The Social Security System (SSS) is preparing to roll out a low-interest micro-loan program aimed at steering members away from loan sharks and other high-cost informal lenders, as part of the government’s broader push to expand financial protection and inclusion, a Department of Finance media release said.
Finance Secretary and Social Security Commission Chair Frederick D. Go said the proposed SSS Micro-Loan Program is designed to give members fast, safe, and affordable access to short-term credit, particularly for urgent, everyday needs that often drive borrowers toward predatory lending.
The initiative aligns with the directive of President Ferdinand R. Marcos Jr. to shield Filipinos from exploitative lending practices while ensuring timely financial support through formal and regulated channels.
“Through the proposed SSS Micro-Loan Program, we are addressing the immediate cash needs of members by offering small, short-term loans at reasonable rates and with flexible repayment options,” Secretary Go said.
“This program will help steer members away from loan sharks and other high-cost, predatory lending schemes, while promoting responsible borrowing,” he added.
Under the proposed framework, the SSS will partner with participating banks and financial institutions, allowing members to access loans conveniently through digital platforms.
Key features of the program include loan amounts ranging from ₱1,000 to ₱20,000, depending on a member’s average monthly salary credit; flexible repayment terms of 15 to 90 days; and an interest rate of 8% per annum, or about 0.67% per month, significantly lower than rates charged by informal lenders.
The micro-loan facility will be open to eligible SSS members aged 18 to under 65 years old with at least 12 paid monthly contributions, and who have no pending or settled retirement, total disability, or death benefit claims. Members with existing SSS loans may still qualify, subject to program limits.
The SSS is currently finalizing program guidelines, systems integration, and partnerships with participating banks, with a pilot rollout targeted for the first half of 2026.
“This micro-loan program reflects our continued commitment to strengthening social protection and advancing financial inclusion for all Filipinos,” Secretary Go said.