With the extension of the enhanced community quarantine (ECQ) until the end of the month, Filipino workers and employees grew more worried. The quarantine started back around the 16th or the 17th of March and it was supposedly due on the 15th of April; it was then extended because no cure has been set out yet.
Due to this, several government agencies contributed in providing the Filipino community with financial programs. For one, the Department of Labor and Employment (DOLE) set out to provide salary subsidies to formal sector workers in the private sector. The provided P5K of cash subsidy.
Moreover, the Department of Social Welfare and Development (DSWD) offered a social amelioration program (SAP) to poor families. Originally, they were set to provide at least 18 million households.
The SSS COVID-19 Calamity Loan Program
With this, the Social Security System (SSS) said that they will be providing an SSS COVID-19 calamity loan program due to the COVID-19 pandemic.
SSS Vice President for Public Affairs and Special Events, Fernando F. Nicolas, said that the SSS would be setting out a nationwide calamity loan program.
How much could members borrow?
As per him, SSS members have the chance to borrow up to P20,000; or it could be equivalent to one month-worth of salary. This calamity loan is something that people can use for all their financial needs.
The budget that they’ve had for the SSS COVID-19 calamity loan program would be some P20.4 billion. This will be able to accommodate and assist more or less 1.74 million members.
Millions of people lost their jobs, and this is a combination of workers in the private and the informal sector.
So how can you apply for the SSS COVID-19 calamity loan program? Would members be required to coordinate with their employers? Are they going to be required to visit any kiosk?
According to Nicolas, the application for the loan program would be through the online SSS portal or the MY.SSS.
The following are the qualifications in order for members to apply for the SSS calamity loan:
- Members who’ve had at least 36 months of contributions; with six (6) posted within the past 12 months on or before the month of the application.
- The home address of the member should be at a declared State of Calamity
- Must not be a delinquent borrower
- Must have not availed any SSS benefit or claim such as:
- Permanent disability
- Retirement Program
To be able to apply, members need to prepare the following:
- Duly accomplished Calamity Loan Assistance Application Form (accessible in the sss.gov website)
- Barangay Certification
- At least one (1) primary ID:
- Unified Multi-Purpose ID (UMID)
- Professional Regulation Commission (PRC) ID
- Seaman’s Book
- Driver’s License
- Or two (2) secondary IDs
- Company ID
- PhilHealth ID
- Senior Citizen ID
- Voter’s ID
- Taxpayer’s Identification Number (TIN) ID
For Overseas Filipino Workers (OFWs), they can assign a proxy or a representative here in the Philippines. The rep can be the one to file the SSS COVID-19 Calamity Loan application. With this, the following are required:
- Authorization letter from the OFW
- Scanned and printed copies of valid ID of the OFW plus original valid ID of the representative
Nicolas urged SSS members to apply for bank account if they have none. This is because the loan proceeds would be transferred and sent to the bank accounts of the members anytime.
Once approved, loan proceeds will be credited through member’s enrolled bank account.”
Technically, members would have a bank account if they are employed. Voluntary and self-employed members, however, should secure themselves of a bank account should they wish to apply for the loan program.
Furthermore, Nicolas mentioned that the loan would be payable in 27 months. The good news is that it’s inclusive of the three-month moratorium for loans. The payments for the SSS COVID-19 calamity loan would start in the fourth (4th) month of the loan approval date.
To help with the situation, Nicolas said that the SSS will waive the one (1) percent service fee that they usually charge. Interest would be at a ten (10) percent per year and it’s going to be calculated on a diminishing principal balance scheme.
Are you eligible for the SSS COVID-19 calamity loan program? Do you have all the requirements they’re asking for?