PHGuides

Try

175 guides and 9 calculators, searchable in English and Tagalog.

SSS Conso Loan: Penalty Condonation Terms

Social Security System · loans

Quick answer

The SSS Conso Loan consolidates past due short-term member loans and conditionally condones the penalties. Pay in full within 30 calendar days and 100% of the penalty is waived. Or pay at least 10% down and amortise the rest over 6 to 60 months at 10% per annum.

BBAND
Band B · official published sources2 sources cited
Last verified
Where these figures come from

About these figures: the numbers below come from SSS's official published sources: Social Security System | SSS Conso Loan Program (https://www.sss.gov.ph/sss-conso-loan-program/, retrieved 2026-08-31); Social Security System | Citizen's Charter 2026 (1st Edition, External Services) (https://www.sss.gov.ph/wp-content/uploads/2026/07/2026-SSS-Citizens-Charter-1st-Edition-External-Services.pdf, retrieved 2026-08-31). Agencies change fees and rates without notice, so confirm with SSS before you rely on them. Last verified: 2026-08-31.

The Conso Loan is SSS’s standing route out of a past due member loan. The mechanism is simple: pay, and the penalty goes away in proportion to how fast you pay.

Who qualifies

Requirement Rule
Loan status At least one past due SSS Short-Term Member Loan at the time of filing
Covered loans Salary loan including SLERP, calamity loan, emergency loan, restructured loan; others as SSS determines
Definition of past due Unpaid principal, interest and penalties equivalent to more than 3 monthly amortisations, or a remaining unpaid balance after maturity
Final benefits Must not have received a final benefit such as permanent total disability or retirement
Conduct Must not be disqualified for fraud committed against the SSS
Account Must have an active My.SSS account

How the consolidation works

Component What happens to it
Outstanding principal and interest on every past due loan Combined into one SSS Conso Loan
Unpaid penalties Consolidated separately, subject to conditional condonation

Route 1: one-time payment

Rule
Deadline Pay in full within 30 calendar days from receipt of the notice of approval
Condonation 100% of the consolidated penalty is condoned
Mandatory route A consolidated loan amount up to ₱5,000 must be paid by one-time payment only

Route 2: installment plan

Rule
Down payment At least 10% of the total consolidated amount, within 30 calendar days of the notice of approval; a higher percentage may be elected
Immediate condonation Penalty proportionate to the down-payment percentage
Remaining condonation Fully condoned after full payment of the outstanding SSS Conso Loan within the approved terms
Ending balance Must be zero at the end of the term, otherwise the account is in default
Flexibility A shorter term may be selected, or the loan paid in full at any time during the installment period

The term ladder

Remaining balance Maximum term
Above ₱5,000 to ₱10,000 6 months
₱10,001 to ₱18,000 12 months
₱18,001 to ₱36,000 24 months
₱36,001 to ₱54,000 36 months
₱54,001 to ₱72,000 48 months
More than ₱72,000 60 months

What it costs to carry

Charge Rate
Interest 10% per annum, on a diminishing principal balance, amortised over the approved term
Penalty on late payment 1% per month after the due date until fully paid
Service fee SSS states there is no service fee

Worked down payments

At the minimum 10%, these are the down payments the ladder implies. They are arithmetic on SSS’s published percentages, not SSS quotations.

Total consolidated amount 10% down payment Remaining balance Maximum term
₱10,000 ₱1,000 ₱9,000 6 months
₱20,000 ₱2,000 ₱18,000 12 months
₱40,000 ₱4,000 ₱36,000 24 months
₱60,000 ₱6,000 ₱54,000 36 months
₱80,000 ₱8,000 ₱72,000 48 months
₱100,000 ₱10,000 ₱90,000 60 months

Note how the ladder is written against the remaining balance, so a larger down payment can move you into a shorter maximum term.

