SSS Calamity Loan Assistance Program – How to Apply SSS Calamity Loan Assistance Program

SSS Calamity Loan Assistance Program. The Social Security System of the Philippines (SSS) stands as a symbol of hope for its members during difficult times through the Calamity Loan Assistance Program (CLAP). There is a program that is designed to provide immediate financial assistance to members who may find themselves in the unfortunate wake of a disaster. If you are qualified, you can obtain a loan that is equal to your one-month salary credit, calculated from your last 12 monthly salary credits, to assist you in rebuilding your life after the disaster.

The CLAP is intended to support members who have contributed 36 monthly contributions in the last year, with six contributions within the past year, and who live within areas declared to be in a state of disaster. It comprises a two-pronged approach: a loan for immediate financial relief, as well as a three-month advance pension for Social Security and EC pensioners. Applicants can expect manageable repayment terms over a 24-month period with low annual interest rates, which ensures affordability. The CLAP strengthens the role of the SSS in supporting the resilience and recovery of its members, upholding the Filipino value of community unity and cooperation.

The SSS Calamity Loan Assistance Program (CLAP) is a special loan facility designed to assist SSS members who are adversely affected by natural disasters. It aims to offer financial support to help members recover and rebuild their lives post-calamity. The loan amount is typically equivalent to the member’s one-month salary credit (MSC), based on the average of their last 12 MSCs, or the amount they applied for, whichever is lower.

Read also: SSS Educational Assistance Loan Program

The following steps must be taken by members in order to participate in the program:

• The applicant must be registered on the SSS website (My.SSS facility) in order to submit an online application.
• It is required to have at least thirty-six (36) monthly contributions, six (6) of which must have been posted within the last twelve (12) months prior to the month of application filing.
• The borrower must have at least six (6) monthly contributions posted under the current coverage/membership type before applying for a loan. This requirement applies to Self-Employed, Voluntary (including non-working spouses), and Overseas Filipino Workers (SE/VM/OFW) who are land-based.
• Must be residents of the calamity declared areas and have suffered damages/losses to their properties. For CLAP purposes, a resident is someone who owns a home or property in a disaster-affected area.
• Not been granted a final benefit, i.e., retirement or permanent total disability.
• There must be no past due SSS Short-Term Member Loans.
• There must be no outstanding Loan Restructuring Programs (LRPs) or Calamity Loan Assistance Programs (CLAPs).

Read also: SSS Conso Loan Program – How To Apply For SSS Conso Loan

CLAP applications must meet the following requirements:

• Fill out the Application for Calamity Loan Assistance form.
• Address proof or a certificate of residence.
• For employed members, employer certification required for the CLAP application.

The loanable amount

The loan amount shall be equal to one (1) Monthly Salary Credit (MSC) calculated based on the average of the last twelve (12) MSC (rounded up to the nearest thousand), or the amount applied for.

Repayment Term and Payment Schedule

• This loan shall be repaid within two (2) years in twenty-four (24) equal monthly installments.
• The loan amortization shall start in the second month following the loan approval date.
• Deadlines for payments shall be on or before the last day of the month following the applicable month.
• The payment deadline may be extended to the next working day if it falls on a Saturday, Sunday, or holiday.
• The payment shall be made at any SSS Branch Office with a payment facility, at an SSS-accredited bank, or at an SSS-authorized payment center.

Read also: SSS Pension Loan – SSS Pension Loan Online Application

Here are the simple and easy steps to apply for an SSS Calamity Loan:

• Log In to Your My.SSS Account: Visit www.sss.gov.ph and sign in to your My.SSS account.
• Apply for a Calamity Loan: Go to “E-SERVICES” and click on “Apply for Calamity Loan.”
• Update Your Information: Make sure your local mailing address is correct. This helps with smooth processing.
• Fill Out the Application Form: Provide the required details and complete the online application form.
• Submit the Application: Review all the details to ensure accuracy, then click Submit.
• Wait for Approval: SSS will review your application. You can check updates by logging into your account.

