GSIS allots P1.18 B for emergency loans

MANILA, Philippines - The Government Service Insurance System (GSIS) has set aside P1.18 billion for an emergency loan facility for its members situated in selected provinces in Luzon and Mindanao which have recently been hit by typhoons.

In a statement, the pension fund said active members and old-age pensioners in the provinces of Ilocos Norte and Isabela, municipalities of Baganga, Tarragona, and Manay in Davao Oriental, and in the municipality of Datu Piang in Maguindanao are eligible to tap the loan facility.

In August, Ilocos Norte was battered by heavy rains and flash floods because of typhoon Ineng, while Isabela suffered drought.

The municipalities of Manay and Baganga, meanwhile, were struck by a dengue outbreak, while Tarragona and Datu Piang were affected by natural calamities.

The P1.18 billion allocation was intended to help 38,159 members and 6,930 pensioners cope with the damages brought about by the recent calamities, GSIS said.

Also entitled to avail of the loan are members who are working or residing in the said areas, those in active service or not on leave of absence without pay.

GSIS noted only those who are not in arrears, have no loans declared in default, and have no pending administrative or criminal cases are eligible to apply for the emergency loan.

Qualified members applying for a loan for the first time may borrow up to P20,000 while those with existing debt with the fund may apply for a P40,000 credit.

However, those who have existing loans would have their outstanding balance deducted from the proceeds of their new emergency loan, the GSIS said.

Meanwhile, old-age pensioners are qualified to apply for a P20,000 emergency loan.

The loan facility will have a six-percent interest rate per annum and will be payable in 36 monthly installments.