The SSS charges a one percent monthly penalty on unpaid loans, the press release said.
"Members who neglect their loan payments will face ballooning monthly penalties that will be harder for them to pay off in the future. They also risk having the delayed release of their SSS pension because their benefits will be first applied to paying the overdue loan," he said.
The six-month availment period of the condonation program for delinquent borrowers will end on September 30, 2012, the press release said.
The SSS grants condonable penalties of 50 to 100 percent, depending on the borrower's situation and mode of payment under the program.
De Quiros said members can file their applications for penalty condonation at the nearest SSS branch, while those who no longer need to submit supporting documents can apply electronically by logging on at www.sss.gov.ph.
"The SSS has approved a total of 7,083 web-based applications, 5,550 of which were filed by members who opted for installment payments and 1,533 more from those who paid in full. Employee-members accounted for 6,037 of applications filed through the SSS website," he revealed.
The SSS offers 100 percent condonation of penalties to borrowers under Situation 1-A, or those whose employers failed to remit the loan amortizations deducted from members' salaries. They can submit proof of employers' unremitted loan payments such as pay slips or affidavits, the press release said.
De Quiros said the amnesty is also extended to beneficiaries of member-borrowers who died with unpaid loans (Situation 1-B) to enable dependents to receive the full amount of death benefits. They can file their application for condonation with their SSS death claim until March 13, 2013.*