The GSIS Pension Loan Program provides financial assistance to qualified old-age pensioners in the Philippines, allowing them to borrow funds for urgent needs. It is designed to cater to pensioners receiving monthly payouts from GSIS (Government Service Insurance System), ensuring they have access to immediate funds without jeopardizing their future financial stability.

In this guide, we will walk you through everything you need to know about applying for the GSIS pension loan. From eligibility requirements to step-by-step application procedures, this detailed article ensures you can navigate the process with ease.

Program Overview

The GSIS Pension Loan, also known as the Enhanced Pension Loan, is a loan facility available exclusively to old-age pensioners under GSIS. It allows qualified pensioners to borrow an amount equivalent to up to six times their Basic Monthly Pension (BMP), with a maximum loanable amount of ₱500,000. The loan term spans 24 months with an interest rate of 10% per annum.

This program is open to pensioners under RA 660, PD 1146, and RA 8291. To further assist borrowers, GSIS also provides loan redemption insurance (LRI), which ensures that any remaining balance of the loan is automatically waived in case of the borrower’s death. Survivorship and funeral benefits remain intact for their beneficiaries as well.

Loan Features

The program offers flexible and accessible financial solutions tailored to meet the needs of qualified old-age pensioners.

Loanable amount up to six times the Basic Monthly Pension (BMP), with a maximum of PHP 500,000, depending on the applicant’s age:
- Below 65 years old: Up to six times the Basic Monthly Pension, with a limit of ₱500,000.
- 65 to 69 years old: Up to four times the Basic Monthly Pension, with a maximum of ₱60,000.
- 70 to 78 years old: Up to twice the Basic Monthly Pension, with a cap of ₱20,000.

Note: If a pensioner fails to meet the 25% net monthly pension requirement after deductions, the loan amount will be adjusted to ensure compliance.

A 10% annual interest rate with a repayment term of 24 months.
- The loan is repayable in 24 equal monthly installments.
- Monthly amortizations are deducted directly from the pension.
- The first monthly deduction begins on the first day of the month following the loan release.

Note: If the pension is temporarily suspended due to non-compliance with the Annual Pensioners Information Revalidation (APIR), unpaid loan installments will be deducted once the pension is reactivated.

Minimum 25% net monthly pension retained after loan deductions.
Loan redemption insurance waives outstanding balance upon the borrower’s death.
Proceeds are credited directly to the pensioner’s UMID or eCard account.
Renewable after completing 24 monthly installments.
A 2% service fee deducted from the loan proceeds.

Benefits

Some other benefits that come with the program include:

Loan Redemption Insurance: In the event of the borrower’s death, any outstanding loan balance is automatically waived. This ensures that funeral and survivorship benefits are fully available to beneficiaries.
Convenience: Multiple application channels, including kiosks, OTC filing, email, and eGSISmo, offer flexibility to pensioners.
Quick Processing: Loans are processed and credited within days, ensuring funds are available when needed.
Loan Renewal: Pensioners can renew their loan after completing the required 24 monthly payments.

Eligibility Requirements

To qualify for the GSIS Pension Loan, pensioner applicants must at least meet the following conditions:

Be a regular old-age pensioner currently receiving pension for at least one month
Have no outstanding service loans being amortized under the Choice of Loan Amortization Schedule for Pensioners (CLASP) or the GSIS Program of Restructuring and Repayment of Debts (PRRD)
Must have a net monthly pension of at least 25% of their Basic Monthly Pension after deducting loan amortizations
Be 78 years old or younger at the time of application

Note: Do note that survivorship pensioners are not eligible to avail of this program.

Requirements for Application

When applying for a GSIS pension loan, the following documents must be prepared not only to prove the applicant’s eligibility but also to proceed with the application procedures:

A completed GSIS Pension Loan Application Form (available on the GSIS website).
One of the following:
- Unified Multi Purpose Identification (UMID) Card
- GSIS eCard
- Two valid government-issued IDs with the applicant’s photo and signature.
For online applications, pensioners must also submit:
- A photo of themselves holding their UMID or eCard.
- A newspaper showing the current date (or a TV screen displaying the latest news with the date visible).

Methods and Procedures for Filing the GSIS Pension Loan

Pensioners can file their application using either one of the following methods:

1. Through GSIS Wireless Automated Processing System (GWAPS) Kiosks

Step 1: Locate the nearest GWAPS Kiosk.

Step 2: Insert your UMID card into the kiosk and follow the on-screen instructions.

If eligible, the system will automatically compute your loan amount.
Confirm the computation using biometric verification.
If the kiosk cannot process biometrics, proceed with over-the-counter filing at the nearest GSIS branch.

2. Over-the-Counter (OTC) Filing at GSIS Branches

Step 1: Prepare all necessary documents.

Step 2: Submit your application at your designated GSIS servicing branch.

3. Online Filing via Email

Step 1: Download and complete the application form from the GSIS website.

Step 2: Attach your completed form and required documents to an email. Follow the prescribed email format:

Subject line: Pension Loan_BP Number_Surname_First Name_City/Province.

Example: Pension Loan_1234567891_Dela Cruz_Juan_Manila.

Step 3: Submit your application to the GSIS email address assigned to your area.

4. Through the eGSISmo Portal

Step 1: Enroll in the eGSISmo system through the GSIS website.

Step 2: Upload the completed application form and other requirements directly on the portal.

Where to Get the Application Form

The GSIS Pension Loan application form can be obtained through multiple convenient channels. Pensioners may download the form directly from the official GSIS website or acquire a physical copy at their nearest GSIS branch office. Additionally, the form can be accessed electronically via the eGSISmo portal for those applying online.

Processing and Disbursement of Loan Proceeds

Applicants also need to take note of the following information:

Application Processing Time:
- GWAPS Kiosk applications: Processed on the same day.
- OTC applications: Processed on the same day if submitted before noon; otherwise, processed the next business day.
- Email/eGSISmo applications: Processed within three working days after receiving complete documents.
Disbursement: Loan proceeds are credited directly to the pensioner’s UMID or eCard-linked bank account within 3–5 working days after approval.

Frequently Asked Questions

For your reference, here are some common questions and answers regarding the GSIS Pension Loan:

1. Can the loan be canceled?

Yes, the loan can be canceled within 30 calendar days of approval. The principal amount and prorated interest must be repaid in full.

2. Is there a service fee?

Yes. A 2% service fee is deducted from the loan proceeds.

3. What happens if a pensioner is dismissed from service?

The repayment of the loan follows existing GSIS policies for dismissed members.

4. Can pensioners with defective cards apply?

Yes, they may apply over-the-counter.

5. How can pensioners check the status of their application?

Visit the GSIS website or contact the GSIS Contact Center via phone or email provided below:

Website: https://www.gsis.gov.ph
Email: gsiscares@gsis.gov.ph
Contact Numbers:
- Metro Manila: 8847-4747
- Globe/TM: 1-800-8-847-4747
- PLDT/Smart/Sun: 1-800-10-847-4747

Video: GSIS Pension Loan Application

Learn more about the requirements and qualifications as well as the benefits of the GSIS Pension Loan by watching this video from Bing Repole:

Summary

The GSIS Pension Loan is a reliable program for pensioners seeking financial aid for urgent needs. With a straightforward application process, competitive interest rates, and loan redemption insurance, it provides a secure way for retirees to access funds without risking their long-term benefits. Whether through kiosks, over-the-counter, or online channels, GSIS offers flexibility and convenience to applicants. Check the program today and see if it can help solve your immediate financial needs.