The Department of Education (DepEd) issued an Office Memorandum (OM) reminding its personnel to refrain from using their ATM payroll cards as collateral for loans or engaging in the ATM “Sangla” scheme. Read the full memorandum below:
OM-O S E C-2 0 2 0-006
REMINDER TO REFRAIN FROM USING ATM PAYROLL CARDS AS COLLATERAL FOR
LOANS OR ENGAGING IN THE ATM SANGLA SCHEME
Bureau and Service Directors
Schools Division Superintendents
Public Elementary and Secondary School Heads
All Others Concerned
- Pursuant to Section 4 (aa) of the Republic Act No. 11469, otherwise known as the
Bayanihan to Heal as One Act, and the Implementing Rules and Regulations issued by the Department of Finance effective April 2, 2020, several entities and institutions, both public and private, including the Government Service Insurance System (GSIS) and Pag-IBIG Fund, have issued their respective guidelines for the implementation of the mandatory grace period or the suspension of payment for loans.
- The GSIS and the Pag-IBIG Fund even granted an expanded relief for a three-month moratorium on loan payments and an extension of the loan terms of their individual borrowers. The DepEd Provident Fund also granted a three-month relief for its borrowers by suspending the collection of payment from April 2020 to June 2020.
- The Department of Education (DepEd) is set to refund the loan amortizations deducted from the April 2020 payroll and the suspension of deductions for loan payments from the May 2020 salary payroll.
- Likewise, DepEd took initiatives for the early processing and release of the salaries of employees for the months of March and April. This is to ensure that employees have additional cash while battling with the COVID-19 pandemic. These financial reliefs will be reflected in the payroll months of April, May, and June 2020.
- With the additional cash credited to the ATM accounts of the employees, this
Department reiterates its advice against the use of their individual ATM Payroll Card as collateral for loans or engaging in the ATM Sangla scheme.
- The practice of surrendering ATM cards as collateral for loans is prohibited by the DepEd Terms and Conditions for Accreditation under the Automatic Payroll Deduction System.
- ATM Card pawning has been noted by the Bangko Sentral ng Pilipinas (BSP) as a
dangerous scheme, for it exposes borrowers to identity theft and unauthorized use of personal data possibly for unlawful activities. Also, BSP finds that this practice unduly promotes overindebtedness.
- For your information and guidance.
Read more: DepEd News
TEACH PINAS is not affiliated, associated, endorsed by, or in any way officially connected to any government organization. All the information on this website is published in good faith and for general information purpose only. We, the admins/staff, do not claim any ownership to some contents posted here. If you own rights to those and do not wish them to appear on this site, please contact us via e-mail: [email protected] and we will take necessary actions ASAP. TEACH PINAS does not make any warranties about the completeness, reliability, and accuracy of this information. Any action you take upon the information you find on this website (www.teachpinas.com), is strictly at your own risk. TEACH PINAS will not be liable for any losses and/or damages in connection with the use of our website. Read more...