SSS Calamity Loan for 2023: Requirements and Everything You Need to Know

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Do you have questions about the SSS Calamity Loan for 2023?

We get it. Financial struggles during tough times are overwhelming.

We care about your financial stability. In this article, we’re here to help you understand everything about the SSS Calamity Loan.

In this guide, we’ll cover all you need to know—requirements, eligibility, and how to apply.

Stick with us to breeze through the process and get the support you need during challenging times!

Why do we need an SSS Calamity Loan?

The Philippines is prone to various natural disasters, as per the Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA). 

On average, around 20 tropical cyclones enter the Philippine Area of Responsibility (PAR) annually, with about eight or nine passing through the country. 

Additionally, unexpected earthquakes can cause devastation and result in loss of lives.

These calamities can have a significant impact not only on your physical and mental well-being but also on your financial stability. 

To help you recover and rebuild your life, you can rely on the Social Security System’s (SSS) calamity loan.

If you’re interested, you can learn more about the SSS calamity loan for 2023 below.

What is SSS Calamity Loan?

The SSS Calamity Loan is a lending program intended for SSS members who reside in areas affected by natural disasters. 

It is one of the two programs offered under the SSS Calamity Assistance Program (CAP), the other one being the Three-Month Advance Pension.

If you reside in a town or city declared as calamity-stricken by the National Disaster Risk Reduction and Management Council (NDRRMC), you may be eligible to apply for the SSS calamity loan in 2023. 

This loan program is specifically designed to aid individuals who have been affected by natural disasters such as typhoons and earthquakes.

How Much is the SSS Calamity Loan Amount?

The loan amount for the SSS calamity loan is equivalent to one monthly salary credit (MSC), which is calculated based on the average of the last 12 MSCs. 

The amount is rounded up to the nearest thousand or the applied amount, whichever is less.

To repay the loan amount, you can choose to pay it back in 24 equal monthly installments over two years. 

The payment schedule starts in the second month following the date of the loan approval.

The SSS calamity loan includes the following fees:

  • Interest rate: 10% per year until the loan is fully paid.
  • Pro-rated interest: The period from the loan’s granting date to the end of the month before the first amortization month is covered. This will be deducted upfront from the loan amount.
  • Penalty: 1% per month. If you miss paying the monthly installment, you’ll be charged a full month’s penalty.
  • Service fee: 1%

What are SSS Calamity Loan Requirements for 2023?

Here are the requirements for the SSS Calamity Loan application in 2023:

📃 Requirements for Application Filed by the Member

  • One accomplished SSS calamity loan assistance application form[2]
  • Original copy of barangay certification
  • Original copy of valid ID

📃 Requirements for Application Filed by the Authorized Representative (for OFW or Seafarer Members)

  • One accomplished SSS calamity loan assistance application form
  • Original copy of authorization letter
  • Original copy of barangay certificate
  • Printed scanned copies of valid ID/documents of the OFW or seafarer member
  • Original copy of valid ID or document of the authorized representative

How to Apply for the SSS Calamity Loan for 2023

You can apply for the SSS calamity loan for 2023 through two methods: online and offline. 

Here are the steps for each mode of application:

👉 Online SSS Calamity Loan Application: Submission via the My.SSS Portal

If you already have a My.SSS account, follow these steps to apply for the SSS calamity loan online:

  1. Go to the SSS Members page.
  2. Log in to your account.
  3. On your dashboard, click E-Services.
  4. A pop-up reminder will appear. Tick the box, then click the Proceed button.
  5. You’ll then be directed to the Disbursement Account Enrollment Module page where you can enroll the bank account that will receive the calamity loan proceeds. Ensure that your bank is PESONet-accredited.
  6. Under the Enrollment tab, provide your bank account details and attach supporting documents such as proof of account, ID, and selfie/photo.
  7. Once you’ve registered your bank account, it will appear under the Disbursement Account tab. Approval of the bank account takes around one to two weeks. Once your account is marked green, it’s already active.
  8. You can now apply for the SSS calamity loan for 2023. Start by clicking E-Services.
  9. Click Loans, then Apply for Calamity Loan.
  10. Select your address and provide the required information. Tick the box, then click the Proceed button.
  11. On the next page, you’ll see the outline of your application. Click Submit and wait for the notification regarding your loan application in your My.SSS inbox.

