Planning to borrow ₱37,000 from SSS and wondering how much your monthly payment will be?
This guide explains exactly how much you’ll take home, how much interest SSS deducts upfront, and what your monthly amortization will be for a 2-year term.
We’ll also show the pro-rated interest computation — something most guides miss but that directly affects how much cash you actually receive.
🏦 What Is an SSS Salary Loan?
The SSS Salary Loan is a short-term loan designed to help active SSS members cover personal or emergency expenses.
Loan payments are automatically deducted from your salary or can be paid through your My.SSS account if you’re self-employed or voluntary.
You can borrow:
1-year loan – up to 1 month of your Average Monthly Salary Credit (AMSC)
2-year loan – up to 2 months of your AMSC
Because ₱37,000 is above ₱25,000, it qualifies as a 2-year (24-month) loan.
⚙️ Official SSS Computation Rules (2025)
Rule
Description
Interest Rate
8% per annum based on diminishing balance
Loan Term
24 months
Service Charge
1% of loan amount (deducted upfront)
Pro-Rated Interest
Deducted upfront, covering approval date to end of next month
Late Payment Penalty
1% per month on overdue amortization
Early Payment
Allowed anytime without penalty
Start of Amortization
2nd month after loan approval
🧮 Step-by-Step Computation for ₱37,000 SSS Salary Loan
Let’s assume your loan is approved on March 12, 2025. Pro-rated interest covers March 12–April 30, 2025 (50 days) before regular amortization starts in May.
🧾 Step 1: Upfront Deductions
Item
Description
Amount (₱)
Approved Loan
Loan approved by SSS
37,000
Service Charge (1%)
1% × 37,000
370
Pro-Rated Interest (50 days)
₱37,000 × 8% × 50 ÷ 365
406
Total Deductions
₱370 + ₱406
₱776
Net Proceeds (Take-home)
₱37,000 − ₱776
₱36,224
✅ You’ll receive ₱36,224 in your UMID-ATM or bank account.
🧾 Step 2: Monthly Amortization
Annual Interest = 8%
Monthly Interest = 0.67%
Term = 24 months
Using the SSS amortization formula (fixed monthly amount on diminishing balance):
➡️ Monthly Amortization: ₱1,678 ➡️ Total Repayment: ₱40,272 ➡️ Total Interest: ₱3,272
SSS charges pro-rated interest from your loan approval date until the end of the following month.
For example: Loan approved March 12, 2025 → Interest covers March 12–April 30 (50 days total).
Step
Description
Computation
1
Days Covered
50
2
Annual Interest
₱37,000 × 8% = ₱2,960/year
3
Daily Interest
₱2,960 ÷ 365 = ₱8.11/day
4
Multiply by Days
₱8.11 × 50 = ₱406
✅ ₱406 is deducted upfront from your loan proceeds. This ensures you pay interest only for the actual period before amortization begins — not a fixed estimate.
⚖️ Payment, Renewal, and Default Rules
Policy
Description
Late Payment Penalty
1% per month on overdue amortization
Loan Renewal
Allowed after paying at least 12 months (half of term)
Early Full Payment
Allowed anytime without penalty
Default Policy
Unpaid loans may be deducted from future SSS benefits
👩 Example Case: ₱37,000 Loan for a Working Mom
Jenny, an active SSS member since 2016, applies for a ₱37,000 loan on March 12, 2025.
Here’s what happens:
₱37,000 approved
₱370 service charge and ₱406 pro-rated interest deducted
She receives ₱36,224 in her UMID-ATM
₱1,678 per month deducted from her salary for 24 months
Total repayment = ₱40,272
Total interest = ₱3,272
Jenny appreciates the fixed monthly amount and no hidden fees.
🧾 TL;DR Summary
Item
Details
Loan Amount
₱37,000
Service Charge (1%)
₱370
Pro-Rated Interest (50 days)
₱406
Total Deductions
₱776
Net Cash Released
₱36,224
Monthly Amortization
₱1,678
Total Repayment (24 months)
₱40,272
Total Interest Paid
₱3,272
Loan Term
24 months
Penalty (if late)
1% per month
Eligibility
72 contributions (6 recent)
❓ Frequently Asked Questions (FAQs)
1. How much will I actually receive from ₱37,000? You’ll receive ₱36,224 after ₱776 total deductions (₱370 service charge + ₱406 pro-rated interest).
2. When does repayment start? Usually on the 2nd month after approval (e.g., approved March → first payment in May).
3. Does SSS always deduct pro-rated interest? Yes. It’s based on the number of days between loan approval and the start of regular amortization.
4. Can I pay the loan earlier than 24 months? Yes, you can settle early anytime with no penalty.
5. What happens if I miss a payment? A 1% monthly penalty applies, and future SSS benefits may be offset to settle unpaid amounts.
🌟 Final Thoughts
A ₱37,000 SSS Salary Loan gives you flexible and low-interest financing with manageable payments. After small deductions (₱776 total), you take home ₱36,224 and repay ₱1,678 monthly for 24 months — fixed and predictable.
Before applying, make sure your contributions are updated and your employer’s remittances are active.
