Manila: The Government Service Insurance System (GSIS) has introduced a PHP2.64-billion emergency loan initiative designed to support over 108,000 active members and pensioners impacted by recent calamities across five provinces.
According to Philippines News Agency, the state pension fund announced the program in a news release on Friday, emphasizing its goal to provide immediate financial assistance to families recovering from disruptions caused by extreme weather events, including floods, landslides, and the El Ni±o phenomenon. The GSIS has established specific application windows for the affected regions to facilitate the distribution of funds.
The provinces and their respective allocations are as follows: Sorsogon has been earmarked PHP319 million for 12,909 members and pensioners, with an application deadline set for May 15. Cagayan, affected by El Ni±o, has PHP733 million allocated for 31,566 beneficiaries, with applications open until May 31. Davao de Oro and Surigao del Sur, hit by Typhoon Basyang and flooding, have PHP891 million designated for 36,396 beneficiaries, with applications due by May 9. Davao del Norte, suffering from flooding and landslides, has been allocated PHP696.6 million for 27,588 beneficiaries, with applications accepted until June 3.
Eligible applicants include active members who are not on leave without pay, have no pending legal cases, and maintain a net take-home pay of at least PHP5,000 after deductions. Old-age and disability pensioners are also eligible if they retain at least 25 percent of their monthly pension after loan amortization.
The loan features a 6-percent annual interest rate, repayable over 36 monthly installments, and includes a two-month grace period before the first deduction. Additionally, it offers built-in loan redemption insurance. Borrowers with existing emergency loan balances can apply for up to PHP40,000, which will first settle their previous balance, resulting in a maximum net amount of PHP20,000. First-time borrowers may apply for up to PHP20,000.
To promote a contactless and expedited process, GSIS encourages members to apply using the GSIS Touch mobile app, with loan proceeds credited directly to the borrower's UMID or ATM account.
