Q1: Is AFPSLAI a government or private entity?
A:
AFPSLAI is a private non-bank financial institution supervised by the Bangko Sentral ng Pilipinas (BSP). Membership is based on a well-defined group as provided for by our charter, to wit:
Q2: How stable is AFPSLAI?
A:
As of end of December 2020, AFPSLAI’s total assets is Php 126.56
Billion. Capital contribution and savings deposits are safely re-deposited
in leading BSP accredited banks and invested in national government
securities. AFPSLAI has consistently declared competitive dividend rates
based on its yearly income attainment.
Q3: Is there a membership fee for qualified applicants?
A: We do not collect any membership fees, but basic requirement includes a Php 1,000 non-withdrawable deposit to open the Capital Contribution Account (CCA). An AFPSLAI ID shall likewise be provided to new members free of charge.
Q4: In the absence of AFP/PNP ID, what can I present to support my membership application?
A: in lieu of AFP/PNP ID, a certification that the specific ID is being processed may be accepted. Said certification must be duly signed by the designated/authorized Finance Office Head or his/her authorized representative.
Q5: Can I be a member at once?
A: Yes, provided all membership requirements are complied with.
Q6: I was a member before. Can I be a member again?
A: Yes, AFPSLAI allows re-admission of members as long as you are still qualified under our existing Membership By-laws. Requirements are the same as the requirements for new members.
Q7: Why do I have to update my membership data, signature card, and/or AFPSLAI ID?
A:
In compliance with BSP regulations, AFPSLAI policies regarding the updating of documents/records include the following:
Q8: I lost my passbook/AFPSLAI ID. What should I do?
A: Go to the nearest Branch Office, together with the following:
Q9: What are accepted as valid IDs?
A:
Based on Anti-Money Laundering Act (AMLA) and BSP Circular No. 706, the following are considered as valid IDs:
Q10: I have retired from the service. Am I still an AFPSLAI member?
A: Yes, you are still an AFPSLAI member as long as your Capital Contribution Account (CCA) deposit does not fall below Php 1,000, you have remained in good credit standing, you update your membership at least once every three (3) years and you have not terminated your membership with AFPSLAI.
Q11: I am a legal wife of a Muslim member. Do I still have the chance to become an Associate Member since my husband’s first wife is already a member (endorsed by my spouse)?
A: While every married member can endorse his/her spouse as an Associate Member, a Regular Muslim member can only choose one of his wives to become an Associate Member.
Q12: What are AFPSLAI’s different standard fees?
A: Among the commonly availed charges are the following:
Q13: I am disabled and could no longer write. How can I update my signature?
A: You can affix your thumb mark on a new SSC in the presence of a regular AFPSLAI employee. This must be supported with medical certificate indicating that you could no longer write.
Q14: Can an Associate Member terminate his/her membership on his/her own account?
A: Yes, even without the consent of the principal member and as long as the account holder is single.
Q15: What is Expected Dividend Advance (EDA)?
A: In consideration of our members who rely on their dividends every quarter, AFPSLAI created the EDA facility, which replaces the quarterly dividend payout. This facility allows the members to receive in advance their expected dividends on a quarterly basis, which are supposed to be released one-time after the calendar year.
Q16: When will EDA be released?
A: The release of EDA shall start every 4th Monday of the month following the end of the quarter.
Q17: Why do I have no dividend?
A: There is no dividend for accounts with below the Php 1,000 maintaining balance and for members with past due loans. Dividends are released only when the member’s loan becomes current.
Q18: What does “tax free” mean?
A: The dividends and interests earned on deposits are not subject to withholding and income taxes. For example, if your dividend is Php 100, you will receive the entire amount as earnings for your deposit.
Q19: Why does my passbook has Loan Offsetting (LOS) entry?
A: If your passbook has an LOS entry, you may ask our Loans personnel about this. Having an LOS entry means that you may not have paid your monthly loan amortization in full, have a past due loan, or have arrearages.
Q20: Can I transact with any AFPSLAI Branch Office aside from where I opened my account?
A: Yes, you can. The AFPSLAI information network is on a real-time basis, so transacting with any of our 21 branches will not be a problem. You may also transact in any of our more than 50 Extension Offices. We also do not impose any charges when you transact with other branches.
Q21: Do you offer time deposit?
A: Yes. Time Deposit Account (TD-006) is available for both Regular and Associate Members. Below are the salient features of TD-006:
Below are the salient features of TD-006:
Q22: Is the SDA the same with CCA in terms of maximum deposit and placement period?
