To provide its more than 1.2 million pensioners with easier access to financial assistance, the Social Security System (SSS) relaxes the rules on applying for pension loans.
SSS President and Chief Executive Officer Emmanuel Dooc said that under the SSS new rules, a retiree-pensioner with an ‘active’ pension status and at least one month of posted regular pension can now apply for a loan.
He explains that in the past, only those retiree-pensioners who received at least six-month worth of pension are qualified to apply for the SSS pension loan.
Furthermore, the new guidelines allow the use of other government-issued identification cards, aside from Unified Multi-Purpose Identification (UMID) or SSS card, as a proof of identification that is required in applying for a loan.
Among the government-issued identification cards which may be used in applying for pension loan are the Alien Certificate of Registration issued by the Bureau of Immigration, driver’s license issued by the Land Transportation Office, firearm registration, license to own and process firearms, and Permit to Carry Firearms Outside of Residence from the Philippine National Police, National Bureau of Investigation (NBI) clearance, passport, Postal ID, seafarers’ identification and record book (Seaman’s Book), and voter’s ID.
In the absence of a primary ID card or document, any two valid ID cards or documents may be presented.
Dooc said that the SSS implemented these changes hoping that the pensioners will opt to avail of the pension loan for their emergency expenses. He explained that aside from its low-interest rate, the SSS will see to it that the pensioner will still receive a portion of their monthly pension.
He added that though the loanable amount is not as huge as what they may get from other loan providers, Dooc ensures that it the proceeds of the pension loan will serve its purpose to assist the pensioners in their short-term financial needs such as emergency medical expenses.