Social Security System satellite office at Ali Mall in Quezon City on July 6, 2023. ABS-CBN News/File 

MANILA -- The Social Security System (SSS) on Wednesday said it was consolidating the past due short-term loans for some of its members and waiving the penalties for these.

The SSS said that under its Consolidation of Past Due Short-Term Member Loans with Condonation of Penalty (Conso Loan) program, it would combine the principal and interest of a member’s past-due short-term member loans into one consolidated loan, while all unpaid penalties would be consolidated and waived upon full payment of the loan.

Those who have unpaid salary, calamity, emergency, and restructured loans, including the Salary Loan Early Renewal Program (SLERP), may avail of the program, said SSS executive vice president for investments sector Rizaldy Capulong.

They must not have been granted any final benefit such as permanent total disability or retirement, and have not been disqualified due to fraud committed against the SSS.

Capulong said they must also have an active My.SSS account. 

Members can pay their consolidated loan through a one-time payment within 30 days after receiving the approval notice, or they may pay through installment.

Those who choose to pay in installments must pay a down payment equivalent to at least 10 percent of the consolidated loan within 30 days after receiving the approval notice. 

They can pay the remaining balance for up to 60 months. The length of the installment term depends on the amount of the unpaid loan. 

Paying for past due short-term loans means an SSS member regains his or her good standing and can take out new loans. 

More than half a million members have availed of the Conso Loan program as of December 2023, Capulong said. The SSS has condoned more than P7.3 billion in loan penalties. 

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