It is not surprising that most of us experience financial gap especially when the salary is just a week or a few days more ahead. When you thought everything will go according to the budget, something will come up to ruin it.
Or perhaps you were unable to save enough cash for your child’s christening, tuition fee or back-to-school supplies. There are various reasons why we go on short term financial difficulty, that’s why we turn to salary loans.
There are government loans which might help you out. If you are an active member of Social Security System, then you might be familiar with the SSS Salary Loan. How do you apply for it?
SSS Loan Requirements
You must be an active member of SSS who may be employed, self-employed or voluntary member. You have to be younger than 65 years old and has never had any fraud related issues against the SSS.
If you need a one-month loan, make sure you have at least 36 monthly contributions. At least six has been contributed for the last 12 month. The two-month loan requires 72 monthly contributions. If you are a new member are you haven’t reached the required number of monthly contributions, you are not eligible for the famous SSS loan.
How to Apply for SSS Salary Loan
You can apply in various ways.
- Fill out a Member Loan Application form and submit it together with two valid IDs to the nearest SSS branch.
- If an authorized representative will file for you, make sure to have a Letter of Authority (LOA) apart from two valid IDs.
- Your employer can also file for you. Your employer must have a Letter of Authority (LOA).
- OFW members can also apply for a salary loan through the SSS Foreign Representative Offices in selected countries. If there is no SSS Foreign Representative Offices in the country you are working in, your relatives can file for you given that they have your proper documents certified by the Philippine Consulate Embassy.
SSS Salary Loan Computation
You can borrow a maximum amount of P15,000 for a one-month loan. The highest amount you can borrow for two-month salary is P30,000. However, the actual loanable amount will depend on the average amount you have been paying as your monthly contribution for the last 12 month.
SSS Salary Loan Online
- Make sure you have signed up online. Remember your username and password
- After the registration confirmation, log in to your SSS online account.
- On the “Main Menu” tab, move the mouse to “Transaction.” Select Salary Loan Application.
- Choose the amount you want to borrow.
- Click “Proceed.”
- Click “View Loan Disclosure Statement” to see the loan details. After checking if the details are right, click “Submit” button.
- Wait for approval. The process will take two to three weeks.
Salary Loan Renewal
You will be allowed for a Salary Loan Renewal only if you are able to [ay 50% of the loan principal amount and at least 50% of the loan term has passed by. Any amount may be requested as long as the remaining amount of the first or current loan can be deducted from it.
Salary Loan Payment Inquiry
You have to check your loan balance especially if you are employed. This is to be sure that your employer is able to remit your SSS loan payment every month. Remember that there are late payment charges for unpaid monthly amortization. Delayed loan repayments lead to accumulation of penalties and interest.
Alternative for SSS Salary Loan
If you are not eligible for the SSS Salary Loan, you can apply for an online salary loan in Cash Mart. Cash Mart only requires documents such as a company ID, government-issued ID (preferably Driver’s License), proof of billing and proof of income (payslip/ bank statement).