By Anna Leah Gonzales, Philippine News Agency
MANILA – The Social Security System (SSS) and Rizal Commercial Banking Corporation (RCBC) signed a memorandum of agreement (MOA) on Tuesday for the rollout of the SSS Loan Lite, a digital micro-loan facility offering qualified members quick cash loans.
Powered by RCBC’s DiskarTech mobile app, the micro-loan facility aims to provide qualified members with accessible, secure, and affordable financial assistance for immediate needs, the SSS said in a statement.
Qualified members can borrow PHP1,000 to PHP20,000 depending on the member’s average 12 latest monthly salary credits and application program guidelines.
The repayment period ranges from 15 to 90 days with an interest rate of 8 percent per annum.
To qualify for the loan, members must have at least 12 months of posted contributions.
However, only members with at least 36 total monthly contributions, with six posted within the 12 months preceding the application, qualify for the maximum loan amount. Additionally, borrowers must maintain the maximum monthly salary credit under the regular social security program, excluding Provident Fund contributions.
“The current economic uncertainties have caused SSS members to require a quick, accessible, and safe loan facility that will help them tide them over between paydays and provide greater financial stability during challenging times. SSS Loan Lite answers that need,” SSS President and Chief Executive Officer Robert Joseph De Claro said in his speech at the MOA signing in Makati City.
The loan can be accessed through the digital platforms of participating financial institutions, like RCBC’s DiskarTech.
“Through the strong and secure digital infrastructure of RCBC and your DiskarTech, our members will be able to access short-term facility by a fully digital process,” De Claro said.
The participating financial institution will facilitate the application, credit evaluation, approval, and disbursement processes in accordance with the program’s guidelines.
Upon approval, the loan proceeds will be credited through the applicable account with the participating financial institution.
SSS members with an RCBC-issued MySSS card can have their loan proceeds credited directly to their accounts.
RCBC Executive Vice President and Chief Innovation and Inclusion Officer Lito Villanueva said that to support the rollout, RCBC and SSS are setting up on-ground help desks at select SSS branches to assist and onboard unbanked members in person.
“No one gets left behind because the solution is digital first. It’s not enough for the system to be fast. It should also understand what kind of life our countrymen and SSS members are using,” he said. (PNA)
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