Applying for GSIS loan program now easier for San Juan City gov't workers
MANILA, Philippines – Over 1,000 employees of the San Juan City government will now have an easier time applying for loans with the Government Service Insurance System (GSIS) starting Tuesday, August 20,
The San Juan City government and the GSIS on Tuesday, August 20, signed a memorandum of agreement making application to the GSIS Financial Assistance Loan (GFAL) program easier for San Juan Government employees.
The GFAL program is a “debt-consolidation and balance-transfer facility” that allows its members to settle outstanding loans with private lending institutions and government banks or cooperatives. Debt consolidation is when you loan big to pay off other smaller loans. This essentially means that a member will be able to pay for multiple loans through GSIS.
GSIS offers the loan at 6% interest per year, automatically deductible from salaries, to be paid within 6 years. Members qualified for the loan can apply for a maximum loan amount of P500,000.
“It is unfortunate that because of the current financial crisis in the country, government employees have no choice but to resort to availing loans from various private lending companies with high interests and financial charges just to make ends meet,” San Juan City Mayor Francis Zamora said.
“With the program, the members will be able to refinance their outstanding loans through a more affordable loan package from GSIS," he added.
GSIS staff from the Pasig City office will be at the San Juan City Hall starting Tuesday, August 20, until July 2020 to accept applications to the program.
Here are the steps that interested applicants must complete to apply for the loan program:
- Fill out the application form and statement of final account (SOA), both available for download on the GSIS website
- Submit the following documentary requirements:
- Application form signed by an agency authorized officer
- SOA with a clear copy of the ID of the authorized representative of the lending institution who will claim the check or payment from GSIS
- Borrower loan agreement, loan voucher, or other certified documents showing the term, interest rate, monthly amortization, and due date of the first loan amortization
- Borrower’s pay slips for the past 3 months from the start of application; said pay slips should be certified by the agency authorized officer
- File the application at the GSIS staff’s booth at the San Juan City Hall
- Attend a financial literacy seminar, as well as the loan evaluation and counseling session, organized by the GSIS
- Sign all loan documents, which are to be given after evaluation and counseling – Rappler.com