The Social Security System (SSS) is encouraging its pensioners to use its Pension Loan Program (PLP) for their immediate financial needs instead of going to loan sharks that offer high-interest rates and uses their ATM cards as collateral.

The PLP, launched in September 2018, allows qualified retiree-pensioners to avail of a loan of up to three, six, nine, or 12 times their basic monthly pension (BMP) plus the P1,000 additional benefit, but not to exceed the maximum loan amount of P200,000. Moreover, their net take-home pension must be at least 47.25 percent.

Pension loans of three and six times the pensioners’ BMP plus the P1,000 additional benefit have respective payment terms of six and 12 months, while pension loans of nine and 12 times the BMP plus the P1,000 additional benefit have a payment term of 24 months.

The PLP has an interest rate of 10 percent per annum. The first monthly amortization for pension loans is due on the second month after the loan was granted. Further, a one-percent service fee is waived as a means to subsidize the payment for the premium of the Credit Life Insurance (CLI) of the borrower.


To qualify for the loan program, a retiree-pensioner:

  • must be 85 years of age or below at the end of thelast month of the loan term;
  • must have no deductions such as outstanding loan balance, benefit overpayment payable to the SSS, etc., from his/her monthly pension;
  • must have no existing advance pension under the SSS Calamity Assistance Package; and
  • must be receiving his/her regular monthly pension for at least one month and the status of pension is “Active”.

PLP applications for first-time availees must be coursed through SSS branches, following community quarantine protocols and servicing guidelines (number coding system, drop box system, or appointment system) implemented in them, if any.

On the other hand, retiree-pensioners who have previously availed the program and have already paid their loans in full may submit their applications online through the E-Services tab of the My.SSS Portal in the SSS website (www.sss.gov.ph).

Based on its initial data, the SSS approved the release of P1.47 billion pension loans for33,007 retiree-pensioners from January to June 2021.

Of the said amount, P1.38 billion were approved for30,772 retiree-pensioners who filed their applications through SSS branches, while the remaining P96.62 million were approved for 2,235 retiree-pensioners who filed their applications online.

Currently, the SSS is working on enhancements to the online facility to also accommodate initial (first-time) PLP applications.

Further details about the PLP and its online application method can be accessed at https://bit.ly/PLPCirc1915and https://bit.ly/SSSPLP.

For more information, follow the SSS on Facebook and YouTube at “Philippine Social Security System,” Instagram at “mysssph,” and Twitter at “PHLSSS,” or join its Viber Community at “MYSSSPH Updates.” ###