SSS reveals new loan payment and repayment schedules

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The STATE-run Social Security System (SSS) has extended the deadline for paying contributions for certain months in 2021 until February 28 this year in areas declared to be in a state of calamity due to Typhoon Odette.

In its Circular 2022-004 dated February 9, the SSS said businesses and household employers can pay their dues for the applicable months of November and December 2021 until the extended deadline.

The extended deadline also covers dues payments from October to December of Coverage and Collection Partners, Self-Employed, Voluntary, Non-Working Spouse (SE/V/NWS) members and Overseas Filipino Workers (OFW) members. ) land-based in the following regions: IV-B (Mimaropa); VI (Western Visayas); VII (Central Visayas); VIII (Eastern Visayas); X (northern Mindanao); and XIII (Caraga).

“We saw the harmful effects brought by Typhoon Odette on our fellow citizens last December. Through this extension, we aim to ease the concerns of our members, employers and PCCs in affected areas by helping them not miss their dues payments or avoid late payment penalties,” said Aurora C. Ignacio, president and CEO of SSS, quoted in a statement as saying.

For employers with approved remittance proposals, their post-dated checks due December 2021 and January 2022 must be deposited no later than February 28, 2022.

Beneficiary Eligibility

MEANWHILE, no contributions paid retroactively by an SE/V/NWS and a shore-based OFW member will be used to determine their eligibility for any benefit arising from a contingency in which the payment date falls within or after the semester. of contingency.

For example, if a shore-based SE/V/NWS or OFW member falls ill in April of this year, their contingency semester will be from January to June 2022. This would mean that dues paid during this extended period will not be be used to determine said member’s eligibility for the benefit since the payment date falls within the contingency session.

Under normal circumstances, the deadline for payment of SSS contributions for corporate employers is the last day of the month following the applicable month, while for household employers and SE/V/NWS members the deadline is the last day of the month following the applicable month. month following the applicable month or calendar quarter, as the case may be.

Further, the deadline for payment of OFW Land Membership dues for the applicable months of January through September of a given year is each December 31 of that year, while for the applicable months of October through December of a given year, it is for each January 31 of the following year.

If the deadline falls on a Saturday, Sunday or public holiday, payments can still be made on the next working day, depending on the pension fund manager. The SSS has also opened a disaster assistance program for its members and retirees affected by Typhoon Odette. The package includes: a disaster loan assistance program for members; 3 months of early pension for SS and EC pensioners which will run until April 13, 2022; and a direct loan program for home repair and improvement, which will be open for applications until December 23, 2022.

A grace period

In a related development, SSS also announced on Friday that it began repaying on January 20 approximately one to two months of loan repayments collected from its retirement loan borrowers under its retirement loan program ( PLP) in 2020 in accordance with the provisions of Republic Act 11494 or the Bayanihan to recover in one act (Bayanihan 2).

Under the Bayanihan Law 2, banks, quasi-banks, finance companies, loan companies and other financing institutions, both public and private, were asked to grant a 30-day grace period for the repayment of loans borrowers without incurring interest on interest, penalties, fees and other charges. The provision covered loan payments with contributions that fall from September 15 to December 31, 2020. Ignacio said the SSS will reimburse 105 million pesos of pension loan payments to 25,231 pension loan borrowers, adding that this will will greatly help to deal with the impact of the Covid-19 pandemic.

“We understand the difficult situation facing our PLP borrowers, which is why they chose to deposit their loans with SSS to further fund their immediate medical and financial issues brought about by the current pandemic,” said Ignacio.

Detailed process

LAUNCHED in September 2018, the PLP helps retirees meet their short-term financial needs by offering them a low interest loan of 10% per annum with a maximum loanable amount of P200,000.00 payable in 6 , 12 and 24 months.

Eligible SSS retirees are those who are currently amortizing on the implementation date and those who started their monthly amortization in October 2020. They will receive loan repayment refunds for their loan repayments in October and November 2020.

For retirees who started their monthly amortization in November 2020, they will get a refund of their loan repayments in November and December 2020 while those who only started paying their loan amortizations in December 2020 will only get only a one-month refund for December 2020. Ignacio said they are informing retirees that they no longer have to go to the SSS to request said refund. Ignacio added that similar to the repayment of April and May 2020 loan repayments on December 9, 2021 and December 10, 2021 under Bayanihan 1, these pension loan payment repayments will automatically be credited to qualified retirees via their card. Respective SSS UMID-ATM or Union “QuickCard” bank savings accounts where they have already received the product.

SSS extension

In addition, SSS would also extend the repayment term of the retiree’s loan by one or two months without any additional interest or penalty.

Suppose a retiree’s loan repayment term is until September 2021 and he receives a 2-month repayment; their terms of payment will be until November 2021 without interest or penalties.

Likewise, their pension loan will remain insured without additional premium until the end of the extended payment period.

Retirees can also renew their applications after the expiry of the initial repayment term of their loan. However, the remaining balance of retirees’ previous pension loan will be deducted from their current or new loans.

For example, a retiree’s original loan term is until September 2021, but the repayment has extended it to November 2021. The retiree can already renew their retirement loan by October 2021, where any balance outstanding amount of the retiree’s previous loan will be deducted from his new pension. to lend.

From January to December 2021, the SSS released 3.09 billion pesos worth of pension loans to 69,111 pension loan borrowers.

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