According to Government Service Insurance System (GSIS) they are granting another loan moratorium to the members and pensioners with outstanding loans. Members and pensioners will enjoy this another credit extension will mean delay the monthly amortization for another greased period which is sixty (60) days for the months November and December 2020. The derivation of credit amortization will continue on January 1, 2021 and the loan amortization payment including principal, interest, as well as fire/redemption insurance will be dispatched on February 10, 2021. In short, the loan term will be extended for another two (2) months. Regarding to this no credit interest will be charged during the time of moratorium, or will be added to the monthly amortization payable over the rest of the term of the loan.
In an advisory of the GSIS this 60 day loan extension is mandated under the Bayanihan to Recover as One Act, which was approved by GSIS president and general manager Rolando Macasaet last October 1, 2020 under GSIS Memorandum Circular No. 19. As the GSIS said, that there will be no interest on the loan amortization will be charged during the period of moratorium. Meanwhile, the normal interest will appeared as the accrued interests because of the delayed monthly amortizations but it will adjust the principal amount of the loan.
This Law of Bayanihan to Recover as One Act or the Bayanihan 2 was signed by President Rodrigo Duterte and it provides ₱165.5 billion fund to sustain the efforts in the fight against COVID-19 pandemic response and recovery. All the private lending institutions including the government has the obligations to take their part to help all the Filipino workers who has rendering their service to the country.