One of the features in the SSS Mobile app is the Salary Loan Application. Using the my.SSS account credentials, you can login to the SSS mobile app and apply for a salary loan. All employed and currently contributing self-employed or voluntary members may apply for this loan, but must meet the eligibility requirements first.
To determine if you are eligible to apply for the salary loan, here are the eligibility requirements:
1. For a one-month salary loan, the member-borrower must have thirty-six (36) posted monthly contributions, six (6) of which should be within the last twelve (12) months prior to the month of filing of application.
2. For a two-month salary loan, the member-borrower must have seventy-two (72) posted monthly contributions, six (6) of which should be within the last twelve (12) months prior to the month of filing of application.
3. The employer of the employed member-borrower must be updated in the payment of contribution and loan remittances.
4. The member-borrower must:
- have not been granted any final benefit (i.e., total permanent disability, retirement, and/or death benefits)
- be under sixty-five (65) years of age at the time of application for loan
- have not been disqualified due to fraud committed against the SSS
Not registered in My.SSS yet?
Here’s is the quick guide on how to register your SSS account online.
No SSS Mobile app yet?
Terms and Conditions about the SSS Salary Loan
All employed and currently contributing self-employed or voluntary members applying for salary loan must meet the following eligibility requirements:
1. For a one-month salary loan, the member-borrower must have thirty-six (36) posted monthly contributions, six (6) of which should be within the last twelve (12) months prior to the month of filing of application.
2. For a two-month salary loan, the member-borrower must have seventy-two (72) posted monthly contributions, six (6) of which should be within the last twelve (12) months prior to the month of filing of application.
3. The employer of the employed member-borrower must be updated in the payment of contribution and loan remittances.
4. The member-borrower must:
– have not been granted any final benefit (i.e., total permanent disability, retirement, and/or death benefits)
– be under sixty-five (65) years of age at the time of application for loan
– have not been disqualified due to fraud committed against the SSS
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Online filing of salary loan application thru the SSS website (My.SSS facility) or thru the SSS mobile application except for Educational Assistance Loan Program (EALP), Calamity Loan Assistance Program (CLAP), and Emergency Loan Assistance Program (ELAP) which may still be filed over the counter (OTC) at SSS Branches due to additional documentary requirements.
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1. A one-month salary loan is equivalent to the average of the member-borrower’s 12 latest posted Monthly Salary Credits (MSCs), rounded to the next higher MSC, or amount applied for, whichever is lower.
2. A two-month salary loan is equivalent to twice the average of the member-borrower’s 12 latest posted MSCs, rounded to the next higher MSC, or amount applied for, whichever is lower.
3. The net amount of the loan shall be the approved loan amount less service fee, pro-rated interest, and outstanding balance of previous short-term member loans, if any.
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1. The loan shall be payable within two (2) years in 24 equal monthly amortizations.
2. The loan amortization shall start on the 2nd month following the date of the approval of the loan.
3. Payment deadline shall be on or before the last day of the month following the applicable month.
4. In case the payment deadline falls on a Saturday, Sunday or holiday, payment may be made on the next working day.
5. Payment shall be made at any SSS branch office with automated tellering system, SSS-accredited bank or SSS-authorized payment center.
6. Mandatory use of Payment Reference Number (PRN) for loan payments.
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1. The loan shall be charged an interest rate of 10% per annum until fully paid, computed on a diminishing principal balance, and shall be amortized over a period of 24 months.
2. Pro-rated interest from the date of loan granting up to the end of the month prior to first amortization month shall be deducted in advance from the loan proceeds.
3. Any excess in the amortization payment shall be applied to the outstanding principal balance.
4. Loan amortization not remitted on due date shall bear a penalty of 1% per month. A delay of a fraction of a month shall be charged a full month penalty.
5. Aggregate unpaid obligation equivalent to more than six (6) monthly amortizations shall result to loan default. The full balance of a defaulted loan shall become due and demandable. A defaulted account is subject to 10% interest per annum charged on the outstanding principal balance and 1% penalty per month on unpaid principal and interest until fully paid.