Note: Processing Time: Application Processing: 3 to 5 working days.

• Approval Decision: Typically within 7 to 15 business days.
• UMID-ATM Card
• PESONet Bank Account
• Union Bank Quick Card (DAEM-registered)

• Loan Disbursement: Once your loan is approved, the money will be sent to your account using the payment method you selected.

Read also: How To Pay SSS Loan Online – How To Pay SSS Loan Using Gcash

Applying for the SSS Calamity Loan Assistance Program is a straightforward process. Follow these simple steps to complete your application form correctly and ensure a smooth loan approval process.

Fill in Your Personal Information

• Enter your SSS number and full name as Registered with SSS.
• Provide your date of birth, home address, and contact details.
• If you are employed, include your Employer ID Number.

Specify Loan Details

• Indicate the loan amount you need (should not exceed your one-month salary credit).
• Choose your preferred repayment term, usually up to 24 months, with a grace period before repayment begins.

Provide Employment Details (If Applicable)

• Enter your employer’s name and address with postal code.
• If you have changed jobs, list your previous employers and employment dates.

Enter Your Bank Information

• If you want the loan amount credited to your bank account, provide your bank name and account details.
• Check with SSS to ensure your bank is accredited for direct deposit.

Read and Agree to the Loan Terms

• Carefully go through the terms and conditions of the calamity loan.
• Signing the form means you agree to:
  • Loan amount
  • Interest rates
  • Repayment schedule
  • Possible deductions from future SSS benefits if unpaid.

Sign the Promissory Note

• This is a legal agreement stating that you will repay the loan on time.
• It includes details like interest rates, repayment schedule, and late payment penalties.

Get Employer’s Certification (For Employed Members)

• Your employer needs to fill out the Certificate of Net Pay, confirming your salary, deductions, and net monthly income.
• This helps determine how much loan you qualify for.

Authorize Salary Deductions (Optional)

• If you prefer, you can allow SSS to automatically deduct loan payments from your salary or future benefits.

Final Steps

• Double-check all details to ensure accuracy.
• Sign the form in the required sections.
• Submit the completed form to the nearest SSS branch or apply via the online portal (if available).

NOTE: Read all the instructions carefully before submitting the application. Ensure you meet the eligibility requirements and understand the loan repayment terms. If you have any questions or need assistance, visit your nearest SSS office or use their online customer service.

Read also: SSS Loan Application Form – Download – Submit Process

• Service fees of 1% of the loan amount are waived.
• An interest rate of 10% per annum shall be applied until the loan is paid in full, based on the diminishing principal balance, and it shall be amortized over a period of twenty-four (24) months.
• A proration of interest shall be deducted in advance from the proceeds of the loan from the date of granting up to the end of the month prior to the first amortization month.

Sample Illustrating

Loan Date	January 2022
First Amortization Month	March 2022
Loan Amount	Php16,000.00
Interest from 22 January – 28 February 2022 Php16,000.00 x 38 days x 10% / 365= Php166.58
Php166.58 will be deducted from the loan proceeds

• An excess of the depreciation payment shall be applied to the outstanding principal balance.
• If loan amortization is not remitted on time, it shall be penalized at 1% per month.

In case the member-borrower does not immediately pay the outstanding balance, the arrearages/unpaid loan, along with interest and penalties, will be deducted from member benefits as follows:

• For employed members – the final benefit (disability, retirement, or death).
• For self-employed/voluntary members – temporary benefits (maternity, partial disability, sickness) or permanent benefits (total disability, retirement, or death)

Other Loan Conditions

• The member must fully repay the existing Calamity Loan before the SSS will be able to issue future Calamity Loans.
• A previous overpayment of a loan will be validated by SSS, if applicable, and applied to the active loan. When there is no active loan, the loan shall be refunded to the member-borrower upon his/her request.
• An aggregate unpaid obligation equivalent to more than six (6) monthly amortizations shall trigger loan default. If a loan defaults, the full balance becomes due and demandable. A defaulted account is subject to 10% interest per annum on the outstanding principal balance as well as a 1% penalty per month on unpaid principal and interest until the account is fully repaid.
• This program shall be subject to other terms and conditions within the salary loan guidelines that are not inconsistent with the above provisions.

