Salary loans in the Philippines
"Salary loan" means two quite different things in the Philippines. Most people searching for one mean an <strong>SSS or Pag-IBIG member loan</strong> — money you can borrow against your own contributions, at a cost private lenders cannot come close to. A smaller number mean a private loan repaid by salary deduction through an employer arrangement. This page covers the member loans first, because if you qualify for one, nothing else on this site is a better deal. We do not earn anything from SSS or Pag-IBIG and we are telling you to check them first anyway.
No providers listed for salary loans in the philippines yet.
SSS salary loan
Available to employed, self-employed and voluntary members with enough posted contributions. The amount is based on your average monthly salary credit, and the maximum depends on how many contributions you have made — a one-month loan for members with fewer contributions, a two-month loan once you cross the higher threshold. It is repaid over two years in 24 instalments, and the interest is a fraction of what any online lender charges.
You apply through My.SSS rather than at a branch, and disbursement goes to a registered bank account or e-wallet. The most common reason for a decline is unposted contributions, which is worth checking in your online account before applying rather than after.
Pag-IBIG multi-purpose loan
The MPL pays out a percentage of your total accumulated value — your own savings plus the employer counterpart plus dividends — so the more you have contributed, the more you can draw. It requires at least 24 monthly contributions and is repaid over up to three years. Like the SSS loan, it is priced well below the private market, and applications go through Virtual Pag-IBIG.
Because both are secured against money that is already yours, neither depends on your credit record. That makes them the first thing to check if your record is poor, not the last.
GSIS loans
Government employees are covered by GSIS rather than SSS, with its own consolidated and emergency loan programmes on comparable terms. The principle is the same: borrow against your own membership before borrowing from the market.
Private salary loans
Some lending companies offer loans repaid by salary deduction, arranged through an employer. These are usually cheaper than a standard online loan because the repayment risk is lower, but they are only available where your employer has an arrangement in place — ask HR rather than the lender. Anything advertised as a "salary loan" that does not involve either your employer or your SSS, Pag-IBIG or GSIS membership is simply a personal loan with a friendlier name.
Work out what you can actually service
All of these are repaid by deduction, so what matters is the effect on your take-home pay rather than on your gross salary. Our take-home pay calculator works out what you are left with after SSS, PhilHealth, Pag-IBIG and withholding tax on the current schedules, which is the figure a repayment should be measured against.
If you do not qualify
Insufficient contributions is the usual barrier, and it is not one you can solve quickly. If a member loan is not available to you now, a personal loan or an online loan is the realistic alternative — at several times the cost, which is worth being clear-eyed about before you commit.
Questions people ask
How much can I borrow on an SSS salary loan?
It is based on your average monthly salary credit, with a one-month loan available to members with fewer posted contributions and a two-month loan once you pass the higher contribution threshold. Repayment runs over 24 months. Check your posted contributions in My.SSS before applying, since unposted contributions are the most common reason for a decline.
What is the difference between an SSS salary loan and a Pag-IBIG multi-purpose loan?
The SSS loan is based on your salary credit and repaid over two years. The Pag-IBIG MPL pays out a percentage of your total accumulated value — your savings, the employer counterpart and dividends — and is repaid over up to three years. Both are far cheaper than private lending, and neither depends on your credit record.
Can I get a salary loan with a bad credit record?
Yes. SSS, Pag-IBIG and GSIS loans are secured against your own contributions, so your credit file is not the deciding factor. That makes them the first place to look if your record is poor.
Is a private salary loan the same thing?
No. A private salary loan is repaid by deduction through an arrangement your employer has with a lender, so ask HR rather than the lender. Anything marketed as a salary loan that involves neither your employer nor your SSS, Pag-IBIG or GSIS membership is a personal loan under another name.