GSIS Launches Loan Buyout Program for Members

The Government Service Insurance System (GSIS) has launched a loan buyout program to help government employees consolidate their debts with interest rates as low as 6%.

GSIS President and General Manager Wick Veloso emphasized the pension fund’s goal of shielding members from excessive interest rates.

“Through the MPL Max, we are throwing a lifeline to our members weighed down by debt,” Veloso said.

“This is more than just consolidating loans. We are helping our members rebuild their lives by creating a clear path to financial recovery and stability.”

The MPL Max program begins with a memorandum of agreement between GSIS and the member’s agency.

Once signed, employees can consolidate all their existing loans into a single loan with lower interest rates and extended payment terms.

Qualified borrowers may take out a loan of up to 19 times their salary or PHP 5 million, whichever is lower, with a repayment term of up to 10 years.

The GSIS has also removed surcharges on existing GSIS loans and waived all service fees.

The program includes loan insurance coverage at no extra cost and allows for early repayment without penalties.

Eligibility Criteria

To qualify for MPL Max, applicants must:

• Have paid at least one month of premium contributions in the past six months.
• Have no existing multi-purpose loans or defaulted GSIS Financial Assistance Loans.
• Be free of administrative or criminal cases.
• Have sufficient net take-home pay as required by the General Appropriations Act.

Required Documents

Applicants must submit the following:

• Application form and borrower loan agreement.
• Loan voucher or other certified documents confirming outstanding loans.
• Statement of account from lending institutions with borrower’s confirmation.
• Copy of the ID of the lending institution’s authorized representative.
• Latest pay slip.

Application Process

GSIS members must submit their documents in person after setting an appointment through the GSIS Touch facility.

“Our appointment system ensures that each member receives proper attention when applying for this financial relief program,” Veloso said.

Upon approval, GSIS will directly pay off the members’ outstanding loans to the lending institutions.

Any remaining proceeds will be credited to the member’s GSIS eCard or regular ATM account.

Monthly payments will be automatically deducted from the member’s salary.

Members may visit the GSIS website at www.gsis.gov.ph, follow the GSIS Facebook page (@gsis.ph), email gsiscares@gsis.gov.ph, or call the GSIS Contact Center at 8847-4747.