P65B in Versatile Loans from GSIS – Manila Bulletin
Over 250,000 members of the Government Service Assurance System (GSIS) have benefited from the Multi-Purpose Loan (MPL) since last year.
GSIS, in a statement released on Friday, June 25, announced that it had granted a total of 65 billion pesos in multipurpose loans to its 250,783 members since the program opened on October 1, 2020.
“We encourage our other members, especially those who have reached their borrowing limit and were unable to pay off their GSIS loans, to take advantage of GSIS MPL’s affordable payment terms,” said Rolando Ledesma Macasaet, President and Director general of GSIS.
GSIS Versatile Loan (MPL) is the loan facility that consolidates all service loans and waives surcharges on all defaulted loan accounts.
GSIS said qualified member borrowers can claim up to 14 times their basic monthly salary, but not to exceed £ 3 million.
During this time, the new beneficiaries will benefit from an exemption from surcharges on their loan balance.
GSIS explained that MPL prevents penalties incurred by members for unpaid GSIS loans from inflating and eroding their pensions and other benefits.
The MPL also has a low interest rate of seven to eight percent depending on the member’s premium payments and is payable in monthly installments of two to seven years depending on the membership fee and employment status.
“Those with HELP accounts consolidated under MPL can pay off the loan for up to 10 years,” GSIS said. “The payments will automatically be deducted from the borrower’s salary,” he added.
The GSIS explained that those who are qualified to apply to the MPL are active and special members of the GSIS who have paid at least three months of bonuses; are not on leave without pay; not have any administrative or criminal case in progress; have no arrears under the GSIS Financial Assistance Loan or the GSIS Housing Loan; and work in agencies with an existing MoU with GSIS.
“In addition, they must not be marked as suspended by their respective agencies and have a net salary not less than the amount required under the General Appropriations Act after deducting all monthly obligations,” GSIS said. “Their agency should not be suspended either,” he added.
GSIS has also listed its service loans to be consolidated under MPL in the following order: payday loan; Restructured salary loan; Subsidized salary loan; Emergency loan assistance; One month payday loan for the summer; Conso-Loan Plus or Conso-Loan Plus improved; Member cash advance, eCard cash advance or eCard Plus cash advance; Emergency Home Loan Program (HELP); Study assistance loan I and II; Fly Pal, pay later; Study now, pay later; and stock loan.
Meanwhile, GSIS clarified that home loans, policy loans, and emergency loans are not included except for overdue and defaulted emergency loan accounts, in which case the amount overdue or in default will be deducted from the proceeds of the MPL.
Interested applicants can send emails to GSIS branch management or over-the-counter or through a drop box at any GSIS branch and extension offices nationwide.
GSIS said the MPL proceeds would be “directly credited” to the borrower’s GSIS electronic card (eCard) or Unified Multipurpose Identification (UMID) card.
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