DO 42, s. 2003 – Grant of DepEd Provident Fund Loans to Casual Employees
May 22, 2003
DO 42, s. 2003
Grant of DepEd Provident Fund Loans to Casual Employees
Directors of Services/Centers and Heads of Units
All Others Concerned
- Pursuant to Resolution No. 06, s. 2003 of the National Board of Trustees of the DepEd Provident Fund, entitled Resolution Approving the Grant of Provident Fund Loans to Casual Employees, casual employees in the central, regional and division offices may avail of Provident Fund loans subject to the following guidelines and limitations in addition to the revised implementing guidelines prescribed in DECS Order No. 50, s. 2001 as amended by DepEd Order No. 6, s. 2002 and DepEd Order No. 27, s. 2003:
- A casual employee who has been in continuous service with the Department for two (2) years or more may avail of the regular or calamity loans of Five Thousand Pesos (PhP5,000.00) and Eight Thousand Pesos (PhP8,000.00), respectively, while a casual employee who has accumulated at least one hundred (100) sick/vacation leave credits may avail of the special Provident Fund loan of Twenty Thousand Pesos (PhP20,000.00) in addition to the regular or calamity loan;
- In addition to the documents required in applying for Provident Fund loans set forth in the revised implementing guidelines, a casual-employee applicant must submit a copy of his/her latest appointment;
- All types of loans shall have an interest rate of six percent (6%) per annum, add-on and straight computation. The regular and calamity loans shall be paid in twenty-four (24) equal monthly installments (two (2) years), while the special loan shall be paid in thirty-six (36) equal monthly installments (three (3) years).
- Remittance of Loan Repayments
- In all cases, repayment of loans shall be through automatic deduction from the borrower’s salary, to be reflected every 15th of the month either by payroll or disbursement voucher;
- The Secretariat shall prepare the monthly abstract of deductions based on the processed payroll or disbursement voucher collected from the Cash Division not later than 22nd of each month;
- Thereafter, the remittance of loan repayments shall follow the usual processing of voucher of remittances for the Provident Fund.
- In case of separation from the service, a casual employee-borrower shall seek clearance from the Secretariat of any outstanding obligation with the Provident Fund; and
- The Personnel Division/Unit shall inform the Secretariat, in writing, the names of casual employees whose appointment shall no longer be renewed and shall be separated from the service.
- Enclosed is the pro-format of the loan application form that will be used by the casual employees in availing Provident Fund loans.
- Immediate dissemination of and compliance with this Order is directed.
DepEd Orders: (Nos. 27, s. 2003, 6, s. 2002, and 50, s. 2001)
Allotment: 1—(D.O. 50-97)
To be indicated in the Perpetual Index under the following subjects: