Due Date for Monthly Amortization
- The first monthly amortization payment is due on the 10th day of the third calendar month following the disbursement of the loan.
- Subsequent monthly amortizations are due every 10th day of the month thereafter.
- Payments continue monthly until the loan is fully amortized.
Application of Payments
- Payments made by the borrower shall be applied in the following order:
- Principal
- Interest
- Penalty
- This application order affects how the outstanding balances are reduced and how penalties are cleared.
Effectivity of the Policy Guidelines
- The Policy Guidelines, including all modifications adopted during the Board meeting, shall become effective immediately upon formal Board approval.
Administrative and Legal Formalities
- The full text of the Policy Guidelines is officially attached and forms an integral part of the resolution.
- The document is filed and available for reference at the Office of the National Administrative Register, U.P. Law Complex, Diliman, Quezon City.
Important Legal Concepts and Provisions
- The policy creates clear rules governing loan granting, amortization scheduling, and payment allocation.
- The prioritization of payment application ensures borrower obligations are structured, protecting GSIS interests.
- The delay of the first payment allows a grace period before amortization begins.
- The resolution’s formal adoption underscores the binding nature of the guidelines within the GSIS framework.