GSIS lends P208B under MPL Loan Flex program

GOVERNMENT Service Insurance System (GSIS) has lent P208.17 billion to 790,514 members through its Multi-Purpose Loan Flex (MPL Flex) program in just a year since its launch, it said on Monday.

The state-run pension fund has made consistent loan disbursements under its MPL Flex program since it was launched in September 2023, it said in a statement.

“This unprecedented milestone of MPL Flex’s first anniversary only strengthens the GSIS mandate to continue to provide accessible loans to our members. The MPL Flex Loan Program is a vital resource in helping them achieve their financial goals while ensuring overall well-being,” GSIS President and General Manager Jose Arnulfo A. Veloso said.

“Loan proceeds can be used as seed capital for small businesses, providing an additional stream of income. I encourage our members to maximize the benefits of MPL Flex for personal and investment purposes,” Mr. Veloso added.

The loan program aims to provide government employees with a flexible financial solution at a 6% interest rate with repayment terms up to 15 years.

Members can borrow up to 14 times their basic monthly salary, with a maximum loan limit of P5 million.

Eligible borrowers include active and special GSIS members who are not on leave without pay and have made at least one-month premium payment. They must also have a net take-home pay of at least P5,000, in accordance with the General Appropriations Act.

GSIS saw its net income rise by 21% year on year to P37 billion in the first quarter amid strong revenues. — AMCS