The Social Security System disbursed over P115.53 million for educational loans from January to June 2021, that was 52.5 percent or P39.75 million higher than last year’s releases.
Over 6,500 applications for tuition financing assistance were received by the pension fund in the same period.
The Educational Assistance Loan Program has been implemented starting 2012 to help member-borrowers and their covered beneficiaries defray their educational expenses for undergraduate/college degrees, as well as vocational or technical courses. Initially, it has a total budget allocation of P7 billion, 50 percent of which came from the national government and the remaining half from the SSS.
Eligible borrowers are those below 60 years old, whose actual monthly basic income is P25,000 or below, and with at least 36 posted contributions, six of which posted within the last 12 months before the month of filing the EALP application. Payment of member’s other existing member loans should be updated to qualify for the EALP. Disqualified are those with overdue accounts with SSS, its press release said.
Covered beneficiaries are the member-borrower, his/her legal spouse, his/her legitimate/illegitimate or legally adopted children, and sibling of member-borrower, if his/her civil status is single, including half-brothers/sisters.
An eligible member-borrower is allowed only one loan beneficiary at a time, and substitution of beneficiary is not allowed. Full scholars with zero tuition/miscellaneous fees/assessment balance are not eligible as beneficiaries.
The maximum loanable amount for a degree course is P20,000 per semester/trimester/quarter or net tuition/miscellaneous fees/assessment balance on cash basis, whichever is lower. For a four-year degree program or its equivalent, the maximum number of availments is eight semesters/12 trimesters/16 quarters, or P160,000 as full allocation, the press release said.
The maximum number of availments for a 5-year degree program or its equivalent is 10 semesters/15 trimesters/20 quarters, or a maximum of P200,000 full allocation.
For a two-year vocational/technical course, the maximum loanable amount is P10,000 per semester/trimester or net tuition/miscellaneous fees/assessment balance on cash basis, whichever is lower. The maximum number of availments is four semesters or a maximum of P40,000 full allocation. For a trimester program, the maximum number of availments shall be six trimesters or a maximum of P60,000 allocation.
Qualified members may apply by submitting a duly accomplished EALP application form, valid identification card/s or document/s, current school’s assessment/billing statement, proof of monthly salary/income of member-borrower, and proof of relationship to beneficiary. For subsequent EALP applicants, they must submit an accomplished EALP application form, valid IDs or document/s, and current school’s assessment/billing statement, the press release added.*