What SSS promises in return

Benefit Detail
Condonation All penalties condoned or waived on full payment
Terms Extended repayment terms
Fees No service fee
Standing Restoration of good standing status with SSS

Default, and what it costs

An account is in default when the member-borrower:

# Trigger
1 Fails to pay the agreed one-time payment or down payment in full within the approved period
2 Fails to pay an obligation equivalent to more than 6 accumulated monthly amortisations
3 Fails to complete the installment plan within the approved term
4 Commits a fraudulent act against SSS or violates its regulations

On default, the full amount including the uncondoned penalty becomes due and demandable without demand or notice, and the outstanding balance is deducted from benefits: short-term benefits such as sickness, maternity and partial disability, and final benefits such as retirement, total disability or death. Any remaining unpaid balance keeps accruing interest and penalties.

The same deduction applies even without default if you claim a retirement or total disability benefit, or your beneficiaries claim a death benefit, while a balance is outstanding.

The loans this cleans up

Loan Interest Where it is covered
Salary loan 8% or 10% per annum, over 24 amortisations SSS salary loan
Calamity loan 7% or 10% per annum SSS calamity loan
Pension loan 10% per annum, 2% service fee SSS pension loan
SSS Conso Loan 10% per annum, no service fee This page

Where a past due loan hurts most

Benefit What a default costs you
Retirement pension Balance deducted from the proceeds
Death and funeral benefit Deducted from your beneficiaries’ claim
Disability benefit Deducted from a total or partial disability claim
Sickness benefit Deducted from a short-term claim
Maternity benefit Deducted from a short-term claim

What this page does not cover

SSS does not publish, on the pages read for this guide, the application form number, the processing time for a Conso Loan application, the notice-of-approval delivery method, whether a second Conso Loan is allowed after one is settled, or the treatment of housing loans. None of those are stated here.

The SSS salary loan guide and the calamity loan guide cover the two loans most often consolidated. The My.SSS registration guide covers the account the application needs.

Frequently asked questions

What is the SSS Conso Loan?
A consolidated loan with penalty condonation. All outstanding principal and interest on your past due short-term member loans are combined into one SSS Conso Loan, and the unpaid penalties are consolidated separately and subject to conditional condonation.
Which loans are covered?
Salary loan including the Salary Loan Early Renewal Program, calamity loan, emergency loan and restructured loan. SSS notes other short-term member loans may be included as it determines.
What counts as past due?
A loan with an unpaid obligation of principal, interest and penalties equivalent to more than 3 monthly amortisations, or a loan with a remaining unpaid balance after its maturity.
How do I get 100% of the penalty condoned?
Pay the SSS Conso Loan in full within 30 calendar days from receipt of the notice of approval. A consolidated loan amount up to ₱5,000 must be paid by one-time payment only.
What if I cannot pay in one go?
Put down at least 10% of the total consolidated amount within 30 calendar days, or more if you choose. The penalty proportionate to your down-payment percentage is condoned immediately, and the remainder is fully condoned once you finish paying the loan within the approved terms.
What are the installment terms?
By remaining balance: 6 months above ₱5,000 to ₱10,000; 12 months for ₱10,001 to ₱18,000; 24 months for ₱18,001 to ₱36,000; 36 months for ₱36,001 to ₱54,000; 48 months for ₱54,001 to ₱72,000; and 60 months for more than ₱72,000. A shorter term may be chosen, and you may pay in full at any time.
What interest applies?
10% per annum on a diminishing principal balance, amortised over the approved term until fully paid, with a penalty of 1% per month after the due date on late payment of the monthly amortisation.
What happens if I default?
The uncondoned portion of the penalty is reimposed and becomes due and demandable, and the outstanding balance is deducted from any benefit due to you or your beneficiaries, including sickness, maternity and partial disability, and retirement, total disability or death.
  1. Social Security System | SSS Conso Loan Programopens in a new tab, retrieved
  2. Social Security System | Citizen's Charter 2026 (1st Edition, External Services)opens in a new tab, retrieved