EXPLAINER: How to avail of SSS calamity loan? 

Several Filipinos have been affected by the continuous rains brought by the Southwest Monsoon or Habagat. Adding to the burden of many are the recent onslaught of tropical cyclones Luis, Maymay, and Neneng.

Social Security System (SSS) members, particularly those who are residing or working in areas that declared a state of calamity, may avail of a calamity loan.

How to avail of a calamity loan from SSS?

First, here are the conditions needed in order to qualify:

• Must have at least 36 monthly contributions, six of which must be posted within the last 12 months before the month of filing of application.
• Must have at least six posted monthly contributions under the current membership type before the month of loan application for individually paying members such as self-employed, voluntary, and land-based Overseas Filipino Worker members.
• Living or residing in a declared calamity area
• Must have no final benefit claim such as permanent total disability or retirement
• Must have no past due SSS short-term member loans
• Must have no outstanding restructured or calamity loan
• If employed, must be certified by the employer via My.SSS facility online for the loan application

Under the calamity loan program, the loan amount is equivalent to the average of the member’s 12 latest posted monthly salary credit (MSCs), under the Regular SS Program, rounded to the next higher MSC, or amount applied for, whichever is lower.

The loan is payable in 24 months or two years with an interest rate of up to 10%.

The payment deadline is on or before the last day of the month.

Applications for the loan program can be filed by accessing one's My.SSS account on SSS official website or via MySSS mobile application.

However, the SSS warned that unpaid calamity loans maybe deducted from any applicable benefits of the member or their beneficiaries.

"If the loan remains wholly or partly unpaid upon its maturity, the SSS is authorized to collect, deduct, or withhold its outstanding balance, inclusive of interest and penalties, from whatever benefit that may be due to the member or their beneficiaries," the SSS said.

"In the event that the member or their beneficiaries are filing the final benefit claim application (e.g., permanent total disability, retirement, death), the outstanding balance of the loan, including interest and penalties, shall be deducted from the final benefit proceeds," it added. — RSJ, GMA News