The Government Service Insurance System has saved its 190,000 members who have fallen victims to loan sharks and ‘5-6’ lenders who offer quick financial relief but have left them buried deeper in debt with high interest rates.
“The GSIS Financial Assistance Loan (GFAL) program is our intervention measure in response to President Rodrigo Duterte’s order to help end the cycle in which GSIS members fall prey to predatory lending businesses that charge staggering interest rates,” chairman and acting president and general manager Rolando Ledesma Macasaet said.
He said GFAL was a facility that enables GSIS members to pay their outstanding loans with lenders at a lower interest rate of 6 percent per annum and longer payment term of six years.
“The program ensures our members higher take-home pay, decent wage, and protection for their future benefits from unwanted deductions,” Macasaet added.