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A service fee of 1% of the loan amount shall be charged and deducted from the proceeds of the loan.
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1. Renewal of loan shall be allowed after payment of at least 50% of the original principal amount and when at least 12 months has lapsed.
2. Proceeds of renewed loan may be any amount greater than or equal to zero, provided that the outstanding balance on the previous loan has been deducted.
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1. The employer shall be responsible for the collection through payroll deduction and remittance to the SSS of the amortization due the employed member-borrower’s salary loan.
2. In case the employed member-borrower is separated voluntarily (e.g., retirement or resignation) or involuntarily (e.g., termination of employment or cessation of operations of the company) from the company, the employer shall deduct the total balance of the loan from any benefit/s due the employee and shall remit the same in full to SSS.
3. The employer shall report to the SSS the effective date of separation from the company and the unpaid loan balance of the employed member-borrower, if the benefit/s due the employed member-borrower is/are insufficient to fully repay his/her loan.
4. The employer shall require a new employee to secure from the SSS an updated statement of his/her account, deduct from his/her salary the amortization due and remit the payment to SSS.
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A member-borrower who transfers employment shall secure from the SSS and submit to his/her new employer an updated statement of account of any outstanding loan balance with SSS and allow his/her employer to deduct from his/her salary the corresponding amortization due, including any interest/or penalty for late remittance.
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In case the member fails to immediately pay the outstanding balance, the arrearages/unpaid loan, as well as the interest and penalty thereon, shall be deducted from the benefits being claimed by the member, as follows:
• For employed member – final benefits (total disability/retirement/death)
• For self-employed/voluntary member – short-term benefits (Sickness/Maternity/Partial Disability) or final benefits (total disability/retirement/death)
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1. Any overpayment on a previous loan shall be subject to validation of SSS, and if valid, shall be applied to the active loan, if any. If there is no active loan, it shall be refunded to the member-borrower upon his/her request.
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Step-by-Step Salary Loan Online Application
3 Under LOANS tab, press Apply icon to start the process.
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NOTE: To proceed to the next step, you must enroll a disbursement account first. This account will be used to transfer the amount of your loan. Here is a guide on how to enroll a bank account to your SSS online account:
4 Once your disbursement account has been activated, you can now continue your loan application. It will display the Disbursement Account and the maximum loanable amount, but you have the option to change it with lower amounts.Â
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Then, tick (✓) the box to agree with the Terms and Conditions and press ACCEPT button.
And tap the PROCEEDÂ button for the next step.
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4 A detailed PDF file of Disclosure Statement on Loan Transaction will be generated as per your selected loan amount. It will show the loan amount, service fee, schedule of payments, effective interest rate, and conditional charges that may be imposed.Â
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Remember that you will only receive Net Proceeds and not the full loan amount (service fee deducted).Â
Then, click the SUBMIT button to send your loan application.
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5 Wait for notifications from SSS via email or SMS for further instructions and once your SSS salary loan has been approved.
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For more information about SSS, visit the SSS website or follow SSS Official Facebook page.
Hello, everyone! I’m Ali Chavez, the admin and creator of the Online Quick Guide blog website. I’ve been an OFW for 15 years now, working in the Middle East. I’m an Electronics Engineer by profession and obtained a Diploma in Computer Science. I created this blog to help everyone, particularly OFWs like me, maximize the use of available online services and applications. These e-services, offered by government agencies, and online banking and mobile apps provide us with easy access and convenience. I hope each tutorial will guide you in using these online services to your advantage.
My gcash account has been activated however I can’t proceed applying for a salary loan on the app and still says I need to enroll disbursement account.
Hi, you must enroll your GCash first in your SSS online account under Disbursement. Here is a guide to enroll GCash and other e-wallet account in SSS, https://onlinequickguide.com/enroll-e-wallet-account-in-sss-account/