Title
Temporary lifting of loan moratorium for DepEd staff
Law
Deped Memorandum No. 46
Decision Date
Feb 14, 2003
The Department of Education temporarily lifts the moratorium on new loans for teachers and non-teaching personnel from February 15-28, 2003, to assist with end-of-year tuition and related expenses, while maintaining a review and re-accreditation process for lending institutions.
A

Specific Timing and Resumption of Moratorium

  • The two-week period from February 15 to 28, 2003, corresponded to the critical period when teachers needed funds for paying tuition and related expenses.
  • The moratorium on new loans was set to automatically resume from March 1, 2003, continuing through the period of re-accreditation.
  • The duration of the re-accreditation and moratorium beyond that date would be formally communicated in writing to each lending institution.

Requirements for Lending Institutions Post-Lending Period

  • Lending institutions must submit all new promissory notes and properly executed "Authorities to Deduct" to the Office of the Undersecretary for Finance and Administration by March 4, 2003.
  • This requirement ensures proper documentation and compliance with the loan accreditation process.

Clarifications on Loan Deductions and Scope of Moratorium

  • Salary deductions on existing teacher loans will continue unabated during the review and re-accreditation period; monthly remittances to lending institutions must be maintained.
  • The review and moratorium apply exclusively to new salary loans; other financial products are treated separately.
  • Insurance premiums and mutual assistance system (MAS) programs of teachers and related organizations are not subject to the moratorium and may proceed as usual.
  • A separate review and re-accreditation program regarding insurance and MAS packages will be implemented in the future.

Dissemination and Administrative Actions

  • The memorandum called for immediate and wide dissemination to ensure all concerned parties are informed.
  • The policy was formally adopted on February 14, 2003, with the endorsement of Secretary Edilberto C. De Jesus.

Analyze Cases Smarter, Faster
Jur helps you analyze cases smarter to comprehend faster, building context before diving into full texts. AI-powered analysis, always verify critical details.