Law Summary

A. Objectives

• Purpose: Establish policies for the treatment and processing of Residual Total Accumulated Value (RTAV) and identify members entitled to RTAV following membership termination.

B. Coverage

• Applicability:
  • Applies to members with remaining or remitted savings and accumulated dividends after claiming their provident benefit.
  • Excludes members who have re-entered mandatory coverage unless a termination ground occurred post coverage.

C. Definition of RTAV

• RTAV Definition:
  • Refers to member savings and dividends remaining after a provident benefit claim due to:
    • Death
    • Compulsory Retirement
    • Permanent Departure from the country
    • Permanent Total Disability or Insanity
    • Termination from Service by Reason of Health
• Computation Considerations:
  • Applicable declared dividends
  • Member savings and employer contributions during remittance
  • Deprived dividends collected due to enforcement activities by the Fund

D. Mechanics

• Notification Process:
  • An announcement published in a general circulation newspaper to inform eligible members to check their entitlement on the Fund’s website or branches.
  • A list of qualified claimants will be posted on the Fund’s website and local government units.
• Notification of RTAV:
  • Members with RTAV of Php 500.00 or more will receive notification by mail regarding the crediting or disbursement method.
  • If unclaimed for over 10 years, RTAV will be reclassified to the Fund’s Retained Earnings, and claims will no longer be honored.
• Claiming Process:
  • Members must claim within 60 days from the announcement or mail receipt date.
  • Failure to claim will result in reclassification to Miscellaneous Income, making it unclaimable.
• Implementation Schedule:
  • Initial identification of RTAV claimants as of December 31, 2013, including applicable 2013 dividends.
  • Semi-annual identification and release based on April and September records; reclassified as Accounts Payable thereafter.

H. Escalation Clause

• Resolution Process:
  • Issues arising from these guidelines must first be resolved by the concerned officer, with escalation to higher authority if unresolved.

I. Amendments

• Modification Authority:
  • The Senior Management Committee may amend these guidelines as necessary, ensuring consistency with the Fund’s mandate and objectives.

J. Repealing Clause

• Inconsistencies:
  • Any previous circulars or issuances inconsistent with these guidelines are repealed, amended, or modified accordingly.

K. Effectivity

• Implementation Date:
  • These guidelines take effect upon issuance.

Key Takeaways

• The guidelines establish a clear framework for the treatment and release of RTAV for Pag-IBIG Fund members.
• Important deadlines for claiming RTAV are set, with consequences for unclaimed amounts.
• The guidelines allow for amendments and clarify the process for resolving disputes.
• Members must be proactive in determining their eligibility and claiming their RTAV to avoid forfeiture.