There are several ways in which the loan proceeds can be released:

• The Unified Multi-Purpose Identification (UMID) – Automated Teller Machine (ATM) Card provides the following functionality:
• With an activated UMID-ATM, the loan proceeds will be automatically credited to the member-borrower’s account.
• By way of the Philippine Electronic Fund Transfer System and Operation Network (PESONet) Accredited/Participating Banks:
• An active single account in any PESONet accredited bank in the name of the member-borrower may be enrolled in the DAEM and may be utilized to disburse CLAP applications by logging onto the member’s My.SSS account.

Employee Loan Applications must be certified by the employer who must attest to the following:

• The borrower is currently employed by the company or employer.
• There is sufficient net take-home pay to cover the deduction of the monthly amortization on the loan.

• The employer is responsible for collecting payroll deductions and remitting to the Social Security system the amortization due on loans held by employed members.
• When an employed member is separated from the company either voluntarily (such as through retirement or resignation) or involuntarily (such as when the company ceases operations or terminates the employment contract), the employer shall deduct the total balance of the loan from any benefits due the employee and remit the same to the Social Security System.
• When an employed member ceases earning from the company and the corresponding reason has been determined by the SSS through a Payment Reference Number (PRN) – Loan Collection List (LCL), as part of the Real-Time Processing of Loans (RTPL) program, if the member’s salary or benefits are insufficient to fully repay the loan.
• As a new employee, the employer is required to secure an updated statement of account through his/her My.SSS account, deduct the amortization due from the employee’s salary, and remit payment to SSS.

• In order to update the member’s contact information, your SSS account must be logged into through the SSS website or mobile app, or you may submit a properly filled out Member Data Change Request Form (E-4) to the SSS Branch nearest to you.
• If a member transfers employment, he/she automatically authorizes the new employer to deduct from his/her salary the corresponding amortization due, including any interest or penalty for late payments.

The SSS Calamity Loan serves as a crucial financial lifeline for members affected by natural disasters. By providing immediate access to funds, it enables individuals and families to:

• Address Immediate Needs: Cover essential expenses such as food, clothing, and temporary shelter.
• Repair and Rebuild: Undertake necessary repairs to damaged properties or replace lost belongings.
• Stabilize Livelihoods: Support small businesses or employment-related needs disrupted by the calamity.

Who qualifies for a SSS calamity loan?

Ans: To apply for the program, members must register on the SSS Website (My SSS facility), which facilitates online application submissions. The applicant must have made at least thirty-six (36) monthly contributions, six (6) of which should have been made within the twelve (12) months prior to filing the application.

Who is eligible for a SSS emergency loan?

Ans: Applicants must be under the age of sixty-five (65) at the time of application. No fraud has been committed against the SSS to disqualify them. Prior to the month of loan application, individuals paying by check must have paid at least six (6) monthly contributions under their current membership/coverage type.

How to avail disaster subsidy benefit SSS?

Ans: SSS account on the SSS website (www.sss.gov.ph); (2) have at least 36 monthly contributions, six of which should have been posted within the last 12 months prior to the month when the application was submitted; (3) have at least six monthly contributions under the current coverage/membership type posted before the month of loan.

The SSS Calamity Loan Assistance Program (CLAP) plays a crucial role in providing financial relief to members affected by natural disasters. By offering affordable loan terms, low-interest rates, and flexible repayment options, the program ensures that eligible members can recover and rebuild their lives with ease. With simple online application steps and manageable loan conditions, SSS continues to uphold its commitment to helping Filipinos during times of crisis.