What is SSS loan restructuring program?

What does restructuring a loan mean?

What is Loan Restructuring? Loan Restructuring fundamentally means the modification of the loan terms and conditions. When a borrower faces financial distress, he can opt to revisit, negotiate and revise the loan terms and reduce the chances of any payment default.

Is there a SSS condonation program for 2021?

The availment period for the condonation program is up to three (3) months which shall commence on 15 November 2021. 1. All member-borrowers with past due loans for at least six (6) months as of the first day of condonation period.

What happens if SSS loan is not paid?

Any unpaid loan amortization shall bear a penalty of 1.5% for every month of delay. If the mortgagor fails to pay at least six (6) monthly amortizations, the SSS may immediately foreclose the mortgaged property.

Can I pay overdue SSS loan?

How much is the penalty for late payment of SSS salary loan? If the monthly amortization is not remitted on the due date, it will bear a penalty of 1% per month until the loan is fully paid. Even if the delay is a fraction of a month, the amortization will still be charged a full month penalty.

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Who is eligible for loan restructuring?

Who is eligible for restructuring? a) Individuals and Entities that are classified as Standard with the bank as on April 1, 2021. b) The customer has to be impacted financially by COVID-19 pandemic in the form of reduction/ loss of income or cash flows.

What is the benifit of loan restructuring?

Benefits of Debt Restructuring

Free up your cash: deferment and /or reduction in installments/ interest rate free up the immediate cash and avoid mismatches. Reduced interest rates: existing loans may be at a higher interest rate because your firm was in urgent need of funds.

Can I apply for SSS loan condonation?

The member-borrower may avail of the SSS short-term loan programs after six (6) months from the date of full payment of the Restructured Loan. … The member-borrower cannot avail of any future condonation/restructuring programs of SSS once this restructuring application is approved.

What is SSS condonation?

SSS president and chief executive Aurora Cruz-Ignacio told a press briefing on Thursday (Nov. 4) that the social security (SS) contribution penalty condonation program will allow qualified employers to pay overdue SS contributions, covering period March 2020 to present, in full or installments within a period of four …

Is there amnesty for SSS loan?

The Social Security System (SSS) has granted partial to full amnesty on loan penalties to 58,995 delinquent borrowers who availed themselves of the agency’s Loan Penalty Condonation Program, which is now halfway through its six-month implementation.

Can I have 2 loans in SSS?

You can only apply for another salary loan when you have paid at least 50% of the principal or at least half of the term has lapsed.

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What happens to my SSS loan if I resign?

In case a member-borrower is separated voluntarily, (e.g. retirement or resignation) or involuntarily, (e.g. termination of employment or cessation of operations of the company), the employer shall be required to deduct the total balance of the loan from any benefit(s) due to the employee and shall remit the same in …

Where can I pay my SSS loan overdue?

Payment shall be made at any SSS branch with tellering facility, SSS-accredited bank or SSS-authorized payment center.