SSS PENSION LOAN PROGRAM – This article will teach you about the loanable amount, repayment term, and interest rate for this loan.
SSS Pension Loan Program (PLP) is a loan program of the Social Security System that offers a low interest rate of 10% per year.
The private sector workers’ pension fund will not require its retiree-pensioners to surrender their ATM cards as collateral and will not charge any processing or service fee when they avail of the pension loan.
Loanable Amount
The loanable amount for this loan program is based on the basic monthly pension (BMP) plus the PHP 1,000.00 additional benefit.
As a retiree-pensioner, you may choose from the following loanable amounts, but not to exceed the maximum loan limit of PHP 32,000: 2 x (BMP + PHP 1,000.00); 4 x (BMP + PHP 1,000.00); and 6 x (BMP + PHP 1,000.00).
Repayment Term
The repayment term for this loan program is based on chosen loanable amount.
| Loanable Amount | Repayment Term |
| 2 x (BMP + PHP 1,000.00) | 3 months |
| 4 x (BMP + PHP 1,000.00) | 6 months |
| 6 x (BMP + PHP 1,000.00) | 12 months |
Interest Rate
The interest rate for this loan program is 10% per annum (or 0.83% per month) and it is computed on a diminishing principal balance until fully paid.
Keep in mind that the loan amortization for this loan program shall be deducted from the monthly pension and the first amortization shall become due on the second month after the loan was granted.
You may also visit: SSS Pension Loan Program – How To Apply For A Loan?