When Can I Renew My SSS Salary Loan? Complete Guide for 2025
If you’ve been paying your SSS Salary Loan every month and wondering “Kailan ba ulit ako puwedeng mag-renew?” — you’re not alone. Many SSS members look forward to renewing their salary loan for additional funds, especially for emergencies, tuition, or daily needs.
Good news: renewing your SSS Salary Loan is possible once you’ve met specific repayment and eligibility conditions. In this article, we’ll explain exactly when and how you can renew your loan, how much you can re-borrow, and what happens to your remaining balance.
💡 Quick Recap: What Is an SSS Salary Loan?
The SSS Salary Loan is a short-term loan offered by the Social Security System (SSS) to provide financial assistance to employed, self-employed, or voluntary members.
It’s designed to help cover temporary financial needs while ensuring affordable repayment terms. The loan has:
8% interest per year (based on the diminishing principal balance)
1% service charge upon release
12–24 months repayment period depending on your loan type
The amount you can borrow depends on your Average Monthly Salary Credit (AMSC) and your total posted contributions.
📘 Tip: You can easily estimate your loanable amount using the official SSS Salary Loan Calculator to know how much you’re qualified to borrow before applying or renewing.
🧾 When Can I Renew My SSS Salary Loan?
You can renew your SSS Salary Loan only after you’ve paid at least 50% of your original principal amount — and at least 12 months have passed since your previous loan was granted.
Let’s break that down:
Loan Type
Loan Term
Minimum Payments Required Before Renewal
Other Condition
1-Year Loan
12 months
6 months (50% of total amortizations)
Must be employed or active member
2-Year Loan
24 months
12 months (50% of total amortizations)
Must be employed or active member
✅ Example:
If your ₱20,000 loan was approved in January 2024, your amortization began in March 2024. You’ll be eligible to renew around February 2025, provided you’ve paid at least ₱10,000 (50%) of your principal through monthly payments.
You can then apply for a new loan, which will automatically offset your remaining balance from the old one.
🔍 Why Does SSS Require 50% Repayment Before Renewal?
The 50% repayment rule ensures that members responsibly manage their loan obligations before taking another one.
This protects both the borrower and SSS by:
Avoiding accumulation of unpaid loans
Ensuring contributions and payments remain updated
Keeping your future benefit claims (like sickness or maternity) unaffected by unpaid loans
Remember: If your previous loan is in default (meaning unpaid or overdue), SSS will not approve a new one until it’s settled.
🧮 How Is the New Loan Amount Computed?
Your new (renewed) SSS Salary Loan amount depends on:
Your updated Average Monthly Salary Credit (AMSC)
Your payment history and remaining balance from the old loan
The process works like this:
SSS computes your loanable amount based on your current AMSC.
Any outstanding balance (including interest) from your old loan is deducted from the new loan proceeds.
You receive the net amount after deductions and service charge.
💰 Example Loan Renewal Computation
Let’s say:
You were granted a ₱20,000 loan on March 12, 2024 (2-year term).
As of March 2025, you’ve paid ₱12,000 in total amortizations.
You now want to renew your loan.
Your new AMSC qualifies you for a ₱25,000 loan.
Computation:
Description
Amount
New Approved Loan
₱25,000.00
Less: Remaining Balance (₱8,000.00)
₱8,000.00
Less: Service Charge (1%)
₱250.00
Less: Pro-rated Interest (approx. ₱200.00)
₱200.00
Net Loan Proceeds
₱16,550.00
✅ You’ll receive ₱16,550 directly to your bank account, and your old balance is automatically settled. Your new 24-month repayment schedule will then begin two months after approval.
📅 Pro-rated Interest Explained
When renewing, pro-rated interest applies again — just like with your first SSS Salary Loan.
Example:
If your new ₱25,000 loan is approved on March 12, 2025, SSS charges interest from:
March 12 to March 31 (20 days), and
Full month of April (30 days) before amortizations start in May.
Computation:
Annual interest = 8% of ₱25,000 = ₱2,000
Daily rate = ₱2,000 ÷ 365 = ₱5.48/day
Interest for 50 days = ₱5.48 × 50 = ₱274
That ₱274 is deducted upfront as pro-rated interest.
🧠 Reminder: Loan Default & Renewal Restrictions
You cannot renew your loan if:
You have an existing overdue loan (salary, calamity, or emergency).
You are no longer an active SSS member (e.g., resigned and no voluntary contributions).
Your employer has not remitted your payments properly.
Always check your loan balance and contribution status before reapplying.
⚙️ How to Apply for SSS Salary Loan Renewal (2025 Process)
Step 1: Log in to My.SSS Account
Go to the SSS Member Portal, click “E-Services” → “Apply for Salary Loan.”
Step 2: Check Loan Eligibility
If you’ve completed 50% repayment and meet all other criteria, your account will show “eligible for renewal.”
Step 3: Choose Loan Type and Bank
Select 1-year or 2-year term, and confirm your UMID-ATM or enrolled bank account for disbursement.
Step 4: Review Computation
SSS will show your loanable amount, remaining balance deduction, and net proceeds.
Step 5: Submit and Wait for Approval
Approval usually takes 3–5 working days for active employees and 5–7 days for voluntary/self-employed members.
Before renewing, check your estimated loanable amount and deductions using the 👉 SSS Salary Loan Calculator.
It helps you:
Compare 1-year vs. 2-year loan options
See how much you’ll actually receive after deductions
Plan your monthly budget based on amortization
🧾 TL;DR (Too Long; Didn’t Read)
Key Point
Details
Earliest Renewal Time
After 12 months (for 2-year loan) or 6 months (for 1-year loan)
Repayment Requirement
At least 50% of principal must be paid
Interest Rate
8% per annum
Service Charge
1% of approved amount
Pro-rated Interest
Deducted upfront for 1.5 months (based on days)
Renewal Benefit
Old balance deducted, new amount credited
Application Method
Online via My.SSS portal
❓ Frequently Asked Questions
1. Can I renew my SSS Salary Loan early?
No. You must complete at least 12 months (for a 2-year loan) or 6 months (for a 1-year loan) of amortizations and pay 50% of the principal before renewal.
2. What happens to my old loan when I renew?
Your remaining balance (including interest) is automatically deducted from your new loan amount.
3. Can I renew if I changed employers?
Yes, as long as your new employer is remitting your loan payments and contributions to SSS.
4. Can I renew if I’m on maternity leave?
Yes — as long as your loan is not overdue and your contributions are still active (either by employer or voluntary payments).
5. Is there a limit to how many times I can renew?
No specific limit, but every renewal must follow the 50% repayment rule and SSS eligibility conditions.
🏁 Final Thoughts
Renewing your SSS Salary Loan can be a great way to access extra funds while keeping your repayment record in good standing. Just remember: ✅ Pay at least 50% of your loan ✅ Maintain updated contributions ✅ Check your eligibility before applying
When you’re ready, use the SSS Salary Loan Calculator to estimate your renewal amount and net proceeds — so you can make an informed financial decision today.
