SSS Pension Loan Program Online Application

SSS Pension Loan Program Online Application

To be an employee is a privilege. And somehow, we can also consider it a good opportunity. Here, we tend to use our degree, do our passion, have a regular source of income, take a chance to mingle with a lot of people, and it may help us achieve a better future. However, the most exciting part of working, especially for an organization, is not worrying. Once we reach old age and the retirement period, a great benefit is possibly waiting for us. 

This article will teach you about the Social Security System (SSS) Pension Loan Program Online Application and everything you need to know. 

Pension as Defined

SSS Pension Loan

The SSS Pension Loan is a retirement plan for employees funded by the company, the employee, or both. In our country, the employer typically covers the majority of contributions, and it usually depends on the salary. When the employee retires, they receive an annuity based on the pension terms.

Pensions are provided as alimony to retired people in the organization as reimbursement for previous employment with that organization over a regular, predetermined time. 

Nowadays, pension funds are significantly less widespread than they once were. The vast majority of pension holders are labor unions and government personnel. 

What is the Social Security System?

Social Security System

In the Philippines, the Social Security System, also known as SSS, is a social insurance program for employees. The SSS is a government agency that provides retirement and health benefits to all salaried employees in the Philippines. 

Aside from the benefits mentioned above, SSS members may also take out “salary” or “
” loans. The wage loans are based on the employee’s monthly salary, while calamity loans are for situations where the government has declared a calamity. 

Remember: Only SSS members experiencing catastrophes in their area such as flooding, earthquakes, and other natural disasters may avail of calamity loans.

On the other hand, employees in the Philippine federal government do not contribute to SSS; instead, the Government Service Insurance System, also known as GSIS, covers them.

The SSS Pension Loan Program and its Terms

The SSS Pension Loan Program and its Terms

The Social Security System (SSS) invites retirees to use its Pension Loan Program or PLP to meet their urgent financial needs rather than resorting to loan sharks who charge high-interest rates and require ATM cards as collateral.

For the knowledge of all, the Social Security System’s Pension Loan Program (SSS-PLP) took effect in September 2018. This program allows qualified retirees to borrow up to three, six, nine, or twelve times their basic monthly pension (BMP) plus the P1,000 supplementary benefit, with a maximum loan amount of P200,000. Furthermore, they must have a net take-home pension of a minimum of 47.25 percent.

In addition, payment terms for pension loans of three and six times the retirees’ BMP plus the P1,000 additional benefit are six and twelve months, respectively. In comparison, payment terms for pension loans of nine and twelve times the BMP plus the P1,000 further use are 24 months.

The SSS PLP has a ten percent annual interest rate. The first monthly amortization is due the second month after pension loans are issued. Moreover, a one-percent service fee is waived to subsidize the borrower’s Credit Life Insurance (CLI) premium payment.

Retiree-pensioner: Qualification for the Loan Program

Retiree-pensioner Qualification for the Loan Program

To avail of the SSS-PLP, you need to take note of the following: 

  • You must be 85 years of age or below at the end of the last month of the loan term;
  • It would be best if you had no deductions such as outstanding loan balance, benefit overpayment payable to the SSS, etc., from the monthly pension;
  • It would help if you had no existing advance pension under the SSS Calamity Assistance Package; and
  • You must be receiving a regular monthly pension for at least one month, and the status of pension is “Active.”

Keep in mind: For first-timers in availing, the SSS-PLP applications must be routed through SSS branches, following community quarantine measures and servicing rules such as number coding system, dropbox system, or appointment system if any are in place.

On the other hand, retiree-pensioners who have already taken advantage of the program and paid off their loans in full may apply online using the E-Services option of the SSS website’s My.SSS Portal (

How to Apply on the SSS Pension Loan Program Online?

Below is the step by step procedures in applying for the SSS-PLP in the comforts of your home: 

    • First, retiree-pensioners must meet all the qualifying conditions of the PLP. 
    • Second, if qualified, they must register to My.SSS web accounts (current and active mobile number is required). As for the disbursed account, owners may avail of the SSS Unified Multi-Purpose Identification card enrolled as an automated teller machine (ATM) card or an SSS-issued Union Bank of the Philippines Quick Card. 
    • Third, once successfully registered, retiree-pensioner must log in to their My.SSS account.
    • Fourth, proceed to the E-Services tab.
    • Fifth, click “Apply for Pension Loan.”
  • Sixth, retiree-pensioner must choose their preferred loan amount and term.
  • Seventh, read and agree to the terms and conditions of the program chosen.
  • Eighth, print or download the PDF copy of the Disclosure Statement.
  • Lastly, the retiree-pensioner must wait for an e-mail confirmation of their pension loan application. (Pension loan proceeds are credited to the retiree pensioners disbursement account within five working days.)

Still, in line with The SSS-PLP, the agency approved the discharge of P1.47 billion in pension loans for 33,007 retiree-pensioners from January to June 2021, based on preliminary statistics. And a total amount of P1.38 billion was granted for 30,772 retiree-pensioners who applied through SSS branches. As for the remaining P96.62 million, it was approved for 2,235 retiree-pensioners who used online.

The SSS is currently improving the online facility to support initial (first-time) PLP applications. For more information about the PLP and how to apply online, it may be found at “Philippine Social Security System” on Facebook and YouTube, “mysssph” on Instagram, and “PHLSSS” on Twitter, or join the SSS’s Viber Community at “MYSSSPH Updates.”

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