The Government Service Insurance System (GSIS) is offering its policy loan for active members, according to GSIS President and General Manager Jose Arnulfo “Wick” Veloso.
“Ang policy loan ay facility na nakabase sa life insurance policy ng GSIS members. Kung naalala po ninyo, na-discuss po natin nung ibang episodes natin noon. Nasa 9 percent ng basic salary ng member na hinuhulog niya sa GSIS, 7 percent doon ang para sa retirement fund niya at 2 percent naman ang life insurance,” Veloso said in an episode of GSIS Ginhawa For All on Tuesday, Nov. 28.
Veloso said the loanable amount depends on the accumulated amount from the termination of a member’s life insurance policy.
“Ang loanable amount ay depende sa naipong halaga ng termination ng life insurance policy ng member. Ang gross loanable amount sa policy loan ay 70 percent ng termination value. Ang tinatawag nating termination value ay 25 percent ng monthly life insurance pay,” he said.
The GSIS chief listed the qualifications to avail of the loan:
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Active members who contributed to GSIS premium for at least one year
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Last active service with active life insurance policy
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Activated GSIS ecard or UMID
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No pending or administrative criminal case
Veloso said the loan has an 8-percent interest rate per annum with the payment term based on the monthly amortization that the borrower stated in the application. But he added that this was optional.
“Ang GSIS policy loan ay may 8 percent interest rate per annum at ang payment term ay nakabase sa halaga ng monthly amortization na inilagay ng borrower sa application. Sa katunayan, optional ang pagbabayad nito,” he said.
“Ang kabuuang balanse ng loan ay kukunin sa magiging proceeds ng life insurance claim. Ang ibig-sabihin kung magre-retiro ang member, ibabawas ang outstanding balance ng loan sa termination value na makukuha niya upon retirement. Kung sa kasamaang palad ay mamatay ang miyembro, ibabawas ang policy loan balance niya sa death benefit,” Veloso explained.
He added that the policy loan proceeds would be directly credited to the e-card account of the borrower.
Those who qualify may apply via GSIS Wireless Automated Processing System (GW@PS) kiosks or GSIS Touch. They can also apply through over-the-counter in any GSIS office.
The GSIS chief said the agency authorized office (AAO) must certify the applications through its page.
“Ang certification ng AAO kasi ay para sa pagpapatunay na yung miyembro na nag-apply ay still in active service at walang pending na criminal o administrative case. At para rin i-certify niya na ang maiiwan sa sweldo ng miyembro matapos i-deduct ang lahat ng amortization pati na ang amortization ng policy loan ay not less than P5,000 pesos para naman may pambili pa siya ng pagkain para sa pamilya niya,” he said.
According to Veloso, members who already applied for the loan can apply again yearly.
“Pwedeng mag-apply sa loan na ito taon-taon. Ang importante lang nilang tandaan, dapat enforced muna yung life insurance for at least one year bago makapag-loan. Ang loan ay renewable on or after the anniversary date,” he said.
