SSS looking to reduce interest rates on salary and calamity loan programs

The Social Security System (SSS) is looking to reduce interest rates on its salary and calamity loan programs this year.

In a post on its website on Feb. 15, SSS president and Chief Executive Officer Robert Joseph De Claro noted hasn't given a particular rate, but noted that the "solid performance" of the agency's investment portfolio makes it "timely" to revisit the interest rates "toward reducing it to increase the cash proceeds from loan applications by qualified SSS members."

To date, interest rates of salary and calamity loan programs are at 10% per annum.

De Claro said they're also reviewing the guidelines on the Annual Confirmation of Pensioners (ACOP) Program to simplify requirements and other verification processes.

The review includes the analysis of age and geographical distribution of pensioners, authorizing additional means for ACOP compliance, and using available SSS resources to facilitate compliance through home visits to pensioners.

De Claro assured Philippine-based retirement pensioners aged 80 and above that they will continuously receive their benefits. SSS said there are over 157,000 pensioners who are at least 80 by the end of 2024.

De Claro said they'd also pursue self-employed coverage.

Among those who would benefit from it include accountants, doctors, and engineers.

The SSS is seeking to meet with the Professional Regulation Commission to discuss opportunities for cooperation and ensure SSS coverage of such license holders.

"Our goal is to make them continue paying SSS contributions while they are gainfully self-employed even if they have reached 120 contributions already,” De Claro said.

“These plans and programs reiterate our message last month prioritizing service excellence first and foremost while ensuring financial discipline and sustainability through an empowered SSS workforce."