The Government Services Assurance System (GSIS) will provide emergency loans to members and retirees hard hit by Wednesday’s magnitude 7 earthquake.
In a statement, GSIS chairman and chief executive Wick Veloso said the public pension fund for government employees and retirees had earmarked 5.4 billion pesos for emergency loan assistance this year. .
Veloso said that once a state of calamity has been declared in affected areas, affected members and retirees residing in those areas could apply for emergency loans.
“We will ensure that our members and pensioners receive financial assistance, through our emergency loan, to help them through the crisis. We are also in contact with all public entities affected by the earthquake to verify if there are any damaged government properties that could claim insurance from GSIS,” Veloso said.
“GSIS members who have an existing emergency loan balance can borrow up to P40,000 to pay off their previous emergency loan balance and still receive a net maximum of P20,000. no existing emergency loan can apply for 20,000 pesos,” GSIS said.
“Retirees can also apply for a loan of P20,000,” he added.
According to GSIS, “Members who are on active duty and not on leave without pay are qualified to apply; have at least three months of premiums paid in the last six months; have no pending administrative or criminal case; and have a net salary of at least 5,000 pula after deduction of all required monthly obligations.
GSIS emergency loans carry an annual interest rate of 6% calculated in advance and payable in 36 equal monthly installments.
“It is also covered by credit buyback insurance, which considers the loan fully repaid in the event of the death of the borrower, provided that the loan repayment is up to date,” according to GSIS.
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