GSIS Ginhawa loans top PHP942B, aid 1.1M workers

More than 1.1 million government employees have borrowed PHP942.43 billion from the Government Service Insurance System (GSIS) since 2020 through its Ginhawa loan programs, according to the agency.

Launched in 2020, the Multi-Purpose Loan (MPL) replaced the Consolidated Loan Program, offering faster processing, lower interest rates, and more flexible repayment options.

GSIS said the five-year disbursement total is approaching PHP1 trillion, reflecting strong demand for affordable credit to cover emergencies, education, and business needs.

The program offers three loan types: Ginhawa Lite for quick cash advances, Ginhawa Flex for recurring expenses such as tuition, medical bills, or business capital, and Ginhawa Max for consolidating high-interest debts from private lenders.

Interest rates range from 6% to 7% annually, with Ginhawa Max eliminating service fees entirely. GSIS said this saves borrowers hundreds or thousands of pesos compared with commercial lending rates.

“Nearly PHP1 trillion in disbursements reflect the real financial needs of government employees and their families,” GSIS Officer-in-Charge Juliet Bautista said in a statement.

For Nemen San Jose, a municipal councilor in Teresa, Rizal, the Ginhawa Flex loan expanded his livelihood ventures.

“Dahil sa MPL Flex, nakabili ako ng isang lote na ginawa kong babuyan na ngayon ay may 27 nang baboy. Nakabili rin ako ng isang sasakyan para sa aking car rental business. Doon ko na kinukuha ang baon at gastusin ng mga anak ko,” he said.

“Maganda ang MPL Flex dahil six percent per annum lang ang interest. Yung mga nautangan na ibang lenders, umaabot nang 60% per annum. Malaki po ang diprensiya.”

In Bukidnon, public school teacher Veverlie Padernal said she turned to Ginhawa Flex after her husband, a farmer, was struck by a truck and could no longer work.

“Nabundol siya ng truck. Hindi na siya makapagtanim, madalas sumakit ang ulo niya,” she said. The loan allowed her to build a home and start a motorcycle parts business, providing steady income for her family.

GSIS said the Ginhawa loan programs underscore its commitment to offering affordable credit and member-friendly terms, aiming to strengthen the financial stability of government workers nationwide.