GSIS readies emergency loan for members, pensioners in quake-hit areas

State-run pension fund Government Service Insurance System (GSIS) on Wednesday said it will grant an emergency loan to assist members and pensioners affected by the magnitude 7 earthquake that hit Abra and was felt in many areas in Luzon, including Metro Manila.

“We will ensure that our members and pensioners will receive financial assistance, through our emergency loan, to tide them over during the crisis. We are also in touch with all public entities affected by the earthquake to check if there are damaged government properties that may claim insurance from GSIS,” GSIS president and general manager Wick Veloso said in a statement.

Veloso said the GSIS has allocated P5.4 billion for the emergency loan program this year.

He said that GSIS members who have an existing emergency loan balance may borrow up to P40,000 to pay off their previous emergency loan balance and still receive a maximum net amount of P20,000.

Meanwhile, those without an existing emergency loan may apply for P20,000. Pensioners may also apply for a P20,000 loan.

Active members residing or working, as well as old-age and disability pensioners residing in affected areas in Northern Luzon may apply for the loan after these have been declared under a state of calamity, according to the GSIS chief.

The GSIS emergency loan is payable in 36 equal monthly installments at 6% interest rate computed in advance.

It is also covered by a loan redemption insurance, which deems the loan fully paid in case of the borrower’s demise, provided that loan payment is up to date.

Veloso said those qualified to apply are members who are in active service and not on leave of absence without pay; have at least three months of paid premiums within the last six months; have no pending administrative or criminal case; and have a net take-home pay of not lower than P5,000 after all required monthly obligations have been deducted. 

According to PHIVOLCS, the quake — earlier reported as magnitude 7.3 — occurred at 8:43 a.m. and was located at 17.64°N, 120.63°E - 003 km N 45° W of Tayum in Abra. It had a depth of 17 kilometers.

The quake was felt strongly in many areas in Luzon, including in Metro Manila.

The Department of the Interior and Local Government said four people were reported killed and 60 others hurt by the earthquake. — RSJ, GMA News