A: No, the features of SDA are different from those of CCA. In terms of amount allowed for deposit, the SDA has no ceiling and it requires a maintaining balance of Php 100 only. Interest is computed based on the average daily balance, as such, it has no specific placement dates and amount can be withdrawn anytime. However, dormancy charge will be effected on accounts with no deposit or withdrawal transactions made within two (2) years.
Q23: I am a retired PNP personnel. Can I open a Pension Account?
A: We no longer offer our Pension Account for PNP pensioners since all pensions are now received through ATM.
Q24: Why didn’t my deposit earn annual dividend?
A: AFPSLAI computes dividend based on the lowest quarterly balance (LQB) of the Capital Contribution Account (CCA). As such, only deposits made before and/or during the placement period and/or dividends received during the quarter will be considered for dividend computation. This is provided that all said deposits are within the limits as set by the Association. Withdrawals made during the quarter may also affect the dividend computation since only the lowest balance for the quarter will be considered.
Q25: Since deductions made in my salary is every 15th of the month, when can I withdraw my monthly capital contribution from AFPSLAI?
A: Capital contribution deductions can only be withdrawn upon remittance of Finance Center and posted by AFPSLAI into your account.
Q26: Can I make a deposit on my Pension Account?
A: No, Pension Account is intended for pension remittance only.
Q27: Are my deposit accounts covered by Philippine Deposit Insurance Corporation (PDIC)?
A: No, AFPSLAI is a non-bank financial institution. Thus, its deposits are not covered by PDIC.
Q28: Can I have a co-depositor who is not an AFPSLAI member?
A: No, co-depositors should be a member of AFPSLAI.
Q29: Can other persons deposit on my behalf?
A: Yes, possession of your passbook by your duly authorized representative when making a deposit is allowed. It is assumed and deemed that you have knowledge of such deposit transaction.
Q30: Can a representative fill-in the amount or date on the withdrawal slip as authorized by the account holder?
A: Yes, provided that the name of the authorized representative and the signature of the account holder are reflected in the space provided on the withdrawal slip. The AFPSLAI ID of the account holder must also be in the possession of the authorized representative during the transaction.
Q31: What are the requirements for withdrawal thru representative?
A: The following are the requirements for withdrawal thru representative:
| For Php 50,000 and below |
|
| For above Php 50,000 |
|
| If the member affix his/her thumbmark as signature | First withdrawal transaction
|
Q32: Can I withdraw if my passbook is lost?
A: No, we do not allow withdrawal if the passbook is lost. Said loss must be declared by submitting a notarized Affidavit of Loss to the Member Services Staff. The membership of the depositor is put on hold until such time that a new passbook has been issued.
Q33: Why are Associate members unable to deposit on their Capital Contribution Accounts starting October 6, 2016?
A: Pursuant to AFPSLAI Board Resolution No. 2016-009-8089, AFPSLAI no longer accepts capital contribution deposit through over-the-counter (OTC) transactions for Associate Members. This policy aims to maintain a proper balance between the various stakeholders’ interests, improve efficiency and ensure future growth of the Association. There is still no advisory from the Board as to when the said stoppage will be lifted.
Q34: Where can I get my overpayments, in CCA or in SDA?
A: Overpayments and forced savings can be withdrawn in your CCA. On the other hand, rebates, CRI refunds, loan proceeds, excess dividend and PNL deduction can be withdrawn in your SDA.
Q35: I did not make any withdrawal transactions during a certain period of time. But why are there withdrawal transactions reflected on my passbook in that time?
A: There are several reasons why there are withdrawal transactions reflected on the passbook even if such transactions are not made by the member. It is best to inquire at the nearest AFPSLAI Branch or Extension Office where our friendly staff will explain the items posted on the passbook.
Q36: What is the Single Borrower’s Limit (SBL)?
A: It is the maximum loan amount that is allowed for a borrower. It is computed by multiplying the regular monthly salary and allowances by 12, plus annual regular bonuses/incentives and existing deposits with AFPSLAI.
Q37: What is the Credit Redemption Insurance (CRI)?
A: CRI is the insurance that will cover the payment of the outstanding loan of a qualified borrower in case of his/her death.
Q38: Do I need to look for a co-maker?
A: Co-maker/s are only required for Personal Loan.
Q39: Considering there is no co-maker required on most loans, how could AFPSLAI collect from defaulting accounts?
A: AFPSLAI employs various collections schemes and remedial measures to address collection from accounts with defaults.
Q40: Is RIAS (IAS from Region) required in applying for Salary Loan?
A: Yes, however, in the absence of said document, PIAS (IAS from Province) or Certificate of No Pending Case from unit or CO can be submitted.
Q41: Can I avail of another loan even if I still have an outstanding Salary Loan?
A: Yes. You can avail of the Emergency Loan, Multi-Purpose Loan, and other collateralized loan products, depending on your paying capacity.
