GSIS to lift waiver on penalties

  • Page Views 2796
  • The Government Service Insurance System (GSIS) starting October 1 will start collecting penalties and surcharges on past due loan accounts of members still in active service.

    The GSIS is urging its members to settle their past due loan accounts until September 30 this year to avoid further penalty charges.

    Jesus Clint Aranas, GSIS president and general manager, said one way of settling their loan accounts is by availing of the Enhanced Conso-loan Plus program which waives all penalties and surcharges on their existing salary loan accounts including additional interests.

    “Paying off your loan will also enable you to avail of other GSIS benefits which you could not otherwise enjoy if you have defaulted on your loans,” Arenas said.

    “If you will restructure your salary loan accounts through the Enhanced Conso-Loan Plus, you will avoid the unfailing predicament of having your retirement pay eaten up by your loan balance in due course,” Aranas said.

    He explained that when GSIS members fail to pay their amortization for more than six months, their loan accounts will become in default.

    Starting October 1, this will automatically set off the computation of pro-rated surcharges and penalties.

    These charges, which are originally intended to discourage borrowers from defaulting on their loans, will add up to their bill which may further swell if not abated early enough.

    At present, GSIS is not collecting penalties and surcharges on past due loan accounts if the member is in active service.

    In the long term, according to Aranas, this “automatic waiver” for penalties and surcharges will compound the forgone interest income from the pension fund’s loan investments which will eventually be disadvantageous to the social insurance fund.

    (Malaya)

    Share

    New Posts Recently publish post More

    • 28 July 2022
      3 weeks ago No comment

      BBM states in SONA: “We will endure”

      President Ferdinand “Bongbong” Marcos Jr. struck a hopeful note in his first State of the Nation Address or SONA on July 25, 2022. Marcos delivered his speech before a joint session of Congress, with Senate President Juan Miguel Zubiri and House of Representatives Speaker Martin Romualdez behind him. “We ...

    • 28 July 2022
      3 weeks ago No comment

      Tips to Stay Cool and Safe During Extreme Heat

      Surrey, BC – With warmer than average temperatures arriving, the City of Surrey is reminding residents to take the necessary steps to stay safe in extreme heat, how to spot the signs of heat exhaustion, and where to find public pools, spray parks and air-conditioned civic facilities for heat ...

    • 21 July 2022
      4 weeks ago No comment

      Ed Lantin exhibit, Buto-Buto play showcase Filipino artistry in Vancouver

      Filipino artistry is once again in full display in Vancouver with two shows, and the Philippine Consulate General is at the forefront of promoting these events. One is the Edgardo Lantin Art Exhibit, and the second, a theatrical production titled “Buto/Buto: Bones are Seeds”. The Lantin art exhibit and ...

    • 14 July 2022
      1 month ago No comment

      “Heaven Can Wait”: ART ALAFRIZ

      To all of you who have shared my 84 year journey through life no matter how brief, I thank you for being part of it as every moment adds spice and color to a life I consider well lived. LIVING WITH CANCER June 16, 2022 at the Surrey Memorial ...

    • 07 July 2022
      1 month ago No comment

      88 Supermarket Celebrates Canada Day

      88 Supermarket celebrated Canada Day by giving away gift certificates and prizes plus a 2022 Mitsubishi RVR for their annual raffle. Present for the raffle was 88 Supermarket President and CEO Ken Chau, and General Manager Khalil Qureshi as well as James Green of Mitsubishi and Rey Fortaleza, official ...

    %d bloggers like this: