Unexpected expenses that can cause headaches are common. Fortunately, there’s good news for those of you who are active SSS members: the SSS Salary Loan facility is now available with a completely digital application process and competitive interest rates.
As SSS members, we are entitled to social security benefits that can help us in times of hardship. SSS Salary Loans Online can be applied for by private sector employees, self-employed workers, volunteer members, and registered Indonesian Migrant Workers (TKI/OFW).
Member Eligibility Requirements
To apply for a salary loan, you must meet the following criteria:
- 1-Month Salary Loan: Have a minimum of 36 monthly contributions, of which 6 months must have been paid within the last 12 months prior to the application month.
- 2-Month Salary Loan: Have a minimum of 72 recorded monthly contributions.
- Employer Compliance: Your employer must have accurate and up-to-date records of contribution and loan installment payments.
- Age Restriction: Be under 65 years of age at the time of application.
- Other Loan Status: Have no expired or delinquent SSS loans.
- Digital Account: Have an active My.SSS account and a bank account registered with the SSS system.
SSS Online Loan Application Process
Now you can apply for an SSS salary loan using your computer or mobile device, without having to submit documents or ID to the SSS. Here’s a step-by-step guide:
Step 1: Log in to Your My.SSS Account at the SSS website. Click E-SERVICES and then “Apply for Salary Loan”
Step 2: Register Your Bank Account. You must register your Unionbank savings account for electronic loan disbursement. If you don’t have a Unionbank account, your SSS salary loan will be disbursed by check.
To register for a bank account, select UNION BANK OF THE PHILIPPINES from the drop-down list. Then, enter your Union Bank account number twice. Check the box before “I agree that the information…” and click “Register Savings Account.” Click “OK” when the pop-up message appears.
Step 3: Please update your mailing address. To update your local mailing address, you may need to use the new SSS member portal. Log in to the SSS member portal using the same user ID and password as your old My.SSS account.
Click “My Information” then the “Update Information” button at the bottom of the page. Enter your complete mailing address including street, barangay, city or municipality, province and region. When you’re done, click “Next.” then Click “Update.”
Step 4: Fill out the Application Form. Now return to your My.SSS account and go to E-SERVICES > Apply for Salary Loan. Then, you can select the loan amount from the drop-down box. Select a bank from the list of registered banks (in this case, Union Bank of the Philippines). The bank account number will be filled in automatically.
Check the box next to “I agree to the Terms and Conditions.” A new window will pop up containing the terms and conditions. Lalu, Click “Proceed” to continue to the next step.
Step 5: Read the system-generated Disclosure Statement, which contains financial information about your SSS salary loan, including amortization, interest rate, repayment schedule, and other fees and deductions. You can also print it.
Step 6: Submit Your Application. This is the final step before submitting your application. Review and double-check if you find any errors in your application, click the “Cancel” button. Otherwise, click “Submit” directly.
Step 7: Wait for the approval notification. Congratulations! You have successfully submitted your SSS salary loan application. You will also receive a confirmation email from SSS containing your transaction number. Don’t forget to save the transaction number in case you need it later.
Step 8: Finally, Check Your Loan Status. You can find out the status of your SSS loan by logging into E-SERVICES, clicking Inquiries, then going to Loans > Loan Status/Loan Info.
Note: It takes approximately 2-3 weeks for your SSS loan application to be approved. Be sure to check your loan status in your My.SSS account from time to time.
Interest, Penalties, and Fees
SSS charges 10% interest per year on the decreasing principal balance until your loan is fully paid. There is also a 1% fee deducted from the loan amount.
Repayment Schedule
SSS offers a two-year loan term with 24 monthly installments. For complete repayment details, please see the disclosure statement.
Loan Default
Sometimes unexpected circumstances arise, and you may default on your loan. But don’t worry, SSS has emergency measures in place in the event of a loan default. You are given the option to repay your loan in flexible monthly installments for up to 60 months (5 years) with a minimum down payment of 10%.