If you haven’t enrolled in the My.SSS portal yet, follow these steps to create an account:

  1. Go to the SSS Online Members Page.
  2. Click the Register button. A pop-up reminder will appear. Tick the box, then click the Proceed button.
  3. Provide your basic information and click the Submit button.
  4. Check your email for your activation link and user ID.
  5. Click the activation link and create your password.

👉 Offline SSS Calamity Loan Application: Submission at the SSS Office

To file your application the traditional way, visit any SSS Branch Office and submit the requirements listed above. If you’re filing an application on behalf of the SSS member, make sure you have an authorization letter.

How Can I Receive the Proceeds of My SSS Calamity Loan?

There are three available channels:

  1. Active UMID-ATM – The loan proceeds will be automatically credited to your activated UMID-ATM.
  2. PESONET-accredited banks – The money will be deposited into the bank account you enrolled in the Disbursement Account Enrollment Module on My.SSS.
  3. UnionBank Quick cards – You can avail of this card at select SSS Branches with a UnionBank of the Philippines (UPB) kiosk.

How Can I Repay My SSS Calamity Loan for 2023?

Are you wondering how to pay back your SSS calamity loan for 2023? If you’re employed, the loan amount will be deducted from your salary. 

On the other hand, if you’re self-employed or a voluntary member, you can opt to make payments at any SSS branch office with tellering services, SSS-accredited banks, or SSS-authorized payment centers. 

Here are some important things to keep in mind when making repayments: 

Firstly, you cannot avail of another calamity loan from SSS if you have an existing calamity loan. 

You need to complete the payment of your previous loan before you can apply for a new one. 

In case of overpayment on a previous loan, the SSS will validate the payment. If the payment is found to be valid, it will be applied to your active loan. 

If there’s no active loan, you can request a refund. 

Lastly, if you fail to make payments for more than six months, your loan will be considered defaulted. 

In such a case, you will be charged 10% interest per annum on the outstanding principal balance, and an additional 1% penalty per month on unpaid principal and interest until the loan is fully paid.

Who Can Avail of the SSS Calamity Loan?

To qualify for the SSS calamity loan, you must meet the following requirements:

  • You should be registered on the My.SSS portal.
  • You must be a resident of an area that has been declared as a calamity area.
  • You should have at least 36 monthly contributions, and six of those must have been posted within the last 12 months before the month of your calamity loan application.
  • For self-employed, voluntary, and land-based Overseas Filipino Workers (OFWs), you must have six monthly contributions posted under your current coverage or membership type before the month of your calamity loan application.
  • You should not have availed of final benefits, such as retirement or permanent total disability benefits.
  • You should have no outstanding balance in the SSS Loan Restructuring Program (LRP) or CLAP.

Please note that if you are employed, your employer must certify your online CLAP application via the My.SSS facility.

Conclusion

In conclusion, the SSS Calamity Loan for 2023 is a program designed to help SSS members who have been affected by natural disasters such as typhoons and earthquakes. 

The loan amount is equivalent to one monthly salary credit, and you can choose to pay it back in 24 equal monthly installments over two years. 

The loan includes interest rates, pro-rated interest, penalty, and service fees. 

To apply, you can do it online or offline, and there are requirements you need to submit. You must also meet certain eligibility requirements to qualify for the loan. 

SSS Calamity Loan

The SSS Calamity Loan is an excellent option for those who need financial assistance during challenging times.

Frequently Asked Questions (FAQ’s)

How much is the calamity loan in SSS 2023?

The loan amount for the SSS calamity loan is equivalent to one monthly salary credit (MSC), which is calculated based on the average of the last 12 MSCs. 

Is a calamity loan still available?

Are individuals still able to access the Calamity Loan program? According to a recent report, Ilocos Norte residents can avail themselves of the program until October 24, 2023, and borrow up to 80% of their overall regular savings in Pag-IBIG Fund.

What is the maximum SSS calamity loan?

Under the program’s terms and conditions, members are eligible to borrow up to 80% of their Total Accumulated Value (TAV). The Calamity Loan program carries a 5.95% per annum interest rate and has a 24-month amortization period with a 3-month grace period. Payment for the loan commences on the 4th month after the check date.

References

  1. SSS: 2023-4 : https://www.sss.gov.ph/sss/DownloadContent?fileName=CI2023-004.pdf
  2. Moneymax.ph : https://www.moneymax.ph/government-services/articles/sss-calamity-loan