Q42: When can I renew my Salary Loan?
A: You can renew your Salary Loan once your loan payment has reached at least 20% of the amount borrowed.
Q43: When I apply for loan renewal, do I get an overpayment for the continuous deduction of my monthly amortization?
A: No, the amount deducted from your salary will be considered as first payment to your renewed loan. This lowers your new loan balance from the programmed loan amount.
Q44: What will happen if I fail to pay the interest/principal amount or renew my Back-to-Back Loan before its maturity?
A: The entire loan amount, plus interest, will be offset from your Capital Contribution Account (CCA).
Q45: Can I apply for a Salary/Pension Loan even when I am not yet receiving my pension?
A: A loan can only be granted once you are receiving your monthly pension. However, on 12 February 2018, we introduced a new product called Commutation Loan which is exclusively for members from the Philippine Navy who are due for retirement.
Q46: Do you offer Car Loan for second hand vehicles?
A: Yes, AFPSLAI offers Pre-Owned Vehicle Loan where Regular and Associate Members can purchase pre-owned vehicles (sedans, SUV, AUV, Vans LCV, high-end motorcycles and other vehicles similarly classified) from either an accredited dealer or individual seller.
Q47: Do you buy out existing loans from other lending institutions?
A: We are only allowed to buy out problem accounts of AFP pensioners from different lending institutions, provided it has been classified as a Resultant Account. A Resultant Account is the balance of loan when one was in active service, where deductions from retirement benefits were not sufficient to fully settle the total outstanding balance upon retirement from the service.
Q48: In terms of loan products, what are AFPSLAI’s advantages over other lending institutions?
A: Aside from lower interest rates, the Association does not charge advance interest. As such, generally, what you loan is what you get.
Q49: Are loan rebates given to qualified members yearly?
A: No, loan rebates are given only upon approval of the Board of Trustees. The granting of rebates is dependent on the yearly financial results of operations and granted only to borrowers of good standing.
Q50: How long is the validity of a Special Power of Attorney (SPA)?
A:
Validity of SPA is as follows:
| ACCOUNT TYPE | ISSUANCE | VALIDITY |
|---|---|---|
| For 01, and 02 accounts | Locally secured | One (1) year |
| Secured abroad (authenticated by the Philippine Embassy or Consulate in that country) | Two (2) years | |
| For pension accounts | Locally secured | Six (6) months |
| Secured abroad | Validity period depends on the judgment of Finance personnel |
Q51: If a member dies and his loan is not fully paid yet, what will happen to his loan balance?
A: Effective January 17, 2011, all loans granted by AFPSLAI are covered by credit redemption insurance (except for Back-to-Back Loan and for those denied coverage by the insurance provider & whose age is over 80 years old). If the member/borrower dies during the term of the loan, all programmed balance will be paid by the insurance provider for as long as the loan is not past due. On the other hand, all current loans granted before the aforementioned date will be covered based on applicable policies.
Q52: Who are allowed to claim burial benefits from AFPSLAI?
A: Immediate family/dependents, who are at legal age and can show proof that they have incurred burial/funeral expenses of the deceased member.
Q53: Why are there no ATM machines on all AFPSLAI Branches to facilitate withdrawals?
A: A study with regard to the provisions of an ATM facility is currently being evaluated.
For the moment, AFPSLAI has tied up with RCBC for the InstaCredit facility which enables member-borrowers to claim their loan proceeds or process cash withdrawals either thru their bank accounts or as cash payout from any RCBC branch nationwide. RCBC also provides fund transfer through its partner pawnshops, which dominate the areas where AFPSLAI extension offices are located.
Q54: Why did the payments of “The Professional Group” educational plans stop?
A: The Professional Group (TPG) filed for rehabilitation, which the court approved in 2007. A schedule of payment on a pro rata basis was thereafter released and initial payments made, but the rehabilitation did not succeed. In 2011, the court ordered the liquification (cash conversion) of all assets of TPG and distribute the proceeds to all qualified planholders based on a given formula. It is expected that the payment to planholders will start by 2013.
Q55: I have no time to check my deposit or loan accounts due to my work schedule. Can I request for my account or loan balance through phone or e-mail?
A: No, AFPSLAI protects the privacy of its members’ accounts so we do not easily disclose information, give details, or effect any changes in accounts through phone or e-mail. As such, we encourage you to visit any of our Branch or Extension Offices nationwide and our personnel would be happy to assist you.
Q56: Will AFPSLAI upgrade its system to ensure convenience and speed of service to members?
A: Yes, AFPSLAI continually reviews its processes and technology infrastructure to provide the best service to its members.
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