In a significant move to aid its members, the Social Security System (SSS) has partnered with Rizal Commercial Banking Corporation (RCBC) to offer microloans up to ₱20,000 through the DiskarTech app. This initiative addresses the urgent need for accessible financial solutions among SSS members.
A Streamlined Digital Solution
This new service, known as SSS Loan Lite, enables eligible members to apply for loans directly from their smartphones. The process eliminates the need for physical branch visits and cumbersome paperwork, providing a quick and efficient way to access emergency funds.
This initiative reflects our commitment to providing affordable financing alternatives to our members. It also aims to keep them from falling into debt traps due to high-interest loans.
Frederick Go, Finance Secretary
The loan comes with a regulated annual interest rate of 8% and allows for flexible repayment periods ranging from 15 to 90 days. Borrowers can set up automatic repayments through the app, ensuring a hassle-free experience.
Eligibility Criteria for SSS Loan Lite
- Must have at least 12 posted monthly SSS contributions.
- To qualify for the maximum loan of ₱20,000, members need a minimum of 36 contributions, with six made in the last year.
- Active status in the regular SSS program is required.
Even members with existing SSS loans can apply for the new microloan, provided they meet the basic contribution requirements.
Steps to Apply for the Loan
- Download the RCBC DiskarTech app and verify your account.
- Select the SSS Loan Lite option within the app.
- Review and confirm your pre-filled details.
- Complete a biometric verification.
- Choose your loan amount and repayment terms, and confirm.
Following the approval, funds are transferred directly to the borrower's DiskarTech account, ensuring immediate access to cash.
Impact on Financial Inclusion
The collaboration between RCBC and SSS aims to foster greater financial inclusion in the Philippines. This microloan initiative builds on previous digital services, including the MySSS Card, which integrates social security identification and banking.
SSS President Robert Joseph de Claro emphasized that the program targets younger workers, with an expected reach of 1 to 2 million members initially. To assist those without bank accounts, physical help desks will be established at selected SSS branches.
This initiative aligns with RCBC's broader strategy to enhance its digital offerings, signaling a commitment to advancing financial technology in the Philippines.