The GSIS Restructuring Program for Service Loans (RPSL) offers an opportunity for inactive GSIS (Government Service Insurance System) members, former government employees, and pensioners to settle unpaid service loans under flexible terms. This program allows borrowers to reduce penalties, surcharges, and interest on overdue accounts while providing manageable repayment plans suited to their financial capacity.
In this guide, we will help you understand the key details of the GSIS RPSL, including eligibility, benefits, application process, and repayment options. By learning about this program in detail, you can take the necessary steps to resolve your financial obligations with GSIS and protect your credit standing.
Program Overview
The GSIS Restructuring Program for Service Loans (RPSL) was introduced as a one-time initiative to assist former government employees, pensioners, and active members with overdue service loans. This program offers a structured repayment option by condoning penalties and surcharges, thereby lowering the outstanding loan balance. It applies to inactive members, retirees, and active employees with unpaid loans exceeding six months. The program also provides affordable payment terms, including flexible installment plans and reduced interest rates depending on the down payment.
GSIS developed the RPSL in response to the growing number of delinquent accounts affecting borrowers’ credit standing and overall financial stability. It aims to offer financial relief by stopping interest accumulation, promoting responsible repayment, and enabling borrowers to regain their creditworthiness. Covering a wide range of service loans, the program excludes real estate and pension loans but includes offerings like salary loans, emergency loans, and educational assistance. Through this initiative, GSIS seeks to support its members and pensioners while addressing the challenges posed by unmanageable debts.
Loan Types Covered Under the GSIS RPSL
The RPSL covers most GSIS loan types that are considered in default, including:
- Salary Loans (Enhanced, Restructured, and Consolidated)
- Emergency Loans
- Home Emergency Loan Program (HELP)
- Educational Assistance Loans
- Policy and Optional Policy Loans
- Cash Advances (eCard Plus and Member’s Cash Advance)
- Multi-Purpose Loans (MPL)
- Computer Loans
- Other loan products introduced by GSIS in the future
However, the following loans are not covered under the RPSL:
- Real Estate Loans
- Pension Loans
- Restructured Real Estate Loans
- Pension Emergency Loans
Features and Benefits
The GSIS RPSL offers comprehensive features aimed at helping borrowers manage their outstanding service loans effectively:
- Penalty and surcharge condonation: Eliminates accumulated penalties and surcharges for eligible accounts.
- Flexible repayment terms: Options for installment plans with varying down payment percentages (10%, 25%, 50%, or 75%).
- Down Payment Choices: 10%, 25%, 50%, or 75% of the total remaining balance can be paid upfront.
- Reduced interest rates: Interest rates decrease based on the down payment amount, ranging from 3% to 6% annually.
- Interest Rates for Remaining Balance:
- 10% down payment: 6% interest per annum.
- 25% down payment: 5% interest per annum.
- 50% down payment: 4% interest per annum.
- 75% down payment: 3% interest per annum.
- Interest Rates for Remaining Balance:
- Flexible payment terms: Borrowers can choose from installment plans of up to five years, allowing for lower monthly payments.
- The remaining balance can be paid in installments over 1 to 5 years, depending on the borrower’s preference.
- Borrowers may also opt to preterminate the loan without incurring any additional fees.
- Longer payment period: Borrowers can settle their loans within one to five years.
- Monthly Due Dates: Payments are due every 10th day of the month following the loan’s first due month.
- Grace Period: Borrowers are allowed a 10-day grace period without penalties or surcharges.
- Default Consequences: If a borrower fails to pay for six months, the loan becomes due in full, incurs penalties, and loses redemption insurance coverage.
- One-Time Availment: Borrowers can only avail of the RPSL once.
- Wide loan coverage: Includes various GSIS loans such as salary loans, emergency loans, and educational assistance loans.
- Multiple payment channels: Payments can be made through GSIS branches, accredited partners, or online platforms.
- Updated loan redemption insurance (LRI): Ensures loans are deemed paid in case of the borrower’s unexpected death, provided payments are up to date.
- Improved creditworthiness: Helps members restore their financial standing by settling overdue balances.
- Avoiding legal action: Regularizing loan payments prevents potential legal actions from GSIS and protects any GSIS benefits due to the borrower.
- Heir Responsibility: If the borrower passes away with unpaid balances, heirs will be responsible for settling the remaining amount.
Who Can Apply?
You may qualify for the GSIS RPSL if you fall under one of these categories:
- Inactive Members: Former government employees who have left service with outstanding GSIS loans.
- Old-Age Pensioners: Retirees receiving pensions, provided they retain at least 25% of their monthly pension after deducting loan payments.
- Active Members with Delinquent Loans: Employees who have returned to government service but have unpaid GSIS loans exceeding six months.
- Past RPSL Beneficiaries: Borrowers who availed of restructuring programs in the past may reapply but are no longer eligible for condonation benefits.
Application Requirements
To apply for the GSIS RPSL, you need to prepare the following documents:
- Duly Accomplished Application Form: Signed by the borrower or an authorized representative.
- Valid Identification: Photocopy or scanned copy of the GSIS eCard, PhilID, passport, or two other government-issued IDs.
