The Government Service Insurance System will launch today a loan facility that offers low interest, enhanced loan consolidation feature, longer payment term, and one-time waiver of surcharges on all due and demandable GSIS loan accounts of its members, except housing and policy loan.
Dubbed the GSIS Multipurpose Loan (GSIS MPL), it gives borrowers an additional credit line that will help them consolidate and pay their outstanding loan balances. With the implementation of GSIS MPL, the Enhanced Conso-loan Plus will be phased out, a press release from the agency said.
All members with Conso-loan applications that have not been approved by the concerned Agency Authorized Officers (AAOs) as of Sept. 30, 2020 will be advised to reapply for GSIS MPL.
“GSIS MPL offers our members affordable payment terms, especially those who have reached their borrowing limit and have been unable to pay their loans,” GSIS president and general manager, Rolando Ledesma Macasaet, said.
Under the MPL, borrowers may apply for up to 14 times their basic monthly salary but not to exceed P3 million. First-time availees will enjoy waived surcharges on their outstanding loan balance.
Macasaet said the MPL prevents penalties incurred by members for unpaid GSIS loans from ballooning and eating up their retirement and other benefits.
Qualified to apply for MPL are active and special GSIS members who have paid at least three months of premiums, are not on leave of absence without pay, have no pending administrative or criminal case, have no arrears under the GSIS Financial Assistance Loan or housing loan, and are working in agencies with existing memorandum of agreement (MOA) with GSIS.
In addition, they must not be tagged as suspended by their respective agencies and have a net take-home pay not lower than the amount required under the General Appropriations Act after all monthly obligations have been deducted. Their agency must not also be on suspended status.
“We urge government agencies to forge a memorandum of agreement with GSIS so that their employees may enjoy MPL’s benefits in no time,” Macasaet said.
GSIS service loans that may be paid through MPL include salary loan, restructured salary loan, enhanced salary loan, emergency loan assistance, summer one-month salary loan, conso-loan plus or enhanced conso-loan plus, member’s cash advance, ecard cash advance, or ecard plus cash advance, emergency loan, home emergency loan program, education assistance loan I and II, fly PAL, pay later, study now, pay later, and stock purchase loan.
Not included in the program are the GSIS housing and policy loans.
MPL’s interest rate is 7 percent per annum computed in advance for members who have at least three years of paid premium. For members whose paid premiums is less than three years and for special members with at least three months of total length of service, MPL’s interest rate is at 8 percent per annum computed in advance.
MPL is payable in monthly installments from two to seven years depending on a member’s PPP and status of employment. Those with HELP accounts that are consolidated under MPL may pay the loan up to 10 years. Payments will be automatically deducted from the borrower’s salary.
Members may apply for MPL over-the-counter at all GSIS branches and extension offices nationwide or through the dropbox located in all branches nationwide, email to the GSIS handling branch, Electronic GSIS Members Online (eGSISMO), the web-based facility of GSIS, and GSIS Wireless Automated Processing System (GW@PS) kiosk for those in the GSIS head office.
MPL proceeds will be directly credited to the borrower’s GSIS electronic card (eCard) or unified multipurpose identification (UMID) card.
For more details, those interested may visit http://www.gsis.gov.ph, @gsis.ph, email firstname.lastname@example.org, or call 8847-4747 if in Metro Manila, 1-800-8-847-4747 for Globe and TM subscribers, and 1-800-10-847-4747 for Smart, Sun, and Talk ‘N Text subscribers.*PNA/PR
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