letter of Authority
You may also check the other SSS benefits you may get.