Guide on GSIS Pension Loan 2023 Offer for Qualified Members
GSIS PENSION LOAN – The Government Service Insurance System has crafted a special cash loan for pensioners in times of cash needs.
Are you one of the pensioners of the Government Service Insurance System or GSIS? Or you know someone who is? The state-run social insurance institution has several offers that are exclusive for its pensioners.
The Government Service Insurance System is one of the giant social insurance institutions in the Philippines aside from the Social Security System or SSS. While the SSS is for the employees in the private sector, the self-employed individuals, and those who applied for a voluntary membership, the GSIS is for the employees of the government.
Most members of the GSIS continuously post monthly contributions in the pursuit of availing the Retirement Benefit in the future. Under it, the member-retiree may receive a monthly pension.
However, what many pensioners and retirees don’t know is that there are other offers that the state-run social insurance institution has crafted for the pensioners. One of these is the GSIS Pension Loan.
The GSIS Pension Loan was designed to help solve the financial needs of the pensioners that cannot be coped by the monthly pension. It is open for the pensioners under the:
- Republic Act No. 660
- Presidential Decree No. 1146,
- Republic Act No. 8291
The pensioner-borrower must have no outstanding service loans being amortized under the CLASP or the Choice of Loan Amortization Schedule for Pensioners.
With regards to the loanable amounts under the GSIS Pension Loan, it is dependent on the Basic Monthly Pension or BMP of the borrower as well as the age of the pensioner. Here’s a guide:
- 60-64 years old — maximum of 6 times your BMP not exceeding Php 100,000
- 65-69 years old — maximum of 4 times your BMP not exceeding Php 60,000
- 70 years old and above — Two times your BMP but limited to Php 20,000
The GSIS implements a 10% interest rate per annum in advance under the loan offer. The loan is payable for up to 24 monthly installments and the monthly due is automatically deducted from the pensioners’ monthly pension.
Like the other GSIS loans, the loan application can be done at a branch of the GSIS or through the GWAPs kiosk using your eCard or UMID card account.