- Special Power of Attorney (SPA): Required if applying through a representative.
- Updated Contact Information: A current mobile number and email address for receiving notifications.
How to Apply
Borrowers can submit their applications through any of the following methods by following the steps listed under each application type:
Over-the-Counter Submission
Visit any GSIS branch office to file your application and submit the required documents by following these procedures:
Step 1. Visit the nearest GSIS office.
Step 2. Submit the completed application form and required documents (e.g., valid IDs, GSIS eCard).
Step 3. Wait for the confirmation of your application status.
Courier Service
Send your completed application form and requirements to the nearest GSIS branch via courier. To do so, simply follow these steps:
Step 1. Complete the application form and attach all required documents.
Step 2. Send the documents to the nearest GSIS branch through a trusted courier service.
Step 3. Wait for the acknowledgment from GSIS regarding your application.
Email Submission
Submit the necessary documents to the designated GSIS email address by following these steps:
Step 1. Fill out the application form and scan the necessary documents (valid IDs, GSIS eCard).
Step 2. Email the documents to the GSIS branch handling your account.
Step 3. Monitor your email for updates and confirmation from GSIS.
eGSISMO Portal
Apply online through the GSIS Member Online system, if applicable. To do this, just follow these steps:
Step 1. Log in to your eGSISMO account at the official GSIS website.
Step 2. Fill out the online application form and upload scanned copies of the required documents.
Step 3. Submit your application and check your eGSISMO account for updates.
Where to Get the Application Form
The application form for the GSIS Restructuring Program for Service Loans (RPSL) can be obtained through various channels. Borrowers may download it for free from the official GSIS website, request it via email to gsiscares@gsis.gov.ph, or get a physical copy from any GSIS branch. There are no fees for the application process, and processing typically takes 7-15 working days, depending on the submission method and completeness of documents.
Payment Methods
Once the RPSL is approved, borrowers can settle their payments using any of these modes:
- GSIS Branch Offices: Pay via cash or manager’s check.
- Accredited Payment Centers: Use facilities like Bayad Center, M. Lhuillier, and USSC.
- Online Banking: Payments can be processed through UnionBank or LandBank mobile apps.
- Salary Deduction: For active members, monthly payments can be automatically deducted from their salary.
- Pension Deduction: For pensioners, loan amortizations can be deducted from their monthly pensions.
Frequently Asked Questions (FAQs)
For your reference, here are some common questions and answers regarding the GSIS RPSL Program:
1. How can pensioners ensure they qualify for RPSL?
Old-age pensioners must have a Basic Monthly Pension (BMP) sufficient to cover monthly amortizations, leaving at least 25% of the BMP after deductions.
2. What penalties and surcharges are condoned under RPSL?
Penalties and surcharges accrued after the borrower defaulted are condoned for eligible loans, provided the application is approved.
3. Can the RPSL loan be preterminated?
Yes, borrowers can pay the loan in full before the term ends without incurring additional fees.
4. What happens if the borrower fails to pay RPSL installments?
Failure to pay for six consecutive months will render the loan in default, making it due and demandable. Interest and surcharges will be imposed, and legal actions may be initiated by GSIS.
5. Is RPSL renewable?
No, the RPSL is a one-time program and cannot be renewed.
6. What happens if a borrower passes away while paying for the RPSL?
If the borrower’s loan redemption insurance is active and the account is up-to-date, the remaining balance will be covered by the insurance. If arrears exist (up to six months), any unpaid balance will be charged to the borrower’s heirs.
7. Can outstanding GSIS benefits be used to pay for RPSL loans?
Yes, any unclaimed GSIS benefits will be deducted from the outstanding loan balance before the RPSL application is processed.
8. What is the due date for monthly amortizations?
The first due date is the 10th day of the month following the first due month. Subsequent payments are due on the 10th of each month.
9. Are there grace periods for RPSL payments?
Borrowers are given a 10-calendar-day grace period after the due date to settle their payment without penalties or surcharges.
10. Where can borrowers inquire for more information?
Borrowers may visit the nearest GSIS branch office or the GSIS website (https://www.gsis.gov.ph), send an email gsiscares@gsis.gov.ph, or contact GSIS via the following hotline:
- Metro Manila: 8847-4747
- Globe and TM: 1-800-8-847-4747
- Smart, Sun, Talk ‘N Text: 1-800-10-847-4747
Video: GSIS Restructuring Program for Service Loans (RPSL)
Get to know more about the GSIS RPSL Program and enjoy the benefits of settling outstanding loans at a more convenient and affordable pace by watching this video from wildtv oreg:
Summary
The GSIS Restructuring Program for Service Loans (RPSL) offers inactive members, pensioners, and employees a chance to settle their unpaid loans with reduced penalties and flexible terms. By providing lower interest rates, installment plans, and multiple payment options, the RPSL eases the financial burden of delinquent borrowers. Through proper application and compliance with requirements, borrowers can regain their creditworthiness and avoid legal complications. For a smooth process, make sure to explore all available resources and payment channels provided by GSIS.