GSIS loans up to P151 billion in 2021
MANILA, Philippines — The Government Service Insurance System (GSIS) extended a bigger P151 billion in loans to its members and pensioners last year amid the harder times wrought by the prolonged COVID-19 pandemic.
In a statement, the GSIS said its 2021 loan disbursements rose 4 percent from P145 billion in 2020.
The state-run pension fund for civil servants said over one million active members and retirees borrowed from the GSIS last year.
“Through our various ‘ginhawa for all’ loan (GFAL) programs, the GSIS has extended financial assistance at a time when our members and pensioners were in dire need of help,” GSIS president and general manager Rolando Macasaet said.
The bulk of GSIS loans disbursed last year amounting to P106 billion were GFAL multipurpose loans (MPLs) for active members who had maximized their borrowing limit yet been unable to repay their outstanding obligations. “It consolidates the existing loans of members, except housing and policy loans, and waives surcharges on in-default accounts. Through GFAL MPL, members may apply for up to 14 times their basic monthly salary but not to exceed P3 million. It has a low interest rate of 7 percent or 8 percent, depending on members’ premium payments,” the GSIS said.
The GSIS said it will launch this month an enhanced version of its most popular loan program, which would be called “GFAL MPL Plus,” under which the credit limit will be hiked to P5 million while prolonging to 10 years the maximum payment term as well as relaxing eligibility requirements among borrowers.
Also in 2021, the GSIS released P27 billion to 62,974 borrowers under its financial assistance loan; plus P7 billion in computer loans to 230,205 borrowers who needed computers to work-from-home or for their kids’ online classes amid the pandemic. “The GSIS intends to extend the implementation of this [computer loan] program this year,” it said.
The other loans extended by the GSIS to its members last year included P6 billion to 269,440 regular and optional loan borrowers; P1 billion to 38,980 GFAL emergency loan borrowers; as well as P89-million worth under the ginhawa educational loan program to 2,035 borrowers.
As for pensioners, the GSIS approved P3.03 billion in GFAL enhanced pension loan to 38,144 borrowers, on top of P96 million in pensioners’ emergency loan to 4,415 borrowers.
“The GSIS made loan transactions safer and more convenient for its members and pensioners by making them accessible through online channels such as the GSIS wireless automated processing system (Gwaps) kiosks, electronic GSIS member online (eGSISMO), and the newly-launched enhanced GSIS Touch mobile app. Loan proceeds are directly credited to the borrower’s GSIS eCard or unified multipurpose identification (Umid),” it said.
“Our members may settle their underpaid or unpaid loans through 2,836 active Bayad outlets throughout the country and online via UnionBank of the Philippines and Land Bank of the Philippines (Landbank) payment facilities. Very soon, there will be additional payment solution providers to provide more alternative online collection channels,” Macasaet said.
/MUF
