4 Calamity Loan Options in the Philippines
Since the beginning of 2020, it has been a challenge for many to get by and sustain their lifestyle with a potentially reduced income. Because the ongoing COVID-19 pandemic has laid off many employees and closed many businesses, financial assistance has become a necessity for those who are strapped for cash or in need of extra income to pay for bills and buy food and necessities.
The good news is that there are calamity loan programs offered by the government agencies in the Philippines. These can assist you in times of need. Here are four of them.
PAG-IBIG Calamity, Housing, and Multipurpose Loans
Eligible members can get a maximum of 80% of their total PAG-IBIG regular savings with a 5.95-percent interest per annum. The loan covers contributions from you, your employer, and accumulated dividends.
To qualify for this calamity loan program, you must be residing in an area under a state of calamity, have at least 24 monthly savings, with at least one monthly saving for the last six months before the date of application. You may apply for this loan program by filling out the form provided on the official PAG-IBIG website along with the details of either your Loyalty Card Plus, Landbank, UCPB, or DBP cash card.
This loan program is ideal for you and your family especially if you live in a recently renovated foreclosed property in an area prone to flooding or has many cases of a viral outbreak or pandemic. This financial assistance may help cover your family’s health and safety necessities.
GSIS Emergency Loan and Financial Assistance Program
For this emergency loan program, qualified members can borrow Php 20,000, which they can pay in a span of three years or 36 months at a six-percent interest rate. Just like the first calamity loan, a member must be an official employee of the agency located in a declared calamity area or is living in a declared calamity area, as per the records of GSIS.
Members may also be qualified for this loan program if they have no pending criminal or administrative charges, have no missing or overdue debts in their monthly contributions, and have no loan that has been declared in default.
Members may also use this loan and financial assistance program to pay their dues and loans from various lending institutions, wherein they can loan a maximum of Php 500,000, payable in six years at a six-percent interest rate.
SSS Salary Loan
The Social Security System (SSS) Salary Loan is granted to an employed, currently-paying self-employed, or voluntary member in order to meet the member’s short-term credit needs. The amount you will be able to borrow will depend on the average of your latest posted 12 Monthly Salary Credits. The loan is payable in 24 monthly installments. The monthly amortization will start on the second month following the date of the loan.
To be qualified for this loan program, you must not have claimed any benefits whether it is permanent disability, retirement, or death. You must also be under 65 years of age at the time of application. Fill out the necessary SSS application form and submit with your SSS digitized ID, and valid government-issued IDs such as a driver’s license, passport, or tax identification card.
SSS Calamity Assistance Package
This calamity loan program is ideal for members and pensioners affected by calamities such as typhoons and earthquakes. Included in this loan package is a loan for direct house repair and improvement, which can be up to Php 1 million, payable in five to 20 years at a nine-percent interest per annum and early renewal of salary loans.
To be qualified for this program, you must have at least 36 months’ worth of contributions made, with six of them made in the last 12 months on or before the month of application. You must not have claimed any benefits and have no record of delinquency or pending criminal charges.